1. EVERYONE SUFFERS FROM…
LIMITED KNOWLEDGE
LIMITED HUMAN RESOURCES
LIMITED FINANCIAL RESOURCES
MISCONCEPTIONS

2. MISSION: A “LAST MILE” SOLUTION
TO CONVERT WHAT HAVE TRADITIONALLY BEEN RELIEF OR DEVELOPMENT PROJECTS INTO LOCALLY OWNED AND MANAGED ENTREPRENEURIAL SOLUTIONS
EVERYONE SUFFERS FROM…
LIMITED KNOWLEDGE
LIMITED HUMAN RESOURCES
LIMITED FINANCIAL RESOURCES
MISCONCEPTIONS

3. “Amazing entrepreneurial opportunity! There are no stove businesses.”
A development organization sends two trainers to a country in Latin America to study the prospects for teaching entrepreneurs to sell wood burning stoves to the rural poor. One sends back an saying –
“Situation hopeless. Everyone cooks on the floor or gets stoves donated.”
The other one writes back triumphantly –
“Amazing entrepreneurial opportunity!
There are no stove businesses.”
How do we identify and take advantage of opportuniites…..development opportunities that are in the individual self interest and collective self interest

4. POOR DEVELOPMENT DECISION MAKING
TOP DOWN
BOTTOM UP
NGO
NGO
Paternalism – we know better than you or other end of pendulum, go for it, you know better than us
These are more relief models than development models
Money without knowledge will be wasted and knowledge without money cant be used
CONSTITUENTS
CONSTITUENTS

5. THE MICROCONSIGNMENT SOLUTION
APPROPRIATE COMPELLING SUSTAINABLE
challenge
response
strategy
tactics
GUIDING PRINCIPLES
A logical and respectful transfer of knowledge and skills
Fiscal responsibility equals enhanced creativity
It assures a high quality and appropriate service/product.
An opportunity to efficiently deliver multiple products and services Everyone is the beneficiary
TRANSPARENT
ACCOUNTABLE
Everyone has a role to play
Service mentality
Create models that continually address this…not just set up a model after having done it

6. THE MICROCONSIGNMENT SOLUTION
identification
training
resources
products
service
products
payment
provides a distribution and logistical solution for “the last mile” of delivering needed products and services to remote communities • Community problems are addressed by local entrepreneurs in an effort to create sustainable enterprises • New businesses and income generating opportunities are created as “first movers” • Entrepreneurs profit within a month of start-up • • Entrepreneurs are able to “test drive” a business • Local entrepreneurs solve local problems using the appropriate language/dialect • Entrepreneurs gain respect in their communities and are therefore looked at to provide further beneficial products and services thus allowing them to expand their offering • A high- quality product/service is assured as the beneficiaries are paying clients who expect their needs to be served • Entrepreneurs with very little education or with limited time can be very successful • • Low relative start-up and ongoing capital needs for development organizations • A minimum amount of oversight is required • Micro-credit
CLIENTS VOTE
results
part of payment
products
payment for
products

7. EVERYONE SUFFERS FROM…
LIMITED KNOWLEDGE
LIMITED HUMAN RESOURCES
LIMITED FINANCIAL RESOURCES
MISCONCEPTIONS

12. THE MULTIPLIER EFFECT 800 STOVES - $660,000
MICROCONSIGNMENT -
EXPENSES AND REVENUES:
Stove Cost of Materials: $65
(NGO Contribution)
Entrepreneur sales price of stove: $90
Monthly payments of family (6 months): $15
Funds returned to NGO: $75
Earnings of entrepreneur: $15
ANALYSIS AND IMPACT:
Monthly cost of cooking on floor: $30
Monthly savings with stove (50%): $15
NET COST OF STOVE TO FAMILY: $0
FIRST YEAR SAVINGS: $90
SUBSEQUENT ANNUAL SAVINGS: $180
FIVE YEAR SAVINGS: $810
NGO IMPACT FROM $65 – YEAR ONE
Entrepreneur Revenue $30
Family Savings $1,620
FOR NGOS ITS NOT ABOUT THE HOW MUCH BUT RATHER ABOUT THE HOW
ONCE YOU HAVE THE TRAINING AND INFRASTRUCTURE IN PLACE EXPANSION IS CHEAP
YEAR FOUR - $6,600
800 STOVES - $660,000

13. IT’S AN OPPORTUNITY – TAKE IT OR LEAVE IT GET TO 80%
GUIDING PRINCIPLES
THINK BIG, WORK SMALL
IT’S AN OPPORTUNITY – TAKE IT OR LEAVE IT
GET TO 80%
FACILITATE THE ACTIVITIES, DON’T MANAGE THE OUTPUTS
RESPECT THE “KASTANZA RULES”
NO ONE EVER HAS ANY MONEY

14. EVERYONE SUFFERS FROM…
LIMITED KNOWLEDGE
LIMITED HUMAN RESOURCES
LIMITED FINANCIAL RESOURCES
MISCONCEPTIONS