BUILDING THE CAPACITY OF BUSINESS MEMBERSHIP

ORGANISATIONSAndrei MikhnevWorld Bank Group

DEFINITION

Business Membership Organisations (BMOs) are various organizations where companies or individual entrepreneurs are members• business associations• chambers of commerce• federation of business associations• employers’ clubs• private sector forums

RATIONALE FOR STRENGTHENING BMOs

• Representing the private sector in a

dialogue with public authorities

• Providing services to enterprises

• Playing self-regulatory role for some

industries

• Accumulating and disseminating knowledge

POSSIBLE OUTCOMES

• Better environment for doing business• Greater participation of private sector in

the governance processes• Promotion of access to new markets• More transparent regulatory functions• Better representativeness of various

industries and enterprise groups

BMO GUIDE

OBJECTIVESummarize and systematize the expertise and lessons learned in the area of building the BMO capacity and provide guiding principles for design, implementation, and evaluation of the BMO support activities

BMO GUIDE

AUDIENCE• Project managers/project teams

• Bilateral and multilateral donors

• Business membership organizations

• Researchers

BMO GUIDE

DESIGN

• Project cycle

• Steps in project implementation

• Case studies

• Practical tools

CONTENT

A. General Considerations before Starting a Project

B. Implementation of a Project

C. Impact Assessment of BMO Projects

D. The Way Forward

OUTCOME INDICATORS

1. Service delivery is improved

2. Advocacy is improved

3. BMO management has become more professional

IMPACT INDICATORS

1. Business environment has improved

2. Competitiveness of SMEs has improved

3. Socially acceptable employment has risen

4. Project has contributed to environmentally sustainable development

WAY FORWARD

1. Ten Rules for Donor Intervention

2. Sustainable BMOs: What Next?

3. BMOs as Tools to Spur Policy Reforms

4. What can we achieve through engaging BMOs in public-private dialogue?

BMOs IN PUBLIC PRIVATE DIALOGUE

1. Implementation of policy reforms

2. Improving the relationship between the public sector and the business community

3. Creation of friendly business environments in post conflict countries

CONCLUSION

• BMOs are key institutions in a public private dialogue

• The higher the capacity of BMOs, the stronger their voice in a public private dialogue

• Engaging the existing BMOs rather than establish new purely donor-funded entity

• Ensure sustainability

BMO GUIDE

http://www.ifc.org/sme