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Entrepreneurship Incubation Centers Capacity Assessment and Identifying Their Area of Intervention in PRIME Intervention Areas of Afar, Eastern and Southern clusters Prepared by: Robson Mekonnin Kassahun Mamo July, 2016 Haramaya University, Ethiopia

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Entrepreneurship Incubation Centers Capacity Assessment and Identifying

Their Area of Intervention in PRIME Intervention Areas of Afar, Eastern

and Southern clusters

Prepared by:

Robson Mekonnin

Kassahun Mamo

July, 2016

Haramaya University, Ethiopia

2

Table of Contents

Executive Summary ...................................................................................................................................... 3

1. Introduction .............................................................................................................................................. 4

2. Objectives ................................................................................................................................................ 5

3. Methodology ............................................................................................................................................ 5

4. Result and Discussion .............................................................................................................................. 6

4.1. Demographic Characters of the Respondents ..................................................................................... 6

4.3. Role of Entrepreneurship Center for the Pastoral community ............................................................ 8

4.3.1. Structure of entrepreneurship center and existence of incubation .............................................. 8

4.3.2. TVETs and Universities offering seed funding and material support ......................................... 8

4.3.3. TVETS and Universities offering short term trainings for pastoral community ......................... 9

4.4. Entrepreneurial Capacity of Institutions ........................................................................................... 10

4.4.1. Reward system for individuals for their active engagement and Intellectual property ............. 10

4.4.2. Technology transfer and plan to launch incubator facility ........................................................ 11

4.4.2. Staffs transferring the knowledge of entrepreneurship to the community and follow up system

to entrepreneurs ................................................................................................................................... 11

4.5. Institutions Engagement with Stakeholder ....................................................................................... 12

4.5.1. Institute’s engagement with small local businesses .................................................................. 12

4.5.2. Establishing Venture fund and pastoral loan support community start-ups.............................. 12

5. Entrepreneurship Incubation Centers Capacity Challenges .................................................................. 18

6. NGOs Engagement and Contribution to Entrepreneurship Incubation Centers ................................... 19

7. Conclusion and recommendations ......................................................................................................... 19

7.1. Conclusion ....................................................................................................................................... 19

7.2. Recommendation ............................................................................................................................. 21

References ................................................................................................................................................... 23

Annexes ...................................................................................................................................................... 24

List and Contact Address of Institutions Contacted .................................................................................... 30

3

Executive Summary

The main objective of the assessment is to identify entrepreneurship incubation centers capacity

building gap and their area of intervention in PRIME intervention areas of Afar, Eastern and

Southern clusters. A total of sixteen self-administered survey questionnaires were distributed to

eight TVETs and four public Universities. In addition to this, two questionnaires were filled by

Oromia TVET Commission experts. Out of this fifteen questionnaires filled and returned by

institutional respondents or experts as a result of their experiences in relation to the topic of the

assessment except Semera University. Additionally, we were conducted structured interview

discussions with experts in relation to the topic with Business enterprises, NGOs, Government

officials, Regional officials, Policy makers and Entrepreneurship Development Center (EDC). The

assessment used both quantitative and qualitative approaches. The quantitative part of the

assessment was analyzed using descriptive statistics with the aid of SPSS 20 version. The analysis

of the assessment focused on the role of entrepreneurship center for community development,

entrepreneurship capacity of TVETs and Universities, Engagement with stakeholders,

Entrepreneurship curriculum development and current challenges facing entrepreneurship

incubation centers. The result of the assessment revealed that, majority of TVETs entrepreneurship

business incubation centers were not functional as desired rather existing simple for nominal

purposes. In addition to this, there is no reward system for individuals’ active engagement in

different activities related to pastoral community in any of TVETs and Universities in the

assessment areas. The assessment result also indicated, none of TVETs and Universities were

offering loan fund or seed fund to pastoral community start-ups after training for the trainees.

Moreover, the existing TVETs curriculum particularly in relation to entrepreneurship course are

not practical on the ground to business sectors. Majority of those TVETs and Universities are

facing serious staff turnover due to different factors described in this assessment. As a result of

this, those institutions needs high capacity building intervention from stakeholders, staff retention

support and human resource development, material support, financial support, curriculum

development, and sustainable support in all essential aspects. Therefore, TVETs and Universities

located nearby pastoral community should work with concerned NGOs or Government to

strengthen existing entrepreneurship incubation centers or to establish new entrepreneurship

incubation centers.

4

1. Introduction

Ethiopia is at the start of its second five year Growth and Transformation Plan (GTP2) which

aspires to make Ethiopia a middle income country in 2025. Universities play significant role in the

production of human resources demanded by the economy; education including entrepreneurship

is critical as it contributes to job creation and leads to considerable reduction of poverty (ESC,

2015). In many countries, entrepreneurship is not seen as a sustainable job or development tool

and few young people view microenterprise as a viable alternative to formal employment. In these

societies, perceptions remain that family sacrifices made to help young people gain a high level of

education are not repaid if they become self-employed. Often entrepreneurship may be seen as an

inappropriate career choice whose risk and instability may have social consequences (UNCTAD,

2014). The low level of exposure to business and entrepreneurship, combined with the lack of role

models, seems to be making the shift from necessity to opportunity entrepreneurship in many

developing countries difficult. The challenges and opportunities for entrepreneurship vary

dramatically in different parts of the world, as well as for different segments of the educational

sector (UNCTAD, 2010). Entrepreneurship centers capacity building focuses on enabling all

members of the community, including the poorest and the most disadvantaged, to develop skills

and competencies so as to take greater control of their own lives and also contributes to inclusive

local development (Noya and Clarence, 2009).

Systematic deployment of practical based attachment such as project work and internships should

be emphasized particularly to students where less practiced application of real business

environments were observed. This can be achieved through modifying the existing curriculum

approach based on a wider set of courses including social sciences, technology and natural

sciences. These students should have exposure to entrepreneurship education or training while they

are in the campus (Mekonnin, 2015).

An effective entrepreneurship policy for a common entrepreneurship curriculum with practical

trainings for the TVETs or Universities is the answer or panacea that could break the element of

the vicious circle of unemployment among the youth (Adebayo etal, 2013). Entrepreneurship

education was mainly offered in business schools and agricultural colleges, though recently it

started to be included in the curricula of other schools too, mainly technology institutes/colleges.

Traditional teaching and evaluation methods are dominant in teaching and assessing

entrepreneurship courses in Ethiopian universities. Ethiopian public universities are also

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characterized by a dearth of entrepreneurship promotion centers (Tessema, 2012).Entrepreneurship

reinforces the shift away from commercialization strategies associated with entrepreneurial action

towards developing essential life skills as core to any university programme and key to developing

entrepreneurial capacity among trainees(Hegarty and Jones, 2008). Therefore, the purpose of this

assessment is to identify the capacity of Universities, Technical, and Vocational Education

Trainings (TVETs) incubation centers located in the three clusters (Afar, Eastern, and Southern).

2. Objectives

The main purpose of the assessment is to assess the capacity of Universities, and Technical

Vocational Education Trainings entrepreneurship incubation centers located nearby pastoralist

community.

Specifically targeted to address the following specific objectives;

To identify entrepreneurship business incubation centers establishment whether those

institutions aimed to provide different short term training to Eastern, Afar and Southern

clusters.

To identify the role of University and TVETs in building capacities of pastoralists

entrepreneurship skills.

To identify areas of intervention by PRIME for Universities and TVETs located nearby

pastoralists communities.

To assess how Universities and TVETs incubation centers focused their attentions to

conduct entrepreneurship skill training for pastoralist.

To identify the potentials of University and TVETs business incubation centers.

To assess their planed structure whether they included pastoralist as part of their short term

training program.

3. Methodology

The methodology of the assessment was designed based on the nature of the activities

incorporated in the assessment .we used experts discussion through structured interview in the

three clusters (Afar, Eastern and Southern) pertaining to information on entrepreneurship

incubation centers establishments from different institutions such as Universities and TVETs

located nearby pastoral community. In addition to this, we were gathered important data

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through deploying self-administered structured survey questionnaires. FGD also incorporated

for Universities, NGOs, individuals in business sectors and TVETs leaders whether their

business incubation center closely working and focused on the demand of the surrounding

pastoral community. Thus, we will use the finding of the assessment for intervention on

strengthening and building institutions capacity gaps particularly for institutions targeting on

pastoral community.

4. Result and Discussion

4.1. Demographic characters of the respondents

Table 1: Respondents profile

N Age of respondents in years Gender of

respondents

Education level of respondents

1 26.00 Male MSc/MA/MBA degree

2 27.00 Male MSc/MA/MBA degree

3 30.00 Male BA/BSc degree

4 30.00 Male BA/BSc degree

5 30.00 Male MSc/MA/MBA degree

6 32.00 Male MSc/MA/MBA degree

7 34.00 Male BA/BSc degree

8 34.00 Male MSc/MA/MBA degree

9 35.00 Male BA/BSc degree

10 36.00 Male BA/BSc degree

11 36.00 Male BA/BSc degree

12 40.00 Male BA/BSc degree

13 40.00 Male MSc/MA/MBA degree

14 42.00 Male MSc/MA/MBA degree

15 47.00 Male BA/BSc degree

Total N 15 15

Source: Own survey questionnaires 2016

The above Table shows that greater proportion of the respondents ages were lies between 30-36

years in TVETs and Universities located in Eastern, Afar and Southern clusters. On the other hand,

all respondents who filled the survey questionnaires from those institutions where we made

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assessment totally male. It’s indicated in this assessment, almost equal part of those institutional

respondents had BA/BSc and MBA/MSc.

4.2. Sample selected institutions by their location for the distributed survey questionnaires

Figure 1: Own sample survey questionnaires 2016

During the assessment we included Afar, Eastern and Southern clusters of PRIME intervention

areas. The assessment mainly targeted on entrepreneurship incubation center capacity

identifications. We made physical observations to the areas and gathered the necessary data

through self-administered structured survey questionnaires. In addition to the structured interview

from 13 institutions as it’s indicated in the above figure. Among this, eight of them were TVETs,

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four of them were Universities and Oromia TVET Commission from Addis Ababa were assessed.

However, Semera University was not returned the survey questionnaires they received as well as

not willing to corporate us during the assessment.

4.3. Role of entrepreneurship center for the pastoral community

4.3.1. Structure of entrepreneurship center and existence of incubation

Table 2. Structure of entrepreneurship center and establishment of business incubation

Item Structure of Business Incubation Incubation Center Existence

Frequency Percent Frequency Percent

No 6 40.0 5 33.3

Yes 9 60.0 10 66.7

Total 15 100.0 15

100.0

Source: Own survey questionnaires 2016

As it’s indicated in the above Table 2 about the structure of business incubation centers

inclusiveness of pastoral community or technology transferring and the establishment of

incubation centers assessed institutions in Afar, Eastern and Southern clusters. Among fifteen

institutional respondents contacted pertinent to entrepreneurship centers 6(33.3%) of them replied

there is no entrepreneurship centers in their institutions while 10(66.7%) of the respondents had

entrepreneurship business incubation centers within their institutions. On the other hand, Out of

thirteen institutions 6(40%) of them marked Yes and 9(60%) of them replied No about the structure

of their entrepreneurship center on pastoral training need inclusiveness.

4.3.2. TVETs and Universities offering seed funding and material support

Table 3: Institutions offering seed funding and material support for the pastoral community

Item Institutions offering seed

funding

Institutions provided material support for the

pastoral community

Frequency Percent Frequency Percent

No 15 100.0 11 73.3

Yes 0 0 4 26.7

Total 15 100.0 15 100.0

Source: Own survey questionnaires 2016

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Majority of TVETs and Universities assessed in the three clusters (Afar, Eastern and Southern) on

offering seed funding to the pastoral community 15(100%) of them didn’t providing seed funding

to pastoral community in their surrounding areas. However, 11(73.3%) of those institutions are

providing material support to the community and only 4(26.7%) of them didn’t offered any

material support or equipment to the pastoral community.

4.3.3. TVETS and Universities offering short term trainings for pastoral community

Table 4: Institute/TVETs/Universities offering short term training for pastoral community

Item Frequency Percent

Business plan 4 26.7

Job creation 4 26.7

Small business/Petty trading 4 26.7

Technology innovation/modification 2 13.3

Other 1 6.7

Total 15 100.0

Source: Own survey questionnaires 2016

As we can observe from Table 5 , most of TVETs and Universities located in the surrounding

pastoral community were conducting different short term trainings on Business plan 4(26.7%),Job

creation(26.7%),Petty trading 4(26.7%),Technology modification2(13.3%),and other 1(6.7%)

respectively on entrepreneurship competencies. Basically majority of the institutions performed

the same performance on Business plan, Job creation and Petty training (26.7%) on those three

training areas.

4.3.4. Change on the economy of the community and Business incubation strategy

Table 5: Change on the economy of the pastoral and the funding strategy of incubations

Item Change on the economy of

pastoral

Clear funding strategy of centers

Frequency Percent Frequency Percent

No 5 33.3 10 66.7

Yes 10 66.7 5 33.3

Total 15 100.0 15 100.0

Source: Own survey questionnaires 2016

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The main purpose of higher learning institutions and TVETs establishments are to bring change

on socio economic of the community whether they are pastoral or agro-pastoral based economy.

Based on the respondents of 13 institutions about the significant change on socio economy of the

pastoral community brought due to the existence of entrepreneurship centers. 10(66.7%) of them

indicated there were changes on their income. However, 5(33.3%) of them indicated there is no

significant socio economic change brought from entrepreneurship trainings conducted so far. On

the other hand, the lion share of entrepreneurship business incubation centers 10(66.7%) of them

have no clear funding strategy or lack of independent budget allocated for the purpose of their

centers. But only 5(33.3%) respondents indicated their business incubation centers have clear

funding strategy and have independent budget particularly allocated for their centers.

4.3.5. Local linkages with pastoral institutions on entrepreneurship capacity building

Table 6: Local linkages with pastoral institutions targeting on entrepreneurship capacity building

Frequency Percent

Very strong 1 6.7

Strong 8 53.3

Loose 4 26.7

No linkages 2 13.3

Total 15 100.0

Source: Own survey questionnaires 2016

Universities and TVETs 8(53.3%) created strong local linkages for the pastoral institutions

targeting on entrepreneurship capacity building. However, 4(26.7%) and 2(13.3%) of the

institutions have loose or no linkages respectively as it’s depicted in above Table 7.

4.4. Entrepreneurial capacity of institutions

4.4.1. Reward system for individuals for their active engagement and Intellectual property

Table 7: Reward system for individuals for active engagement and Intellectual property

Item Reward system Intellectual property

Frequency Percent Frequency Percent

No 10 66.7 10 66.7

Yes 5 33.3 5 33.3

Total 15 100.0 15 100.0

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Source: Own survey questionnaires 2016

It could be easily described in Table 8 about the reward system for individuals for active

engagement and intellectual property policy of those institutions located in pastoral community

areas. Majority of institutions respondent indicated 10(66.7%) of them have no reward system

structure for actively participated individuals and similarly 10(66.7%) of the institutions has no

intellectual property policy. On the other hand, 5(33.3%) indicated the existence of reward system

for individuals actively involved in conducting entrepreneurship related trainings and intellectual

property policy existence for their innovative products and services in the same manner.

4.4.2. Technology transfer and plan to launch incubator facility

Table 8: Technology transfer and plan to launch incubator facility

Item Technology transfer facility Plan to launch technology transfer facility

Frequency Percent Frequency Percent

No 6 40.0 7 46.7

Yes 9 60.0 8 53.3

Total 15 100.0 15 100.0

Source: Own survey questionnaires 2016

It’s shown in the above Table 9, about 9(60%) of institutional respondents replied their

institutions have strong technology transfer office independently and 6(40%) of them has no

strong technology transfer office. Whereas 8(53.3%) of the institutions planned to launch

technology transfer facility office. 7(46.7%) of institutional respondents had technology transfer

offices. Due to this, they didn’t have a plan to launch again this kind of facility office in the near

future.

4.4.2. Staffs transferring the skills of entrepreneurship to the community and follow up

system to entrepreneurs

Table 9: Staffs transferring the skills of entrepreneurship to the community and follow up

system to entrepreneurs

Item Staffs transferring

entrepreneurship skills

Follow up system for entrepreneur

Frequency Percent Frequency Percent

12

No 3 20.0 3 20.0

Yes 12 80.0 12 80

Total 15 100.0 100.0 100.0

Source: Own survey questionnaires 2016

We can easily observe 12(80%) of the institute’s mobilized their staffs and students are actively

engaged in transferring the knowledge to the community. But only 3(20%) of them not employed

both their staffs and students transferring entrepreneurship skills to those community. Similarly,

transferring entrepreneurship related skills 12(80%) of institutions have follow up system to

business and pastoral entrepreneur person that received any support i.e. material or financial from

their institutions. However, 3(20%) of the institutions has no follow up system after offering any

support to businesses and pastoral entrepreneurs.

4.5. Institutions engagement with stakeholder

4.5.1. Institute’s engagement with small local businesses

Table 10: Institutions engagement with small local businesses

Frequency Percent

Very active 7 46.7

Promising 6 40.0

Not active links with small

local pastoral businesses 2 13.3

Total 15 100.0

Source: Own survey questionnaires 2016

Institutions located to pastoral community areas are currently working 7(46.7%) with small and

medium local business enterprises. Some institutions 6(40%) of still showing promising effort to

work with local businesses in their surrounding community in the near future. But 2(13.3%) of

institutions had no work done with small and medium enterprises or no plan to work with them in

the near future.

4.5.2. Establishing venture fund and pastoral loan support community start-ups

Table 11: Establishing venture fund and loan support to community start-ups

Item Venture fund to pastoral

community

Loan fund pastoral community start-ups

13

Frequency Percent Frequency Percent

No 8 53.3 15 100.0

Yes 7 46.7 0 0.0

Total 15 100.0 15 100.0

Source: Own survey questionnaires 2016

The majority of institutional respondents 8(53.3%) of them replied there is no venture fund for

investing around pastoral community and 7(46.7%) of the institutions have venture fund for

investing to pastoral areas. In addition to this, 15(100%) of institutions has no loan or credit fund

facility for pastoral community start-ups.

4.6: The institutions entrepreneurship curriculum

4.6.1. Career development of entrepreneurship and their involvement in

pastoralist

Table 12: Programme to develop teachers of entrepreneurship and teachers goes to pastoralist

areas

Item

Teachers entrepreneurship

development

Entrepreneurship teachers goes to pastoralist

areas

Frequency Percent Frequency Percent

No 5 33.3 7 46.7

Yes 10 66.7 8 53.3

Total 15 100.0 15 100.0

Source: Own survey questionnaires 2016

According the existing TVETs curriculum entrepreneurship competencies are included in all

courses and all instructors are teaching entrepreneurship skills without their profession. Due to

this, 10(66.7%) respondents replied teaching institutions are working on entrepreneurship

development program for the teachers through short term training on entrepreneurship program.

As a result of the development program on entrepreneurship for teachers 8(53.3%) of them

motivated to deliver and enriching the community through going to the pastoral community areas.

But the remaining 5(33.3) and 7(46.7%) of the respondents of the institutions replied as there is no

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teachers development program on entrepreneurship skills as well as the motive of going to

pastoralist areas to conduct.

4.6.2. Entrepreneurship curriculum to business sectors

Table 13: Entrepreneurship curriculum is practical on the ground to the business sectors

Frequency Percent

Strong 3 20.0

Very strong 4 26.7

Loose 5 33.3

Not strong 3 20.0

Total 15 100.0

Source: Own survey questionnaires 2016

The current entrepreneurship curriculum observed how it’s practical on the ground of business

sectors owned by pastoral community. According to the respondents observation of the institutions

8(53.3%) of them indicated as practicability of the curriculum is not strong or loose. The current

curriculum of TVETs encourages any one to teach as part of their course rather than having a

business graduate or someone with entrepreneurship related professional background. However,

7(46.7%) of the institutions particularly Universities respondents underlined the existing

entrepreneurship curriculum is very strong or strong in terms of its application in business sectors.

4.6.3. Support for financial or material and need for capacity building

Table 14: Support for financial or material and need for capacity building

Item

Financial/material support Need for capacity building support

Frequency Percent Frequency Percent

No 12 80.0 1 6.7

Yes 3 20.0 14 93.3

Total 15 100.0 15 100.0

Source: Own survey questionnaires 2016

Majority of the institutions respondents 12(80%) of them didn’t received any kind of support either

material or financial support to strengthen their existing entrepreneurship center or for their plan

to launch business incubation centers. As a result of this, 14(93.3%) of institutions needs for

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capacity building support to increase the level of services currently providing to pastoral

community or for their future plan to launch entrepreneurship center. Comparatively, 3(20%) of

institutions located at pastoral areas obtained either financial or material support from different

development supporters. Whereas 1(6.7%) of the institutions has not demanding capacity building

support in any kind.

4.7. Short term training Conducted from 2007E.C to 2008 E.C in Rural and Urban Areas

Table 15: Summary of Short term training conducted by Yabelo Poly Technic College

S.N

o

Occupation Rural 2007

E.C

Urban 2007

E.C

2008 E.C

Urban

2008 E.C

Rural

Total

M F M F M F M F

1 Industry Development 0 0 130 123 0 0 0 0 253

2 Metal work 15 85 0 0 69 17 0 0 186

3 Furniture 75 25 0 0 39 0 0 0 139

4 Road Construction 91 24 0 0 33 8 0 0 156

5 Building Electrical Installation 66 15 0 0 63 2 0 0 146

6 Automobile 114 10 0 0 217 2 0 0 343

7 Sanitary Installation 39 30 0 0 15 16 0 0 100

8 Structural Construction Work 62 15 0 0 0 0 0 0 77

9 Hair Dressing 12 79 0 0 5 73 0 0 169

10 Textile and garment 15 85 0 0 4 41 0 0 178

11 Information & Communication 33 49 0 0 4 41 0 0 127

12 Masonry 0 0 0 0 15 0 0 0 15

13 Trade 146 218 0 0 0 0 137 137 638

14 Services 51 205 164 178 180 50 0 0 828

Total 719 840 294 301 644 250 137 137 3355

Source: Yabelo Technic College (2007 E.C & 2008E.C)

Yabelo Polytechnic College performing different short term training activities during the assessment in

the Southern cluster. While we observed the College, we made interview with the Dean of the College

about entrepreneurship business incubation center activities regarding to short term training for pastoralist

community. According his response, currently the College conducting different short term training on the

basis of rural and urban categories of participants for 2007 E.C and 2008 E.C. In 2007 E.C, 719 male and

840 female participated under the category of training designed for rural trainees on fourteen (14)

occupations. In the same year, 294 male and 301 female trainees of urban areas obtained short term

training from Yabelo Polytechnic College on the same occupation mentioned with rural trainees in the

above Table 15. In 2008 E.C, 137 male and 137 female were equal participation was observed in rural

short term training category. However, more number of trainees were observed from the urban side while

the number of rural trainees decreasing as it’s indicated in the above Table 16.

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Table 16: Summary of short term training conducted in Guji zone

S.No

Zone

Occupation

Rural 2008E.C

Urban 2008 E.C

Total(Urban

+Rural)

M F M F

1

Guji

Animal Production and Marketing Management 421 258 2303 734 3716

2 Crop Production and Marketing Management 326 84 2573 1316 4299

3 Natural Resource Conservation and Utilization 0 0 219 62 281

4 Agricultural Cooperatives 28 13 0 0 41

5 Electronic 26 1 0 0 27

6 Construction 640 212 1674 453 2979

7 Textile and Garment 43 32 15 4 94

8 Metal Engineering 185 83 168 93 529

9 Furniture Making 181 57 35 10 283

10 Mining 83 13 239 54 389

11 Trade 886 567 903 612 2968

12 Service 916 639 1217 447 1664

Total 3735 1959 9346 3785 17270

Source: Oromia TVET Commission 2008 E.C

During the assessment we visited Oromia TVET Commission at Addis Ababa to see activities of the

TVETs particularly in Oromia pastoralist community areas. We obtained summary of training

conducted in Guji zone and Borena zone short term training conducted documents in 2008E.C. In

Guji zone , 3735 male and 1959 female participated from rural areas for short term training on twelve

occupation in 2008E.C (Up to February). In urban area category for the same year in Guji zone, 9346

male and 3785 female obtained short term training in similar training occupations like the rural areas

as one can observe from the above Table 16.

Table 17: Summary of training conducted in Borena zone

S.No

Zone

Occupation

Urban 2008 E.C Rural 2008 E.C Total

M F M F

1

Borena

Animal Health 322 62 54 37 475

2 Animal Production 276 138 281 238 933

3 Crop Production 65 18 84 45 212

4 Natural Resource Conservation 109 40 614 171 934

5 Basic Agricultural Practices 87 17 0 0 104

6 Road Construction 339 93 106 1 539

17

7 Road Transport 30 0 0 0 30

8 Information and Communication 181 101 36 102 420

9 Urban Development 78 52 202 34 366

10 Business and Finance 18 5 0 0 23

Total 1505 526 1377 628 4036

Source: Oromia TVET Commission 2008 E.C

On the other hand in 2008 E.C, 1377 male and 628 female trainees were engaged in Borena zone on

short term training designed for rural areas of Borena zone. Similarly, 1505 male and 526 female

were obtained from urban areas of Borena zone on ten different occupations like the rural area trainees

as it’s depicted in the above Table 17.

Table 18: Summary of short term training conducted by Ethio-Italy Polytechnic College

S.No Occupation 2007 E.C 2008 E.C Total

F M F M

1 Automobile Maintenance 2 49 0 0 51

2 Basic computer 90 30 30 10 160

3 Woodwork 3 27 0 0 30

4 Masonry 5 30 5 55 95

5 Painting and Decoration 6 10 0 0 16

6 Gypsum 2 70 2 38 112

7 Poultry 56 4 27 3 90

8 Goat and Sheep 140 25 32 10 207

9 Metal works 0 13 0 0 0

10 Electric installation 0 30 0 0 30

11 Trading Skills 0 15 10 10 35

12 Environmental Conservation 6 18 0 0 24

13 Welding 0 33 0 18 51

14 Construction Works 0 60 5 30 95

15 Network installation 0 0 1 15 16

16 Coble Stone works 0 0 6 90 96

Total 310 414 118 279 1108

Source: Ethio-Italy Poly Technic College/Dire Dawa City Administration 2007E.C & 2008E.C)

Due to the geographical proximity of Dire Dawa to eastern cluster of PRIME intervention, we

preferred to observe two TVETs on entrepreneurship related activities. Among two TVETs, we

only obtained documents on short term training from Ethio-Italy Polytechnic College. In 2007E.C,

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310 female and 414 male urban areas trainee participated in the training on sixteen different

occupations in this College. On the other hand, 118 female and 279 male trainees were participated

short term trainings on sixteen different occupations in 2008E.C

5. Entrepreneurship business incubation centers capacity challenges

Policy makers and different stakeholders that are more related to the subject of assessment in Addis

Ababa have been dealt. For instance we made structured interview discussion with experts from

Micro and Small Enterprise Development Agency, Ministry of Education, Entrepreneurship

Development Center (EDC), Federal Technical and Vocational Agency, FDRE Ministry of Federal

and Pastoralist Development Affairs, and Oromia Pastoralist Development. In addition to this, we

made similar interview discussion beside the structured survey questionnaires distribution with

TVETs and entrepreneurship experts in Bulehora University, Bulehora Polytechnic College,

Yabelo Polytechnic College, Oromia Pastoralist College-Yabelo, Save the Children, SOS-Sahel

Ethiopia, Yabelo Wereda TVET office, Borena zone TVET office, Guji zone TVET office, Negele

Polytechnic College, Semera University, and Liben Wereda TVET office.

As per the discussion held with different stakeholders, majority of institutions needs capacity

building support to increase the level of services currently providing to pastoral community. As a

result of this, those institutions mentioned kind of support or intervention needed for their

entrepreneurship centers while we conducted interview with the respected institutions and experts

in relation to entrepreneurship training competencies. Thus, the following core areas of

intervention issues raised as follows;

Lack of transportation facilities

Seed funding to the trainees

Training of Trainers(TOT)

Material or equipment support for practical training to trainees

Research funding on animal feed research activities

Creating TVETs linkages with other Universities or Research institutes

Working on entrepreneurship skills training awareness creation to community

Experience sharing from model business incubation centers

Different kinds of support for trainees to start their own business after training

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High staff turnover from TVETs and Universities due to geographical locations of the

institutions

6. NGOs engagement and contribution to entrepreneurship business incubation

centers

TVETs and Universities located in pastoral areas are currently working with different stakeholders

or NGOs in relation to entrepreneurship incubation centers. For instance, SOS Sahel supporting

twice around 148 (24 disabilities) monthly school fees and other living costs for those students

joining short term program from poor family background on Hair dressing, Information technology

and driving license. Additional, Save the Children also working particular with TVETs on

University graduate students gap filling through entrepreneurship skill training, and supporting

dropout students to bring to schools. Supporting training on animal science and animal health,

livestock trading, livestock production and petty trade for 764 (short term training and formal

TVET programs) paid each students around 1,474 Birr for total living costs.

7. Conclusion and recommendations

In this section the overall conclusion is presented based up on the analyses conducted in the

previous section and relevant policy implications are forwarded from the conclusion.

7.1. Conclusion

Majority of TVETs and Universities have entrepreneurship business incubation centers as

well as included the needs of pastoral community related short term training occupations in

their entrepreneurship centers organizational structure. But most of those institutions

entrepreneurship centers structure are not functional as desired for its establishment or it’s

simple for nominal existence.

None of the existing entrepreneurship incubation centers offering seed funding or start up

capitals for pastoral communities. In addition to this, the lion share of institutions has not

providing material support for the pastoral community.

Currently entrepreneurship incubation centers offering short term training for pastoral

community on business plan, job creation, petty trading, technology innovation and other

related trainings. However, majority of these institutions has no clear funding strategies or

independently allocated budget for their business incubation centers rather they are using

budget allocated from some other activities.

20

TVETs and Universities local linkages with pastoral institutions targeting on

entrepreneurship capacity building is promising.

There is no reward system for individuals for active engagement in different activities

related to pastoral community in any of the TVETs and Universities we observed during

the assessment. Similarly, majority of those institutions has no intellectual policy for their

modified technology or innovative product created in their centers.

Majority of TVETs and Universities have technology transfer facility and some of them

has a plan to launch technology transfer facility within two years.

Almost TVETs and Universities staffs engaged on transferring skills of entrepreneurship

to the pastoral community. As a result of this, most of those TVETs and Universities have

a follow up system for entrepreneur or entrepreneurship trainees of pastoral community

received short term trainings pertaining to its impact.

None of TVETs and Universities are providing loan fund to pastoral community start-ups

for their trainees. Additionally, majority of TVETs and Universities have no venture fund

for pastoral community.

TVETs and Universities are working on teachers’ entrepreneurship development through

sending their staffs Training of Trainers (TOTs) to institutes like Ethiopian

Entrepreneurship Center Development (EDC). This motivates majority of TVETs and

Universities entrepreneurship teachers to render their professional services directly going

to pastoral areas.

The existing entrepreneurship curriculum particular for TVETs are not practical on the

ground to business sector. Even for the regular students, there is no direct graduates of

entrepreneurship or business related teachers for delivering entrepreneurship courses for

the students. This indicate, any staff can teach entrepreneurship related competencies in

each courses.

Majority of TVETs and Universities planned to launch technology transfer facility office

within two to three years.

Majority of TVETs and Universities didn’t received support from NGOs in the form of

financial or material need for capacity building. As a result of this, almost all TVETs and

Universities needs capacity building support from any stakeholders.

21

Majority of TVETs and Universities facing currently challenges on lack of transportation

facilities, research fund, community awareness on the importance of short term training,

and lack of experience sharing from model business incubation centers.

High staff turnovers are existing in TVETs and Universities located nearby pastoral

community.

7.2. Recommendation

Based on the conclusion reached in the analysis through different investigation methods the

following possible policy implications are forwarded.

The existing business incubation centers in some TVETs and Universities structure are

not incorporated pastoral related short term training programs as expected. Thus it’s

better if those institutions looks once again into the structure of their entrepreneurship

centers to be more functional for the desired activities and prioritize to the needs of

pastoral community through revisiting the structure.

Its better if TVETs and Universities are working more closely with microfinance

institutions, governments, and NGOs to overcome problems after conducting training

to offer loan opportunities for the entrepreneurs individually or through cooperatives.

Most TVETs and Universities are providing more short term trainings to the urban

community when it’s compared with the pastoral community. This indicates the

trainings are not fairly offered to the community or its one sided community

development and it difficult to bring sustainable change to the whole community in this

manner. Thus, it’s better to extend the existing practices of urban trainings to the

pastoral community through allocating sufficient budget for short term trainings on

entrepreneurship skill for the pastoral community.

It’s better to encourage individuals for active involvement through creating reward

system or recognizing their works for what they did to the pastoral community either

financial or non-financial. All TVETs and Universities we observed during the

assessment were not providing any kind of reward to those individuals highly engaged

in community development related trainings. If those institutions practiced reward as

their organizational culture, more individuals will be initiated to take part like their

colleague due to the psychological satisfaction comes when the institutions recognize

their own work to the community.

22

Its better if NGOs or GOs financially or non-financially strengthen the existing

technology transfer centers and should participate for those institutions planned to

launch entrepreneurship centers in near future.

It’s better to facilitate for some TVETs and Universities Training of Trainings (TOTs)

for teachers’ development in relation to entrepreneurship competencies in collaboration

with concerned stakeholders like Entrepreneurship Development Center. Because most

of TVETs teaching staffs has conducting entrepreneurship trainings/course without

having the necessary professional background.

It’s better if Federal TVET Agency revisit the existing curriculum of TVETs pertaining

to entrepreneurship course delivery mode in consultation with curriculum experts or

with NGOs working with TVETs in the country. We observed during the assessment as

there is no independent entrepreneurship teachers like Universities in the country. This

created gap to equip the trainees or the students in depth the essential skills of

entrepreneurship.

Its better if NGOs or government support such as transportation facilities, research

funding, community awareness creation on the importance of business skills, and staff

experience sharing from model incubation centers

Therefore, its better if government or NGOs support those institutions how to retain

the existing staffs and also working with teachers development programs

In general, its better if the concerned stakeholders establish full-fledged structure and

new entrepreneurship incubation centers or strengthening business incubation centers in

the three clusters(Afar, Eastern and Southern) due to the existing entrepreneurship

centers are not well functioning as expected.

23

References

Adebayo.O,Ayo. J, and Kolawole.J, (2013). Entrepreneurial Education –University Current

Curriculum Must Be Restructured to meet today’s Employment Needs. International Journal

of Small Business and Entrepreneurship Research Vol.1, No.1, pp.29-43

ESC (2015). Towards More Entrepreneurial Universities in Ethiopia. Education Strategy Center

Maastricht School of Management Policy Brief 9

Hegarty, C., and Jones, C. (2008).Graduate entrepreneurship more than child's play. Journal of

Education +Training, Vol. 50 Iss 7 pp. 626 - 637

Mekonnin, R. (2015). Determining Entrepreneurial Motivation of Undergraduate Students in

Ethiopian Higher Learning Institutions: A Case of Haramaya University. Middle Eastern &

African Journal of Educational Research, Issue 14

Noya, A., and Clarence,. E (2009). Community capacity building: fostering economic and social

resilience. Working document, CFE/LEED, OECD.

Tessema, D. (2012).The context of entrepreneurship education in Ethiopian Universities.

Management Research Review, Vol. 35 Iss 3/4 pp. 225 – 244

UNCTAD (2010). Entrepreneurship education, innovation and capacity-building in developing

countries. Trade and Development Board Investment, Enterprise and Development

Commission Multi-year Expert Meeting on Enterprise Development Policies and Capacity-

building in Science, Technology and Innovation (STI), Geneva.

UNCTAD (2014). Entrepreneurship and productive capacity-building: Creating jobs through

enterprise development. Trade and Development Board Investment, Enterprise and

Development Commission, Geneva.

24

Annexes Annex one: Survey Questionnaire

ENTREPRENEURSHIP INCUBATION CENTERS CAPACITY ASSESSMENT AND IDENTIFYING THEIR

AREA OF INTERVENTION IN PRIME INTERVENTION AREA

SURVEY QUESTIONNAIRES FOR PASTORAL AREA INSTITUTIONS/UNIVERSITIES/

Dear Respondents:-

I would like to express my earnest appreciation for your generous time, honest and prompt

responses. I want to assure you that this research is only for academic purpose authorized by

Haramaya University and PRIME project. No other person will have to access this data. In any

sort of report we might publish, but, we will not include any information that will make it possible

to identify any respondents.

General Instructions

There is no need of writing your name.

In all cases where answer options are available please tick (√) in the appropriate box.

For questions that demands your opinion, please try to honestly describe as per the

questions on the space provided

25

PART I: General background information

1. Name of the Institute/University_____________________________________________

2. Respondents College/School/Department/Institute________________________

3. Age of the respondent in years_______________________________________

4. Gender: Male_________ Female.____________

5. Respondent’s education level:

A. BA/BSc degree

B. MSc/MA/MBA Degree

C. PhD Degree

D. Other (please specify) ____________________________________________

6. Position held: ______________________________________________________

7. Do your College/Institute/School/Department have Entrepreneurship Centre/Business

Incubation or Technology incubation Centre? A. Yes_______ B. No_________

PART II: Role of the Entrepreneurship Center or Technology incubation center for the

community:

8. Does the structure of your entrepreneurship center/ business incubation or technology

incubation center inclusive of pastoral community or agro pastoral community?

A. Yes ________ B. No ______________

9. Does your university/institute offer seed funding for the pastoral community?

A. Yes_______ B. No______________

10. Does your university/institute provide material support for the pastoral community?

A. Yes ____B. No______

11. Does your university/institute offer training for the pastoral community on:

A. Business plan

B. Job creation

C. Marketing

D. Small business/petty trading

E. Technology innovation/modification/adoption

F. Other, specify ____________________

12. Do you think your center brought significant change on the economy of the pastoral

community? A. Yes B. No

26

13. How strong is your center in its local linkages with pastoral institutions targeting on

entrepreneurship capacity building?

A. Very strong

B. Strong

C. loose

D. No linkages

PART III: Entrepreneurial Capacity of your institution

14. Does your university/institute have a clear funding strategy? A. Yes_____ B. No_______

15. Does your university/institute have a rewards system for individuals or departments that

reward active engagement partnerships with the community? A. Yes________ B.

No_____________

16. Does your university/institute have a clear Intellectual Property (IP) policy? A. Yes

________ B. No_________

17. Does it have a strong technology transfer office and incubator facility? A. Yes ___B.

No________

18. If your answer for question number 17 is NO, do you have proposed plan to launch

incubator facility center or technology transfer office within two or three years?

A. Yes _____ B. No_____

19. Are your institute’s staffs and students are active in transferring the knowledge to the

community? A. Yes _______ B. No_______

20. Does your university/institute have follow up system to business and entrepreneur person

that received any support from your institute? A. Yes ________B. No_______

PART IV: Engagement with Stakeholder

21. How active your institute’s engagement with small local businesses? A. Very active B.

Promising C. Not active links with small local pastoral businesses

22. Does the institution have a venture fund for investing around pastoral community? A.

Yes____ B. No_____

23. Does it have a loan fund to support pastoral community start-ups?

A. Yes______ B. No ______

27

PART V: The Institute’s Entrepreneurship Curriculum

24. Is there a programme to develop teachers of entrepreneurship in your institution?

A. Yes _____B. No_____

25. Is there individual who goes to pastoralist areas from your entrepreneurial teachers?

A. Yes _____ B. No_____

26. If your answer for the above question is yes, how many? ____________.

27. How strong your entrepreneurship curriculum is practical on the ground to the business

sector? A. Strong B. Very strong C. loose D. Not strong

28. Did you receive any support for instance financial or material support from any

organizations working on this regard? A. Yes _____ B. No_____ Is

it sufficient? A. Yes _____ B. No_____

29. Do you think your Entrepreneurship Center/Technology Incubation Center/ Research Park

needs capacity building support to increase the level of services currently providing to

pastoral community? A. Yes ______B. No__________

30. If your answer for question number 29 is YES, what kind of support or intervention your

center needs?

________________________________________________________________________

________________________________________________________________________

________________________________________________________________________

________________________________________________________________________

________________________________________________________________________

________________________________________________________________________

________________________________________________________________________

________________________________________________________________________

________________________________________________________________________

________________________________________________________________________

________________________________________________________________________

________________________________________________________________________

________________________________________________________________________

28

THANK YOU AGAIN!

Annex two: Key Informant Interview

ENTREPRENEURSHIP INCUBATION CENTERS CAPACITY ASSESSMENT AND IDENTIFYING

THEIR AREA OF INTERVENTION IN PRIME INTERVENTION AREA

SURVEY QUESTIONNAIRES FOR PASTORAL AREA INSTITUTIONS/UNIVERSITIES/

1. What is the main objectives of your entrepreneurship incubation centers working in relation

to pastoral community?

2. Is your institution currently conducting short term training which is more relevant with

the economic activities of the pastoralists?

3. Do you think your institution satisfies the existing community needs on different short

term training areas?

4. What type of short term trainings or occupations your institution currently providing to

the pastoral community?

5. Do you think the existing curriculum or training module is fulfilling the real business

applications to the community?

6. Is their NGOs supporting your entrepreneurship incubation center so far?

7. How you see the overall stakeholder’s engagement in relation to your business incubation

center?

8. Is your institution have a follow up system or mechanisms after conducting training to the

community to evaluate the impact?

29

9. What kind of challenges or capacity gaps your institution has facing currently?

30

Annex Three: Contact Address

List and Contact Address of Institutions Contacted

Name of institution Type of institution

[Private

enterprise,

Women’s group;

Trade assoc;

Water user assoc;

Producer

association;

CBO,

Governmental

Agency (any level),

Other (specify)]

Name of main

contact person

Position held Telephone number Has your

institution

received other

trainings/suppo

rt from

PRIME in the

last 12 months?

Location of

institutions

1. Jigjiga University Public University Ismail Mohammed Community services

Directorate

+251915765943 Jigjiga

2. Jigjiga University Public University Ashenafi Daba Entrepreneurship

Center coordinator

+251913043816 Jigjiga

3. Jigjiga Poly Technic College TVET Mudin Hussen Technology Transfer

Core Process owner

+251930283071 Jigjiga

4. Melese Zenawi Memorial TVET Mohamedawel Taha Process Owner +251934474636 Dire Dawa

5. Ethio-Italy Poly Technic

College

Seble Hassen Process Owner +932179411 Dire Dawa

6. FEMSED Government Bekele Mengistu Directorate +251912122705 Addis Ababa

7. Oromia TVET Commission Government Abera Olana Commissioner +251913899549 Addis Ababa

8 Oromia TVET Commission Government Mamo Abdi Curriculum dev’t +251917812505 Addis Ababa

9 Oromia Pastoral office Government Temam Abaware Social services

officer

+251913703306 Addis Ababa

10 Federal TVET Agency Government Alewuliy Egerem Teachers dev’t +251936662142 Addis Ababa

11 Addis Ababa University Government Dr.Mohammed Seid Department head +251914607593 Addis Ababa

12 Federal Pastoralist

Development Affairs

Government Wondmagegn Shibru Director +251911761043 Addis Ababa

13 Entrepreneurship Development

Center

Government Dugassa Tessema Acting CEO +251969464466 Addis Ababa

14 Bulehora University Government Gumi Boru Community service

Director

+251911979142 Bulehora

15 Bulehora TVET Government Hailu Feleke Training Coordinator +251910322384 Bulehora

16 Borena Zone Educational office Government Dida Jeldessa Manager +251911811426 Yabelo

17 Borena TVET office Government Merga Alemayehu Process Owner +251911051455 Yabelo

18 Oromia Pastoral TVET Borena Government Dr. Guyo Kanchoro V/Dean +251911903811 Yabelo

19 Yabelo Polytechnic Government Regassa Atire Training Coordinator +251916178060 Yabelo

31

20 SOS Sahel NGO Buka Bersise Field Coordinator +251911034448 Yabelo

21 Save the Children NGO Gudina Fufa Program Manager +251925417879 Yabelo

22 Negele Polytechnic Government Gemechu Hotessa Dean +251910111892 Negele

23 Guji TVET zone office Government Negessa Sida TVET Administrator +251916850499 Guji

24 Haramaya University Government Robson Mekonnin Department head +2519297114 Haramaya