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The top 10 Misconceptions about MIS
The top 10 Misconceptions about MIS

Notes from the field: Mark Davies




  CIRAD – March 2010
How we got started
•   “Farmers need prices”
•   Foodnet Uganda
•   Software opportunity
•   Standardize d
    St d di development & reduce costs
                     l       t     d      t
•   Public sector would collect and share
•   Users would pay
    U          ld

Simple idea... Clear goal...



    CIRAD – March 2010
Where we are now... 5 years later...
Where we are now 5 years later
what have we built & learned?




  CIRAD – March 2010
• 40 fulltime employees in Accra
• $2,000,000 spent

 CIRAD – March 2010
Providing support
and platform to
partners in 20
countries by end of
2010

Operating MIS in
one country
(ghana)




   CIRAD – March 2010
Powerful platform ‘emerging’




  CIRAD – March 2010
CIRAD – March 2010
CIRAD – March 2010
CIRAD – March 2010
CIRAD – March 2010
MIS consultancy




    Methodologies
                g
    Handbooks
    Forms
    Workshops
    Certificates...
    Rollout planning


  CIRAD – March 2010
Weeks   1   2   3   4   5   6   7   8   9 10 11 12 13 14 15 16 17 18 19 20 21 22 23
                  Strategy
                        gy
   Platform Configuration
       Training of Trainers
      Enumeration Hiring 
                       g
  Enumeration Workshop
             Enumeration
            Field Trainings
                         g
    Profiling & Alert Setup
            Public Launch




4/1/201 March 2010
    CIRAD – 11
0
“I now direct buyers to my
‘Confusing’ Results:                             community to buy from me
The ‘40%’ claim                                     when prices are good”


“I now know Kumasi
  market, I go there
    every month”

                        “I now wait for good
                       p
                       prices before I sell my
                                             y
                             products”

                             “I used to sell my
                              I
                        groundnuts in bowls in the
                        local market, now I send it
                             to Accra per bag”
  CIRAD – March 2010
So what have we learned?
So what have we learned?

    1. are markets really understood?
    1         k       ll    d      d?
    2. Does the current development cycle even permit success?
    2. can a retail model work?
    3. what should the platform really do?




 CIRAD – March 2010
Top      10          misconceptions about MIS




CIRAD – March 2010
1. MIS is a  public good
1 MIS is a ‘public good’ 
   and only gov or ministries can do it...




  CIRAD – March 2010
2. We know what we want
2 W k       h t       t




 CIRAD – March 2010
3. We know what they want




 CIRAD – March 2010
4. We can build our own
4 We can build our own




 CIRAD – March 2010
Chris Thomas

     “L Leap Frog”
      Leap FFrog”
       “    Frog”
            Frog”
       Opportunities
         pp
     Opportunities Firewall                                            CLOUD
               Inside the
                                            CLIENT-
                                            CLIENT-                  Web2.0 SaaS Mobile
                                            SERVER
                                       PC                 INTERNET
MAINFRAMES MINI-COMPUTERS
           MINI-




 1960           1970         1980   1985         1995          2000         2010




  Benefitting f
  B   fi i from New and P i I
                N     d Prior Innovation
                                     i
        CIRAD – March 2010
5. The data is there
5. The data is there



                • Where?



 CIRAD – March 2010
6. Build it and they will come




 CIRAD – March 2010
7. We can pilot it




  CIRAD – March 2010
8. We can easily measure impact




 CIRAD – March 2010
9. “Someone” will sustain it




 CIRAD – March 2010
10. They can access it on the web 




 CIRAD – March 2010
Evolution of Esoko
                   2006      2007       2008    2009      2010      2011     2012 ...


  Model
  M d l                 100% public             90% public                 50% public

Content                 Prices Only            Prices & Offers        All Trading Data

Services                Software Only          Software/ Training          Deployment

 Insight                 100% Push               Push & Pull                80% Pull

 Deploy
 D l                        B2C                  B2 projects
                                                 B2 projects               B2Business




   CIRAD – March 2010
Sharing a single platform:

        •R d
          Reduces your cost of t h l
                           t f technology
        • Reduces your cost of content acquisition
        • reduces your marketing costs
        • improves your negotiating power with partners
          (incl mobile operators)
        • gives you access to international/regional markets
        • gives you access to other practitioners
        • provides a support team



 CIRAD – March 2010
trainings, certificates, workshops,
                               methodologies,assessments,
 What We 
 What We                      manuals (over 80 documents)

 Do Today                              Support 
                                    (Esoko Networks)
                                    (E k N t     k)



         Software                                                     Deploy 
                                                                      Deploy
           (BusyLab)                                                (Esoko Ghana)



                                         MIS
                                           anywhere




28 software developers & testers                       30 enumerators 7 trainers & managers
                                                          enumerators,


              28
     CIRAD – March 2010
Focus on sustainability

   Bronze                 Silver                 Gold             Platinum
         $25                 $250                 $1,500               $8,000
                      SMS alerts & Website        All tools.           All tools. 
 10 SMS alerts/week
                       Max 200 members
                       Max 200 members       Max 2,000 members
                                             Max 2 000 members        Unlimited.
                                                                      Unlimited

                                                                 Large Business/Assoc
                                               Farmer Group
       Trader            Small Business                          Consumer Brand Co.
                                                  Business
     Researcher            Exporter                                      NGO
                                                Small NGO
                                                                     Government


       6,000
       6 000                2,000
                            2 000                  200                    20

                      4 years to reach profitability


 CIRAD – March 2010
CIRAD – March 2010
Is business interested?
                      No                52 surveyed out of the 
                      3%
                                           potential 30,000 
                                                  i l 30 000
                                         business subscribers 
                                               in Ghana
                                               in Ghana
         Yes
         29%               Interested
                              29%
                                        Yes & likely = 68%
                  Likely
                   39%                  8% needed to be profitable




 CIRAD – March 2010
Voacanga africana (exported at $7/kilo)




  producer

         SMS advertising/procurement 
         SMS advertising/procurement
         reduces middle men & time
         61 > 31 days   5 > 3 people
                                                                 exporter


$1.50  now  $2 = +30%                          $1.50  now  $3 = +100%
     CIRAD – March 2010
Proforma Income Statement
                              0      0         0          1         2          3
All amount in US Dollars            Y1        Y2         Y3        Y4         Y5

Revenue                           89,625    185,539    391,166   848,145   1,424,293

Operating Expenses
     Internet Service                 0      14,520     16,274    18,250    20,474
     Office & Household            13,421    36,120     36,120    87,592     94,235
     Marketing                      3,444    72,000     72,000   103,680    124,416
     Meals & Entertainment         2,454      3,600      3,600     4,516      5,058
     Personnel                     76,507   219,065    219,065   274,066    306,583
     Professional Services         4,568     8,100      8,100    10,161     11,380
     Travel & Transport            9,808     29,460     29,460    39,440     46,774
     Contingency                     214     20,368     20,368    27,785     31,246
     Rent                             0     42,000     42,000    44,100     46,305
   Total Expenses                 110,416   445,233    446,988   609,589    686,471

    EBITDA                    0   -20,791   -259,695   -55,822   238,555    737,822

    D&A                              0        982       5,882     14,482     18,082
    EBIT                      0   -20,791   -260,677   -61,704   224,073    719,740

    Interest Expense                0         -55       -2,377   -2,022      -1,614
    Taxes                     0     0          0           0     55,513     179,532

    Net Income                0   -20,791   -260,621   -59,327   170,582    541,822




 CIRAD – March 2010
Thanks...    mark@esoko.com




  CIRAD – March 2010
Top 10 misconceptions about MIS
    1. MIS is a public good
    2.
    2 We know what we want
    3. We know what they want
    4. We can build our own
    5. The data is there
    6. Build it and they will come
    7. We can pilot it
    8. We can measure impact
    9. Someone will sustain it
    9 S            ill   t i
    10.They can access it on the web


 CIRAD – March 2010

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Davies Esoko CIRAD 2010

  • 1. The top 10 Misconceptions about MIS The top 10 Misconceptions about MIS Notes from the field: Mark Davies CIRAD – March 2010
  • 2. How we got started • “Farmers need prices” • Foodnet Uganda • Software opportunity • Standardize d St d di development & reduce costs l t d t • Public sector would collect and share • Users would pay U ld Simple idea... Clear goal... CIRAD – March 2010
  • 3. Where we are now... 5 years later... Where we are now 5 years later what have we built & learned? CIRAD – March 2010
  • 4. • 40 fulltime employees in Accra • $2,000,000 spent CIRAD – March 2010
  • 5. Providing support and platform to partners in 20 countries by end of 2010 Operating MIS in one country (ghana) CIRAD – March 2010
  • 11. MIS consultancy Methodologies g Handbooks Forms Workshops Certificates... Rollout planning CIRAD – March 2010
  • 12. Weeks   1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 Strategy gy Platform Configuration Training of Trainers Enumeration Hiring  g Enumeration Workshop Enumeration Field Trainings g Profiling & Alert Setup Public Launch 4/1/201 March 2010 CIRAD – 11 0
  • 13. “I now direct buyers to my ‘Confusing’ Results: community to buy from me The ‘40%’ claim when prices are good” “I now know Kumasi market, I go there every month” “I now wait for good p prices before I sell my y products” “I used to sell my I groundnuts in bowls in the local market, now I send it to Accra per bag” CIRAD – March 2010
  • 14. So what have we learned? So what have we learned? 1. are markets really understood? 1 k ll d d? 2. Does the current development cycle even permit success? 2. can a retail model work? 3. what should the platform really do? CIRAD – March 2010
  • 15. Top  10 misconceptions about MIS CIRAD – March 2010
  • 16. 1. MIS is a  public good 1 MIS is a ‘public good’  and only gov or ministries can do it... CIRAD – March 2010
  • 17. 2. We know what we want 2 W k h t t CIRAD – March 2010
  • 19. 4. We can build our own 4 We can build our own CIRAD – March 2010
  • 20. Chris Thomas “L Leap Frog” Leap FFrog” “ Frog” Frog” Opportunities pp Opportunities Firewall CLOUD Inside the CLIENT- CLIENT- Web2.0 SaaS Mobile SERVER PC INTERNET MAINFRAMES MINI-COMPUTERS MINI- 1960 1970 1980 1985 1995 2000 2010 Benefitting f B fi i from New and P i I N d Prior Innovation i CIRAD – March 2010
  • 21. 5. The data is there 5. The data is there • Where? CIRAD – March 2010
  • 27. Evolution of Esoko 2006 2007 2008 2009 2010 2011 2012 ... Model M d l 100% public 90% public 50% public Content Prices Only Prices & Offers All Trading Data Services Software Only Software/ Training Deployment Insight 100% Push Push & Pull 80% Pull Deploy D l B2C B2 projects B2 projects B2Business CIRAD – March 2010
  • 28. Sharing a single platform: •R d Reduces your cost of t h l t f technology • Reduces your cost of content acquisition • reduces your marketing costs • improves your negotiating power with partners (incl mobile operators) • gives you access to international/regional markets • gives you access to other practitioners • provides a support team CIRAD – March 2010
  • 29. trainings, certificates, workshops, methodologies,assessments, What We  What We manuals (over 80 documents) Do Today Support  (Esoko Networks) (E k N t k) Software Deploy  Deploy (BusyLab) (Esoko Ghana) MIS anywhere 28 software developers & testers 30 enumerators 7 trainers & managers enumerators, 28 CIRAD – March 2010
  • 30. Focus on sustainability Bronze Silver Gold Platinum $25 $250 $1,500 $8,000 SMS alerts & Website All tools.  All tools.  10 SMS alerts/week Max 200 members Max 200 members Max 2,000 members Max 2 000 members Unlimited. Unlimited Large Business/Assoc Farmer Group Trader Small Business Consumer Brand Co. Business Researcher Exporter NGO Small NGO Government 6,000 6 000 2,000 2 000 200 20 4 years to reach profitability CIRAD – March 2010
  • 32. Is business interested? No 52 surveyed out of the  3% potential 30,000  i l 30 000 business subscribers  in Ghana in Ghana Yes 29% Interested 29% Yes & likely = 68% Likely 39% 8% needed to be profitable CIRAD – March 2010
  • 33. Voacanga africana (exported at $7/kilo) producer SMS advertising/procurement  SMS advertising/procurement reduces middle men & time 61 > 31 days   5 > 3 people exporter $1.50  now  $2 = +30% $1.50  now  $3 = +100% CIRAD – March 2010
  • 34. Proforma Income Statement 0 0 0 1 2 3 All amount in US Dollars Y1 Y2 Y3 Y4 Y5 Revenue 89,625 185,539 391,166 848,145 1,424,293 Operating Expenses Internet Service 0 14,520 16,274 18,250 20,474 Office & Household 13,421 36,120 36,120 87,592 94,235 Marketing 3,444 72,000 72,000 103,680 124,416 Meals & Entertainment 2,454 3,600 3,600 4,516 5,058 Personnel 76,507 219,065 219,065 274,066 306,583 Professional Services 4,568 8,100 8,100 10,161 11,380 Travel & Transport 9,808 29,460 29,460 39,440 46,774 Contingency 214 20,368 20,368 27,785 31,246 Rent 0 42,000 42,000 44,100 46,305 Total Expenses 110,416 445,233 446,988 609,589 686,471 EBITDA 0 -20,791 -259,695 -55,822 238,555 737,822 D&A 0 982 5,882 14,482 18,082 EBIT 0 -20,791 -260,677 -61,704 224,073 719,740 Interest Expense 0 -55 -2,377 -2,022 -1,614 Taxes 0 0 0 0 55,513 179,532 Net Income 0 -20,791 -260,621 -59,327 170,582 541,822 CIRAD – March 2010
  • 36. Top 10 misconceptions about MIS 1. MIS is a public good 2. 2 We know what we want 3. We know what they want 4. We can build our own 5. The data is there 6. Build it and they will come 7. We can pilot it 8. We can measure impact 9. Someone will sustain it 9 S ill t i 10.They can access it on the web CIRAD – March 2010