Ethiopian Business Development Services (BDS) Network
Contact:
info@bds-ethiopia.net - Mobile 0911-24.42.70 - Addis Ababa

www.bds-ethiopia.net

BDS - Newsletter

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No. 10  -  February 2006


Metal works show at the last Addis Trade Fair

10th Ethiopia International Trade Expo

Addis Ababa Exhibition Center - 23 - 28 February 2006
http://www.ieoexhibitions.com - http://www.africantradefairs.com

Ethiopia International Trade Show for all kind of consumer and industrial products.

 

Wood works at the Kolfe cluster, Addis Ababa

 

BDS Facilitators

 

BDS ...  just do it !

More about the demand-driven BDS approach see in "BDS-Toolkit" for download on

www.bds-ethiopia.net/
documents.html

 

Metal works at the Kolfe cluster of Addis

 


BDS Facilitators
in the field

Does the "Multi-Level Approach" have the expected Impact?

What is the "Multi-Level Approach"?

The Multi-Level Approach in Private Sector Development (PSD) means joint interventions on the Micro (business development services to enterprises), the Meso (capacity building of business associations, chambers, public and private support institutions; networking) and the Macro (policy dialogue, legislation for enabling environment, advocacy to government and administration) levels.

Objective and expected Impact

It is expected that the joint efforts on micro-meso-macro levels will generate synergies for solving problems that would not be solved in an isolated "one-level approach". Sustainable micro level interventions to business owners include better and flexible access to credit, support for business planning, business management and loan application. Meso level PSD intervention amoung others includes capacity building of Micro Finance Institutions and support agencies while macro level measures focus on creating an enabling environment such as  improving the legal and regulatory framework for finance.

But....

But "Overarching economic policy reforms do not always translate into improvements at implementation level" (GTZ-SME project Ghana) - and we add: Networking, conferences and capacity building on meso level do not always translate to better services for businesses. Why? The reason is that the "multi level approach" by various development projects and support agencies is in reality and practical implementation often limited to macro or meso activities without any concrete intervention at the micro level. Conferences and network meetings are held and numerous studies are published (often similar ones by different projects) on private sector problems, on sub-sector development, on taxation and financial constraints, chambers and support agencies are financed - however, if development programmes do not have a concrete and practical approach on how to teach partner organisations to deliver better services to their members and clients, then meso institutions will have enjoyed the capacity building support exclusively for their own ends without trickling down the required impact on enterprises at micro level. Business development constraints are not all external constraints - internal ones, such as insufficient business planning, wrong cost calculation, or weak marketing usually play a big role. Thus, micro level interventions cannot be replaced by meso and macro limited interventions and local and national institutions must ensure that micro (enterprise level) business support interventions are done on the ground. The multi-level approach is a good one, but only if it is implemented as such – fully-fledged on all levels!

"Meso for Micro" - Intervention focussing on how to enable
Partner Organisations to provide better Services on Micro Level

Development programmes with a limited staff and implementation period are not expected to work themselves on the micro level but they should focus their meso intervention to train partner organisations to deliver better business development services because the only way that justifies the latter's existence is the delivery of services to businesses. But experts and staffs of development programmes themselves often are not able to teach partner organisations on how to put BDS into practice. Development programmes need field experienced staff who can show partner organisations through field visits and on-the-spot training on how to engage in dialogue with business owners, on how to pursue demand-oriented needs assessment and on how to design problem solving action planning and interventions and on how to link to competent services providers. Once, the staff of partner organisations is initiated to facilitate the delivery of services to the business community, then the programme staff can withdraw from micro level and give supervising assistance and networking services on meso level.

In Ethiopia we have delivered BDS training in theory and action including field exercises to more than 500 BDS facilitators of chambers, municipalities, SME development institutions and NGOs and subsequently we made follow-up on-the-spot. Today BDS facilitators in collaboration with BDS services providers deliver services to more than 9,000 enterprises per year.

More about the demand-driven BDS approach see in
"
BDS-Toolkit" for download on www.bds-ethiopia.net/documents.html

Publications for Business Information
For valable services to business owners, business advisors and facilitators need a profound background of information in all fields of business management and business environment. That is why we published a series of books on Business Information sold by the Ethiopian bookshops and BDS partner organisations.

The following publications are available for download in pdf format 
under "Library" www.start-your-business.net/documents.html:

       

Taxation in Ethiopia: Types of direct and indirect taxes, categories of tax payers, declaration of income and assessment of taxes, tax incentives, tax problems.

Investment Guide: Business environment, investment opportunities, investment conditions, costs, labour regulations, infrastructure, ownership, investment protection.

Standards and Quality in Ethiopia: Ethiopian standards, inspection and certification.

Marketing Strategies for Micro, Small and Medium Enterprises: Marketing problems, and strategies, managing prices, product development and promotion.

Trade Fair Participation and Export Guide: Guidelines for trade fair organizers and participants, export procedures, business registration, external trade statistics.

Business Planning: Business plans for micro, small and medium enterprises, production and service plan, yearly sales plan, yearly profit and loss statement.

Accounting and Cost Calculation Manual: Cash book formats, records on maintenance services, sales on credit, raw material inventory, accounting software in Ethiopia.

Loan Conditions of Commercial Banks and Micro-Finance Institutions in Ethiopia: Detailed loan conditions of all commercial banks and micro finance institutions in Ethiopia.

Improve your Business Association: Needs assessment with members, action planning, service delivery for members, association fundraising, association management.

Start and Improve your Business: Identify your business idea, market and supply analysis, business planning, business implementation and registration, follow-up.

BDS-Toolkit: What is BDS? Demand-driven services, needs assessment, action planning, capacity building of partner organisations, implementation of 6-month BDS cycles, BDS training workshops for BDS facilitators.

for download under "Library" www.start-your-business.net/documents.html

 

for previous BDS Newsletters please go to www.bds-ethiopia.net/news.htm.

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