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Mod

elsforth

eDesign

,Delivery

andMon

itoringo

fBDS

Bu

ildingCapac

itiesofGrow

th-Oriented

Microentrepreneu

rs

NationalConference

onBusinessDevelopmentServices

M

ay21-22,

2009

8/9/2019 BDS Models

2/21

Cha

llengesinDeliveringBDS

Estab

lishingprio

rities,makin

gchoices

Effec

tivedelivery

Susta

iningprograms

Monitoringimpa

ct

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TheB

DSProc

ess

Designing

and

Selecting

Monitoring

D

elivering

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SelectingBD

S

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TypesofBDS

Market

Accessmarketingb

usiness,tradefairs,m

arketinfo,subcontracting

andoutsourcing,showrooms,

packaging,advertisin

g

Infrastr

ucturestorageand

warehousing,transpo

rtanddelivery,busin

ess

incubato

rs,telecoms,moneytransfer,internetaccess,etc.

Policy/A

dvocacytraininginpolicyadvocacy,co

nferences,policystudies,

etc.

InputSupplylinkagestosuppliers,facilitatingb

ulkbuyinggroups,

improvingsuppliercapacity,etc.

TrainingandTechnicalAssistancementoring,

feasibilitystudiesand

business

plans,franchising,m

anagementandtechn

icaltraining,legalservices,

advisory

services,accountanc

yandbookkeeping

TechnologyandProductDe

velopmenttechnology

transfer/commercialization,facilitatingtechnology

procurement,design

services,qualityassuranceprograms,etc.

AlternativeFinancingMech

anismsfactoring,e

quityfinancing,facil

itating

supplier

credit,etc.

Source:SmallE

nterpriseEducationandPromotionNetwork

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OrganizationIssues

Orga

nizationalcapacity

Otherproviders

Susta

inability

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Capa

cityIssues

ExtentthatBDS

ispartofco

rebusiness?

Availablehuman

andorganizational

resou

rces(staff,teams,systems)toprovide

BDS?

Financialresourc

es?

Businessmodels?

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BeneficiaryIss

ues

Stagesofenterpr

isedevelopm

ent

Need

s/demandfo

rspecificservices

Ability/willingne

sstopay

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Existingand

Potential

Markets

Competitors

Technologies

Inputs

Support

Services

SupplyChain

Experience

Knowledge

Entrepreneurial

Skills

Management

Abilities

Networks

Accesstocapita

l

Values

Resources

BasicServices

Infrastruc

ture

Market

Accessibility

LGU/Other

governmen

t

programs

Culture

Geographic

Area

Personal/

Institutional

Circumstances

N

atureofthe

Business

Determinantso

f

Bene

ficiaryNeed

s

8/9/2019 BDS Models

10/21

Progr

amModels

Sub-sectorledchoo

sesubsectorsthatshowpromise

of

highM

SEgrowthorthatgeneratesign

ificantlevelsof

employment

DemandledDeman

dforspecificse

rvicesdeterminethe

progra

ms

Targetpopulationledprogramisfocusedonatarget

popula

tion

Servic

esledReplica

tionofservices

alreadyprovided

succes

sfully

SupplierledDirectprovidersdeterm

inewhatservic

es

willbe

provided

Broad

economicdeve

lopmentdrivenbycross-sector

situations

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SelectionToo

ls

Client/beneficiaryi

nformation,p

rofilesandneeds

analysis

Subse

ctoranalysis,

valuechainanalysis

Marketassessment

toolssecondaryresearch,

interv

iewsofkeyin

formants,consumersurvey

s,

focus

groupdiscussions,supplierinterviews

Dema

ndanalysis

ActionResearch(testmarketing)

Partic

ipatoryRural

Appraisals

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DeliveringBDS

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Types

/Categor

ies

Trainingandtechnicalassistance

Marketingsupp

ortinputsupply,

techn

ologyandp

roductdeve

lopment,

mark

etaccess

Businessenvironmentinfrastructure,

polic

y/advocacy,alternativefinancial

mech

anisms

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DeliveryApproa

ches

Direc

tserviceprovisionImplementingagen

cy

providesservicesdirectlytoMSE

s.

Facilitation/mark

etdevelopme

ntPromoting

theco

mmercialpro

visionofserv

icesthroughl

ocal

markets.

Systemicsupportprovidedtoe

ntiremarket

system

s(analysiso

fBDSmarketsandvalue

chains,integrationinlocalandin

ternational

markets),

increasingdevelopmen

tofembedded

andbundledservices.

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D

irectSe

rvicePro

vision

Services:Training

courses,advisoryservices,

technicalservices(accounting,le

gal,etc.)

Instit

utionExamp

les:PBSP,NotreDame

Busin

essResource

Center(BRC),UP-ISSI,

INSO

L,variousMFIs,governme

ntagencies,

comm

ercialproviders,etc.

Adva

ntages:Providerstailorser

vicestotheneeds

ofclients/beneficiaries

Shortcomings:1)limitedreach,

2)oftenrequires

subsidies(givenwe

akmarketinmanyareas),3)

costtoimpactratio

ishigh

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ShiftsinIntern

ationalB

DSTrend

s

1980

stolate1990s:Traditio

naldirect

provisionwithfu

llorpartial

subsidies

Late

1990stoea

rly2000s:B

DSmarket

facilitation

Post

2002:Incorporationofsystems

approachesvaluechains,Making

Mark

etsWorkfo

rthePoor

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Facilitation/M

arketDe

velopme

nt

Services:B2Bdirectories,magazines/publications

promotingBDSser

vices,

forming

cluste

rs/association

s,supportfor

MSEsto

partic

ipateintrade

fairs,fosteringlinkageswith

biggerfirms

Instit

utionExamp

les:PlantersBank,

PinoyM

E,

PEF,PDAP,

PBSP

Adva

ntages:Ifsuc

cessful,long-

term

sustai

nabilityandw

ideraccessbyMSEstothe

se

servic

es.

Shortcoming:Diff

icultinweakmarkets(market

cannotandwillnotpayforservices).

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SystemicMarketDev

elopmen

t

Services:engaging

MSEsinvalu

echains,product

development,input

supplydevelopment,

packa

ging,marketing

Instit

utionExamp

les:SDCAsia,

UMFI,

PEF/P

CCI,Normin

Veggies,PDAP,

Hapinoy

Stores,EchoStores

Adva

ntages:MSEsrecognizeva

lue,effortsar

e

aligne

dwiththema

rket,sustainable

Disad

vantages:Re

quiresgreatermanagement

effort

(relationship

buildingandmaintenance,trust

andconfidence,communication,

transparency,

etc.)

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Sustainability

Feef

orservices

Embeddedservic

es

Third

-partypaym

ent

Piggybackingon

OtherServices

8/9/2019 BDS Models

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MonitoringImpact

Outreach

Susta

inabilityandCostEffec

tiveness

Impa

ct

8/9/2019 BDS Models

21/21

Lesso

nsLearn

ed

Need

formarketresearch(whon

eedswhat,wh

o

willb

uy/pay,whoalreadyprovid

es)

Critic

alneedtokno

wyourclient

s/beneficiaries

(what

aretheirneed

s,wherearetheygoing,ho

w

canw

ehelp)

Systemsapproachesarebecomin

gincreasingly

favored

Value

ofpartnering

andnetworking

Need

toimprovepe

rformancemonitoringand

evaluation