Generating Knowledge Products to Support the Implementation and Dissemination of LED Policies throughout Latin America and the Caribbean (LAC) El documento actual es una versión en revisión.

1.
“Generating
Knowledge
Products
to
Support
the
Implementation
and
Dissemination
of
LED
Policies
throughout
Latin
America
and
the
Caribbean
(LAC)”
Joint
Research
Initiative
Berkeley-­‐Orkestra-­‐FOMIN
Proposed
Methodology
for
Case
Studies
on
Local
Governance1
Draft
December
8,
2011
1
This
methodology
builds
on
the
following
documents:
proposal
to
the
FOMIN
Productivity
Fund
“Generating
knowledge
products
to
support
the
implementation
and
dissemination
of
LED
policies
throughout
LAC”;
“Diseño
y
trasferencia
de
metodología
para
el
levantamiento
de
casos
prácticos
en
desarrollo
económico
local”
by
K.
Fernandez-­‐Stark
and
G.
Gereffi
(Duke
University);
“Pautas
para
la
elaboración
de
estudios
de
caso”
(IDB,
April
2011);
“Coordinación
institucional
y
la
colaboración
de
los
sectores
publico
y
privado:
términos
de
referencia
para
un
estudio
de
caso
sobre
la
cooperación
de
actores-­‐múltiples”
by
G.
Casaburi;
and
“
Learning
from
the
local:
governance
of
networks
for
innovation
in
the
Basque
country”
by
M.
J.
Aranguren,
M.
Larrea,
ad
J.
Wilson
(European
Planning
Studies
Col.
18,
No.
1,
January
2010).
In
addition,
the
document
was
revised
by
researchers
and
experts
during
a
meeting
held
at
the
IDB
on
December
1
and
2,
2011.

2.
Table
of
contents
I.
BACKGROUND ............................................................................................................................... 3
II.
PREPARATION
OF
CASE
STUDIES .................................................................................................. 3
1.
CASE
SELECTION
CRITERIA ..................................................................................................................3
2.
CASE
STUDY
DESIGN ..........................................................................................................................4
III.
STRUCTURE
OF
CASE
STUDIES
ON
LOCAL
GOVERNANCE .............................................................. 5
1.
DESCRIPTION
OF
THE
EVOLUTION
OF
THE
REGION,
THE
CLUSTER
(IF
THERE
IS),
AND
OF
THE
LED
AGENCY
(IF
THERE
IS
ONE) ...........................................................................................................................................5
1.1.
DESCRIPTION
OF
THE
DYNAMICS
OF
THE
REGIONAL
CONTEXT
AND
ROLE
OF
KEY
ACTORS ...................................6
1.2.
DESCRIPTION
AND
ANALYSIS
OF
BUSINESS
SECTOR....................................................................................6
1.3.
DESCRIPTION
AND
ANALYSIS
OF
THE
PUBLIC
SECTOR .................................................................................6
1.4.
DESCRIPTION
AND
ANALYSIS
OF
THE
LEVEL
OF
INFRASTRUCTURE
AND
THE
LEVEL
OF
HUMAN
AND
SOCIAL
DEVELOPMENT .................................................................................................................................6
2.
ANALYSIS
OF
THE
LOCAL
GOVERNANCE
(ALSO
CALLED
PUBLIC-­‐PRIVATE
MANAGEMENT
MODEL,
PPMM).............7
3.
ASSESSMENT
OF
THE
RELEVANCE
OF
THE
ENVIRONMENT
IN
THE
DEVELOPMENT
STRATEGY
OF
THE
REGION .ERROR!
BOOKMARK
NOT
DEFINED.
4.
DETAILED
ANALYSIS
OF
SOME
OF
THE
CONCRETE
INITIATIVES/ACTIONS
UNDERTAKEN
DURING
THE
FOMIN
PROJECT
THAT
PROVED
TO
BE
CRITICAL
FOR
THE
SUCCESS/FAILURE
AND
EVOLUTION
OF
THE
REGION .....ERROR!
BOOKMARK
NOT
DEFINED.
5.
CONCLUSIONS ..................................................................................................................................8
IV.
CROSS-­‐ANALYSIS
OF
CASE
STUDIES ............................................................................................. 8
1.
PUTTING
IT
ALL
TOGETHER:
IDENTIFICATION
OF
COMMON
PATTERNS
AND
ELEMENTS
FOR
SUCCESS ....................8
2.
KNOWLEDGE
PRODUCTS .....................................................................................................................9
2

3.
I.
Background
The
MIF
Local
Economic
Development
(LED)
Agenda
aims
to
expand
the
adoption
of
local
economic
development
policies
and
strategies
based
on
public-­‐private
interaction
and
geared
to
economic,
social,
and
environmental
sustainability.
These
policies
foster
micro,
small
and
medium
enterprise
(MSME)
development
by
strengthening
the
economic
competitiveness
factors
in
the
territories
in
which
they
operate.
Currently
in
the
third
stage
of
the
concept
maturity
curve,
this
Agenda
includes
30
projects
(this
includes
6
projects
to
be
approved
in
2011).
One
of
the
key
components
of
the
projects
that
FOMIN
implements
to
foster
LED
is
the
creation
of
a
local
institutional
arrangement
that
is
responsible
for
the
design
and
implementation
of
LED
strategies
and
action
plans.
These
institutional
arrangements
may
take
different
shapes
and
functions,
and
ultimately
lead
to
different
types
of
outcomes.
The
main
objective
of
these
case
studies
is
to
generate
knowledge
products
on
how
public-­‐
private
management
models
(PPMM)2
emerge
around
LED
and
what
role
these
PPMM
play
in
guiding
change
(change
in
policies,
programs,
trajectories,
outcomes,
etc.),
filling
a
knowledge
gap
that
is
affecting
the
implementation
and
dissemination
of
LED
policies
throughout
Latin
America
and
the
Caribbean
(LAC).
II.
Preparation
of
Case
Studies
This
section
focuses
on
the
preparation
work
that
has
to
happen
in
order
to
develop
the
case
studies.
First,
it
provides
criteria
for
the
selection
of
the
experiences
that
will
be
the
object
of
the
case
studies.
Second,
it
provides
elements
for
the
design
of
the
case
studies,
including
objective,
research
questions,
unit
of
analysis,
and
tools
for
data
collection
and
analysis.
1. Case
Selection
Criteria
1. Public-­‐private
interaction
Variables
to
be
considered:
• Number
of
actors
participating
in
local
committee/forum/agency
• Diversity
and
representativeness
of
actors
• Relevance
of
actors
involved
in
the
program
2. Construction
of
a
LED
strategy
Variables
to
be
considered:
• Number
and
typology
of
initiatives
included
in
the
strategy
• Funding
of
the
initiatives,
taking
into
account
whether
there
is
resource
pooling
• Whether
the
PPMM
was
able
to
influence
a
policy
change
at
the
regional
or
national
level
3. Formalization
of
the
public-­‐private
interaction
Variables
to
be
considered:
• Type
of
public-­‐private
management
model
(PPMM)
adopted
(in
order
to
select
cases
that
offer
a
variation
in
the
typology
of
PPMM)
• Stage
in
the
process
of
PPMM
creation:
incipient
vs.
mature
PPMM
• Whether
the
PPMM
obtained
legal
recognition
• Typology
of
public
and
private
actors
represented
in
the
PPMM
3

4.
4. Collective
goods
Variables
to
be
considered:
• Range
of
collective
goods
generated
in
the
region
• Number
and
range
of
actors
involved
in
the
formation
of
collective
goods
• Type
of
management
arrangements
adopted
for
the
collective
goods
5. Characteristics
of
the
public
sector
involved
Variables
to
be
considered:
• What
level
of
public
sector
is
involved
in
the
PPMM:
municipal
government,
Group
of
municipalities
(like
a
mancomunidad),
provincial/regional
government,
national
government
2. Case
Study
Design
• Objective:
The
main
objective
of
these
case
studies
is
to
generate
knowledge
products
on
how
public-­‐private
management
models
(PPMM)
emerge
around
LED
and
what
role
these
PPMM
play
in
guiding
changes
in
LED
(change
in
policies,
programs,
trajectories,
outcomes,
etc.).
This
objective
will
be
reached
using
the
experience
of
the
projects
included
in
FOMIN’s
LED
Agenda
as
well
as
by
drawing
lessons
from
other
experiences
(for
example,
from
Europe
and
Asia).
The
knowledge
generated
through
the
research
will
be
disseminated
to
practitioners
and
policymakers,
and
will
help
build
methodologies
that
will
guide
public
and
private
stakeholders
in
Latin
American
countries
in
the
design
and
implementation
of
LED
strategies.
• Research
questions:
Broadly
speaking,
what
we
want
to
find
out
through
the
case
study
is:
What
worked
well
and
why?
What
could
have
worked
better
and
why?
More
specific
research
questions
for
these
case
studies
are
listed
in
the
following
table.
Table
1.
Research
Questions
Research
questions
for
case
studies
on
local
governance3
1. What
are
the
ranges
and
types
of
PPM
that
are
pertinent
for
LED
strategies?
The
typology
would
emerge
from
a
mixture
of
existing
literature
and
FOMIN
cases.
2. Which
are
the
ex-­‐ante
factors
that
have
influenced
the
particular
PPM
structure
under
consideration?
In
particular,
the
context
and
the
specific
objectives
of
the
LED
strategy
should
be
addressed,
as
well
as
the
relationships
existing
among
the
firms
(and
other
stakeholders).
3. What
other
key
factors
have
motivated
that
particular
PPM
structure?
What
are
the
mechanisms
that
lead
to
its
formation?
4. What
are
the
incentives
for
the
actors
to
participate
and
the
barriers/obstacles
they
have
encountered
in
the
different
stages
(with
a
particular
emphasis
on
the
initial
ones)?
What
are
the
strategies
that
are
pursued
at
the
local
level
in
order
to
reach
a
more
formal
governance
structure?
5. What
are
the
outcomes
that
have
been
achieved
and
what
is
the
relationship
between
them
and
the
PPM
structure
under
analysis?
6. How
can
the
sustainability
of
collective
action
be
reached?
What
are
the
factors
that
3
In
this
document,
the
expression
governance
(or
local
governance)
is
used
as
synonym
of
public-­‐private
management
model
for
LED
(PPMM).
4

5.
threaten
it
and
how
can
they
be
avoided?
Research
questions
for
case
studies
on
local
governance
where
environmental
issues
are
central
(in
addition
to
previous
questions)
1. How
did
the
PPM
structure
incorporate
the
sustainable
use
of
natural
resources
for
productive
ends
in
its
strategy?
2. Who
were
the
new
players
in
the
local
governance?
3. How
did
the
incorporation
of
the
management
of
natural
resources
influence
the
local
governance?
• Unit
of
Analysis
(what
or
who
will
be
“investigated”):
in
this
case,
it
is
a
particular
public-­‐private
initiative
that
could
be
more
or
less
formalized.
• Background
and
context:
before
getting
into
the
analysis
of
the
specific
case,
the
case
study
will
include
a
review
of
existing
literature
on
the
topic
in
order
to
contrast
it
against
the
case
studies
to
be
developed,
and
the
conceptualization
and
definition
of
the
expression
“territorial
governance”
(commonly
used
in
FOMIN
projects)
to
effectively
convey
a
wide
range
of
public-­‐private
management
models
for
LED
(PPMM).
• Methods
and
tools
of
data
collection:
these
are
defined
based
on
the
type
of
research
questions
that
the
case
study
aims
at
addressing.
In
general,
these
will
include
document
review,
fieldwork
to
collect
qualitative
and
quantitative
data
about
the
case
under
analysis,
interviews
with
IDB/FOMIN
staff
and
consultants
involved
in
the
projects
(when
applicable).
• Methods
of
analysis
and
interpretation
of
data:
qualitative
and
quantitative
analysis
will
be
used
for
each
case
study,
applying
a
mixed
method
analysis
whenever
possible.
• Cross-­‐case
analysis
of
case
studies:
identify
common
patterns
and
draw
conclusions
and
recommendations.
III.
Structure
of
Case
Studies
on
Local
Governance
What
follows
is
a
schematic
description
of
what
could
be
the
areas
of
research
that
should
be
covered
by
each
case
study.
These
are
guidelines
that
can
orient
the
research
as
well
as
the
outline
of
each
case
study.
1. Description
of
the
evolution
of
the
region,
the
cluster
(if
there
is),
and
of
the
LED
agency
(if
there
is
one)
Place
the
particular
case
and/or
the
FOMIN
project
within
their
historical
context
•
and
long-­‐term
perspective:
look
at
processes
and
analyze
the
project
as
part
of
a
longer
process.
• Within
this
narrative
description,
it
is
important
to
highlight
factors
of
the
FOMIN
project
that
had
some
influence/impact
on
the
region/cluster/agency.
• What
are
the
competitive
and
comparative
advantages
of
the
region?
• Are
there
obstacles
that
hamper
gaining
more
benefits
from
competitive
and
comparative
advantages?
In
order
to
give
a
complete
picture
of
the
evolution
of
the
region/cluster,
provide
information
based
on
the
following
sub-­‐sections:
5

6.
1.1. Description
of
the
dynamics
of
the
regional
context
and
role
of
key
actors
• General
information
about
the
region:
size,
urban
area
vs.
rural
area,
population
trend,
etc.
See
table
below
for
an
example
of
data
to
collect.
This
is
a
minimum
set
of
basic
data
that
is
necessary
in
order
to
put
each
specific
case
study
in
context
and
provide
elements
for
comparisons
across
cases.
Table
2.
Demographic
variables
2000
2005
2010
Demographic
Variables
Country
Region
Country
Region
Country
Region
Total
Population
Population
growth
(%)
2
Total
area
(Km )
Urban
area
(%
of
total)
Rural
area
(%of
total)
• Describe
the
key
economic
sectors
in
the
region
that
are
linked
to
the
main
sector
under
study.
• Who
are
the
major
economic
players
in
the
region?
• Carry
out
a
SWOT
analysis
of
the
region
(optional).
1.2. Description
and
analysis
of
business
sector
• What
is
the
firm
structure
existing
in
the
region
(small
and
medium,
large
firms,
headquarters
or
branches
of
multinational
companies,
cooperatives,
informal
sector)?
• What
are
the
main/leader
companies
in
the
region
and
in
what
sectors?
What
are
the
power
dynamics
within
the
business
sector?
• Are
there
any
support
programs
for
the
productive
sector,
and
in
particular
for
SMEs?
(if
relevant)
• Is
access
to
finance
available
for
business
(specifying
whether
there
are
differences
for
SMEs
and
for
large
firms)?
(if
relevant)
• Are
there
any
relevant
programs
and
actors
in
the
field
of
workforce
training
(such
as
vocational
schools)
and
R&D
for
innovation?
1.3. Description
and
analysis
of
the
public
sector
• Describe
the
type
of
government
organization
in
the
territory.
• Identify
the
main
players
in
the
public
sector
that
operated
in
the
territory.
• Provide
a
brief
description
of
the
level
of
decentralization
(including
the
existence
of
particular
laws
for
“mancomunidades”)
• Identify
the
impact
of
the
political
cycle
/
political
turnover
(if
relevant)
1.4. Description
and
analysis
of
the
level
of
infrastructure
and
the
level
of
human
and
social
development
(if
data
is
available;
the
relevant
region
should
be
clearly
defined
in
each
case)
Briefly
describe
the
existence
and
quality
level
of
the
following:
• Transportation
(airports,
harbors,
bus
and
train
terminals)
• Telecommunication
(landlines,
cell
phones,
internet)
• Energy
(gas,
oil,
hydroelectric,
etc.)
• Schools,
hospitals
Provide
a
brief
analysis
of:
• Level
of
education
in
the
region
6

7.
• Level
of
education
of
the
workforce
(in
the
main
economic
sectors)
• Main
needs
for
human
capital
development
• Evolution
of
employment
and
unemployment
• Evolution
of
poverty
level
in
the
region
• Description
of
main
health
issues
in
the
region
Table
3.
Example
of
employment,
poverty,
and
education
variables
2000
2005
2010
Variables
Country
Region
Country
Region
Country
Region
Employment
Total
population
employed
Participation
of
women
in
the
workforce
(%)
Unemployment
(%)
Poverty
Population
below
country
poverty
line
(thousands)
Population
below
country
poverty
line
(%total
population)
GNI
index
Education
R&D
as
%
of
GDP
Education
as
%
of
GDP
Literacy
rate
(%)
Population
with
primary
school
degree
(%)
Population
with
secondary
school
degree
(%)
Population
with
university
level
degree
(%)
2. Analysis
of
the
local
governance
(also
called
public-­‐private
management
model,
PPMM)
• Relevant
historical
analysis
of
the
unit
of
analysis
(the
PPM
and
the
region
where
it
operates)
• Describe
the
context
in
which
the
local
governance
is
operating:
o Identify
main
entities/agencies
for
local
economic
development
and
their
main
activities
in
the
last
few
years.
Describe
success
and
failure
of
these
activities
o Identify
main
firm
associations
and
describe
their
role
in
the
local
context
o Identify
and
describe
the
type
of
relationships
existing
among
firms
(horizontal
vs.
vertical,
cooperation
vs.
competition)
o Identify
main
NGOs
and
describe
their
role
in
the
local
context
o Describe
citizen
participation
in
decision-­‐making
processes
o Is
there
a
shared
vision
for
the
future
of
the
region
and
about
its
collective
identity?
• Provide
a
profile
of
the
PPM
structure:
is
it
formalized?
Does
it
have
its
own
budget?
If
so,
what
is
it?
Does
it
have
any
infrastructure
(like
offices)?
• Concisely
describe
the
success
(or
failure)
of
the
experience
in
terms
of
“before”
and
“after”.
What
are
the
key
factors
that
have
motivated
the
adoption
of
a
specific
public-­‐private
management
model
(PPMM)?
What
are
the
mechanisms
that
led
to
the
formation
of
such
PPMM?
What
are
the
motivations
of
the
actors
and
the
power
dynamics?
• The
process
of
building
local
governance
is
a
very
long
and
complex
one,
and
in
many
FOMIN
projects
(and
in
general,
in
many
regions
throughout
LAC)
the
process
is
still
at
the
beginning
and
the
governance
arrangements
that
we
can
observe
are
still
very
incipient
and
not
formalized
in
any
particular
“institution”
yet.
Bearing
this
mind,
analyze
the
factors
that
may
be
a
barrier
or
an
incentive
at
these
initial
stages.
7

8.
What
are
the
strategies
that
are
pursued
at
the
local
level
in
order
to
reach
a
more
formal
governance
structure?
Where
there
any
leaders
pushing
for
building
the
local
PPM?
• Describe
how
actions
are
decided
and
implemented,
what
types
of
decision
mechanisms
are
in
place,
and
how
they
contribute
to
achieving
the
objective
of
the
local
development
strategy.
How
relevant
information
is
handled/managed?
Were
actions
taken
to
improve
information
exchange
among
actors?
Do
actors
perceive
that
there
is
information
asymmetry?
Was
the
local
governance
structure
able
to
manage
or
solve
conflicts
of
interest
among
local
stakeholders?
• Describe
the
initiatives
and
positive
outcomes,
both
objective
and
subjective,
of
the
story
(either
if
it
is
a
success
or
a
failure).
Are
these
outcomes
associated
to
the
PPMM
adopted
in
the
region?
Provide
concrete
examples,
with
the
specific
skills
and
capacities
that
were
necessary
to
reach
those
outcomes.
• Identify
negative
side
effects
and
costs
of
success.
• Turning
points:
o Identify
key
turning
points
between
“before”
and
“after”
o Detail
the
role
of
governance
in
changing
the
course
of
action
at
this
stage.
• Identify
the
common
elements
that
underlay
the
actions
that
led
to
success.
• Analyze
“social
capital”
and
trust
among
actors:
did
actors
already
collaborate
before
the
project?
Were
there
factors
or
key
moments
that
contributed
to
building
trust/social
capital,
or
that
hampered
such
process?
What
was
the
quality
of
the
relationships
(use
Giuliani’s
work
as
a
starting
point
–
Social
Network
Analysis)?
• Perception
of
actors
participating
in
the
governance
structure:
did
the
way
of
thinking
of
actors
change
after
the
construction
of
local
governance?
How
have
the
functions
and
behaviors
of
actors
participating
in
the
governance
structure
changed?
Did
the
local
strategy
meet
the
needs
of
firms
and/or
other
actors?
Are
there
examples
in
which
the
implementation
of
the
strategy
has
improved/strengthened
initiatives
that
were
already
somewhat
successful?
Specifically,
on
collective
action:
• Analyze
the
formation
of
collective
actions
and
the
development
of
coordination
skills
among
main
actors
(public
sector,
private
sector,
academia,
civil
society,
etc.)
• Is
local
governance
involved
in
the
production
of
common/collective
goods?
Analyze
the
capacity
of
the
collective
action
(public-­‐private
collaboration)
to
produce
common/collective
goods
• Analyze
the
sustainability
of
the
collective
action.
What
are
the
factors
that
threaten
the
sustainability
of
the
collective
action
and
how
to
prevent
them?
• Are
there
spillovers
into
other
sectors
(positive
externalities)?
3. Conclusions
• Identify
drivers
and
limitations
to
the
formation
of
public-­‐private
management
models
for
local
economic
development
• Address
some
of
the
research
questions
by
using
the
evidence
from
the
case
• Identify
unresolved
issues
for
further
learning
IV.
Cross-­‐analysis
of
case
studies
1. Putting
it
all
together:
Identification
of
common
patterns
and
elements
for
success
• Look
at
the
processes
from
before
governance
to
after
governance
and
analyze
the
evolution
of
governance
patterns
(for
example,
from
a
governance
structure
built
around
the
leadership
of
one
or
few
actors
to
a
more
encompassing
governance,
where
a
wide
range
of
actors
participate).
8

9.
• Identify
factors
that
were
common
to
success
cases:
What
are
the
critical
variables
to
build
successful
PPM?
Are
there
common
factors
that
were
an
obstacle
to
PPM?
• Looking
across
cases,
analyze
whether
similar
types
of
PPM
led
to
similar
LED
outcomes
(the
research
may
not
have
enough
observations
to
develop
this
analysis).
2. Knowledge
products
This
cross-­‐analysis
should
produce
the
following
knowledge
products:
• Main
lessons
from
evidence
and
recommendations
for
practice
• Guidelines
for
practice
• Guidelines
about
desirable
skills
and
abilities
that
a
coordinator
of
local
economic
development
processes
should
have
9