Brief information about the programme
The three countries of the South Caucasus, Armenia, Azerbaijan and Georgia, face the challenge of generating broad based inclusive growth to reduce the urban-rural gap and poverty above all in rural regions. In view of the small domestic markets with low purchasing power, the primary aim is to expand foreign trade. High policy priority is therefore accorded to diversifying the economy and improving the competitiveness of export products. The greatest export potential exists in processed agricultural products and - though not in all countries - tourism development. In Azerbaijan there is scope for revitalizing the plastics industry.
Small and medium-sized enterprises (SMEs), however, do not take advantage of the market opportunities provided by the European Union (EU), the main trade partner. The core problem lies in the lack of adequate entrepreneurial and institutional preconditions for developing foreign trade-oriented sectors for inclusive growth. The reasons for this lie in the insufficient capacities of the institutions engaged in economic policy, trade promotion and vocational qualification policy. There is hardly any inter-institutional cooperation and dialogue with the private sector. Services are lacking in the fields of production, quality, procurement and distribution. The increasing demand for specific qualifications and competence poses a further challenge for private sector development. Also, there is no systematic exchange of information and experience on economic policy issues among the South Caucasian countries.
The objective of the technical cooperation (TC) measure, Private Sector Development South Caucasus, is therefore: the conditions for the development of selected foreign trade-oriented sectors for inclusive growth have improved. To achieve this, the programme focuses on three intervention fields: (1) Improvement of the business development framework conditions, (2) Promotion of the private sector in the selected value chains, and (3) Vocational qualification. Business needs-oriented promotion of the private sector in the value chains with proven export potential is of the central importance. The intervention areas ‘Improvement of the business development framework conditions’ and ‘Vocational qualification” are geared to this. The programme supports the implementation of policies, strategies and pilot measures.
The measures are implemented in cooperation with the Physikalisch-Technische Bundesanstalt (PTB) and in coordination with the ongoing projects of the United States Agency for International Development (USAID) that support agricultural production in Georgia and Azerbaijan within the value chain promotion framework. An integrated development partnership (PPP / public private partnership) with the economy initiated by the predecessor programme in Armenia and Georgia is continued. There is potential for further cooperation with the private sector. The programme operates at the national level in each of the three countries as well as in pilot regions and promotes the exchange of experience and cooperation at the regional level.
In addition, there are three projects attached to the PSD SC programme which are in line with the objective and intervention fields of the programme:
(1) The project “Economic Integration of Syrian Refugees in Armenia” tackles the challenges related to Syrian refugees with an Armenian ethnic background that immigrated to Armenia during the last years due to the civil war in Syria. In order to support the economic integration of refugees in Armenia, the project supports the economic dialogue and coordination of relevant stakeholders, the integration in existing business networks as well as the access to and the adaptation of employment and qualification programmes. It comprises of three main intervention fields: (1) Public-Private-Dialogue and Participation, (2) Integration in Value Chains and Business Networks, (3) Vocational Qualification and Skills Development.
(2) The project “SME Development and DCFTA” is related to the Association Agreement and the Deep and Comprehensive Free Trade Area (DCFTA) which was signed by Georgia and the European Union in 2014. The European Union is co-financing a support to SME development and DCFTA to be implemented by the GIZ Private Sector Development programme. It seeks to assist the Georgian Government in the implementation process of the DCFTA, supporting the development of the SME sector to adapt to DCFTA regulations and facilitating Georgia’s integration into the EU market. The project comprehends following components: (1) Improved enterprise development framework and SME participation in the political dialogue, (2) Comprehensive capacity development for SME support institutions with focus on improved service delivery, (3) Enterprise development and promotion via clustering and support to business networks on national, sector and local level, (4) Business clusters and networks integration into relevant existing EU networks for enterprise development, investment and trade promotion.
(3) The project “SME Development” in Armenia is co-financed by the EU and implemented by the GIZ Private Sector Development Programme. It focuses on the improvement of the Armenian business and investment climate and the support to the development of the SME sector, in particular the link between research and economy as well as access to finance. The projects comprehends following result areas: (1) Improved policy making process and coordination of support to SME development, (2) Strengthening private sector organization to implement SME policies, (3) Improved process of commercialization of ideas linking research institutions and business via cooperation networks, (4) Improved design and management of economic clusters (incubators, technoparks and Free Economic Zones (FEZ)).
The entire programme has a total budget of EUR 29,693,940 which is divided as follows:
- General PSD SC Programme: EUR 15,760,000 for three years and five months (2013 - 2017).
- Project “Economic Integration of Syrian Refugees in Armenia”: EUR 2,500,000 for two years (2015 – 2017).
- Project “DCFTA and SME Development” in Georgia: EUR 5,033,940 for four years (2015 – 2019).
- Project “Support to SME Development in Armenia”: EUR 6,400,000 for four years (2016-2019)
Module objective: The conditions for developing selected foreign-trade sectors for broad-based inclusive growth have improved.
Indicators
1. In the economic sectors promoted by the programme, altogether six business framework conditions issues (e.g. sectorial development programmes, trade regulations and procedures, vocational qualification, economic integration of Syrian refugees in Armenia) have been improved.
2. Two policy documents (strategies) each contain gender-specific or conflict-sensitive measures.
3. 70% of interviewed enterprises in the promoted value chains (Wertschöpfungsketten) that have introduced new or improved management tools have raised their business performance (citing the positive changes, e.g. increased turnover, improved quality of products, diversification of business contacts, reduction of rejects, and improved energy efficiency, adaption to climate change, and human resource promotion and development (HRD)).
4. 50% of enterprises in the promoted value chains (Wertschöpfungsketten), including complementary service providers, assess the labour-market relevance of the new or adapted offers for vocational qualification as higher than that of existing offer for vocational qualification (in particular the offer for Syrian refugees in Armenia).
Target groups and other stakeholders
The programme target group is females and males, owners and employees of enterprises (primarily SMEs) in the selected value chains and their suppliers. Female entrepreneurs are often engaged in micro and small enterprises in the traditional sectors (agriculture, production and sale of processed food, handicrafts, service sector, e.g. tourism).
As part of the vocational qualification measures, the target group includes job-seekers and alumni of vocational schools and higher education institutions as well. In Armenia, significantly more women are affected by unemployment than men (35% of the female workforce is unemployed vs 22% of male; data from 2011). The unemployment rate among young women amounts to 40.7% in Georgia and to 69.4% in Armenia (32.4% and 42.7% respectively among male youth).
Other stakeholders are the teaching staff of vocational schools; specialists and managerial personnel of think tanks; representatives of ministries involved; service providers (e.g. export promotion agencies, management consultants) and non-governmental organisations.
The project “Economic Integration of Syrian Refugees” concentrates on Syrian refugees in Armenia as a target group with a special focus on women and people of the age between 30 and 50 years as well as young people.
Context and current situation in the field of assignment
Several line ministries in Armenia have arrived at the conclusion that sustainable and robust support measures to economically integrate persons who fled the conflict zones in Syria, must materialize. As inter-ministerial discussions, stakeholder discussions are taking place, many different problems are confronted. Nonetheless, very few formations for multistakeholder cooperation to tackle the need for integrating, mainly Syrian-Armenians, into the economy, has presented itself.
From the State Employment Agency (SEA) and its Labour Migration Unit (LMU), under the Ministry of Labour and Social Affairs, Republic of Armenia, a new approach to work with two target groups
(1) persons who fled areas of armed conflict and
(2) refugees,
has initiated steps by envisioning a consolidated and strategic view of the Creative Sector, as preliminary studies involving the target groups have demonstrated skills and experience in the Creative Sector. Studying the Creative Sector and examining the creative employment opportunities is of great importance for the future development of the Armenian labour market; with the constraints on the labour market, past and current, there’s a need to apply latest approaches in global labour market development. As labour markets in Europe increasingly become more experience oriented, and not necessarily production-based with strong manufacturing industry or financial centric, the Armenian economy and labour market show strong signs enhancing its business environment becoming more experienced-based, especially in the tourism sector, but also in the IT sector. Evidence collection of the Creative Sector in Armenia is assumed to be significant, however in great need of exploration and future planning for pilot projects aiming at the promotion of a national strategy and prioritization This Terms of Reference for a pre-study and mapping of the creative employment opportunities in Armenia will examine the potential for Armenia, at large, and the Labour Migration Unit, to review the potential and promote directions for state involvement in supporting initiating actions in promoting Creative Employment in Armenia, and particularly with an inclusive approach towards those who arrive in Armenia from areas of armed conflict.
The main questions to be researched and answers to be gained in the framework of the prestudy are:
• What does the Creative Sector look like, what Creative jobs are there and what’s their size and significance in relation to the domestic and international markets?
• Which Creative jobs are extra interesting to focus on particularly for Syrian Armenian integration, what modalities can be identified and extracted in particular (of strategic value, and why)?
• What Creative Skills Sets, with focus on Syrian Armenians, do we have in the country, what is the demand, what can be offered for domestic and international markets?
• Which needs for skill development / adaptation / upgrading is necessary for Syrian Armenians to tap into opportunities and for matching of demand and supply?
• What is the significance of Intellectual Property (IP) and Intellectual Property Rights (IPR) for the Creative Industry in Armenia; what is the current status of IP and IPR in the country and what needs to improve?
Target Group
The main target group of the pre-study are the Syrian-Armenian youth (i.e. recent graduates, young professionals) of untapped talent and ambition who aspire for entrepreneurship in the Creative Industry, and show the desire to transition from informal labour to formalized economic activity. The target group can also include business-minded, highly skilled individuals who consider themselves practicing creative employment in Armenia with a visible track of success and sustainability, including export activity, as well as individuals with creative skills and experience who are struggling to locate employment in Armenia. The target group includes yet unidentified individuals at the forefront of innovation and creative employment whether SyrianArmenian or Armenian. Some of the identified Syrian-Armenian youth groups to target include those in: architecture, textile and printing, digital design and the general crafts and arts, including knitting and embroidery.
Conditions and payment terms
Payment shall be effected depending on the type of remuneration, following the performance of services, submission of reports, acceptance of services performed and invoicing. If travel to Yerevan or other places in Armenia is necessary, then the possibly required number and cost of travel should be clearly stated in the offer.. Costs associated with conducting a workshop(s) will be covered by GIZ EISRA project (e.g. venue, interpretation, catering).
Coordination and communication
- The contractor reports to Mr. Jan Mikael Åhlin, CIM Integrated Expert to the State Employment Agency (RA MLSA) +37455151611. mikael.ahlin@cimonline.de, and GIZ PSD SC EISRA project expert Ms. Karine Simonyan karine.simonyan@giz.de.
- The contractor will coordinate closely in all technical issues with the CIM Integrated Expert, all activities must be approved by the CIM Integrated Expert in advance.
- The contractor should closely cooperate with other companies/experts contracted within GIZ PSD SC EISRA project conducting/implementing: a) feasibility study SA industrial zone/business center, b) database creation, c) fact finding for organisational development, as well as find synergies with a feasibility study on Potential Creative Industries Support Measures and Interventions implemented under GIZ PSD SC and EU co-founded project “Support to SME Development in Armenia” (SMEDA).
Submission Requirements
The company may apply through a consortium with other consulting companies/ international experts. At least 20% of the expert days shall be allocated for international expertise. GIZ will sign a contract with a lead contractor for the entire budget, who can have subcontracts with other companies/experts.
The hired company needs to meet the following requirements
- A documented path of experience with a minimum of five years in the fields of labour migration, inclusive growth, socioeconomic development action planning and implementation, public policy production, business development, entrepreneurship, employment support measures, creative industries, modeling and (if possible) long-term experience in the field of coaching unemployed (immigrants) to valuable and fulfilling employment (esp. applicable to the international expert sought).
- Proven expertise in the area of conducting socioeconomic development research, target group identification and needs-analysis similar to the assignment, in Armenia and internationally (proven by references attached to the offer); Ability to access, establish and manage networks; Prior experience in dealing with Syrian Armenians in Armenia and their economic integration (proven by references attached to the offer);
- Proven ability to access to networks and individuals of the creative industry in Armenia, also the ones operating in informality; Excellent understanding of and ability to meet the demands and standards of an institution of international development cooperation;
- Excellent understanding of how to approach and communicate with private businesses/start-ups, intermediaries, international organisations, government and state institutions;
- Structured, efficient, transparent and professional way of cooperation and communication, especially in case of applying as a consultancy company;
- Creative and innovate approaches for substantial and user-friendly publications and presentations. Experience in organizing and conducting workshop and conferences.
- Proficiency in English (written and spoken), all deliverables in British English; *It is paramount that the applicant declares the precise skills and competences that are being planned and allocated to the areas and topics of concern. Moreover, indicate clearly in what way the competence is tied to the research delivery and process, teambased or individual. Technical support from the CIM Integrated Expert can then be properly addressed and allocated. In the event that the applicant’s proposal fails to deliver upon this specification, the proposal will be disqualified.