Inter-American Development Bank (IDB)

Inter-American Development Bank (IDB)

‘Hythe’ Welches, Maxwell Main Road

Christ Church, Barbados BB17068

15 June 2017

Call for applications - Building Institutional Capacity forStrengthening Business Clusters

Dear Business Support Organisations (BSOs),

If your mandate is tofoster the productivity and growth of micro, small, or medium enterprises (MSMEs), you may be interested in supporting businessclusters. The purpose of clustering initiatives is toencourage collaborative actions to improve the competitiveness of a sector or industry. For example, diverse firms may want to combine efforts or share the cost of international branding, infrastructure upgrades, dialogue with governmentfor policy reforms, establishingquality standards, certification, workforce development, market research, R&D, etc.

The first phase of the Compete Caribbean program[1]provided support to firms and cluster initiatives which delivered outstanding resultsin five years:

• Nearly 12,000 jobs were created, 80% for women and youth;
• The revenue of firms and clusters supported increased by 41% (USD$153m);
• Exports increase by USD$37m (a 23% increase);
• Firms in supported clusters created projects that were new to the country or region, and that have huge potential for additional growth.

The end of program evaluation identified two critical success factors that must be in place to foster collaboration and ensure sustainability of cluster initiatives:

(1) A collaborative and strategic approach with clear goals is supported by a national or local institution (BSO); and

(2) Strong facilitation and project management skillsacross the board to foster cooperation, progress, and monitoring & evaluation.

To that end, Compete Caribbean is calling BSOs to apply for technical assistance in cluster capacity building. Ten organisations across nine Caribbean countries will be selected in September 2017 to benefit from the expertise of an international consulting firm with a proven record of success in cluster initiatives. The consulting firm will assess the capacity of the BSO to foster the growth of local clusters, and co-design a capacity enhancement plan over a 3-month period. Six of these plans will be selected in January 2018for implementation over the following15-18months. Another call for proposals will be announced in mid-2018 to target clusters directly, thereby increasing the opportunities for effective collaboration with diverse businesses, education/training institutions, government, associations, research centres and laboratories, etc.

The application process and timeline

Eligible organisations (see criteria below) are invited to fill and submit the application form attached before August 31st, 2017. The BSOs selected will be informed a few days later and introduced to the consulting firm to begin the assessment process in September. This first phase focused on assessment and co-design of capacity enhancement planswith 10 BSOs will take place concurrently over the following three-month period. Although only six organization will be selected to receive the technical assistance for implementation, efforts will be made to foster connection with other potential donors and technical assistance programs (if the plans are deemed effective and the organisation isready to implement).

Please note that a webinar will be hosted on Wednesday June 28th, 2017 at 10:30amto answer any questions you may have. Email your questions in advance and they willbe answered live by the Compete Caribbean team during the webinar. RSVP to receive the instructions to .

EligibilityCriteria - please apply only if you meet all five criteria:

1. Location:1) Antigua & Barbuda; 2) Belize; 3) Dominica; 4) Grenada; 5) Guyana; 6) Jamaica; 7) St. Kitts & Nevis; 8) St. Lucia; 9) St. Vincent & the Grenadines.
2. Official registration and mandate: The organisation must be formally registered as a public, private, or non-profit, and have the mandate to support private sector development. Examples of eligible public organizations: competitiveness councils, investment/export promotion agencies, small business development centers, innovation and productivity bodies, etc.Examples of private (non-profit) organizations:chambers of commerce, business development agencies, microfinance or alternative finance institutions, business associations, etc.)
3. Sustainability: The organisation must have a sustainable funding source to ensure continuity of support to clusters in the future. The funding available is for capacity building and cannot be used to finance ongoing operating expenses.
4. Commitment: The organisation must allocatesufficient time from the required staff to the capacity building exercise. The President/CEO must sign the application form and commit the time, information and efforts necessary to the effective implementation of the project within the timeframe.
5. Ethical, social and environmental standards: The organisation is required to adopt high quality standards in terms of respect for the environment, workforce, integrity, transparency and diversity. Part of the capacity building will entail identifying opportunities to include women and youth, and the organisation must commit to this objective.

Selectioncriteria for the assessment and co-design of the capacity enhancement plan (10 organisations):

1. Potential impact of capacity building project on employment, particularly for vulnerable groups;
2. Recognition by the organisation of its own weaknesses in management practices and opportunities for improvements;
3. Willingness on the part of the organisation to adoptbest management practices, including new processes, skills or technology;
4. Likelihood of success given the existing reputation in collaborating with or supporting relevant stakeholders.

Selection criteria for the implementation of the capacity enhancement plan (6 organisations):

1. Readiness to implement the capacity enhancement plan co-designed with the consulting firm;
2. Potential long-term impact of the capacity building effort on job creation, particularly for vulnerable groups;
3. Potential effects on Compete Caribbean’s objectives given its financial constraints and the risks involved.

Wishing the best for you and your organisation.

Sylvia Dohnert, Executive Director

Compete Caribbean Partnership Facility

About Compete Caribbean

Compete Caribbean is a private sector development program that provides technical assistance grants and investment funding to support productive development policies, business climate reforms, clustering initiatives and Small and Medium Size Enterprise (SME) development activities in the Caribbean region. The program, jointly funded by the Inter-American Development Bank (IDB), the United Kingdom Department for International Development (DFID) and the Caribbean Development Bank (CDB), supports projects in 13 Caribbean countries. Over the five-year duration of the program ending in early 2017, Compete Caribbean mobilized 44 private sector development plans and 77 national competitiveness action plans or regulatory reforms, which generated over 12,000 jobs in the region. Given the outstanding success, a second phase has been established called “Compete Caribbean Partnership Facility” (CCPF), with a focus on building the capacity of local institutions and businesses to drive productivity and innovation and ultimately generate sustainable and inclusive growth. Sign-up to the newsletter to receive monthly updates on financing or consulting opportunities available: or contact us .

Call for applications: Business Support Organisations (BSOs)

What?Technical assistance provided by a global consulting firm expert in cluster initiatives.

Why?Tobuild the capacity of BSOs in supportingand strengthening business clusters, thereby generating employment for Caribbean people, including women and youth.

Who?Any organisation with the commitment and financial sustainability to support the growth of business clusters.

Where?Antigua & Barbuda; Belize; Dominica; Grenada; Guyana; Jamaica; St. Kitts & Nevis; St. Lucia; St.Vincent & the Grenadines.

How much?The capacity enhancement plan will include a budget for the necessary training, market research, stakeholder meetings or events, travels, technology, process improvements, etc. which will be financed by the Compete Caribbean Partnership Facility if selected for implementation. The organisation will have to commit its part through the allocation of some human or financial resources as described in the plan.

How?The CEO/President must fill and sign the application form, and commit a large part of his time and that of others to the project design and implementation phases (if selected).

When?Thursday August 31st, 11:59pm: Deadline for submitting the application form.

EarlySept. 2017 Announcement of selected organisations.

Mid Sept. to Dec. 2017: Design phase (assessment and capacity enhancement plan).

January 2018: Selection of six capacity enhancement plans forimplementation.

2018-2020: Implementation of capacity enhancement plan in six BSOs.

Mid 2018: Announcement of Call for cluster proposals.

2019-2021: Collaborative implementation of cluster improvement plans in firms.

Application form

Technical assistance for cluster capacity building

1. Basic information

Name of organisation / Date submitted
Country of headquarter / Town/city of headquarter
Other country of operation
Starting year / Year of official registration
Name of President / CEO / Phone number-President/CEO
President/CEO email
Name of contact person / Phone number-contact
Main contact email / Title
Name of persons on the governing board
Official mandate
Objectives of your organisation

2. Annual information

2017 / 2016 / 2015 / 2014
Number of full time employees (FTEs)
Number of volunteers
Annual budget (total spent)
Total funding received
Financial surplus (deficit)
% of funding received from government
% funding from fees or services provided
% funding from grants or private donations
% funding from other sources, specify:

3. Why is your organisation interested in applying to this program? (+/- 300 words)

4. Which sector(s) may need support from an organisation like yours for effective clustering?

Sectors / Yes / No / Maybe / Why? (Briefly describe in one or two sentences if relevant)
Tourism - general
Sports & health tourism
Eco tourism
Adventure tourism
Yachting
Creative industries - general
Fashion
Multimedia and film
Music
Entertainment (festivals, performing art)
Authentic gifts / crafts
Agribusiness - general
Nutmeg and spices
Cocoa
Coffee
Citrus, bananas, & fruits
Animal husbandry
Sugar
Coconut
Fishing (aquaculture & seafood)
Sustainable produces: Aquaponic / Organic / bio-dynamic growing
Information, Communication, Technology (ICT)
Iron and steel
Gold & jewelleries
Manufacturing
Food and beverage
Beauty and cosmetics
Construction
Financial services/remittances
Business Process Outsourcing (BPO)
Energy and renewable energy
Furniture
Professional services
Forestry
Mining and commodities
Paper and printing
Add:

5.What kind of support dothese sectors need in order to grow and expand to international markets? (Briefly explain your response for each sector (if relevant) in a few short sentences or use bullet points.)

6. What skills or capacity does your organisation need to support the growth of these clusters? (Briefly explain in a few short sentences or use bullet points.)

7. How can this capacity building effort be used to support the growth of these clusters in the future? What are the key success factors?(Explain your opinion in +/- 300 words)

8. How will this effort be sustained (human or financial capital) once the capacity building plan has been implemented?(Explain your opinion in +/- 300 words)

9. Why should your organisation be selected for cluster capacity building? (Briefly explain in a few short sentences or use bullet points.)

10. Provide any other information useful for the selection of your organisation.

Signed by the President or CEO:

I ______, request technical assistance from Compete Caribbean to support the growth of clusters as described in this application form. I certify that the information provided is correct to the best of my knowledge.

______

SignatureDate

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