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ILO Enterprise Forum 96


Parallel session e: Mobilizing large business to support small enterprises: the K-MAP experience in Kenya

Key messages:

[*]The organization comprises a membership of about 200 large and medium local and multi-national enterprises that provide some 400 counsellors for development and training of small business operators
[*]Since its inception, K-MAP has provided counselling services to more than 1000 small businesses and conducted training workshops for some 5000 potential entrepreneurs


Resource person:

Mr. V. Pratt, Chairman, Executive Committee,Kenya Management Assistance Programme (K-MAP)


Summary of proceedings:

Small enterprises are expected to provide the bulk of the 400,000 new jobs needed in Kenya between 1986 and 2000. K-MAP was established in 1986 as the first NGO for developing managerial capacity in the small enterprise sector. K-MAP aims to attract large and medium business organizations and to provide practical assistance to small enterprises through counselling and training in business skills and management.

K-MAP's goals are to link SMEs to financial institutions, assist potential entrepreneurs to start and manage their business successfully, assist existing entrepreneurs to expand and diversify their business, assist in capacity building of institutions, and link entrepreneurs to support institutions. The organization targets small and medium scale enterprise (1 to 30 employees) active in all sectors, and counsellors and supporting institutions.

K-MAP originated in the Kenyan business community and has received financial assistance from USAID, ODA and the Centre for International Private Enterprise (CIPE), funds which are primarily used to finance the development of specific products and services as well as for expansion in other areas. With the aim of becoming self-sustaining, K-MAP is developing products and services that are vital to the success of small businesses. Income from this source rose from 4 per cent of total in 1987 to 33 per cent in 1995.

The organization comprises a membership of about 200 large and medium local and multi-national enterprises that provide some 400 counsellors for development training of small business operators. These and other contributions of the business community in skills and time represent over 80 per cent of the operating budget of the organization.

Among K-MAP programmes are the Women Express Programme (WEP), Graduates Self-employment programme, Re-deployment programme, Sub-contracting and Partnership Exchange, Business Growth Training programme, Counselling programme, Group Income Generating programme, and Business Internationalization. Their objectives are to accelerate economic development through new enterprise creation, provide productive employment to graduates, incorporate women into the business scene, encourage geographical dispersal of economic activity, and finally to improve the performance of small industries and thus reduce the incidence of business failures.

Since its inception K-MAP has provided counselling services to more than 1,000 small businesses and conducted training workshops for some 5,000 potential entrepreneurs. An impact study revealed that assisted firms had increased employment by 106 per cent, annual sales by 292 per cent and total assets by 189 per cent; the business survival rate is 94 per cent in the first two years of operation (compared to a national average of less than 10 per cent). Following K-MAP's success, a number of African countries have expressed interest in replicating the concept, leading to the formation of the continent-wide umbrella organization, A-MAP.


Updated by BB. Approved by MH. Last update: 21 February 1997