the tree methodology latest country adaptation adaptation of value chain analysis
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Practical adaptation of Value Chain Analysis and Tools in the TREE Methodology. Contents of Presentation. The TREE Methodology Latest country adaptation Adaptation of Value Chain Analysis. The TREE Methodology. - PowerPoint PPT PresentationTRANSCRIPT
Practical adaptation of Value Chain Analysis and Tools
in the TREE Methodology
1. The TREE Methodology
2. Latest country adaptation
3. Adaptation of Value Chain Analysis
Contents of Presentation
The TREE Methodology The TREE Methodology
TREE - Training for (Rural) Economic Empowerment International Labour Organization (ILO)
Weak/ absence Weak/ absence of economic of economic
support support STRUCTURES and
servicesservices
Low level of production Low level of production SKILLS and entrepreneurial and entrepreneurial
awarenessawareness
Absence/ Absence/ lack of lack of appropriateappropriate
micro finance schemes micro finance schemes & internal market & internal market
SYSTEMS
Weak institutional
support
Low level of local development
Weak linkages with the formal sector
Tri-Dimensional Image of the Poverty Problem seen from the lens of TREE
Under- Under- privileged privileged Groups in Groups in Rural & Rural & Urban Urban
VillagesVillages
The TREE response and Intervention Strategy
SKILLS
Build capability to Build capability to START START economic activities thru skills economic activities thru skills
training-cum- enterprise training-cum- enterprise development and start-up tools development and start-up tools
and equipmentand equipment
STRUCTURES
Improve local capacity to Improve local capacity to support and support and EXPANDEXPAND
enterprise projects thru enterprise projects thru group organizing and linking group organizing and linking
with business & service with business & service organizationsorganizations
SYSTEM
Develop local systems to Develop local systems to SUSTAINSUSTAIN economic activities economic activities
thru community owned & thru community owned & managed capital, & promoting managed capital, & promoting
internal market/ community internal market/ community enterprise linkagesenterprise linkages
Institutional development
of communities
Community and
local development
Strategic linkage with the formal
sector
Under- Under- privileged privileged Groups in Groups in Rural & Rural & Urban Urban
VillagesVillages
Extension of Formal Vocational Training Extension of Formal Vocational Training
• Rural Vocational Training• Outreach Training Programme• Mobile Training Programme
Emergence of Non-formal/ Rural Skills TrainingEmergence of Non-formal/ Rural Skills Training
• Skills Development for Self-Reliance (SDSR)• Training for Rural Gainful Activities (TRUGA)• Community-based Training (CBT)
Expansion to People Empowerment & Community Expansion to People Empowerment & Community DevelopmentDevelopment
• Training for (Rural) Economic Empowerment (TREE) – started in Philippines & Pakistan adapted later in Sri Lanka, So. Pacific, etc.
Evolution of Community-based Training in ILO
The Place of TREE within the TVET System
FORMAL TVETFORMAL TVET
Non-Formal TVET
Enterprise and Community Development
Skills Training
TREE
1. Concept - TREE is not a training programme, not a training project. It is a Methodology - a tool for identifying economic opportunities and training needs in order to develop and implement training programmes
2. Focus - specifically focused on disadvantaged social and economic sectors in marginalized communities that are not reached or served by the formal or non-formal training systems
3. Objective – to help reduce poverty in the countryside and minimize rural to urban migration by increasing income opportunities in the basic sectors in the rural informal economy
4. Approach - the methodology follows a convergent and systems approach of participatory needs assessment, training designing and delivery, and organizing post-training support mechanisms
5. Result of planning - tailor-made training proposals that can be delivered by training providers in the communities, vocational training centers, small enterprises and big industries
6. Tools and instruments - The assessment tools and instruments are simple, practical and designed to empower the target groups to use them with (initial) facilitation of local partners
7. Applicability - The methodology can be applied to local development programs or in the non-formal vocational training system of a country
Brief Description & Characteristics
Selection of Project sites is based on:
1. Labor market studies
2. Manpower requirement analysis
3. Market opportunities
4. Development programs and policies, etc.
But Selection of Local Projects is based on:
1. Rapid area and sectoral assessment
2. Participatory project planning techniques
3. Targeted survey instruments
Two Components of the Present TREE Methodology
Skills Training and Enterprise Creation Component:
Build the capabilities of the poor and underprivileged population to identify, prioritize, plan and implement self-employment or wage-employment training projects
Community Economic Development Component:
Build the capability of Communities or Target Groups to link to, or manage local support mechanisms to expand and sustain their economic projects
Former CBT programmesFormer CBT programmes Added component to become TREE
Training designing,
organizing & delivery
Mainstreaming with LED
programs & formal sectors
(Re) organizing
target groups &
communities
Linking/ Installing credit & market
mechanisms
Mobilization, organization, capability-building of Partners
Project Performance Monitoring
Stages/ Elements of the TREE Methodology
Start Economic Activities Expand Sustain
ECOTRAIN assessment,
preparation of proposals
Post-training activities &
follow-up
- Community/ TG identifies Self & Wage Employment (SE/WE) opportunities - Prepares training proposals
- Training is delivered: SE trainees are provided with tools, trained to prepare Transition Enterprise Project (TEP)
- SE Trainees implement TEP. WE trainees are employed in pre-identified industries, or as informal apprentices
-Trainees plus other community members are (re) organized
- Group trained on community enterprise system - provided with CORE Fund, operates enterprise projects
- further skills upgrading, prepared for skills certification &/or sustain their enterprise
Latest Adaptation of the TREE Methodology
TVET Reform Project Bangladesh
Economic Opportunities and Training Needs Assessment Process (ECOTRAIN)
PPP PPP – Participatory Project Planning
Preparation of Training
Proposals
TNA-ISOTNA-ISO– Training Needs Assess-ment of Informal Sector Operators
VCA-RTO VCA-RTO – Value Chain Analysis of Rural Trades & Occupations
JOSJOS – Job Opportunities Survey in SMEs
CDSCDS – Consumer Demand Survey
Geographic/ Village & Target Group Approach
Industry/ Trade Approach
1. Local raw materials or products
2. Distinctive skills and crafts
3. Chain of local enterprises
4. Modern products & technologies
5. Natural resources
6. Infrastructures
7. Service Providers
8. Known consumer demands
9. Existing companies, enterprises
10. Development projects in the area
RCA RCA – Rapid Community Appraisal
Feasibility Studies,
Employment Pledge
SJU SJU – Survey of Jobs for UPG in big/large Co.
Local Coordinating Committee Meeting
Links of ECOTRAIN results with types of Training Proposals
PPP PPP – Participatory Project Planning
TNA-ISOTNA-ISO– Training Needs Assess-ment of Informal Sector Operators
VCA-RTO VCA-RTO – Value Chain Analysis of Rural Trades & Occupations
JOSJOS – Job Opportunities Survey in SMEs
CDSCDS – Consumer Demand Survey
SJU SJU – Survey of Jobs for UPG in big/large Co.
1. Local raw materials or products
2. Distinctive skills and crafts
3. Chain of local enterprises
4. Modern products &
technologies
5. Natural resources
6. Infrastructures
7. Service Providers
8. Known consumer demands
9. Existing companies, Ent.
10. Development projects in area
RCA RCA – Rapid Community Appraisal
Type A - Training Proposal for the establishment of New group enterprises
Type B - Training Proposal on Small Business Management for Informal Sector Operators (ISO)
Type C - Training Proposal on Transition Enterprise Planning and Management
Type D - Training Proposal for developing local chain of growing trades and occupations
Type E - Training Proposal for Basic or Skills Upgrading Training
Review/ Assessment, Approval of
Training Proposals
Designation &
Contracting Training Provider/ Institution
Role of Lead Agencies
PPP – Participatory Project Planning
Preparation of Training
Proposals
TNA-ISO– Training Needs Assessment of Informal Sector Operators
VCA-RTO – Value Chain Analysis of Rural Trades & Occupations
JOS – Job Opportunities Survey
CDS – Consumer Demand Survey
Local raw materials or products
Distinctive skills and crafts
Chain of local enterprises
Modern products & technologies
Natural resources
Infrastructures
Service Providers
Known consumer demands
Existing companies, enterprises
Development project in the area
RCA – Rapid Community Appraisal
Feasibility Studies, Employment Pledge
The Whole Planning Process
ECOTRAIN Assessment
SJU – Survey jobs for UPG in BLC
TTCs – if training proposals fall under BMET’s non-formal training programmes
TSCs – if training proposals fall under DTE’s non-formal training programmes
Small Informal Enterprises – if training proposals are for informal apprenticeship
Private Training Centers or Industries – that the training proposals have specifically identified
Local Government NGO Training Centers – if training proposals are to establish new enterprises within the villages for IPs, PWD, Women, Youth
Training Providers (Ideally the same local partners/ facilitators)
Local Coordinating Committee Meeting
Assigning of Trainers, Preparing training design/ syllabus
Selection of Trainees
(with Community/
Target Group)
Procurement of Training Inputs and materials
(Tools, small equipment)
Delivery of Training (Skills
or together with enterprise development
Post-training assistance (job placement or advisory to enterprise projects)
Community-based Enterprise System Development
Component
Training Delivery
Role of Training Providers/ Institutions
Monitoring, Tracer Studies - by Lead Agencies
Lead Implementing
Agencies (DTE, BMET,
NILG)
Local level Coordinating Committees
Community Partners/ Project
Mobilizers
Target Communities/ Target Groups
National Coordination Committee
2. Proponents submit proposals to local coordinating committee for development assessment
3. Lead agencies review the proposals, provide budget allocation, assign training providers/ institutions
(Proposed) Delivery System
1. Economic Opportunities and Training Needs assessment, preparation of Training Proposals by community/ target groups with facilitators
4. Training Projects are implemented by appropriate training providers/ institutions
Announce a “Call for Submission of CB-TREE Training Proposals
Adaptation of Value Chain Analysis in the
TREE Methodology
Firm Infrastructure
Human Resource Management
Technology Development
Procurement
Inbound Logistic
s
OperationsOutbound Logistics
Marketing and Sales Service
PRIMARY ACTIVITIES
SUPPORT ACTIVITIES
Firm-based Value Chain Model – Michael Porter
Sea
mle
ss s
yste
ms
for
bu
sin
ess
com
pet
itiv
enes
s
Inbound Logistics: raw
materials business
inputs
Processing/ Manufacturing/Se
rvice industry sectors
Distribution, Placemen/
Middlewo/men, Wholesalers,
etc.
Points of Sales
Consumers
Application of VCA in Training Needs Assessment
Determine production
materials that can be locally supplied;
kind, volume, number of producers
required, area of land needed, etc.
Determine: kind of products,
services, systems &
procedures, technology, etc.
Determine modes of transporting
products, volumes,
destinations, primary buyers
Determine retailers:
who, where, buyers, service
areas, etc.
Identify jobs & skills
requirements, numbers needed to
satisfy demand
Identify jobs & skills
requirements, number of workers needed
Identify jobs & skills
requirements, number of workers needed
Identify jobs & skills
requirements, number of workers needed
Organize & Conduct
comprehensive training program
1. Identify a firm or company operating in the community or nearby area (Anchor Firm)
2. Identify the products or services being manufactured or offered by the company
3. Identify and trace out the production/ service inputs being procured by the company
4. With the help of the company, determine which of them can be supplied locally by local residents
5. Get approval or cooperation of the company on a local procurement from the residents
6. Prepare training program design, secure funding and conduct training
7. Prepare to implement the local procurement agreement with the company
Steps in the Economic Opportunities and Training Needs Analysis
Possible income-generating activities derived from this approach:
Supply of production materials, small tools, furniture, fixture, transport, uniforms and foods for workers, free acquisition of scrap or discarded production materials, etc.
ANCHOR FIRM/
COMPANYMarket
PS
PS
PS
PS
Scrap/ Discarded Materials
Primary Suppliers
SS
Secondary Suppliers
Application of VCA in employment generation through a local firm/ company (Anchor firm approach)
Planting of
Abaca
Pre-processing
of raw materials
and weaving
Big Middlewo/men buy the Tinalak
Mats
Big firms make finished
products from the Tinalak mat
Tinalak Weaving (Lake Sebu, South
Cotabato, Philippines)Traditional system
Area of intervention
Product makers sells
to Whole-salers
Retailers/ Buyers
Planting of
Abaca
Pre-processing
of raw materials
and weaving
Members make
finished products from the
Tinalak mat
Retailers/ Buyers
Organizing the materials suppliers, weavers
Training of some members in
making finished products from the
tinalak
Distribution to Whole-
salers
Retailers/ Buyers
Group put up
common marketing
facility
Training of some members in
entrepreneurship & business
management
Supply of Feeds
Supply of Chicks
Raising the Chickens
General System in Poultry Raising
Meat Processing
Product Marketing
Consumers
Buyers/ Consumers
Organize families, train in skill in home-based
poultry raising
Organize and train groups in
commercial meat
processing and business management
Assign, train and provide capital to some families to
distribute/ market the products
Areas of Intervention Goal: Create additional income, employment, local economic development
Farm-gate Buyers
Industry processors,
Restaurants, etc.
VCA applied to Youth Project in Cassava Paste/ Flour Making: Western Samoa,
South Pacific
Processing, packaging
Product Placement in
their small grocery store
Cassava planting, supply by members provided
without cost
Buyers/ Consumers
Training in Internet advertising and selling, market expansion
through other stores in the urban center: Apia
Organizing the enterprise elements of supply inputs and processing, training in costing
and marketing
Existing group operation
YEP Project intervention
Native trinkets (tsurba-tsurba) industry
Material suppliers
Trinket makers
City-based Middlemen/
women
Malls/ Boutiques
Mall Buyers
Local buyers/ tourists
Organize the trinket
makers and
material suppliers
Assign/ train
wholesale buyer
among the members
Assign/ train
forwarder among
the group
Areas of Intervention
Traditional system
Post-tsunami CB-TREE Project General Strategy: Ampara, Sri Lanka
Skills training and enterprise development
Organizing communities
and group/ job placement assistance
Providing micro
finance through Co-
Fund Scheme
Community Planning,
identification of economic opportunities
NGO-operated common market facility
Project Additional Intervention
Adaptation of the TREE Methodology
Organizing federations of
community members and
group enterprises
Employment/ Self-employment
Critical Elements:
1. Community-centered planning
2. People-oriented project designing
3. Product/ service-oriented skills training
4. Practical enterprise creation training
5. Community-based enterprise system organizing
6. Community/ member-based micro-finance support
7. Local economic support mechanisms