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Maximising the effectiveness of microenterprise development : the partnership option

Document type: article
Download file(s): 188457 (1034 KB)
Abstract: The author elucidates three ways that development organisations can reduce poverty: 1) by remaining as specialised and as focused as possible to their missions and core values 2) developing programmes linked to multisectoral applications and 3) establishing partnership with other organisations to explore different options. In particular, the partnership is useful because it allows coordination and a mutual strategic direction to reach strong mutual goals and objectives. The most effective organisations should combine three governance mechanisms simultaneously to succeed in their approach: by dealing with the market, and taking a bureaucratic and cultural approach. Culture in particular, can become the glue that bonds different actors, ensuring a winning strategy. Reliance on culture is one of the key necessities for an alliance to work, along with commitment to the same mission, knowledge of the technical nature of the issue, fluid interaction, innovation, creative thinking and mutual participation. Yet, there are also environmental constraints that can play a different role and lead to hostility. FINCA International, Save the Children and World Vision are three main examples of good microenterprise development through partnering and cooperating to achieve a common goal. Another type of partnership is that between MFIs and microenterprise providers, through, for instance, large grants that provide incentives. Partnership can offer a wide range of good positive outcomes, such as achieving the integration of services and offering expertise and knowledge to meet new challenges, and enabling NGOs and organisations to stay specialised and focused
Authors: Brinkerhoff, J.M.
End Page: 24
Serial number: 2
ISSN: [2210-2175]
Volume: I
Journal: Spanda Journal : quarterly of the Spanda Foundation
Keywords: credit , finance , markets , partnership , poverty , sustainable development
Language: eng
Organization: Spanda Foundation
Year: 2010
Right: © 2010 Spanda Foundation
Subject: Economic Development and Trade
Start Page: 15
Title: Maximising the effectiveness of microenterprise development : the partnership option