PSA Reference Guide Concepts(Feb 14) ppt

Private Sector Assessment Private Sector Assessment and Strategy and Strategy Key ConceptsKey Concepts

February 2003 February 2003 Graham Settle Graham Settle

I. Purpose of PSA Workshop: I. Purpose of PSA Workshop:

RD PSA WorkshopRD PSA Workshop: Clarify Purpose, Scope, : Clarify Purpose, Scope, Method, and RD/PSOD PerspectivesMethod, and RD/PSOD Perspectives

DMC PSA Workshop: Clarify Purpose, Clarify Purpose, Scope, Method and DMC PerspectivesScope, Method and DMC Perspectives

II. PSA II. PSA PurposePurposeThe Private Sector Assessment and Strategy is prepared by the Regional Department to direct the Private Sector Development Strategy component of the Country Strategy and Program in the Developing Member Country.

III. ScopeIII. ScopeThe scope of PSA is determined by the Regional Department in consultation with relevant stakeholders and is in accordance with the PSA Reference Guide. The PSA is intended to be practical in application as a tool for formulating strategy and defining effective PSD projects. Strategic and operational priorities are substantially guided by Comparative Value Framework.

IV. Comparative Value IV. Comparative Value Framework FrameworkOne of the most significant value-added aspects of PSA is the use of comparative value guide for strategy and operational priorities.

The Comparative Value approach is an interactive process between the primary constituents in order to implement effective strategic priorities that utilize ADB and DMC comparative strengths, reflect global lessons learned, build on complementary work of other development institutions, and are sensitive to cultural, social, and political realities.

DMCDMC

ADBADBOther

Development Institutions

Private Private SectorSector

• National Policy Makers• Sub-national Policy Makers

• Line Ministries

• Regulatory Authorities

Bilateral Multilateral

NGOs

Identify Spheres of Influence and Agents of ChangeIdentify Spheres of Influence and Agents of Change

- Consumers, Producers, Workers, Entrepreneurs, Investors

- Chambers of Commerce, Trade unions, Labor unions, News media, NGOs

RM/HQLocal/Global

• Firm-level

• Representatives

Regional Department: HQ & Resident Mission

Private Sector Operations Department

DMCDMC

ADBADB

Other Other Development Development InstitutionsInstitutions

• Private Sector Private Sector Development StrategyDevelopment Strategy• CapacityCapacity• Regional KnowledgeRegional Knowledge• PortfolioPortfolio

• Understanding & WillUnderstanding & Will

• Capacity – Financial,Capacity – Financial, Technological,Technological, Human Resources,Human Resources, LegitimacyLegitimacy

Defining Stakeholder Strategic ConsensusDefining Stakeholder Strategic Consensus

• Private Sector Private Sector Development StrategyDevelopment Strategy• PortfolioPortfolio• Lessons LearnedLessons Learned

• Lessons LearnedLessons Learned

Shaped by Complementary Strengths:Shaped by Complementary Strengths:

DMCDMC

ADBADB


• Private Sector Private Sector Development StrategyDevelopment Strategy• CapacityCapacity• Regional KnowledgeRegional Knowledge• PortfolioPortfolio

• WillingnessWillingness

• Capacity – Financial,Capacity – Financial, Technological,Technological, Human Resources,Human Resources, LegitimacyLegitimacy

• Lessons LearnedLessons Learned

Stakeholder Strategic ConsensusStakeholder Strategic Consensus

CONSENSUS

• Private Sector Private Sector Development StrategyDevelopment Strategy• PortfolioPortfolio• Lessons LearnedLessons Learned

Potential PSDPotential PSDPrioritiesPriorities????????????

Defining Effective PSD PrioritiesDefining Effective PSD Priorities

DMCDMC

ADBADB


Potential PSDPotential PSDPrioritiesPriorities

??????????

Defining Effective PSD PrioritiesDefining Effective PSD Priorities

DMCDMC

ADBADB


•Systematic, Policy, Systematic, Policy, Institutional-levelInstitutional-level

Shaped by Assessment of Private Sector:Shaped by Assessment of Private Sector:

Potential PSD Potential PSD PrioritiesPriorities

????????

Effective PSD PrioritiesEffective PSD Priorities

DMCDMC

ADBADB



•Unsystematic, Unsystematic, Practice, Firm-Practice, Firm-LevelLevel



??????


DMCDMC

ADBADB



•Unsystematic, Unsystematic, Practice, Firm- Practice, Firm- LevelLevel

•InfrastructureInfrastructure Platforms for Platforms for ProductivityProductivity



DMCDMC

ADBADB



•Unsystematic, Unsystematic, Practice, Firm- Practice, Firm- LevelLevel

•InfrastructureInfrastructure Platforms for Platforms for ProductivityProductivity

Private sector Private sector AccessAccess to to infrastructure servicesinfrastructure services


????


DMCDMC

ADBADB


• Systematic, Policy, Systematic, Policy, Institutional-levelInstitutional-level

• Unsystematic, Unsystematic, Practice, Firm-LevelPractice, Firm-Level

• InfrastructureInfrastructure Platforms for Platforms for ProductivityProductivity


Private sector Private sector ParticipationParticipation in in delivery of servicesdelivery of services



??


DMCDMC

ADBADB



Comparative ValueComparative Value““Strategic Consensus and Strategic Consensus and

Operational PrioritiesOperational Priorities””

• Systematic, Policy, Systematic, Policy, Institutional-levelInstitutional-level

• Unsystematic, Unsystematic, Practice, Firm-LevelPractice, Firm-Level

• InfrastructureInfrastructure Platforms for Platforms for ProductivityProductivity


Private sector Private sector ParticipationParticipation in in delivery of servicesdelivery of services

StakeholderStakeholderStrategic Strategic

ConsensusConsensus

Effective Effective Strategic and Strategic and Operational Operational

PrioritiesPriorities

Comparative Value is the Intersection of:Comparative Value is the Intersection of:

V. Report Form and V. Report Form and SubstanceSubstance

A. Report Length

B. Frequency

40 pages maximum plus appendix

Prepared as needed to sequence with CSP/CSPU

C. Executive Summary

D. Comparative Quantitative Indicators

Two-page Summary in beginning of PSA of key findings and conclusions

One-page comparison with other countries over time – from Quantitative Workbook

VI. PSA Reference Guide:VI. PSA Reference Guide: A Knowledge ProductA Knowledge ProductPSA Reference Guide is tool to enhance the quality, consistency, efficacy of PSA with concept notes, examples, references, etc. Therefore, the Guide is potentially a dynamic medium for exchange of operationally useful knowledge.

The Guide will evolve and improve as we gain experience with PSAs, lessons learned, discover examples of PSD role in poverty reduction, etc.

A. OverviewB. Critical Trends and Issues

C. Private Sector Profile

D. PSD Role in Poverty Reduction

Table of Contents

Purpose and Scope

Executive Summary

Comparative Indicators

I. The Private Sector in the Macroeconomic Environment

II. Enabling Environment

A. Policy and Institutional Framework

B. Implementation Framework (Sub-national Level)

C. Firm-level Impediments

A. Financial Infrastructure Platform

B. Social Infrastructure Platform

III. Private Sector Productivity and Participation

C. Physical Infrastructure Platform

IV. Conclusions and Recommendations

A. Summary Assessment of Comparative Value

B. Strategic Approach

C. Operational Priorities

AppendixesAppendix 1 Quantitative Indicators (From Quantitative Workbook)

Appendix 2 PSD Road Map (CSP Guidelines)

Appendix 3 Development Donor Matrix (CSP Guidelines)

Appendix 4 Sector Road Maps (CSP Guidelines)

Appendix 5 Persons Interviewed and Context

Appendix 6 Foreign Direct Investment by Sector

Appendix 7 Bibliography (Including Core Body of Knowledge)

VII. VII. Methodological Framework

Report Report SectionSection ApproachApproach PurposePurpose

Research level/ Research level/ Value-addedValue-added

I.I.

II. and III.II. and III.

IV.IV.

DescriptiveDescriptive

DiagnosticDiagnostic

PrescriptivePrescriptive

BackgroundBackground

AssessmentAssessmentSystematic/Policy/MacroSystematic/Policy/Macro

Unsystematic/Practice/MicroUnsystematic/Practice/MicroProductivity and InfrastructureProductivity and Infrastructure

ConclusionConclusionStrategic direction and well Strategic direction and well defined priority list of projects.defined priority list of projects.

Informed by lessons learned, Informed by lessons learned, and designed to mitigate and designed to mitigate weaknesses and accentuate weaknesses and accentuate strengths of implementation.strengths of implementation.

Secondary/Desk Secondary/Desk ReviewReview

Secondary & PrimarySecondary & PrimaryIn-CountryIn-Country

Indicative Comparative Indicative Comparative ValueValue

Specific to DMC & ADB Specific to DMC & ADB Based onBased on

Comparative ValueComparative Value

Economic Trends and IssuesEconomic Trends and Issues

VIII. PSA Reference Library VIII. PSA Reference Library (PSD Toolbox)(PSD Toolbox)

• Core Body of Knowledge - Readings and PSA Reference Guide Updates

• Quantitative Workbook - Resource for statistical data and PSD Indicators

• Useful Websites - Resource for assessment tools from global sources

For more information, contact:For more information, contact:

Graham Settle, RSGRGraham Settle, RSGR

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PSA Reference Guide Concepts(Feb 14) ppt

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