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Village Development Partnership
            Concept Note


                          Prepared by:
Corporate Social Responsibility and International Affairs Bureau (CIB),
    Population and Community Development Association (PDA)


                     Last edited: January 2009
Executive Summary

The Village Development Partnership (VDP) is an integrated rural development project model being applied
by the Population and Community Development Association (PDA), one of Thailand’s most established and
well-known NGO’s. By combining PDA’s diverse developmental expertise and extensive rural network with
the financial and human resources of a sponsoring partner (particularly companies, although individuals and
organizations can also be effective), the VDP provides a structured approach towards sustainable poverty
alleviation.

The VDP addresses issues in the five development areas of: social development, economic
development, environment, health, and education. By placing initial emphasis on social and economic
development however, a foundation is created from which further development can be sustained.
Community empowerment, in the form of an elected, gender balanced Village Development Committee,
ensures that the community understands, manages, and leads its own development. Business skills
training and access to micro-credit (through the Village Development Bank) provides villagers with the
opportunity to start or expand income-generating activities; loan repayments then go towards increasing the
available pool of credit and funding further development activities.

Once a suitable village and sponsoring partner are selected, PDA guides the village through the start of the
VDP process with 7 steps in Phase I: Institutional Development and Planning:
   1. Building a common understanding
   2. Forming the Village Development Committee (VDC)
   3. Training the VDC
   4. Community Needs Assessment (CNA) and Preliminary Planning
   5. Eye-opener Trip
   6. Finalizing Development Plan
   7. Submitting Development Plan


The output from these steps is a clearly articulated idea of the future village the community would like to
have, prioritized goals and activities, and an implementation plan which breaks down the steps and
resources necessary to achieving the desired village. Implementation begins in Phase II.




PDA Village Development Partnership Concept Note                                         Page 2 of 24

January 2009
There are 5 steps in Phase II: Implementation of Development Activities:
   1. Tree Planting and Establishment of Village Development Bank
   2. Barefoot MBA
   3. Barefoot MPH
   4. School Lunch Farm
   5. Water for Health and Wealth
   6. Other Activities


Phase III: Monitoring and Evaluation: Throughout the VDP, PDA staff regularly visit the village to
discuss issues with the various committees and councils, provide advice, and request updates on activities.
PDA’s Research and Evaluation Division (RED) staff will be engaged in program evaluation and impact
assessment.

Through the VDP, rural communities develop the knowledge, skills, and capacity to analyze and respond to
their needs. Once a community has become experienced with the social and economic institutions of the
Village Development Committee and Village Development Bank, it possesses the tools and funds
necessary to sustain its own future development out of poverty and low quality of life.




PDA Village Development Partnership Concept Note                                        Page 3 of 24

January 2009
Table of Contents


Background ........................................................................................................................... 5 
          1.1.      Overview of PDA .................................................................................................................5 
          1.2.      Corporate Social Responsibility in Rural Development ..................................................6 

2.        Rationale of the Village Development Partnership project ................................... 7 
          2.1.      Social development: community empowerment ..............................................................7 
          2.2.      Economic development: providing credit and business skills .......................................8 
          2.3.      Environment ........................................................................................................................8 
          2.4.      Health ...................................................................................................................................9 
          2.5.      Education...........................................................................................................................10 

3.        Selecting the village ................................................................................................ 11 

4.        Phase I: Institutional Development and Planning ................................................ 12 
          4.1.      Building a common understanding .................................................................................12 
          4.2.      Forming the Village Development Committee (VDC) .....................................................12 
          4.3.      Training the VDC ...............................................................................................................14 
          4.4.      Community needs assessment (CNA) and preliminary planning ................................15 
          4.5.      Eye-opener trip ..................................................................................................................15 
          4.6.      Finalizing development plan ............................................................................................16 
          4.7.      Submitting development plan ..........................................................................................17 

5.        Phase II: Implementation of Development Activities ........................................... 18 
          5.1.      Tree Planting and establishment of Village Development Bank ...................................18 
          5.2.      Barefoot MBA ....................................................................................................................19 
          5.3.      Barefoot MPH ....................................................................................................................20 
          5.4.      School Lunch Farm...........................................................................................................20 
          5.5.      Water for Health and Wealth ............................................................................................20 
          5.6.      Other activities ..................................................................................................................21 

6.        Phase III: Monitoring and Evaluation ..................................................................... 22 

7.        Expected Outcomes ................................................................................................ 23 

8.        Partner Participation in the VDP ............................................................................ 24 
PDA Village Development Partnership Concept Note                                                                                   Page 4 of 24

January 2009
Background

1.1. Overview of PDA
Founded in 1974, PDA is one of Thailand's most diverse Non-Government Organizations (NGO). Operating
from Bangkok and 18 regional development centers and branch offices in rural Thailand, PDA's programs
are based on the belief that local people are best suited to shape and sustain their own development. PDA
has pioneered grassroots growth that is marked by extensive villager involvement not only as beneficiaries,
but also as planners, managers, and leaders.

PDA was first active in promoting family planning in urban and rural areas of Thailand at a time when
knowledge of and access to such services were scarce. PDA recruited and trained respected members of
urban and rural neighborhoods to distribute and provide information on affordable contraceptives directly to
their communities. Between 1974 and 2006 PDA helped to lower the average number of children per
household from 7 to 1.2 and to reduce the national population growth rate from 3.3% to 0.5%. Other
campaigns addressed the reproductive health of specific target groups such as factory workers, hill tribe
villagers, and adolescents.

Since that initial focus on reproductive health, PDA programs now encompass a variety of development
sectors such as integrated rural development, water resource development, local institution building,
medical and health services, population control and AIDS care activities, income generation and
occupational training, education, and forestry and environmental conservation. PDA has established itself
as an innovative and effective development NGO with an impressive record of successes and
accomplishments.

The development of a nation can be achieved only when the quality of life for all Thai people is improved to
an adequate standard. One of PDA’s prime tenets is that the community as a whole, in all sectors of society
- private, public, and non-profit - can join together in a new push for social improvement. PDA is proud to
have contributed to improving the standard and quality of life in Thailand; however, we endeavor to continue
our struggle in rural areas where government efforts at the local and national levels have not yet been able
to effectively address a growing disparity in quality of life.




PDA Village Development Partnership Concept Note                                         Page 5 of 24

January 2009
1.2. Corporate Social Responsibility in Rural Development
The Village Development Partnership (VDP) is a project that can effectively partner a rural Thai community
with individuals, families, organizations, or companies. That being said, PDA believes that the VDP model
lends itself naturally as a project for businesses that are interested in pursuing sustainable and effective
Corporate Social Responsibility (CSR) activities.

Businesses of all sizes are realizing the need to respond to stakeholder requests to act in a socially
responsible manner and not focus exclusively on a financial bottom line. A quick scan through news media
shows that companies are coming under increased scrutiny regarding their CSR actions, or lack thereof.
Social contribution activities by companies are increasingly expected to have genuine and sustainable
impacts that stem from fundamental principles or philosophies, rather than being superficial acts of charity
which may be interpreted as public relations exercises.

While a company’s CSR strategy may try to accomplish many objectives, one of the most effective areas
towards which a company can contribute financial resources and employee expertise is poverty alleviation.
The fundamental processes necessary to running a successful enterprise such as planning, resource
management, and identification of opportunities, find very similar parallels in the development and
implementation of the Village Development Partnership (VDP). Furthermore, by combining key business
skills with the development expertise and on-the-ground network of an NGO partner such as PDA, a
company is best able to maximize the impact of its CSR contributions.

A socially responsible company receives recognition from stakeholders, company employees, and potential
consumers and business partners for its efforts. In today’s demanding business environment, differentiation
from competitors is constantly becoming more difficult and more expensive. Being able to draw on well
conceived and implemented CSR provides companies with a novel and innovative way to garner recognition
and distinguish themselves in the marketplace.




PDA Village Development Partnership Concept Note                                         Page 6 of 24

January 2009
2. Rationale of the Village Development Partnership project

The Village Development Partnership (VDP) project is a holistic approach to development and contributes to
five major development areas: social, economic, environment, health, and education.

2.1. Social development: community empowerment
Through its experience in rural development, PDA has learned that effective and sustainable poverty
reduction programs must begin through the engagement of the involved communities. Communities must
have full ownership and have every opportunity to participate in the planning and implementation of
development projects; PDA’s role is to guide villagers in how to articulate their needs.

The VDP effectively creates this engagement by helping the community establish an elected Village
Development Committee at the very beginning of the process. The election ensures that the whole village
community participates in, and feels ownership for, the project right from the start. The elected individuals
generally come from various backgrounds and act as representatives, allowing every villager to articulate
his/her needs.

The Village Development Committee consists of sub-committees which represent all generations. Each of
the sub-committees must have equal male and female representation which helps to firmly instill the
concept of gender equality.




                 Youth Council meeting                                 Meeting of the Council of Elders
Villagers are involved at every step of the VDP project. They are responsible for carrying out their own
Community Needs Assessment and for generating ideas. This is effective as the villagers know their
specific needs better than PDA or the sponsoring partners. Every rural Thai community exists within
different surroundings and different circumstances. This means that while the general areas of development
(e.g. economic, health, education, and environment) are consistent from village to village, the particular
needs and priorities of each community are unique and must be supported as such.



PDA Village Development Partnership Concept Note                                               Page 7 of 24

January 2009
2.2. Economic development: providing credit and business skills
Many poorer villagers do not own land and therefore do not have collateral for credit. The lack of access to
credit at the village level is a significant inhibitor to the ability to increase income. This can deny individuals
the opportunity to borrow money at market rates to begin and/or expand business activities. Borrowing
through existing informal channels can often only be done at exorbitant interest rates resulting in restrictive
loan repayments.

A central component of the VDP project is the Village Development Bank (VDB). It is an important source
of credit for income generation activities as well as a system that encourages the practice of saving. The
initial capital for the bank is established through the community activity of tree-planting, whereby funds from
the partner are contributed as capital for the VDB in exchange for each tree planted.

The communal nature of the bank means that all villagers have the opportunity to benefit. Default on
repayments is often lower than in conventional systems since there are social pressures that arise from
depriving fellow community members of the right to borrow, as well as personal “face and image” issues. In
many existing VDP’s, community savings quickly exceed the initial capital with which the VDB was started,
indicating the success the program has had in changing villagers’ saving behaviors.

PDA staff also provides villagers with basic business skills training and we encourage partners to share their
expertise, skills, and advice, to help villagers ensure that their micro-businesses are a success.




          Ice-cream vendor                    Prepared food stall                 Organic pig raising

2.3. Environment
In addition to tree-planting, many community activities organized within the framework of the VDP contribute
to improving the environment. Examples from PDA’s past development projects include canal recovery,
building sanitary latrines, waste collection and garbage recycling, bio-diesel production, and the building of
piped water systems.


PDA Village Development Partnership Concept Note                                                  Page 8 of 24

January 2009
Community tree-planting                                           Canal clearing in Ratchaburi Province
2.4. Health
Health is still a major concern in rural areas. In 2006, PDA carried out a health survey in 8 rural primary
schools in the South of Thailand and found that the majority of children had health problems including dental
problems, lice, or malnutrition. Activities carried out as part of the VDP may include health checks and
education in local schools as well as the improvement of medical care facilities. If communities with the
project area have any prevalent medical problems such as HIV/AIDS, diabetes, or hypertension, the VDP
could also institute education, prevention, and treatment programs targeting those specific ailments.




                                              School health check as part of a VDP




PDA Village Development Partnership Concept Note                                                               Page 9 of 24

January 2009
2.5. Education
As a community develops economically, one effect is an increase in the rate of secondary school
attendance. To keep pace with economic improvement in a community, the VDP can target developmental
programs related to education such as: improvement of local primary and secondary schools, scholarship
for children from poor families, Information Technology training for children and adults, and the creation of
school lunch farms to improve childhood nutrition and student performance.




PDA Village Development Partnership Concept Note                                         Page 10 of 24

January 2009
3. Selecting the village

PDA staff are continually building relations with villages in the areas surrounding the 18 PDA centers in
Thailand. PDA decides if a village is suitable for participation in the Village Development Partnership based
on the following criteria:

    •     Geographical location, if sponsoring partner has expressed a preference
    •     Desire of village to collaborate
    •     Needs of the village
    •     Size of the village, to match the size of the donation
    •     Specific resources, opportunities, or challenges which may match the partner’s competencies
     •    Existing communication infrastructure within a village. PDA has found that successful partnership
          with a village is highly dependent on the community having a solid communication infrastructure as
          well as receptive individuals who are respected and influential, even if just at an informal level.
          These key individuals are important to obtain the buy-in of villagers for project collaboration.
     •    Past collaboration with PDA. This is a good entry point into the village since existing relationships
          help facilitate further collaboration. Examples include village children in Buriram province who
          attend the PDA-founded Lamplaimat Pattana School, and villagers who work in PDA associated
          businesses and factories.




PDA Village Development Partnership Concept Note                                           Page 11 of 24

January 2009
4. Phase I: Institutional Development and Planning

Once a village has been selected and the partner has decided to commit to the project, the VDP enters its
institutional development and planning phase:
     1. Building a common understanding
     2. Forming the Village Development Committee (VDC)
     3. Training the VDC
     4. Community Needs Assessment (CNA) and preliminary planning
     5. Eye-opener trip
     6. Finalizing development plan
     7. Submitting development plan

4.1. Building a common understanding
PDA staff visit the village and organize meetings, during which the VDP concept is introduced. Villagers
and PDA staff discuss VDP objectives, activities, outputs and expected outcomes. The number of meetings
depends on the villagers’ needs and ability to understand the VDP concept and procedures.

4.2. Forming the Village Development Committee (VDC)
The VDC is constituted of four sub-committees: the Village Development Bank Committee (VDB), the
Village Youth Council (VYC), the Village Council of Elders (VCE), and the Village Health Committee (VHC).
PDA staff support the villagers in organizing elections the sub-committees. VDC will take a lead role in the
process of continuing to understand and respond to the needs of their community. It will also establish the
Village Development Bank, an important source of credit for income generating activities and a system that
will encourage the practice of saving.



                                                   Village Development Committee
                                                                VDC



     Village Development                   Village Youth              Village Council of     Village Health
             Bank                              Council                      Elders            Committee
             VDC                                VYC                          VCE                  VHC




PDA Village Development Partnership Concept Note                                           Page 12 of 24

January 2009
The forming of the sub-committees provides a way of giving opportunities to and drawing out natural
leaders/change agents in the community. Committees formed through PDA’s support are different in that
members are elected as opposed to appointed and usually do not have previous connections or high
standing in local society. Members usually turn out to be dedicated, hardworking people invested in the
development of own community having been engaged for their commitment to helping their community at
large rather than serving personal benefit.

Village Development Bank (VDB)
The VDB committee is in charge of setting up and running the village development bank, which will provide
funds to commence community activities and a source of credit to carry out or expand business activities.

Village Youth Council (VYC)
Youth in the village between 14-24 years will elect 8 representatives. VYC will manage affairs pertaining to
youth and to integrate youth into community development. They will also coordinate environmental activities
such as the tree planting to establish the VDB, and will be provided with training and financial support to
establish youth run businesses.

Village Council of Elders (VCE)
The role of the eight highly experienced village elders is to achieve program buy-in.

Village Health Committee (VHC)
VHC is constituted of eight individuals who can be health care educators, youth and other villagers. Its role
is to execute various activities to promote health care and sanitation more effectively.




PDA Village Development Partnership Concept Note                                         Page 13 of 24

January 2009
4.3. Training the VDC
After elections, PDA staff provide coaching to each sub-committee so that each understands its roles and
responsibilities.

VDC training
   •   Community Needs Assessment process
   •   Managing people; mobilizing people into groups
   •   Documenting information
   •   Planning activities
   •   Writing proposals
   •   Thinking in a clear; purposeful way about rural development planning
    •     Public speaking and presenting themselves to donors and potential donors
    •     Coordinating effectively with local organizations and Tambon Administration Organization (TAO)


VDB training
   •   Business planning
   •   Savings, risk management and the use of profits
   •   Indicators of successful and efficient micro-credit business
   •   Gender issues in business
   •   Leadership and team work
   •   Networking
   •   Case studies for specific industries such as food, textiles and handicrafts


VYC training
   •   Democracy, transparency and gender equality
   •   Managing youth affairs
   •   Launching new initiatives for youth and elderly
   •   Initiating business ventures for youth


VHC training
   •   Basic health care for various groups;
   •   Launching new initiatives for health care and health education
   •   Health fund management


PDA Village Development Partnership Concept Note                                        Page 14 of 24

January 2009
4.4. Community needs assessment (CNA) and preliminary planning
PDA staff facilitates a multi-day brainstorming session during which villagers create an overarching CNA
development plan. The CNA provides a unique opportunity for the community to understand its situation
and determine future objectives, as well as map out what the community can do to realize these objectives.
This learning process is a crucial building block towards long-term self-sustainability and away from
dependence on outside donors.

The 32 community members in VDC facilitate this process which involves the whole village. Villagers
exchange ideas about priority needs and goals, what changes are viable in the community, who will be
responsible, and what the appropriate activity rollout schedule is.

In the preliminary planning, a focus group discussion is facilitated in order to obtain primary data about the
overall situation of their village. The objective of this activity is to engage community members in assessing
the current climate within their village and then to set a plan for how they would like to improve their
situation.

Topics discussed are:

    •  Quality of life
   •   Economic: e.g. income, main and secondary occupations, labor, employment, debt burden
   •   Social: e.g. population, education, health
   •   Environmental: e.g. access to potable water
   •   Health: e.g. common diseases in the village
   •   Education: e.g. access to and condition of schools and daycare centers
The resulting output from this initial brainstorming session will be a community map and identification of
basic needs for quality of life and economic improvement.

4.5. Eye-opener trip
The VDC members, community leaders and other villagers travel to villages where the VDP project has
been successfully implemented. This allows them to gather new ideas and observe successful business
activities. It is an opportunity to see projects first-hand and speak to members of other communities to
understand how these activities can be implemented successfully.




PDA Village Development Partnership Concept Note                                          Page 15 of 24

January 2009
4.6. Finalizing development plan
Following the eye-opener trip villagers return to their community and undertake a detailed community
planning session. The final outputs of this meeting are lists of activities/projects proposed by the village.
The participants differ from each other in aspects of age, gender, career and social role. The meeting
comprises a total of 3 sessions:

Session 1: Our village today
Session 2: Future desired village
Session 3: Review of village future activities and conclusion


Session 1: Our village today
    •     Introduction of participants
    •     Sharing of behavioral data
    •     Village tales by elderly leaders
    •     Formation of 3 subgroups to discuss “our village today”
    •     Presentation of “our village today” by each subgroup
    •     Discussion in the whole group to summarize the conclusion of “our village today”


Session 2: Future desired village
   •   Discussion about “future desired village” in the same subgroups
   •   Presentation on “future desired village” by each subgroup
   •   Discussion in the whole group to list activities which should be promoted to achieve the “future
       desired village”


Session 3: Review of village future activities and conclusion
   •   Review of future village activities; focus on a question: is it essential to perform these project
       activities?
    •     Prioritization of future village activities
    •     Classification of activities and grouping into similar types
    •     Wrap-up session




PDA Village Development Partnership Concept Note                                         Page 16 of 24

January 2009
The result of this detailed planning stage is a Village Development Plan of Implementation, which is divided
into 3 categories:

    •    Work plan of activities that the community can begin to implement on its own
    •    Work plan on activities which require support from the local government administration for
         implementation
    •    Work plan on activities which require support from both public and private organizations for
         implementation


Activities in each work plan are prioritized and mapped out along an implementation schedule. Even though
these work plans often include activities that are out of the scope of PDA’s projects, we continue to play a
facilitating role by helping communities to find additional necessary resources and to present projects
strategically about how to develop provides opportunities for local governance to recognize communities’
real needs and interests. This activity gives villagers a completely new experience in being able to
understand and shape their community in a way that they determine to be most valuable to them. This is a
unique approach in community empowerment and has sustainable impact well beyond the company’s
support as communities learn the process for determining their own needs as they change.

4.7. Submitting development plan
The Village Development Committee submits the finalized development plan to the partner through the
intermediary of PDA staff, and the program moves into the Implementation of Development Activities phase.




PDA Village Development Partnership Concept Note                                        Page 17 of 24

January 2009
5. Phase II: Implementation of Development Activities

Once institutions have been established with the community, PDA will guide VDC in planning and
implementing the community development activities. With the institutions now in place, the activities will be
ongoing with little outside assistance – that is, funds from the VDB and other activities will go towards
sustaining the activities described below in addition to activities determined necessary by the villagers in the
future.

The steps of implementation are:
   1. Tree planting and establishment of Village Development Bank
   2. Barefoot MBA
   3. Barefoot MPH
   4. School Lunch Farm
   5. Water for Health and Wealth
   6. Other activities

5.1. Tree Planting and establishment of Village Development Bank
The implementation phase commences with a community activity in tree planting as a means of facilitating
the establishment of the VDB. In this activity, funds are contributed to as capital for the VDB in exchange
for each tree planted by the community. The VYC helps with the coordination of this activity.

The VDB will provide funds to commence community activities and a source of credit to carry out or expand
business activities. PDA provides training support on running the VDB to ensure long-term sustainability and
growth of this new financial community institution.

Before the VDB can begin operations, the VDB committee must discuss and establish the policies and rules
of their bank. While there is a suggested PDA template for many of these details, it is the specific
requirements of the village and its inhabitants that will decide exactly how the VDB operates. Issues which
need to be decided upon include:
    •    Membership (requirements, types, rights)
    •    Micro-credit structure (participation requirements, stock/share purchases, monthly dues, dividends,
         liquidation of shares)
    •    Loans (application screening process, business training, fund release process, payment terms of
         loan principal and interest, interest rates)
    •    Savings accounts (minimum deposits, interest rates)
    •    Days and hours of operation


PDA Village Development Partnership Concept Note                                           Page 18 of 24

January 2009
Some typical features of the Standard PDA model for a VDB are:
   •   Each household (regardless of number of individuals) is considered a membership
   •   A one-time membership fee is paid to the VDB, in exchange for shares in the bank equal to the fee
   •   The VDB is open to transact business once a month
   •   Members must save a fixed monthly amount (for which they receive 6% interest p.a.)
   •   Only members of the VDB in good standing are eligible for one loan at a time, for which they are
       charged interest of 1% per month (equivalent to 12% interest p.a.) A loan must be guaranteed by 2
       guarantors, although no financial collateral is required.
   •   The maximum loan amount is usually THB 20,000 for a maximum loan period of 1 year.


Once the VDB committee, with guidance from PDA staff, has decided on governing policy, rules, regulations,
and procedures, they must present them to the VDB members at large (the general community). Only after
the members have granted their consent and approval can the VDB committee adopt a given set of
governing standards.


Because the VDB structure is more technically complex than many other aspects of the Village
Development Partnership model, the training and support provided to the VDB committee by PDA staff is
essential, as is continuing follow-up support. This additional economic capacity building ensures long-term
sustainability and growth of this new financial community institution.

5.2. Barefoot MBA
This is a new program activity. The main purpose of the Barefoot MBA is to provide business training to
individuals and groups, especially those who receive loans from the VDB, and to enable them to start or
expand income generation activities. The training program helps the villagers learn about how to operate
small enterprises effectively from basic business skills (e.g. administration, management, book keeping),
case studies, and apprenticeship training with successful business owners. A study tour may be organized
to nearby districts or provinces to help the villagers obtain more ideas of business activities to operate.

While business trainings are provided to the VDC members and the villagers, these trainings are in fact
based on the needs of the villagers, and the provision of trainings is not systemic.




PDA Village Development Partnership Concept Note                                       Page 19 of 24

January 2009
5.3. Barefoot MPH
This is a new program activity. The Barefoot MPH aims to train groups of expert patients, community based
health workers and youth of increasing expertise to meet prevention and treatment needs at the community
level. The Barefoot MPH equips numerous community members with the most basic health information
targeting community-specific key health concerns, and builds higher level skill with gradual trainings for
smaller group. Specifically, the program is a 3-tiers training to develop ‘community health educators’ among
the students, teachers, women and other villagers. Tier-1, comprises general overview training of common
diseases, symptoms, and treatments. Tier-2, the health care educators are trained to be effective
communicators and in more in-depth knowledge of diseases and able to help those in Tier-1. Tier-3 trains
the health educators even further to the point where they are able to assist health care
professionals/physicians while serving as village health educators.

5.4. School Lunch Farm
The main aim of this program is to offer a sustainable solution to children malnutrition and food shortage at
school as well as at home. School farms will be established to produce vegetables, herbs, mushrooms and
in some locations fish to provide for daily school lunches, and any surplus can be sold to the community in
exchange for rice or money to be invested in raw materials and maintenance for the next crop cycle. School
farms are environmentally friendly, utilizing organic fertilizers and rainwater-based irrigation systems.
School communities reap tangible benefits from the farms in terms of income and a steady supply of fresh
food, but they also feel a heightened sense of self-sufficiency and empowerment. The entire community
participates and takes ownership of the program: village members volunteer their labor on the farms,
parents prepare the lunches, and students cultivate the crops and raise the animals, with guidance and
training from the parents and teachers. Farming is integrated into the school curriculum: students are
graded on their care of the farms, learn about responsibility, and build the skills that may open doorways to
future livelihoods.

5.5. Water for Health and Wealth
Because many Thai villagers rely on water for rice farming, insufficient water is an economic constraint for
them. The Water for Health and Wealth program is an integral element of the VDP to create sustainable
and self-maintained water systems as well as additional sources of income. A loan fund from the VDB is
used to cover the cost of construction materials for large rain-water catchment tanks, which are then
available for individual and communal use, depending on the needs of the community. The villagers provide
an in-kind donation of labor to support the project and PDA provides technical training and assistance
throughout the construction process. Villagers pay a small service charge for the water and the collective
amount covers the loan repayment as well as maintenance costs. Villagers are encouraged to grow

PDA Village Development Partnership Concept Note                                         Page 20 of 24

January 2009
vegetable and flower plots to generate income. Once the loan is repaid, the fund revolves to allow more
villagers to build catchment tanks and eventually to create a self-managed pipe distribution network for the
community.

5.6. Other activities
With the establishment of the VDB the Village Development Committee can then begin organization of
activities that were previously identified in the implementation plan. For projects requiring outside funding,
technical support, and/or other assistance, village members are encouraged to actively identify potential
sources of support.

Some community development activities which PDA has previously worked on or observed in other
communities include:

     •    Social Development
             o Youth development
             o Women’s empowerment and gender equality training
             o Democratic process, civil society, and transparency training
             o Child daycare refurbishment
     •    Economic Development
             o Rice-mill cooperative
             o Vegetable bank
             o Intergenerational loan funds
     •    Environment
             o Garbage recycling bank
             o Environmental education
             o Bio-diesel production
             o Additional tree planting
     •    Health
             o Health examinations
             o Dental care and treatment
             o Eye care and treatment
             o School hygiene program
             o HIV/AIDS education
     •    Education
             o Scholarships (grade school, high school, and university)
             o Mobile Teacher/Mentor
             o IT skills development




PDA Village Development Partnership Concept Note                                          Page 21 of 24

January 2009
6. Phase III: Monitoring and Evaluation

One of the responsibilities of the PDA staff will be to provide oversight to ensure that VDP institutions are
operating properly. Because the majority of VDP villages are located within 30km of a PDA centre, PDA
staff regularly visit to discuss issues with the various committees and councils, provide advice, and request
updates on activities. One of PDA’s strengths is its ability to monitor the “pulse” of communities in which it
works. This information, along with updates on new activities or developments, is then summarized and
presented to sponsors in a yearly brief, or upon request.

PDA’s Research and Evaluation Division (RED) staff will be engaged in program evaluation and impact
assessment. Measurements and qualitative data sources used in the process include:
     •    Log of activities conducted in the village: e.g. training sessions and visits (every 6 months)
     •    Minutes of Village Development Committee meetings (every 6 months)
     •    Accounts of the VDB: number of members, share sales, total savings, loan amounts and repayment
          rates, etc. (every 6 months)
     •    If there is a school in the village, data will be collected on children’s height, weight and condition of
          teeth (every 6 months)
 
Among the tools which PDA uses to track the villagers perceived quality of life is “The Bamboo Ladder”, a
self-assessment scale. Villagers assign themselves a rating for the past, present, and future, in the
categories of Income, Physical Health, Mental Health, and Quality of Life. Over time, these assessments
help to form a general overview of the successes or shortcomings of the community development activities,
as perceived by the villagers and can be used to reassess or modify the initial VDP Implementation Plan.




PDA Village Development Partnership Concept Note                                              Page 22 of 24

January 2009
7. Expected Outcomes

The Village Development Partnership is expected to improve both the economic and social lives of the
members of the selected village by enabling them to implement activities that the community itself has
identified as most needed.

The partnership will communicate to community members the importance of community empowerment, as
these villagers will have learnt the process of identifying their own needs, now and in the future, and will
have the necessary confidence, skills, and knowledge to improve their own situation.

Important community institutions will have been established in the form of the Village Development
Committee and its components. The VDC will take a lead role in the process of understanding and
responding to the needs of their community. The project will also establish the Village Development Bank,
an important source of credit for income generating activities and a system that encourages the practice of
saving.

Finally, the villagers will have a new, more positive outlook on life in their community. Having developed a
vision of how things can be improved and the concrete steps necessary to achieve that vision, the village,
their sponsoring partner, and PDA can create real improvement in quality of life.




PDA Village Development Partnership Concept Note                                        Page 23 of 24

January 2009
8. Partner Participation in the VDP

PDA encourages the sponsoring partner, whether individual members or as a whole, to be an active part of
the Village Development Partnership project. This involvement can begin with joining the villagers during
the Community Needs Assessment process and continue through to the launch and implementation of
community development activities. By being directly involved in the learning experience together with the
villagers, the partner will develop a fuller understanding of the project itself and community development.

The following is a non-exhaustive list of some of the VDP activities in which the partner could participate,
dependant on area of expertise or simply interest level:

     •    Idea generation/advice for micro-finance businesses and enterprise development: help
          provide business ideas and other methods of income generation for villagers

     •    Advisory committee for village bank: assist in advising and training of the village bank
          committee, helping it to run smoothly and efficiently through improved management

     •    Training for youth: provide financial and business training to youth in areas such as basic
          accounting, marketing, basic cost-benefit analysis, as well as proposal writing and presentation
          skills. In addition, other life skills training can be integrated i.e. the importance of education, anti-
          drug message, sex & HIV/AIDS education, and civil society and democratic participation

     •    Community activities: participate in the initial tree-planting activity to raise capital for the Village
          Development Bank, and other subsequent community activities

These activities can also be scaled up for a greater degree of participation from the partner.




PDA Village Development Partnership Concept Note                                              Page 24 of 24

January 2009

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VDP Concept Note

  • 1. Village Development Partnership Concept Note Prepared by: Corporate Social Responsibility and International Affairs Bureau (CIB), Population and Community Development Association (PDA) Last edited: January 2009
  • 2. Executive Summary The Village Development Partnership (VDP) is an integrated rural development project model being applied by the Population and Community Development Association (PDA), one of Thailand’s most established and well-known NGO’s. By combining PDA’s diverse developmental expertise and extensive rural network with the financial and human resources of a sponsoring partner (particularly companies, although individuals and organizations can also be effective), the VDP provides a structured approach towards sustainable poverty alleviation. The VDP addresses issues in the five development areas of: social development, economic development, environment, health, and education. By placing initial emphasis on social and economic development however, a foundation is created from which further development can be sustained. Community empowerment, in the form of an elected, gender balanced Village Development Committee, ensures that the community understands, manages, and leads its own development. Business skills training and access to micro-credit (through the Village Development Bank) provides villagers with the opportunity to start or expand income-generating activities; loan repayments then go towards increasing the available pool of credit and funding further development activities. Once a suitable village and sponsoring partner are selected, PDA guides the village through the start of the VDP process with 7 steps in Phase I: Institutional Development and Planning: 1. Building a common understanding 2. Forming the Village Development Committee (VDC) 3. Training the VDC 4. Community Needs Assessment (CNA) and Preliminary Planning 5. Eye-opener Trip 6. Finalizing Development Plan 7. Submitting Development Plan The output from these steps is a clearly articulated idea of the future village the community would like to have, prioritized goals and activities, and an implementation plan which breaks down the steps and resources necessary to achieving the desired village. Implementation begins in Phase II. PDA Village Development Partnership Concept Note Page 2 of 24 January 2009
  • 3. There are 5 steps in Phase II: Implementation of Development Activities: 1. Tree Planting and Establishment of Village Development Bank 2. Barefoot MBA 3. Barefoot MPH 4. School Lunch Farm 5. Water for Health and Wealth 6. Other Activities Phase III: Monitoring and Evaluation: Throughout the VDP, PDA staff regularly visit the village to discuss issues with the various committees and councils, provide advice, and request updates on activities. PDA’s Research and Evaluation Division (RED) staff will be engaged in program evaluation and impact assessment. Through the VDP, rural communities develop the knowledge, skills, and capacity to analyze and respond to their needs. Once a community has become experienced with the social and economic institutions of the Village Development Committee and Village Development Bank, it possesses the tools and funds necessary to sustain its own future development out of poverty and low quality of life. PDA Village Development Partnership Concept Note Page 3 of 24 January 2009
  • 4. Table of Contents Background ........................................................................................................................... 5  1.1.  Overview of PDA .................................................................................................................5  1.2.  Corporate Social Responsibility in Rural Development ..................................................6  2.  Rationale of the Village Development Partnership project ................................... 7  2.1.  Social development: community empowerment ..............................................................7  2.2.  Economic development: providing credit and business skills .......................................8  2.3.  Environment ........................................................................................................................8  2.4.  Health ...................................................................................................................................9  2.5.  Education...........................................................................................................................10  3.  Selecting the village ................................................................................................ 11  4.  Phase I: Institutional Development and Planning ................................................ 12  4.1.  Building a common understanding .................................................................................12  4.2.  Forming the Village Development Committee (VDC) .....................................................12  4.3.  Training the VDC ...............................................................................................................14  4.4.  Community needs assessment (CNA) and preliminary planning ................................15  4.5.  Eye-opener trip ..................................................................................................................15  4.6.  Finalizing development plan ............................................................................................16  4.7.  Submitting development plan ..........................................................................................17  5.  Phase II: Implementation of Development Activities ........................................... 18  5.1.  Tree Planting and establishment of Village Development Bank ...................................18  5.2.  Barefoot MBA ....................................................................................................................19  5.3.  Barefoot MPH ....................................................................................................................20  5.4.  School Lunch Farm...........................................................................................................20  5.5.  Water for Health and Wealth ............................................................................................20  5.6.  Other activities ..................................................................................................................21  6.  Phase III: Monitoring and Evaluation ..................................................................... 22  7.  Expected Outcomes ................................................................................................ 23  8.  Partner Participation in the VDP ............................................................................ 24  PDA Village Development Partnership Concept Note Page 4 of 24 January 2009
  • 5. Background 1.1. Overview of PDA Founded in 1974, PDA is one of Thailand's most diverse Non-Government Organizations (NGO). Operating from Bangkok and 18 regional development centers and branch offices in rural Thailand, PDA's programs are based on the belief that local people are best suited to shape and sustain their own development. PDA has pioneered grassroots growth that is marked by extensive villager involvement not only as beneficiaries, but also as planners, managers, and leaders. PDA was first active in promoting family planning in urban and rural areas of Thailand at a time when knowledge of and access to such services were scarce. PDA recruited and trained respected members of urban and rural neighborhoods to distribute and provide information on affordable contraceptives directly to their communities. Between 1974 and 2006 PDA helped to lower the average number of children per household from 7 to 1.2 and to reduce the national population growth rate from 3.3% to 0.5%. Other campaigns addressed the reproductive health of specific target groups such as factory workers, hill tribe villagers, and adolescents. Since that initial focus on reproductive health, PDA programs now encompass a variety of development sectors such as integrated rural development, water resource development, local institution building, medical and health services, population control and AIDS care activities, income generation and occupational training, education, and forestry and environmental conservation. PDA has established itself as an innovative and effective development NGO with an impressive record of successes and accomplishments. The development of a nation can be achieved only when the quality of life for all Thai people is improved to an adequate standard. One of PDA’s prime tenets is that the community as a whole, in all sectors of society - private, public, and non-profit - can join together in a new push for social improvement. PDA is proud to have contributed to improving the standard and quality of life in Thailand; however, we endeavor to continue our struggle in rural areas where government efforts at the local and national levels have not yet been able to effectively address a growing disparity in quality of life. PDA Village Development Partnership Concept Note Page 5 of 24 January 2009
  • 6. 1.2. Corporate Social Responsibility in Rural Development The Village Development Partnership (VDP) is a project that can effectively partner a rural Thai community with individuals, families, organizations, or companies. That being said, PDA believes that the VDP model lends itself naturally as a project for businesses that are interested in pursuing sustainable and effective Corporate Social Responsibility (CSR) activities. Businesses of all sizes are realizing the need to respond to stakeholder requests to act in a socially responsible manner and not focus exclusively on a financial bottom line. A quick scan through news media shows that companies are coming under increased scrutiny regarding their CSR actions, or lack thereof. Social contribution activities by companies are increasingly expected to have genuine and sustainable impacts that stem from fundamental principles or philosophies, rather than being superficial acts of charity which may be interpreted as public relations exercises. While a company’s CSR strategy may try to accomplish many objectives, one of the most effective areas towards which a company can contribute financial resources and employee expertise is poverty alleviation. The fundamental processes necessary to running a successful enterprise such as planning, resource management, and identification of opportunities, find very similar parallels in the development and implementation of the Village Development Partnership (VDP). Furthermore, by combining key business skills with the development expertise and on-the-ground network of an NGO partner such as PDA, a company is best able to maximize the impact of its CSR contributions. A socially responsible company receives recognition from stakeholders, company employees, and potential consumers and business partners for its efforts. In today’s demanding business environment, differentiation from competitors is constantly becoming more difficult and more expensive. Being able to draw on well conceived and implemented CSR provides companies with a novel and innovative way to garner recognition and distinguish themselves in the marketplace. PDA Village Development Partnership Concept Note Page 6 of 24 January 2009
  • 7. 2. Rationale of the Village Development Partnership project The Village Development Partnership (VDP) project is a holistic approach to development and contributes to five major development areas: social, economic, environment, health, and education. 2.1. Social development: community empowerment Through its experience in rural development, PDA has learned that effective and sustainable poverty reduction programs must begin through the engagement of the involved communities. Communities must have full ownership and have every opportunity to participate in the planning and implementation of development projects; PDA’s role is to guide villagers in how to articulate their needs. The VDP effectively creates this engagement by helping the community establish an elected Village Development Committee at the very beginning of the process. The election ensures that the whole village community participates in, and feels ownership for, the project right from the start. The elected individuals generally come from various backgrounds and act as representatives, allowing every villager to articulate his/her needs. The Village Development Committee consists of sub-committees which represent all generations. Each of the sub-committees must have equal male and female representation which helps to firmly instill the concept of gender equality. Youth Council meeting Meeting of the Council of Elders Villagers are involved at every step of the VDP project. They are responsible for carrying out their own Community Needs Assessment and for generating ideas. This is effective as the villagers know their specific needs better than PDA or the sponsoring partners. Every rural Thai community exists within different surroundings and different circumstances. This means that while the general areas of development (e.g. economic, health, education, and environment) are consistent from village to village, the particular needs and priorities of each community are unique and must be supported as such. PDA Village Development Partnership Concept Note Page 7 of 24 January 2009
  • 8. 2.2. Economic development: providing credit and business skills Many poorer villagers do not own land and therefore do not have collateral for credit. The lack of access to credit at the village level is a significant inhibitor to the ability to increase income. This can deny individuals the opportunity to borrow money at market rates to begin and/or expand business activities. Borrowing through existing informal channels can often only be done at exorbitant interest rates resulting in restrictive loan repayments. A central component of the VDP project is the Village Development Bank (VDB). It is an important source of credit for income generation activities as well as a system that encourages the practice of saving. The initial capital for the bank is established through the community activity of tree-planting, whereby funds from the partner are contributed as capital for the VDB in exchange for each tree planted. The communal nature of the bank means that all villagers have the opportunity to benefit. Default on repayments is often lower than in conventional systems since there are social pressures that arise from depriving fellow community members of the right to borrow, as well as personal “face and image” issues. In many existing VDP’s, community savings quickly exceed the initial capital with which the VDB was started, indicating the success the program has had in changing villagers’ saving behaviors. PDA staff also provides villagers with basic business skills training and we encourage partners to share their expertise, skills, and advice, to help villagers ensure that their micro-businesses are a success. Ice-cream vendor Prepared food stall Organic pig raising 2.3. Environment In addition to tree-planting, many community activities organized within the framework of the VDP contribute to improving the environment. Examples from PDA’s past development projects include canal recovery, building sanitary latrines, waste collection and garbage recycling, bio-diesel production, and the building of piped water systems. PDA Village Development Partnership Concept Note Page 8 of 24 January 2009
  • 9. Community tree-planting Canal clearing in Ratchaburi Province 2.4. Health Health is still a major concern in rural areas. In 2006, PDA carried out a health survey in 8 rural primary schools in the South of Thailand and found that the majority of children had health problems including dental problems, lice, or malnutrition. Activities carried out as part of the VDP may include health checks and education in local schools as well as the improvement of medical care facilities. If communities with the project area have any prevalent medical problems such as HIV/AIDS, diabetes, or hypertension, the VDP could also institute education, prevention, and treatment programs targeting those specific ailments. School health check as part of a VDP PDA Village Development Partnership Concept Note Page 9 of 24 January 2009
  • 10. 2.5. Education As a community develops economically, one effect is an increase in the rate of secondary school attendance. To keep pace with economic improvement in a community, the VDP can target developmental programs related to education such as: improvement of local primary and secondary schools, scholarship for children from poor families, Information Technology training for children and adults, and the creation of school lunch farms to improve childhood nutrition and student performance. PDA Village Development Partnership Concept Note Page 10 of 24 January 2009
  • 11. 3. Selecting the village PDA staff are continually building relations with villages in the areas surrounding the 18 PDA centers in Thailand. PDA decides if a village is suitable for participation in the Village Development Partnership based on the following criteria: • Geographical location, if sponsoring partner has expressed a preference • Desire of village to collaborate • Needs of the village • Size of the village, to match the size of the donation • Specific resources, opportunities, or challenges which may match the partner’s competencies • Existing communication infrastructure within a village. PDA has found that successful partnership with a village is highly dependent on the community having a solid communication infrastructure as well as receptive individuals who are respected and influential, even if just at an informal level. These key individuals are important to obtain the buy-in of villagers for project collaboration. • Past collaboration with PDA. This is a good entry point into the village since existing relationships help facilitate further collaboration. Examples include village children in Buriram province who attend the PDA-founded Lamplaimat Pattana School, and villagers who work in PDA associated businesses and factories. PDA Village Development Partnership Concept Note Page 11 of 24 January 2009
  • 12. 4. Phase I: Institutional Development and Planning Once a village has been selected and the partner has decided to commit to the project, the VDP enters its institutional development and planning phase: 1. Building a common understanding 2. Forming the Village Development Committee (VDC) 3. Training the VDC 4. Community Needs Assessment (CNA) and preliminary planning 5. Eye-opener trip 6. Finalizing development plan 7. Submitting development plan 4.1. Building a common understanding PDA staff visit the village and organize meetings, during which the VDP concept is introduced. Villagers and PDA staff discuss VDP objectives, activities, outputs and expected outcomes. The number of meetings depends on the villagers’ needs and ability to understand the VDP concept and procedures. 4.2. Forming the Village Development Committee (VDC) The VDC is constituted of four sub-committees: the Village Development Bank Committee (VDB), the Village Youth Council (VYC), the Village Council of Elders (VCE), and the Village Health Committee (VHC). PDA staff support the villagers in organizing elections the sub-committees. VDC will take a lead role in the process of continuing to understand and respond to the needs of their community. It will also establish the Village Development Bank, an important source of credit for income generating activities and a system that will encourage the practice of saving. Village Development Committee VDC Village Development Village Youth Village Council of Village Health Bank Council Elders Committee VDC VYC VCE VHC PDA Village Development Partnership Concept Note Page 12 of 24 January 2009
  • 13. The forming of the sub-committees provides a way of giving opportunities to and drawing out natural leaders/change agents in the community. Committees formed through PDA’s support are different in that members are elected as opposed to appointed and usually do not have previous connections or high standing in local society. Members usually turn out to be dedicated, hardworking people invested in the development of own community having been engaged for their commitment to helping their community at large rather than serving personal benefit. Village Development Bank (VDB) The VDB committee is in charge of setting up and running the village development bank, which will provide funds to commence community activities and a source of credit to carry out or expand business activities. Village Youth Council (VYC) Youth in the village between 14-24 years will elect 8 representatives. VYC will manage affairs pertaining to youth and to integrate youth into community development. They will also coordinate environmental activities such as the tree planting to establish the VDB, and will be provided with training and financial support to establish youth run businesses. Village Council of Elders (VCE) The role of the eight highly experienced village elders is to achieve program buy-in. Village Health Committee (VHC) VHC is constituted of eight individuals who can be health care educators, youth and other villagers. Its role is to execute various activities to promote health care and sanitation more effectively. PDA Village Development Partnership Concept Note Page 13 of 24 January 2009
  • 14. 4.3. Training the VDC After elections, PDA staff provide coaching to each sub-committee so that each understands its roles and responsibilities. VDC training • Community Needs Assessment process • Managing people; mobilizing people into groups • Documenting information • Planning activities • Writing proposals • Thinking in a clear; purposeful way about rural development planning • Public speaking and presenting themselves to donors and potential donors • Coordinating effectively with local organizations and Tambon Administration Organization (TAO) VDB training • Business planning • Savings, risk management and the use of profits • Indicators of successful and efficient micro-credit business • Gender issues in business • Leadership and team work • Networking • Case studies for specific industries such as food, textiles and handicrafts VYC training • Democracy, transparency and gender equality • Managing youth affairs • Launching new initiatives for youth and elderly • Initiating business ventures for youth VHC training • Basic health care for various groups; • Launching new initiatives for health care and health education • Health fund management PDA Village Development Partnership Concept Note Page 14 of 24 January 2009
  • 15. 4.4. Community needs assessment (CNA) and preliminary planning PDA staff facilitates a multi-day brainstorming session during which villagers create an overarching CNA development plan. The CNA provides a unique opportunity for the community to understand its situation and determine future objectives, as well as map out what the community can do to realize these objectives. This learning process is a crucial building block towards long-term self-sustainability and away from dependence on outside donors. The 32 community members in VDC facilitate this process which involves the whole village. Villagers exchange ideas about priority needs and goals, what changes are viable in the community, who will be responsible, and what the appropriate activity rollout schedule is. In the preliminary planning, a focus group discussion is facilitated in order to obtain primary data about the overall situation of their village. The objective of this activity is to engage community members in assessing the current climate within their village and then to set a plan for how they would like to improve their situation. Topics discussed are: • Quality of life • Economic: e.g. income, main and secondary occupations, labor, employment, debt burden • Social: e.g. population, education, health • Environmental: e.g. access to potable water • Health: e.g. common diseases in the village • Education: e.g. access to and condition of schools and daycare centers The resulting output from this initial brainstorming session will be a community map and identification of basic needs for quality of life and economic improvement. 4.5. Eye-opener trip The VDC members, community leaders and other villagers travel to villages where the VDP project has been successfully implemented. This allows them to gather new ideas and observe successful business activities. It is an opportunity to see projects first-hand and speak to members of other communities to understand how these activities can be implemented successfully. PDA Village Development Partnership Concept Note Page 15 of 24 January 2009
  • 16. 4.6. Finalizing development plan Following the eye-opener trip villagers return to their community and undertake a detailed community planning session. The final outputs of this meeting are lists of activities/projects proposed by the village. The participants differ from each other in aspects of age, gender, career and social role. The meeting comprises a total of 3 sessions: Session 1: Our village today Session 2: Future desired village Session 3: Review of village future activities and conclusion Session 1: Our village today • Introduction of participants • Sharing of behavioral data • Village tales by elderly leaders • Formation of 3 subgroups to discuss “our village today” • Presentation of “our village today” by each subgroup • Discussion in the whole group to summarize the conclusion of “our village today” Session 2: Future desired village • Discussion about “future desired village” in the same subgroups • Presentation on “future desired village” by each subgroup • Discussion in the whole group to list activities which should be promoted to achieve the “future desired village” Session 3: Review of village future activities and conclusion • Review of future village activities; focus on a question: is it essential to perform these project activities? • Prioritization of future village activities • Classification of activities and grouping into similar types • Wrap-up session PDA Village Development Partnership Concept Note Page 16 of 24 January 2009
  • 17. The result of this detailed planning stage is a Village Development Plan of Implementation, which is divided into 3 categories: • Work plan of activities that the community can begin to implement on its own • Work plan on activities which require support from the local government administration for implementation • Work plan on activities which require support from both public and private organizations for implementation Activities in each work plan are prioritized and mapped out along an implementation schedule. Even though these work plans often include activities that are out of the scope of PDA’s projects, we continue to play a facilitating role by helping communities to find additional necessary resources and to present projects strategically about how to develop provides opportunities for local governance to recognize communities’ real needs and interests. This activity gives villagers a completely new experience in being able to understand and shape their community in a way that they determine to be most valuable to them. This is a unique approach in community empowerment and has sustainable impact well beyond the company’s support as communities learn the process for determining their own needs as they change. 4.7. Submitting development plan The Village Development Committee submits the finalized development plan to the partner through the intermediary of PDA staff, and the program moves into the Implementation of Development Activities phase. PDA Village Development Partnership Concept Note Page 17 of 24 January 2009
  • 18. 5. Phase II: Implementation of Development Activities Once institutions have been established with the community, PDA will guide VDC in planning and implementing the community development activities. With the institutions now in place, the activities will be ongoing with little outside assistance – that is, funds from the VDB and other activities will go towards sustaining the activities described below in addition to activities determined necessary by the villagers in the future. The steps of implementation are: 1. Tree planting and establishment of Village Development Bank 2. Barefoot MBA 3. Barefoot MPH 4. School Lunch Farm 5. Water for Health and Wealth 6. Other activities 5.1. Tree Planting and establishment of Village Development Bank The implementation phase commences with a community activity in tree planting as a means of facilitating the establishment of the VDB. In this activity, funds are contributed to as capital for the VDB in exchange for each tree planted by the community. The VYC helps with the coordination of this activity. The VDB will provide funds to commence community activities and a source of credit to carry out or expand business activities. PDA provides training support on running the VDB to ensure long-term sustainability and growth of this new financial community institution. Before the VDB can begin operations, the VDB committee must discuss and establish the policies and rules of their bank. While there is a suggested PDA template for many of these details, it is the specific requirements of the village and its inhabitants that will decide exactly how the VDB operates. Issues which need to be decided upon include: • Membership (requirements, types, rights) • Micro-credit structure (participation requirements, stock/share purchases, monthly dues, dividends, liquidation of shares) • Loans (application screening process, business training, fund release process, payment terms of loan principal and interest, interest rates) • Savings accounts (minimum deposits, interest rates) • Days and hours of operation PDA Village Development Partnership Concept Note Page 18 of 24 January 2009
  • 19. Some typical features of the Standard PDA model for a VDB are: • Each household (regardless of number of individuals) is considered a membership • A one-time membership fee is paid to the VDB, in exchange for shares in the bank equal to the fee • The VDB is open to transact business once a month • Members must save a fixed monthly amount (for which they receive 6% interest p.a.) • Only members of the VDB in good standing are eligible for one loan at a time, for which they are charged interest of 1% per month (equivalent to 12% interest p.a.) A loan must be guaranteed by 2 guarantors, although no financial collateral is required. • The maximum loan amount is usually THB 20,000 for a maximum loan period of 1 year. Once the VDB committee, with guidance from PDA staff, has decided on governing policy, rules, regulations, and procedures, they must present them to the VDB members at large (the general community). Only after the members have granted their consent and approval can the VDB committee adopt a given set of governing standards. Because the VDB structure is more technically complex than many other aspects of the Village Development Partnership model, the training and support provided to the VDB committee by PDA staff is essential, as is continuing follow-up support. This additional economic capacity building ensures long-term sustainability and growth of this new financial community institution. 5.2. Barefoot MBA This is a new program activity. The main purpose of the Barefoot MBA is to provide business training to individuals and groups, especially those who receive loans from the VDB, and to enable them to start or expand income generation activities. The training program helps the villagers learn about how to operate small enterprises effectively from basic business skills (e.g. administration, management, book keeping), case studies, and apprenticeship training with successful business owners. A study tour may be organized to nearby districts or provinces to help the villagers obtain more ideas of business activities to operate. While business trainings are provided to the VDC members and the villagers, these trainings are in fact based on the needs of the villagers, and the provision of trainings is not systemic. PDA Village Development Partnership Concept Note Page 19 of 24 January 2009
  • 20. 5.3. Barefoot MPH This is a new program activity. The Barefoot MPH aims to train groups of expert patients, community based health workers and youth of increasing expertise to meet prevention and treatment needs at the community level. The Barefoot MPH equips numerous community members with the most basic health information targeting community-specific key health concerns, and builds higher level skill with gradual trainings for smaller group. Specifically, the program is a 3-tiers training to develop ‘community health educators’ among the students, teachers, women and other villagers. Tier-1, comprises general overview training of common diseases, symptoms, and treatments. Tier-2, the health care educators are trained to be effective communicators and in more in-depth knowledge of diseases and able to help those in Tier-1. Tier-3 trains the health educators even further to the point where they are able to assist health care professionals/physicians while serving as village health educators. 5.4. School Lunch Farm The main aim of this program is to offer a sustainable solution to children malnutrition and food shortage at school as well as at home. School farms will be established to produce vegetables, herbs, mushrooms and in some locations fish to provide for daily school lunches, and any surplus can be sold to the community in exchange for rice or money to be invested in raw materials and maintenance for the next crop cycle. School farms are environmentally friendly, utilizing organic fertilizers and rainwater-based irrigation systems. School communities reap tangible benefits from the farms in terms of income and a steady supply of fresh food, but they also feel a heightened sense of self-sufficiency and empowerment. The entire community participates and takes ownership of the program: village members volunteer their labor on the farms, parents prepare the lunches, and students cultivate the crops and raise the animals, with guidance and training from the parents and teachers. Farming is integrated into the school curriculum: students are graded on their care of the farms, learn about responsibility, and build the skills that may open doorways to future livelihoods. 5.5. Water for Health and Wealth Because many Thai villagers rely on water for rice farming, insufficient water is an economic constraint for them. The Water for Health and Wealth program is an integral element of the VDP to create sustainable and self-maintained water systems as well as additional sources of income. A loan fund from the VDB is used to cover the cost of construction materials for large rain-water catchment tanks, which are then available for individual and communal use, depending on the needs of the community. The villagers provide an in-kind donation of labor to support the project and PDA provides technical training and assistance throughout the construction process. Villagers pay a small service charge for the water and the collective amount covers the loan repayment as well as maintenance costs. Villagers are encouraged to grow PDA Village Development Partnership Concept Note Page 20 of 24 January 2009
  • 21. vegetable and flower plots to generate income. Once the loan is repaid, the fund revolves to allow more villagers to build catchment tanks and eventually to create a self-managed pipe distribution network for the community. 5.6. Other activities With the establishment of the VDB the Village Development Committee can then begin organization of activities that were previously identified in the implementation plan. For projects requiring outside funding, technical support, and/or other assistance, village members are encouraged to actively identify potential sources of support. Some community development activities which PDA has previously worked on or observed in other communities include: • Social Development o Youth development o Women’s empowerment and gender equality training o Democratic process, civil society, and transparency training o Child daycare refurbishment • Economic Development o Rice-mill cooperative o Vegetable bank o Intergenerational loan funds • Environment o Garbage recycling bank o Environmental education o Bio-diesel production o Additional tree planting • Health o Health examinations o Dental care and treatment o Eye care and treatment o School hygiene program o HIV/AIDS education • Education o Scholarships (grade school, high school, and university) o Mobile Teacher/Mentor o IT skills development PDA Village Development Partnership Concept Note Page 21 of 24 January 2009
  • 22. 6. Phase III: Monitoring and Evaluation One of the responsibilities of the PDA staff will be to provide oversight to ensure that VDP institutions are operating properly. Because the majority of VDP villages are located within 30km of a PDA centre, PDA staff regularly visit to discuss issues with the various committees and councils, provide advice, and request updates on activities. One of PDA’s strengths is its ability to monitor the “pulse” of communities in which it works. This information, along with updates on new activities or developments, is then summarized and presented to sponsors in a yearly brief, or upon request. PDA’s Research and Evaluation Division (RED) staff will be engaged in program evaluation and impact assessment. Measurements and qualitative data sources used in the process include: • Log of activities conducted in the village: e.g. training sessions and visits (every 6 months) • Minutes of Village Development Committee meetings (every 6 months) • Accounts of the VDB: number of members, share sales, total savings, loan amounts and repayment rates, etc. (every 6 months) • If there is a school in the village, data will be collected on children’s height, weight and condition of teeth (every 6 months)   Among the tools which PDA uses to track the villagers perceived quality of life is “The Bamboo Ladder”, a self-assessment scale. Villagers assign themselves a rating for the past, present, and future, in the categories of Income, Physical Health, Mental Health, and Quality of Life. Over time, these assessments help to form a general overview of the successes or shortcomings of the community development activities, as perceived by the villagers and can be used to reassess or modify the initial VDP Implementation Plan. PDA Village Development Partnership Concept Note Page 22 of 24 January 2009
  • 23. 7. Expected Outcomes The Village Development Partnership is expected to improve both the economic and social lives of the members of the selected village by enabling them to implement activities that the community itself has identified as most needed. The partnership will communicate to community members the importance of community empowerment, as these villagers will have learnt the process of identifying their own needs, now and in the future, and will have the necessary confidence, skills, and knowledge to improve their own situation. Important community institutions will have been established in the form of the Village Development Committee and its components. The VDC will take a lead role in the process of understanding and responding to the needs of their community. The project will also establish the Village Development Bank, an important source of credit for income generating activities and a system that encourages the practice of saving. Finally, the villagers will have a new, more positive outlook on life in their community. Having developed a vision of how things can be improved and the concrete steps necessary to achieve that vision, the village, their sponsoring partner, and PDA can create real improvement in quality of life. PDA Village Development Partnership Concept Note Page 23 of 24 January 2009
  • 24. 8. Partner Participation in the VDP PDA encourages the sponsoring partner, whether individual members or as a whole, to be an active part of the Village Development Partnership project. This involvement can begin with joining the villagers during the Community Needs Assessment process and continue through to the launch and implementation of community development activities. By being directly involved in the learning experience together with the villagers, the partner will develop a fuller understanding of the project itself and community development. The following is a non-exhaustive list of some of the VDP activities in which the partner could participate, dependant on area of expertise or simply interest level: • Idea generation/advice for micro-finance businesses and enterprise development: help provide business ideas and other methods of income generation for villagers • Advisory committee for village bank: assist in advising and training of the village bank committee, helping it to run smoothly and efficiently through improved management • Training for youth: provide financial and business training to youth in areas such as basic accounting, marketing, basic cost-benefit analysis, as well as proposal writing and presentation skills. In addition, other life skills training can be integrated i.e. the importance of education, anti- drug message, sex & HIV/AIDS education, and civil society and democratic participation • Community activities: participate in the initial tree-planting activity to raise capital for the Village Development Bank, and other subsequent community activities These activities can also be scaled up for a greater degree of participation from the partner. PDA Village Development Partnership Concept Note Page 24 of 24 January 2009