PISDAC

Pakistan Initiative for Strategy Development and Competitiveness

A joint SMEDA-USAID sponsored Public-Private Dialogue on Competitiveness was conducted over an eight-week period (May - July 2004) in which sessions were held with stakeholders of all important SME clusters in Pakistan. The purpose of the dialogue was to stimulate debate by leading a focused discussion that sought to identify global trends in innovation and investment the two drivers of competitiveness in key industry sectors.  Business champions in each region and from key SME sectors and others were brought together in a series of workshops to identify trends in innovation and investment in the global markets within each sector. The implications of these trends were considered illustratively in terms of four areas of relevance; human resources, research and development, infrastructure, and management. From this discussion, the dialogue was developed into one that identified priority areas for business and the policy community.
 
More than 300 people participated in 15 workshops held all over Pakistan. The sectors covered during this exercise included gems & marble, agro-processing, dairy, information technology, food processing, light engineering and fisheries. This exercise has provided valuable insight into the problems and challenges currently being faced by SMEs in Pakistan. The major findings include
 

  1. Lack of up-to-date Information about target markets, inputs, policies, regulations, etc.
  2. The role of the trade/industry associations is not properly understood. Hence the associations are not able to effectively promote the interests of their members.
  3. There are weak linkages between Industry and Academia. (This also affects the quality of HR being produced).
  4. There is an across the board need for testing, accreditation facilities for inputs/raw materials & products.

The objective of the PISDAC Project is to support self-selected Pakistani industries in developing strategies for upgraded production. The goal is to help institute a self-sustaining process by which such industries organize themselves to increase their productivity. In particular, the Project will work to help the industries organize, plan, and implement actions to increase their competitiveness. At the conclusion of the project
 

  1. The selected industries will have developed better strategies for upgrading industrial production.
  2. Leaders in these and other industries will be able to identify sources of funds, private and public,
  3. To implement these strategies.
  4. Public -private dialogue on competitiveness and the role of the public sector will be more effective.
  5. Industries, independently and in concert, will be able to identify specific reforms that could improve the ability of Pakistani small and medium enterprises to expand and/or increase profitability.
  6. Training providers, including universities, will be more capable of meeting the changing needs of the labor market.


Currently the project is working with the stakeholders from the Dairy, Marble & Granite, Gems & Jewelry, and the Cotton sectors. More sectors will be addend to the Project during FY 2005-06.