Ana səhifə

Client: finca international


Yüklə 1.23 Mb.
səhifə8/12
tarix10.06.2016
ölçüsü1.23 Mb.
1   ...   4   5   6   7   8   9   10   11   12

Manufacturer: Construction demand likely to ebb and flow with the economy. Lack of investment in marketing and advertising leads to low client demand, but FINCA will not move forward without working with KickStart to develop a marketing plan for its clients.

Consultant: Training improvements would be only marginally helpful because of the specialized skills recommended to achieve success.

FINCA Uganda: Staff: One staff member expressed uncertainty about the market, and another expressed concern about market saturation.

CRITERION #2: FINANCIAL RISK TO FRANCHISEES

KICKSTART BLOCK PRESS OVERALL SCORE: 3.2

2. 5 (Management) + 4 (Field Staff) + 2.6 (Owners) + 4.0 (Retailers) + 2.8 (Consultant) + 3.5 (FINCA Clients)



Positive:

Management: FINCA has a comparative advantage due to its its extensive network, which it could utilize to facilitate the formation of unions that share market information.

Field Staff: Access to microcredit also significantly reduces the financial risk that most owners have been facing as they start their press businesses.

Owners: Lower early output and experiencing an operational learning curve at the outset are very reasonable and surmountable early challenges, resulting in slightly lower returns up front, but recovering in time.

Retailers: MFIs sometimes buy presses to sell to their clients. No repayment issues among customers who chose to pay for the presses gradually on a layaway plan. . Product quality and guarantee lowers risk.

Consultant: Risk would fall dramatically with more comprehensive training.
Neutral:

FINCA Clients*: Based on comments only.
Negative:

Management: Lack of proper training in soil management increases risk.

Owners: The fact that owners had problems drying the blocks during rainy season implies that production will result in a significantly drop in production during rainy season unless the owner builds some sort of shelter to protect drying blocks. This is an added expense to the owner.

Retailers: Even with more support, training is limited.

Consultant: Finding a good market is a challenge, even with a strong product and good training. Construction skills and entrepreneurial traits will not be present in every buyer.

CRITERION #3: MODEL REPLICABILITY

KICKSTART BLOCK PRESS OVERALL SCORE: 3.0

1.9 (Management) + 2.5 (Field Staff) + 2.4 (Owners) + 3.75 (Retailers) + 4 (Manufacturer) + 3.2 (Consultants) + 4.0 (FINCA Uganda Staff)



Positive:

Management: Significant existing experience setting up retailers will help with Uganda expansion.

Field Staff: Retail staff and the training they receive from KickStart will be a key resource for setting up local training and providing product support. Microfinance is easily integrated into the model and will solve key financing problems.

Owners: Operational training appears very solid.

Retailers: Precedent set for integrating with microcredit. Likely to be compatible and increase sales. Presence of existing training program.

Manufacturer: Possibility to work with this manufacturer to link with Uganda representative and link program with marketing by this representative.

Consultant: Acknowledgment of some interest in microfinance. Consultant is a potential training resource. Knowledge and materials to improve training are present and just need to be accessed.

FINCA Uganda Staff: No major adjustments needed for loan terms, except for slight variations from the standard terms.
Neutral:

FINCA Uganda Staff: Suggestion from one staff member to set geographic limits on technology distribution, although this did not work with Grameen.
Negative:

Management: Will need to build market research into the model, since KickStart does not do any. Limited product marketing at present. Need to significantly enhance training effort and materials.

Field Staff: New marketing materials must be developed, M&E strategy and execution for the presses must be revived, training must be expanded. Requiring construction experience of owners would seriously limit model replicability efforts.

Owners: Donor money appears to be a significant source of funding for the presses. Information about marketing and sales of blocks will have to be added to training.

Retailers: Training program needs to be enhanced and systematized.

Consultant: It is more difficult to replicate the model widely when specialized skills are necessary. His personal opinion is that people avoid the risk of taking out loans.

CRITERION #4: POVERTY/HUMAN DEVELOPMENT IMPACT ON FRANCHISEES

KICKSTART BLOCK PRESS OVERALL SCORE: 3.6

3.75 (Management)



Positive:

Management: KickStart’s impact assessment helps it monitor and improve poverty and human development among product purchasers. It will have to redirect this assessment toward FINCA clients who purchase the presses, though. Both presses have shown the capacity to significantly raise incomes for owners under the right conditions.

Authors’ Note: Employment potential adds to poverty/human development impact. Additionally, in areas with construction growth looming, these could really change the community.
Negative:

Authors’ Note*: Limited to areas already experiencing construction growth, which are not the poorest. Also skills required of owners will limit sales and impact.

CRITERION #5: PROJECT VISION AND DESIGN SYNERGY WITH PARTNER

KICKSTART BLOCK PRESS OVERALL SCORE: 3.25

3.4 (Management) + 2.5 (Field Staff) + 1.5 (Owners) + 3.5 (Retailers) + 4.2 (Manufacturer) + 2.2 (Consultant) + 4.25 (Oil Press) + 4.25 (FINCA Staff)



Positive:

Management: Significant mission overlap, compatibility and ability to enhance program with microfinance, interest in partnership and collaboration by KickStart, potential shown based on past experience to invest more in training, input sourcing, or access to markets if it had a partner committed to the products.

Field Staff: Providing access to credit would complement a constraint faced to date by KickStart, retailers and buyers. Retailer education and product knowledge is consistent with FINCA’s commitment to maximizing client success and an important resource for establishing appropriate linkages to make partnership a success.

Retailers: Worked with MFIs and developed successful repayment plans, increasing sales and customer success.

Manufacturer: Product quality boosts the value of partner association for FINCA. Existing local rep doing sales and marketing provides important market linkages to improve collaboration efforts.

Consultant: Consultant can provide (paid) assistance in setting the cost structure in Uganda for supplies, labor and sales as well as providing marketing insights and materials to improve collaboration.

FINCA Uganda Staff: One staff member thought this was the best idea.
Neutral:

FINCA Uganda Staff*: This score was taken from responses to questions about FINCA Uganda’s capacity and interest in launching a project with this partner.
Negative:

Management: Not seen by KickStart as a potential growth area, explaining its lack of existing product support, which may put more responsibility into FINCA’s hands.

Field Staff: Monitoring of presses is more limited than before and monitoring in general may be compromised in practiced, which is not consistent with FINCA vision. FINCA would prefer a partner that provided much more support than KickStart currently does for the presses in all phases of the business. It would also prefer to offer a business to clients that require far less specialized skill.

Owners: Donor money appears to be a significant source of funding for the presses.

Retailers: One retailer only saw donor funding pay for the purchase of presses; training revisions and greater KickStart participation necessary.

Consultant: FINCA would prefer to work with a product that has broader potential to achieve success. Consultant believes combining press project with microfinance is a challenge.

CRITERION #6: MARKET DEMAND FOR PRODUCT

KICKSTART BLOCK PRESS OVERALL SCORE: 3.35

2.8 (Management) + 2.75 (Field Staff) +4.15 (FINCA Uganda Staff) + 3.75 (FINCA Clients)



Positive:

Management: Strong press sales in Uganda despite lack of retail presence or marketing support suggests that demand could be strong there. Information-sharing unions would link supply to demand.

Field Staff: Ongoing demand for the presses at retail outlets suggests there must be some product demand.
Neutral:

FINCA Uganda Staff*: This score was taken from a composite of responses to questions about staff perceptions of client demand for each opportunity, for each opportunity among youth, and for staff interest and capacity to launch the project as well as some general comments.

FINCA Clients*: Based on comments only.
Negative:

Management: Quality will suffer and demand will decline if clients don’t learn how to properly mix the soil.

FINCA Uganda Staff: Concern from one staff member about market demand for the blocks. Another expressed concern about saturating the market with presses.
CRITERION #7: PARTNER BUSINESS PLAN DESIGN

KICKSTART BLOCK PRESS OVERALL SCORE: 2.7

2.6 (Management) + 2.3 (Field Office) + 3.25 (Owners) + 2.5 (Retailers) + 3.8 (Manufacturer) + 1.75 (Consultant)



Positive:

Management: Strong effort to maximize efficiency and lower costs in the production process, no concern that KickStart will saturate the market with technologies, strong plan compatibility with microfinance, M&E program that improved internal performance.

Field Office: Strong retail sales force will be an important resource for FINCA to tap into for knowledge as it looks to improve the model and develop the pilot project, as well as potentially staff to provide training to FINCA staff and perhaps clients.

Owners: Based on the experience of a group of unpaid volunteers, the number of ideal press operators appears to be six, which means it presents a legitimate employment opportunity, including for youth. Limited early challenges by owners also indicate solid training and client preparation for the business.

Retailers: Existing knowledge and information sharing among retailers; product quality and guarantee demonstrate strong business plan.

Manufacturer: Reinforcement of KickStart’s commitment to product quality. Local representative will create important market linkages for demand, sales and marketing.
Neutral:

Retailers: An owner with a problem would likely seek support from the retailer, not KickStart directly.
Negative:

Management: Support for the presses has been nearly abandoned although it benefits from some piggybacking on pump support. Need to significantly bolster market research, input sourcing, training, client support, establishing markets despite lack of current backing for the presses. Low sales margins on block presses leaves no funding for marketing.

Field Staff: Limitations of training (input sourcing and preparation, establishing supply chains, marketing and sales, business management, etc.) lack of marketing and sales support at retail level, lack of monitoring and evaluation, and lack of ongoing technical and business support to technology owners.

Owners: Donor money appears to be a significant source of funding for the presses, and training in marketing and sales is lacking.

Retailers: No sales incentives or marketing support from KickStart. Unclear whether KickStart trains retailers or does training themselves. Need to set up good system. Training needs enhancement as well.

Manufacturer: Impact of KickStart not marketing the press has extended to the manufacturer.

Consultant: Knowing your customer is important, but KickStart is supposedly geared toward providing easy-to-use technologies that offer broad opportunities to earn income rather than specialized knowledge.

CRITERION #8: PROJECTED IMPACT ON LOCAL YOUTH UNEMPLOYMENT

KICKSTART BLOCK PRESS OVERALL SCORE: 4.15

4.5 (Owners) + 4.25 (FINCA Uganda Staff) + 3.75 (FINCA Clients)



Positive:

Owners: Based on the experience of a group of unpaid volunteers, the number of ideal press operators appears to be six, which means it presents a legitimate employment opportunity for youth.

FINCA Uganda Staff: Men likely to be interested in the brick press.
Neutral:

FINCA Uganda Staff*: This result is based on the staff’s assessment of youth demand for each type of business and parental willingness to cosign for a loan.

FINCA Clients*: This score was derived from the collective results of three questions – perceived youth interest in each opportunity, perception of local youth unemployment issue, and willingness to guarantee a loan on behalf of one’s child (asked of all, not just those who had young adult children).
Negative:

FINCA Uganda Staff: Women less likely to be interested in the block press.

CRITERION #9: ADDITIONAL FINCA STAFF RESOURCES REQUIRED

KICKSTART BLOCK PRESS OVERALL SCORE: 1.9

1.35 (Management)



Neutral:

Authors’ Note*: While the management note is legitimate and additional staffing may be necessary beyond what would be required in the case of Honey Care, it is not nearly as bleak as the number attributed to management’s comment implies.
Negative:

Management: Additional staff resources may be necessary to establish all linkages necessary to launch the project and ensure that FINCA clients have adequate support in the absence of current backing for the presses. May need to get involved in the training or at least collaborate in the development of enhanced training manuals.

CRITERION #10: PROJECT STARTUP COST FOR FINCA

KICKSTART BLOCK PRESS OVERALL SCORE: 2.4

2.5 (Management) + 2 (Consultant) + 2.5 (FINCA Clients)



Positive:

Management: KickStart’s previous efforts to help bolster production during high demand periods indicate a willingness to take on more responsibility in resources and financing, which could be applied to the weak links in the current model. No separate investment fund will be necessary to finance clients, since they can earn nearly immediate returns on investment to begin loan repayment.
Neutral:

FINCA Clients*: Based on comments only.
Negative:

Management: Additional funding may be necessary to establish all linkages necessary to launch the project and ensure that FINCA clients have adequate training and support in the absence of current backing for the presses.

Consultant: If we need to use the consultant as a training resource, then we will incur additional startup costs.

CRITERION #11: COST OF ENTRY FOR FRANCHISEES

KICKSTART BLOCK PRESS OVERALL SCORE: 2.75

3.5 (Management) + 1.6 (Owners) + 3.15 (Retailers)



Positive:

Management: Although startup cost is much higher than the beekeeping business, income returns are immediate and there is potential to achieve profitability within a few months, meaning that the initial investment is tied up for less time and less interest is paid per dollar

Field Staff: Although microfinance won’t lower the cost of entry, it lowers the amount of capital that must be raised to meet that cost.

Retailers: Successful repayment by those taking out loans indicates that the cost of entry is manageable.
Negative:

Field Staff: Suggestion that startup cost may be cause for delay or avoidance of purchase by potential investors, especially since production costs have risen in recent years.

Owners: Initial cost goes up slightly if earnings are a bit lower at the outset, and building a shelter for the blocks to protect them from rain as they dry adds unanticipated costs to the startup.

Retailers: Perception that the cost of entry is too high for individuals, although it may be due to lack of access to credit.

CRITERION #12: CURRENT PARTNER FINANCIAL PERFORMANCE

KICKSTART BLOCK PRESS OVERALL SCORE: 3.0

1.25 (Management)



Positive:

Author’s Note: KickStart has been very successful in obtaining donor funding and has operated its business much like a for-profit would, rigorously monitoring aspects of its operations to improve efficiency and cut costs. It is looking into moving production to China to further reduce costs and increase grassroots impact. The only significant negative is that they do not earn strong financial returns on the presses, which has limited their support for them.
Negative:

Management: Low financial returns on the presses has reduced KickStart’s and their donors’ incentive to support them.

CRITERION #13: COMMUNITY POVERTY/HUMAN DEVELOPMENT IMPACT

KICKSTART BLOCK PRESS OVERALL SCORE: 3.75

4 (Owners)



Positive:

Owners: The press is used to construct buildings for orphans and can be used for other community projects. Using it to this end is not income generating, though.
Negative:

Authors’ Note*: The above comment is relevant and the employment impact the presses could make is genuine, but limits to its demand potential means poverty/HD impact will not likely be as widespread as the one score obtained indicates..

CRITERION #14: FINCA AVOIDS PARTICIPANT SELECTION RESPONSIBILITY

KICKSTART BLOCK PRESS OVERALL SCORE: 2.5

Neutral:

Authors’ Note*: FINCA will inevitably have full participant selection responsibility because KickStart is unlikely to be involved directly with clients except to train them, and even there it may be through retailers. However, beyond assessing a client’s creditworthiness, the only additional criteria will be that s/he has established a market, knows where s/he will source soil and cement, and has people in mind as laborers. As a result, it is likely that FINCA would want to retain this control.

CRITERION #15: GEOGRAPHIC RANGE/FLEXIBILITY OF BUSINESS

KICKSTART BLOCK PRESS OVERALL SCORE: 3.15

3.5 (Management) + 2 (Field Staff) + 4 (Manufacturer)



Positive:

Management: No difficulty seen in the potential to expand the reach of the presses, although expansion may be constrained by lack of market demand.

Manufacturer: Research found that a manufacturer is marketing and selling the block press, indicating that there is a local market demand for the presses.
Negative:

Field Staff: Retailers need to be in high visibility areas and need to have reliable credit ratings. The project may need to be in an area in close proximity to a retailer to keep transportation costs down. Soil consistency is not appropriate in some areas, limiting range of expansion. If there is need for construction experience, then successful model replication could only work in areas with active construction markets.

CRITERION #16: MINIMIZE APPLE OF DISCORD

KICKSTART BLOCK PRESS OVERALL SCORE: 2.75

Positive:

Authors’ Note*: Most people who won’t qualify to own the block press are unlikely to want to either. If they do, then perhaps they can try to gain employment with a block press owner to learn the skills they will need to operate their own businesses.
Negative:

Authors’ Note*: Selection criteria on individual capabilities are likely to be stringent, which may cause some jealousy. Also, the number of owners a community can support is probably lower here than the other two businesses.

CRITERION #17: FINCA EXCLUSIVE REGIONAL PARTNER

KICKSTART BLOCK PRESS OVERALL SCORE: 4.85

4.75 (Management) + 5 (Field Staff)



Positive:

Management: Lack of retail presence in Uganda and lack of sales and marketing effort behind the presses means that FINCA will be the initial point of entry into Uganda and has a good chance of remaining at least the exclusive MFI partner.

Field Staff: Lack of consistent access to credit among purchasers reinforces the potential for FINCA to be an exclusive regional partner for the presses.
Appendix 4 - Timeline for Implementation of Test Pilot Project AND Activity descriptions
APPENDIX 4.1 – HONEY CARE TIMELINE AND ACTIVITY DESCRIPTION
Project Timeline for Implementation of Honey Care Test Pilot Project














Month







Tasks

Responsibility

Duration

1

2

3

4

5

6

7

8

9 - 19

20 - 31

32



Initial Market Assessment

FINCA

2 months




































Establish relationship with Honey Care

FINCA

2 months


































1.a

Discuss partner responsibilities

FINCA

1 month


































1.b

Generate legal agreement

FINCA

1 month




































Detailed assessment of location for beekeeping potential

Honey Care

2 months




































Develop a data collection and management system

FINCA/ Honey Care

2 months




































Develop marketing materials

Honey Care

1 months




































Select and train community extension worker

FINCA/ Honey Care

2 months




































Train FINCA staff

Honey Care

3-5 days




































Manufacture of new hives

Honey Care

2 months




































Creation of community center




3 months




































Conduct beekeeping awareness demonstrations in test project area

Honey Care

Ongoing




































Verify client interest in beekeeping and conduct credit assessments

FINCA

Ongoing




































Deliver beehives/loans

FINCA/ Honey Care

Ongoing




































Train new beekeepers

Honey Care

Ongoing


































13.a

Initial training




3 days


































13.b

Ongoing training




Ongoing




































Colonization Period before first harvest




12 months




































Monitoring and evaluation phase

FINCA/

Honey Care



12 months


































15.a

Baseline collection

FINCA





































15.b

Impact evaluation

Honey Care





































15.c

Program evaluation

FINCA







































Refine protocols




Ongoing




































Provide ongoing support and troubleshooting

Honey Care/ Extension Officer

Ongoing




































Final Assessment of test project

FINCA




































1   ...   4   5   6   7   8   9   10   11   12


Verilənlər bazası müəlliflik hüququ ilə müdafiə olunur ©kagiz.org 2016
rəhbərliyinə müraciət