Brief History of the SIYB Programme

The ILO’s “Start and Improve Your Business” (SIYB) programme is a system of inter-related training packages and supporting materials for small-scale entrepreneurs in developing countries and economies in transition. The programme has been used in 83 countries and donor-funded ILO projects are currently introducing the programme in 40 countries. Employers’ organisations, chambers of commerce, non-governmental organizations, Ministries of Trade and Commerce, management training institutes and management consultants, are introduced to the SIYB programme by the ILO. Training programmes and training materials are developed and adapted, trainers are trained, and advice is provided on sustainability mechanisms and on how to measure the impact and how to monitor the activities etc., after which the ILO disengages itself and the national institutions implement the programme on their own. They become part of a global SIYB network, which exchanges experiences and skills with the ILO’s facilitation.

Some 150,000 entrepreneurs, 3,500 trainers and 400 organizations have benefited from the programme in the 83 countries, 25 translations have been made of the training materials and 14 donor countries have financed the ILO’s introduction of the programme in developing countries. A minimum of 125,000 new jobs are estimated to have been created as a result of small-scale business start-up and improved business performance following the SIYB training workshop.

What SIYB is and how it works

The SIYB programme has been developed business by the ILO in response to requests from member States for a relevant, low-cost and effective business creation and management training package that is suitable for the environment of developing countries. It assists in meeting the employment challenge by contributing to the creation of quality jobs in the small-scale enterprise sector through improved business performance. The SIYB programme is essentially training instrument, with integrated components for counseling, networking, promotion of service institutions and policy dialogue.

International donors recognize the SIYB programme as an effective method for strengthening national SED institutions to better support the private enterprise sector in developing countries. Sweden has been the major donor of the programme, but other donor countries, including Denmark, Norway, Australia, USA, Canada, United Kingdom, Luxembourg and Austria, have also funded SIYB activities.

As the implementing agency, the ILO’s role is to promote, manage, recruit staff and give technical and strategic direction to the programme. To increase the impact of institutions and organizations, which assist small enterprises, the SIYB programme supports employers’ organization, private sector associations, chamber of commerce, NGOs, small enterprise, government ministries and private consulting companies. The diversity of delivery channels helps the programme to optimize its outreach to the ultimate target group-potential and existing managers and owners of small-scale enterprises in developing countries and countries in transition.

The programme is designed for organizations already engaged in business creation and management training programmes as a tool that can make their impact on the target groups more substantial. Subject to availability of funding, the ILO trains these partner organizations’ trainers and free-lancing private trainers, who, in turn, train entrepreneurs. These local trainers will subsequently train aspiring and existing entrepreneurs how to start and manage their businesses. By applying this multiplier strategy, large numbers of aspiring and existing entrepreneurs benefit from the programme whilst information about the quality is assured by the monitoring and evaluation system, which continuously assesses the programme’s impact.

Potential entrepreneurs taking part in Start your Business training are able to decide whether they should go in to business or not. Those that do will have a bankable Business Plan for their new business and an Action Plan for how to go about the start-up phase. By applying the management skills gained through the Improve Your Business training, existing entrepreneurs are able to cost and price their products effectively, increase sales, buy inputs competitively, improve stock control, reduce costs, plan for the future, and eventually, increase the profitability of their businesses. SED organizations that use SIYB programme benefit from an integrated, low-cost and yet effective programme that makes a difference for small-scale entrepreneurs with limited education. The ILO helps the organization to develop the skills required to implement, monitor, administer and finance the training programme. Donor benefit because of the well proven results, the high degree of quality assurance, the financial responsibility and because ILO keeps the local organizations’ and entrepreneurs’ needs in focus.

SIYB’s current delivery system

More than 150,000 entrepreneurs in developing countries worldwide have benefited to date. An evaluation by the Swedish donor agency Sida noted “firms that have taken part in the training programme tend to have higher growth rates than the national averages for the small-scale industry sector. Most of them employed more people during the last year and they are more profitable as a group than other companies”. The evolution concluded that the programme had a substantial impact on entrepreneurs in terms of both business performance and profits, and employment generation. A recent evaluation showed that every course participant creates 0.81 jobs at an average cost of US$ 64.

Almost as important as the impact at the enterprise level, are the effects at institutional level, where the programme has strengthened the operational capacity of many partner organisations. Some 3,500 trainers have been trained in how to apply the programme, and a networking mechanism has been developed enabling organizational users to take fullest advantage of their complementarities. Participating organizations now meet all costs related to programme implementation at the national level, which is a clear expression of their commitment to its value and to its degree of sustainability.

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