Dilemmas and Problems in Dilemmas and Problems in PACAPACA

Jörg Meyer-Stamerjms@mesopartner.com

Shawn Cunninghamshawn.cunningham@gtz.de

Essence of PACAEssence of PACA

Efficient facilitation of LED– Mobilise local knowledge– Connect local knowledge and players– Connect and contrast local and external

knowledge– Contrast perceptions and facts

Make local players learn that they can do things they never thought of

Permits local government to project commitment to business, to establish communication channels with business.

PACA: Dilemmas and key PACA: Dilemmas and key problemsproblems

The planning vs. learning-by-doing dilemma The donor-prominence dilemma The buy-in dilemma The ends vs. means problem The time-frame dilemma The problem of fragmentation The dilemma of co-ordination and overload.

The planning vs. learning-by-doing The planning vs. learning-by-doing dilemmadilemma

What is the planning vs. learning-What is the planning vs. learning-by-doing dilemma?by-doing dilemma?

You understand a problem much better when trying to solve it rather than trying to analyse it – during research, some role players and interests

remain invisible– during research, some issues are avoided, e.g.

because they are embarrassing.

How to address the planning vs. How to address the planning vs. learning-by-doing dilemma? learning-by-doing dilemma?

PACA has an inherent tendency to address this dilemma

Problems arise with actors who find it difficult to get out of a planning-driven mode

Include some medium to longer term activities for the role-players that are planning driven – this will keep them interested and involved

Be careful not to create either / or situation! Rather prove that some smaller activities can rejuvenate or supplement long term plans that are stuck.

The time-frame dilemmaThe time-frame dilemma

What is the time-frame dilemma? What is the time-frame dilemma?

Private businesspeople think in short time-frames (months)

Public sector actors think in longer time-frames (budget years, election periods).

How can we address the time-How can we address the time-frame dilemma? frame dilemma?

Try to identify activities that cater for both time-frames

Make sure that both public and private sector champions understand the different time-frames.

The Public sector vs. Private sector The Public sector vs. Private sector dilemmadilemma

Where does the Public sector vs. Where does the Public sector vs. Private sector dilemma come Private sector dilemma come from?from?Government agencies often have the LED mandate,

but not the resources nor capacityPrivate sector is often stubborn or inwardly focused,

not being present at the social or community level– Private sector is often seen as sponsors, not as

contributors– Private sector does not know that it can play a

catalytic role by being more involvedMistrust between stakeholders due to ideological

differences

How to address with PACA:How to address with PACA:

Get private sector to take certain activities forward collectively

Get private sector to invest time and resources, not necessarily just money

Build trust and relations between PS and PS by creating successful collaborative ventures

Develop communication events/systems between both sides

The Small firm vs. Large firm dilemmaThe Small firm vs. Large firm dilemma

Where does the Small firm vs. Where does the Small firm vs. Large firm dilemma come from?Large firm dilemma come from?

LED often tends to focus on the one at the expense of the other

Many if not most successful small firms are spin-offs from larger firms

Jobs lost in large firms are not made up by small firm formation – Can job losses be curbed?

How to address with PACA:How to address with PACA:

Get all types of business (even potential business) involved

Address the problems of existing firms to reduce job losses and promote local investment (input factors)

Build relationships between large and smallGet small firms to respond to local needs

The donor-prominence dilemmaThe donor-prominence dilemma

What is the donor-prominence What is the donor-prominence dilemma?dilemma?

The presence of a donor organization during a PACA Exercise creates the expectation among local stakeholders that the donor will solve their problems– donor can be foreign aid organisation or national /

provincial entity The endorsement by a foreign or higher-level donor

organization can be helpful in persuading local actors that a PACA is a worthwhile effort

An external / foreign donor organisation will often cover the initial cost of conducting a PACA exercise

Local actors expect an ongoing financial stream from the donor.

How to address the donor-How to address the donor-prominence dilemma? prominence dilemma?

Do the build-up of a PACA properly and emphasize the dominating role of the local champion

Advise donor organizations to keep a low profile in PACA Exercises

Promote the local host (or institution) as the host, initiator and driver

Pursue a consistent management of expectations.

The buy-in dilemmaThe buy-in dilemma

What is the buy-in dilemma?What is the buy-in dilemma?

An effective PACA Exercise creates a strong buy-in by local stakeholders

The effectiveness of a PACA Exercise depends on the buy-in during the build-up phase.

How to address the buy-in How to address the buy-in dilemma? dilemma?

Make sure that you identify a strong, reputable, well-connected host for the PACA Exercise

Undertake a serious effort to recruit competent local members of the PACA Team

Develop a consistent marketing and PR effort in the build-up phase

If you face too limited buy-in in the build-up– consider to call off the exercise– consider to do awareness-building (LED Café,

LED training) a visit by an LED stakeholder from a location

with a successful LED process may help.

The ends vs. means problemThe ends vs. means problem

What is the ends vs. means What is the ends vs. means problem? problem?

Actors in local / regional development initiatives often confuse ends and means– Collaboration = means– Network-building = means– Strengthening business development services =

means– Having effective associations and chambers =

means– Formulating a strategic plan = means – Strengthening competitiveness = end towards the

bigger end of creating wealth.

How to address the ends vs. How to address the ends vs. means problem? means problem?

Point out the possible confusion during the Results Workshop

Check the proposals: Do they confuse ends and means?

Promote the idea that LED is a complex system that requires multiple inputs from multiple stakeholders to achieve complementary objectives that are not always directly related – point out that everything adds up and that not one

single approach will solve local problems.

The problem of fragmentationThe problem of fragmentation

What is the problem of What is the problem of fragmentation? fragmentation?

Organisations report vertically– Different organisations report to different top

structures– Horizontal communication is rarely part of

performance criteriaDifferent organisations have varying organisational

cultures and communication stylesDifferent organisations often have conflicting

objectives.

How can we address the problem How can we address the problem of fragmentation? of fragmentation?

Identify opportunities for organisations to meet their performance objectives

Identify win-win-opportunities: – two or more organisations working together to

address a specific, clearly defined opportunity or problem

– each organisation has a better chance of meeting its performance objectives.

The dilemma of co-ordination and The dilemma of co-ordination and overloadoverload

Where does the dilemma of co-Where does the dilemma of co-ordination and overload come ordination and overload come from?from?

A Problem

An Institution increated to solve it

Problem only partiallysolved, or new

problems created

Another Institution created to solve it

Problem only partiallysolved, or new

problems created

Another Institution created to solve it

Problem only partiallysolved, or new

problems created

Fragmentationdiscovered asnew problem

Problem only partiallysolved, or new

problems created

Another Institution created to solve it

Another Institution created to solve it

Morale of the story: Persistent problems

generate waves of (public) initiatives

Institutions are created without an exit-strategy

Increasing layers of institutions lead to a proliferation of co-ordination

Co-ordination institutions are perceived as competitors and reinforce fragmentation

Exploding co-ordination effortExploding co-ordination effort

Let us assume that you need 15 minutes per week for co-ordination with each other institution in your field, and to observe co-ordination between other institutions.

With n other institutions, this takes x percentage of your weekly time:

2.5 %

15 %

50 %

How to co-ordinate?How to co-ordinate?The PACA viewThe PACA view

Don’t co-ordinate– death of LED by committee – don’t start LED with exhaustive co-ordination

Create occasions for collaboration Identify quick-win projects

– preferably fixed-term• co-ordination and collaboration is a means, not

an end in itself Identify and plan joint projects using highly efficient

PACA workshop formats.

Thank you for your attention! Thank you for your attention!