IBM Corporate Service Corps Kenya Team1

Sub-Team 1: Strategic Positioning of the Digital Villages as a Centre for Rural Empowerment and Development

Final Report October 15, 2010

Strategic Positioning of the Digital Villages as a Centre for Rural Empowerment and Development

Table of Contents
1 2 Executive Summary Program Background 2.1 2.2 2.3 2.4 2.5 3 IBM Corporate Service Corps IBM CSC Kenya Team 1 Machakos, Kenya IBM Digital Opportunity Trust (DOT) 1 2 2 2 3 3 3 4 4 4 5 6 6 7 7 8 8 8 10 10 10 12 13 19 20

Statement of Work 3.1 3.2 Key Objective Approach

4 5

Key Actors Methodology 5.1 5.2 5.3 Issue Based Consulting Activities and Outcomes by Phase Data Gathering Elements

Assumptions, Hypotheses and Key Questions 6.1 6.2 Key Assumptions Hypotheses and Key Questions

Data Gathering, Analysis and Synthesis 7.1 7.2 7.3 Sources of Information Data Gathering Analysis and Synthesis

8 9

Conclusions and Recommendations Critical Success Factors

10 Acknowledgement

IBM Corporation |October 15, 2010

Strategic Positioning of the Digital Villages as a Centre for Rural Empowerment and Development

Executive Summary
IBM CSC Kenya Team 1 spent one month (mid September to mid October 2010) based in Machakos, Kenya focused on the Digital Village Project. The initiative is driven by the Kenyan Ministry of Information and Communications (MoIC) to develop an enabling environment for the establishment of Digital Villages in the rural areas throughout Kenya as centres for development. The project supports Kenyas Vision 2030 and addresses the disparity between urban and rural areas through: Government e-services delivery ICT training and enablement Job creation and revenue generation

The team of 11 IBM employees was divided into three sub teams addressing: 1. Strategic Positioning of Digital Villages as Centres for Rural Empowerment and Development 2. Strategic Framework: Rural IT Enabled Services (ITES) for Digital Villages 3. Vision for Empowering Entrepreneurs to Successfully Operate their Digital Villages This report covers the statement of work for sub team 1 Overall, the Digital Village ecosystem includes various players including CBOs, NGOs, Telcos, churches, co-operatives, development partners, cyber-cafs, and Pasha Centres. Pasha Centres are a critical subset of the Digital Village Project and were chosen as the focus for this research to enable the MoIC to develop flagship Centres / Centres of Excellence for other Digital Villages to emulate. Additionally, the Pasha Centres can have a distinct and influential role in overall Digital Village strategy. Through numerous meetings, interviews, and research documents it is concluded that focus is needed on three critical success factors to set the foundation for the success of Pasha Centres: Affordable and reliable infrastructure (primarily, but not limited to, internet and power) Local content Communication plan

Achieving the critical success factors will in turn enable the enhancements towards the realisation of the Digital Village Project vision: IT Enablement Services (ITES) Entrepreneur training and enablement services Technologies and management tools to empower entrepreneurs

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Strategic Positioning of the Digital Villages as a Centre for Rural Empowerment and Development

Program Background
2.1 IBM Corporate Service Corps
IBM Corporate Service Corps (CSC) is a global IBM initiative designed to provide small businesses, educational institutions and non-profit organizations in growth markets with sophisticated business consulting and skills development to help improve local conditions and foster job creation. IBM deploys teams of top employees from around the world representing IT, research, marketing, finance, and business development to growth markets for a period of one month. IBM provides services pro bono under IBMs Corporate Social Responsibility Programme and its employees work with local organizations and businesses on projects that intersect business, technology and society. The Kenya initiative is part of a programme of African activity which began in 2008 and during which IBM has so far deployed 24 teams of its employees to Kenya, Tanzania, Nigeria, Ghana, South Africa and Egypt. By the end of 2010, IBM will have deployed almost 950 of its consultants, serving on 90 teams across 18 different countries around the world. Projects vary from assisting networks of entrepreneurs and small businesses to the utilization of information technology by communities left behind the "digital divide."

2.2

IBM CSC Kenya Team 1

IBM CSC Kenya Team 1 consists of 11 IBM employees with a diversity of skills representing 8 IBM offices from around the world. The team is working with the Kenya ICT Board (KICTB), the Ministry of Information and Communications, and Digital Opportunity Trust (DOT). The team is expected to tackle real societal, educational and economic challenges, while at the same time experiencing a diverse cultural perspective and enhancing their skills and leadership competencies. The team responsible for Strategic Positioning of the Digital Villages as a Centre for Rural Empowerment and Development includes:
Table 1 Team Members

Elaine Murphy, Marketing Manager, United Arab Emirates

Kevin Schmerling, Managing Consultant, USA

Christiane Ris, Information Technology, Germany

Hiroshi Yanagida, Development Engineer, Japan

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Strategic Positioning of the Digital Villages as a Centre for Rural Empowerment and Development

2.3

Machakos, Kenya
Machakos is a town 64 kilometres southeast of Nairobi. It is the capital of the Machakos District in Eastern Province of Kenya. Machakos Town is a major rural centre and a satellite town due to its proximity to Nairobi. Its population is rapidly growing with 192,117 citizens as of 2009. Machakos Town Constituency is an electoral constituency in Kenya. It is one of six constituencies in Machakos District. The constituency was established for the 1988 elections. Machakos was chosen for its proximity to Kangundo town, the first pilot Digital Village launched by the KICTB, which has been operational since July 2009.

2.4

IBM
IBM was incorporated in the United States of America in 1911. At the end of 2009, IBM had more than 399,400 employees in over 200 countries with revenue of USD 95.8 billion. IBMers share a set of Values which helps guide our decisions, actions, and behaviours and is at the core of our collective aspiration to be recognized as a great company. These are: Dedication to every client's success. Innovation that matters - for our company and for the world. Trust and personal responsibility in all relationships.

IBM is organized to address the realities of todays business and IT marketplace. Broadly speaking, business operations include: Services, Technology, Hardware, Software, Research, and Financing. IBM East Africa is a fully fledged subsidiary of IBM Corporation and comprises Kenya, Tanzania, Uganda, Ethiopia, Rwanda and Burundi. IBM Kenya is the regional hub with a full branch office.

2.5

Digital Opportunity Trust (DOT)

Digital Opportunity Trust (DOT) is a Canadian-based, international not-for-profit enterprise established to build human capacity and provide the tools to promote community-based economic and social development. Combining the power of people, technology, and innovative community solutions, DOT programs stimulate economic opportunity and technology as an enabler of learning in schools. DOT currently operates in 11 countries, including Kenya and has directly impacted nearly 200,000 people through micro-entrepreneurial development, technology, education and life skills and has trained over 2,000 young ICT leaders worldwide. In 2008, DOT was selected by IBM as Global Implementation Partner for the Corporate Service Corps program and is now working with IBM to implement the CSC program in Kenya, Turkey, China and Egypt. Expansion of the IBM-DOT CSC partnership is planned for 2011.

IBM Corporation | October 15, 2010

Strategic Positioning of the Digital Villages as a Centre for Rural Empowerment and Development

Statement of Work
3.1 Key Objective
This work effort is an initiative of the Ministry of Information and Communications (MoIC). The purpose is to establish a Digital Village in each constituency as a centre for rural empowerment and development. The work of the Kenya Team 1, Sub-Team 1 will support the MoIC efforts to define the strategy, the strategic positioning, and address sustainability issues as part of the economic and social development agenda at the local level.

3.2

Approach
The approach used includes field studies (on-site Pasha Centre and Digital Village visits), client interviews, internet investigations, analysis of existing documentation, and the teams collective industry experience and expertise to gain a solid understanding of the current situation for the Digital Villages. The methodology applied throughout the project was Issue Based Consulting (IBC), a well proven consulting methodology that is widely used within IBM as well as by many other organizations, which is explained in detail later in this document.

IBM Corporation | October 15, 2010

Strategic Positioning of the Digital Villages as a Centre for Rural Empowerment and Development

Key Actors

Community
Support Owner Commercial

Kenya ICT Board Education Institutions Private Sector

Manage Support Consult

Summit Strategies Ltd

Manage

Entrepreneurs

Intelecon Research and Consultancy Ltd

Non Profit

NGO
Community Based Organisations Use

Digital Village

Digital Opportunity Trust

Train & Support

Churches

IBM CSC Team

Figure 1 Actors for Digital Villages

Figure 1 explains the interaction between multiple actors managing, supporting and using Digital Villages. Each actor is explained in Table 2 below.
Table 2 Description of Entities

Actors Kenya ICT Board (KICTB)

Digital Village (DV)

Entrepreneurs

Owners

Digital Opportunity Trust (DOT) IBM CSC Team Intelecon Research and Consultancy, Ltd Summit Strategies Ltd

Description The Kenya ICT Board was established by the President, H.E. Mwai Kibaki, in February 2007. The activities of the Board are based on positioning and promoting Kenya as an ICT destination both locally and internationally. The KITCB reports directly to the MoIC. MoIC launched the Digital Village Project in 2006 to exploit ICT for rural development through access to government information, potential outsourcing of government services, and a host of applications. Pasha Centres are to be the flagship/centre of excellence for other DVs to emulate and will have distinct and influential role in overall DV strategy. KICTB launched and trained 1061 potential entrepreneurs drawn from every constituency. A key focus of the training is entrepreneurship to enable the trainee to develop a bankable business plan. DVs differ from Pasha Centres as they are owned by a variety of institutions such as schools, telecoms, churches, and community based organizations, etc. and are not supported by KICTB. DOT is a not-for-profit organization focused on creating educational, economic, and entrepreneurial opportunity through the effective use of ICTs. IBM provided a group of top employees on a pro bono basis to provide support to KICTB for the Digital Village Project. KICTB works with a consulting company Intelecon Research and Consultancy Ltd, to assess the DV business. KICTB works with a consulting company, Summit Strategies Ltd, to help define ICT strategies.

IBM Corporation | October 15, 2010

Strategic Positioning of the Digital Villages as a Centre for Rural Empowerment and Development

Methodology
5.1 Issue Based Consulting
The team applied Issue Based Consulting (IBC) methodology to establish the project framework and approach. The project plan and supporting methodology was designed to seek out the most critical issues and address them within the four week project duration. IBC is an investigative technique that helps: Evaluate a clients complex problem Arrive at fact based conclusions Provide relevant recommendations

Based on IBC the project will be conducted across four phases: 1. Define / verify the scope and context of the engagement to level set expectations 2. Align the approach to critical issues and develop hypotheses and key questions 3. Gather data and perform analysis 4. Develop conclusions and provide recommendations

Scoping, Objective Setting & Situation Assessment

Identify Issues & Develop Hypotheses & Key Questions

Data Gathering, Analysis & Synthesis

Recommendations & Buy-in

Figure 2 Phases of Issue Based Consutling

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Strategic Positioning of the Digital Villages as a Centre for Rural Empowerment and Development

5.2

Activities and Outcomes by Phase

Identify Issues & Develop Hypotheses & Key Questions Data Gathering, Analysis & Synthesis Recommendations & Buy-in

Scoping, Objective Setting & Situation Assessment

On-going client interaction and communication

Review and verify SOW and agree on appropriate scope with key stakeholders Analyze as-is situation Conduct on-site visits to DVs and research typical environment Talk with entrepreneurs Focused review of key engagement issues Develop hypotheses about issues Create key questions to test hypotheses Collect data through various methods & sources i.e. interviews with client & entrepreneurs, on-site visits to DV, questionnaires, etc. Generate findings and conclusions based on synthesis of data Review and confirm conclusions with client Detailed work plan Framework for synthesizing data that will be collected Updated data matrix reflecting types of data needed, sources to provide data, & method to collect data. Documentation organizing insights and conclusions from synthesis of data Final Report & recommendations Define guidelines recommended for national roll-out of DV in rural areas Create and present final report and recommendations Activities Outcomes

Clearly defined SOW with agreed upon objective & scope Documentation describing as-is situation (organization, culture, technology, equipment, management tools, skills, etc. in DVs)

Figure 3 Activities and Outcomes

5.3

Data Gathering Elements

A data matrix tool (see Figure 4 for an example) was utilized to organize the types of information, the sources, and the method by which the information was collected. The cross-check column ensured that critical data was verified by more than one source. The data collected was used to confirm, reject, or modify hypotheses into conclusions and ultimately serve as the supporting detail for the recommendations.

Client: Ministry of Information and Communication (MoIC) Date: 9/17/2010

Issue: Hypothesis: Sources of Information MoIC Interview KICT Board Entrepreneurs Pilot DVs On-site visit / Observation Observation Questionnaire Published Data / Business Models Internet, Industry Experts, Business Periodicals, etc. Telecentres & CBOs Intelecon External CrossCheck (Y/N)

Data Needs Confirm long term goals and strategies Confirm long term goals and strategies How does DOT try to grow DVs? Its plan Shortages and benefits of Pasha, new ideas

Interview

Interview Focus Group

What is the difference between starting business at DVs and any other place?

Figure 4 Sample Data Matrix. Note: The data included in the table above is for example only

IBM Corporation | October 15, 2010

Strategic Positioning of the Digital Villages as a Centre for Rural Empowerment and Development

Assumptions, Hypotheses and Key Questions

6.1 Key Assumptions
The following key assumptions about Pasha Centres have been established in order to create a baseline for the hypotheses. Pasha centres will: Empower and develop rural areas from a economic, social, and political perspective Reduce marginalization of rural areas Stem the rural to urban migration

6.2

Hypotheses and Key Questions

Through the situation assessment phase a list of issues were identified. The team, along with the client, determined the set of high priority issues upon which to conduct and focus the in-depth analysis. In order to elaborate and investigate significant issues, six hypotheses were developed and associated key questions were identified. The questions were used to collect relevant data to prove or disprove each hypothesis. The following table shows all hypotheses and key questions.
Table 3 Hypotheses and Key Questions

Hypotheses 1. Pasha Centres will be the flagship for DVs within each constituency 2. Pasha Centres will be profitable and sustainable providing jobs within the centre and creating spin-off jobs outside the centre

a. b. c. a. b. c. d.

3. Pasha Centres will be the extension of centralised government services currently provided out of Nairobi and deliver government e-services, including e-health, in each constituency 4. Pasha Centres will provide IT Enablement Services (ITES), train-the-trainer training, ICT maintenance and support within each constituency 5. Pasha Centres will provide the government with agriculture, health, and economic data within each constituency and provide similar information to citizens

a.

b. c. a. b. c. d.

Key Questions What do you think a Pasha Centre is? Do you want to upgrade your DV to a Pasha Centre? Why? What is needed to make a Pasha Centre successful? What types of jobs have been created in the DV? Do you know of any jobs created around/because of the DV? What services do your customers like best and are you able to make money from those services? Can we see your business plan and how did you have to modify it? Do you think that government e-services such as passport and birth certificates could be processed through a DV? Explain What services are your customers asking for? Is this something you want to deliver? Why/why not? Do you think that health services such as malaria, HIV, TB information could be distributed through a DV? Explain What types of training are you delivering now? What types of training could be delivered through a DV? What is needed to deliver training? What type of training have you been provided to open a DV?

a. Do you think that the government could collect information such as maize harvest or water levels through DVs? Explain

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Strategic Positioning of the Digital Villages as a Centre for Rural Empowerment and Development

6. Pasha Centres will have sufficient resources i.e. human, financial, infrastructure, willingness to set-up, run, and utilise the centres

a. b. c. d. e. f. g. h. i. j.

What has been the hardest part about setting up a DV? What is the hardest part about keeping it running? What would you differently? Would you open another centre? Why do people come here? What do people like the best? Who are your clients? Why did you select this area? What is the internet infrastructure/ network provider? Do you own this business, if not who is the owner? If so, how did you fund the operation?

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Strategic Positioning of the Digital Villages as a Centre for Rural Empowerment and Development

Data Gathering, Analysis and Synthesis

7.1 Sources of Information
Throughout the Data Gathering phase several sources of information were utilised. Findings were gained based on information gathered from: Meetings with: Permanent Secretary of the MoIC Kenya ICT Board KENET KDN Intelecon DOT On-site visits to existing Digital Villages and pilot Pasha Centres: KDN Digital Village, Excel Girls High School in Kitengera Pilot Pasha Centre in Nairobi, Mukuru Promotional Centre Pilot Pasha Centre in Nkubu (referred as Meru) Pilot Pasha Centre in Kangundo Reference material provided by: KICTB Intelecon Mediae Summit Strategies Ltd

7.2

Data Gathering
Evidence from each source was arranged in a data matrix according to hypothesis and key question.

Figure 5 Data Gathering Phase

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Strategic Positioning of the Digital Villages as a Centre for Rural Empowerment and Development

Figure 6 Data Gathered for Hypothesis 1 (Extract)

Figure 7 Data Gathered for Hypothesis 2 (Extract)

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Strategic Positioning of the Digital Villages as a Centre for Rural Empowerment and Development

Figure 8 Data Gathered for Hypothesis 4 (Extract)

7.3

Analysis and Synthesis

Evidence was evaluated, synthesized, and verified to derive conclusions and develop recommendations. The data matrix is available as a separate document as part of the prepared deliverables.

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Strategic Positioning of the Digital Villages as a Centre for Rural Empowerment and Development

Conclusions and Recommendations

The following hypotheses are ordered by the most fundamental aspects of Pasha Centres to achieving the long term vision. Hypothesis 6: Pasha Centres will have sufficient resources i.e. human, financial, infrastructure, willingness to set-up, run, and utilise the centres. Resources to enable Pasha Centres are currently insufficient primarily internet and power. For example, the cost to connect to the Internet is approximately three times higher in Kangundo than in Nairobi and contributes to the inconsistent profitability among Pasha Centres. A comprehensive communication plan and ICT education should be established to increase the awareness of ICT and potential consumers of Pasha Centres.
Table 4 Hypothesis 6: Conclusion and Recommendations

Conclusions Infrastructure Internet connectivity is expensive in rural areas (e.g. approximately three times higher in Kangundo than Nairobi) Power failures are regular Willingness of Entrepreneurs to Start-up and Operate a Pasha Centre Low business plan submission rate and viability post initial entrepreneurship training Profitability is inconsistent among pilot Pashas Gap between available funds and entrepreneurs awareness of program/funding Entrepreneurship training is effective, but more enablement services are needed. Reliable and sustainable enablement platform between entrepreneurs is needed Willingness of Consumers to Utilize Services ICT literacy rate is low (~30% of population). ICT literacy must be a priority to foster adoption and usage of DVs and ensure viability and success Computers are generally viewed by local constituents as tools only for the university educated Basic needs (food/water/shelter) must be met before introducing computers. ICT usage must provide a clear and present benefit to citizens in order to be adopted by the majority National level programs tend to have high awareness rate, but complete communication plans reaching to all citizens are lacking Recommendations Infrastructure Assess existing infrastructure to better understand affordability, reliability, speed and Service Level Agreements in rural areas Re-evaluate contracts with ISPs and network providers with a goal of providing affordable and reliable service Willingness of Entrepreneurs to Start-up and Operate a Pasha Centre Create program to bridge available talent pool with available ICT jobs Disburse funds for 30 entrepreneurs in October 2010 as planned Implement mentor program between entrepreneurs and local banks Re-open the application process for KICTB Entrepreneurship Training and set a minimum level of ICT skill requirement in order to apply. This will help increase the number of viable business plans submitted by potential entrepreneurs Willingness of Consumers to Utilize Services Identify ICT training programs separate from Pasha Centre entrepreneur training Incorporate ICT training into primary education curriculum Create local content development plan in support of local content needs Create comprehensive communication plan focused at reaching grass roots level

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Strategic Positioning of the Digital Villages as a Centre for Rural Empowerment and Development

Hypothesis 5: Pasha Centres will provide the government with agriculture, health, and economic data within each constituency and provide similar information to citizens. The objective of providing e-government services and private sector portals through Pasha Centres is important for the empowerment and development of rural areas. The ability for the government to gather data from rural areas will provide faster and a more targeted response to crises and enable the government to make decisions based on facts. This is viewed as a medium to long term goal as there is a dependency for the government to first implement policy and structure changes due to the new Constitution. As these changes are in process, preliminary discussions and plans around data modelling should begin.
Table 5 Hypothesis 5: Conclusion and Recommendations

Conclusions Data gathering will directly benefit local community and enable government to make fact based decisions Willingness appears to exist but need to assess how data will be collected and analyzed consistently Data modelling needs to be considered This is a longer term vision as it is dependent upon government changes resulting from new Constitution Recommendations Create processes and model for data gathering and analysis Establish data collection priorities for various elements. For example: maize harvest, water levels, cattle, health (first response), education

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Strategic Positioning of the Digital Villages as a Centre for Rural Empowerment and Development

Hypothesis 4: Pasha Centres will provide IT Enabled Services (ITES), train-thetrainer training, ICT maintenance and support within each constituency. There is a strong need to increase the ICT literacy rate especially among the rural population to help increase the likelihood of ICT adoption. This can be achieved by developing more consistent training programs led by qualified instructors and offering degrees or certifications upon completion.
Table 6 Hypothesis 4: Conclusion and Recommendations

Conclusions Various forms and levels of ICT training are currently provided Lacks consistency on types of training and education curriculum / content Most training / education services offered do not provide a certification / diploma upon completion Entrepreneurship training is effective but more enablement services are needed Local ICT maintenance and support within constituencies is mostly unknown Recommendations Develop train-the-trainer course material to enable consistency across learning material and increase the number of qualified/certified instructors Mandate training to be delivered by qualified/certified instructors Create standard education and training programs that provide certification by an accredited institution Provide entrepreneur with list of required training offerings including core curriculum and certification process (further detail in Pasha Centre Start-Up Kit) Certification program will further encourage participation, be an effective incentive for people to pay-for training, and help graduating students become more marketable for employment Enable Pasha Centre entrepreneurs to provide maintenance and support to local government agencies, schools, churches, businesses, etc. Fully utilize available training funds by conducting analysis of funding sources and tie to most critical needs

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Strategic Positioning of the Digital Villages as a Centre for Rural Empowerment and Development

Hypothesis 3: Pasha Centres will be the extension of centralised government services currently provided out of Nairobi and deliver government e-services, including e-health, in each constituency A communication roadmap and rollout strategy for the rural areas is needed and must be deployed through appropriate means and with advocacy of local leaders.
Table 7 Hypothesis 3: Conclusion and Recommendations

Conclusions Currently, Pasha Centres are not currently operating as a true extension of government services. Examples of current service offerings include tax filings and national ID cards Existing Pasha Centre owners have a strong desire to offer e-government services, but require the means to deliver these services Communication plan is required to inform citizens, in particular to reach rural areas, about egovernment services and the direct benefits consumers will gain by utilizing these types of services Recommendations Create an e-government services roadmap and rollout strategy, which will be dependant upon government policy changes resulting from the new Constitution Engage local ICT advocates to promote DVs at grass roots level. Do not rely solely on standard media channels

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Strategic Positioning of the Digital Villages as a Centre for Rural Empowerment and Development

Hypothesis 2: Pasha Centres will be profitable and sustainable providing jobs within the centre and creating spin-off jobs outside the centre. Profitability is heavily dependent upon ICT infrastructure. Pasha Centre growth and sustainability must be supported by mentoring, information sharing and collaboration. Value to the customers will be provided through education, training and e-government services, and most importantly, local content.

Table 8 Hypothesis 2: Conclusion and Recommendations

Conclusions Pasha Centres Profitability Profitability varies depending on location, demographics, proximity to main fibre optic cable, competition, and customer service Pasha Centres are dependent upon affordable and reliable infrastructure to be viable Understanding and ability to reinvest in the Pasha Centre is essential - Existing facilities need updating - Existing software is outdated and hardware is both outdated and not energy efficient - Need to remain current with new technologies As Pasha Centres continue to grow, expand service offerings, and increase profit margins, it is expected that jobs within the Centre will be created Local Content and External Job Impact Local content is critical and can help to support regional small businesses to grow and increase wealth in the region (e.g. farmers marketplace) As training & education increases among local constituents, they will become empowered to create or expand their own business and generate the need for new jobs Recommendations Pasha Centres Profitability Negotiate with more ISPs to help increase competition, drive down costs, and force ISPs to adhere to a stricter Service Level Agreement (SLA) (i.e. reliability of internet service, response time to resolve slow speed or outages, etc.) Follow recommended Pasha Centre guidelines provided to KICTB pertaining to layout, service offerings, and minimum set of requirements depending on size and demographics of community Create implementation guide for business start-up Complete and implement IT support and mentoring plan Establish quarterly newsletter providing information about new technologies & reinvestment of profits, applications, services, funding opportunities, etc. Conduct assessment of next 30 Pasha Centres. Apply lessons learned towards improving existing Pasha Centres as well as future Pashas Local Content and External Job Impact Create strategy and timeline and assist with providing relevant local content and a phased implementation approach for e-government services Utilize Pasha Centres to serve as the central information hub, including: training centres, micro financing, office services, meeting space, retail services, etc.

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Strategic Positioning of the Digital Villages as a Centre for Rural Empowerment and Development

Hypothesis 1: Pasha Centres will be the flagship for Digital Villages within each constituency. Pasha Centres are not yet fully delivering the vision for Digital Villages. To enable the vision to be fully realised focus is needed on the three following critical success factors. These factors will set the foundation for the continued growth and enhanced services for Pasha Centres: Affordable and reliable infrastructure (primarily, but not limited to, internet and power) Local content Communication plan
Table 9 Hypothesis 1: Conclusion and Recommendations

Conclusions Pilot Pasha Centres are not fully delivering the vision outlined by the Permanent Secretary of MoIC. Focus is needed on key success factors Pasha Centre brand is not well recognized in rural areas Funds have not been disbursed to existing Pasha Centres for enhancements Services being offered only moderately differentiate Pasha Centres from other DVs Recommendations Establish three teams focused on: - Affordable and reliable infrastructure - Local content - Communication plan The above three pillars serve as the foundational requirement for success and are the building blocks needed in order to meet the full vision of the DV Program Identify barriers preventing disbursement of funds. Implement plans and processes to disburse funds and communicate to entrepreneurs and general population Each flagship Pasha Centre must possess a business model, services, and processes that are obtainable, repeatable, and sustainable in order to serve as a Centre of Excellence by which Digital Villages can emulate and leverage best practices

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Strategic Positioning of the Digital Villages as a Centre for Rural Empowerment and Development

Critical Success Factors

It is concluded that focus is needed on three critical success factors to set the foundation for success for Pasha Centres: Affordable and reliable infrastructure (primarily, but not limited to, internet and power) Local content Communication plan

Achieving the critical success factors will in turn enable the enhancements towards the realisation of the Digital Village Project vision: IT Enablement Services (ITES) Entrepreneur training and enablement services Technologies and management tools to empower entrepreneurs

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Strategic Positioning of the Digital Villages as a Centre for Rural Empowerment and Development

10

Acknowledgement
We would like to sincerely thank and acknowledge the valuable assistance and support from our client, MoIC and KICTB. In addition, we would like to extend a special thank you to IBMs global implementation partner, DOT and to the IBM East Africa Office. As our assignment nears an end our team had an opportunity to reflect on our pre-work and in-country experiences through out this assignment. The most common theme amongst the team was how much we all have grown on both a professional and personal level. From professional standpoint, our team has come away from this assignment with enhanced leadership skills and a stronger understanding and appreciation for cultural adaptability while conducting business in a growth market and what it takes to be a globally integrated enterprise. From a personal perspective, we have all learned first hand what an amazing country Kenya is and the very bright future it holds. Furthermore, we have thoroughly enjoyed the wonderful welcoming attitude and friendliness of the Kenyan people. We will hold a special place in our hearts for Kenya and all hope to visit Kenya in the future.

Asante Sana and Kwaheri

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