Terms of Reference (ToR)
Interim Manager for a Textile and Garment Factory
BACKGROUND:
Enterprise Partners
Enterprise Partners (EP) is a 7-year (2013-2020) wealth creation programme which, inclusive of women and the environment, aims to support the private sector and Ethiopia’s economic growth. By applying the Making Markets Work for the Poor (M4P) approach for sustainable results, it aims to facilitate market development in order to spur innovation and investment that creates jobs and increases incomes for the poor. It does so with a combination of technical assistance and market facilitation in resolving market failures. EP is being implemented by a consortium led by DAI Europe, and includes First Consult, Enclude and ITAD.
The EP pillars are:
The government of Ethiopia has adopted the second growth and transformation plan (GTP II) with the prime focus of transforming the country to a middle-income country by the year 2025. The need to redirect the economy into an industrialized one is central to the transformation plan and the government intent to boost the Ethiopian textile, apparel-manufacturing sector, and create an attractive investment proposition for foreign and local investors, while creating employment opportunity.
Background specific to this assignment
The textile industry has been one of the most dynamic and geographically mobile industries globally. The industry is made up of buyer-driven complex global production networks with suppliers located in developing countries, including Ethiopia. Ethiopia is one of the largest and most resource rich countries in Africa. The textile industry is a bridge for development because it integrates agriculture with industry. It is labour intensive, starting from cotton cultivation to fashion product, with many opportunities for value addition that could benefit Ethiopia. The Ethiopian textile and apparel sector has grown at an average of 51% over the last 5-6 years, with employment targets of up to 174,000 by 2020.
The Government of Ethiopia (GoE) has embarked on an ambitious programme to attract foreign direct investment (FDI), increase production for export and create new jobs. The manufacturing sector is at the centre of the government’s effort to achieve this goal, because of its ability to mobilise foreign investment, create employment and generate foreign currency. Among selected priority sectors that will drive this growth, the textile and apparel value chain constitutes the central pillar in the structural transformation of the Ethiopian economy.
The Ethiopian Growth and Transformation Plan (GTP) set an ambitious target for exports of textiles and apparel which the country was not able to meet. However, the GoE succeeded in attracting large textile and apparel manufacturers to set up factories in Ethiopia. In addition, significant government spending on infrastructure and industrial parks is expected to attract more investments. The GoE is working tirelessly to improve investment-enabling conditions and achieve the targets set in the GTP II for FDI in the textile sector, export value and new jobs creation.
Ethiopian textile and apparel companies export t-shirts, polo shirts, uniforms, nightwear and other garments to international brands, retailers and buying houses. They face many challenges but benefit from duty free access to major markets, cheap, green energy and dedicated infrastructure.
One of the leading vertically integrated textile and apparel facilities operating in Ethiopia is facing internal and external challenges and is operating below capacity.As a result, there is a need to hire an interim manager to deal with immediate strategic and coordination issues.
OBJECTIVE
The objective of this assignment is to implement an immediate Rescue Strategy for the company on which the planned Turnaround strategy will be build establishing the project’s communication within the factory, organizing stakeholders’ relations and activities and preparing the ground for the formulation of the permanent turnaround strategy.
SCOPE OF WORK AND SPECIFIC TASKS
The interim manager is expected to bring his/her best experience, judgement and industry knowledge to implement and manage the project in delivering the core activities listed below:
DELIVERABLES AND TIMEFRAMES
The assignment will last for 4months, from mid of July 2018 until end of October 2018. The expected deliverables are as follows:
WORKING ARRANGEMENTS AND REPORTING
CONSULTANT REQUIREMENTS
Additional competencies required include:
Last date for submission of applications is 17th July 2018.
About DAI
DAI is an international development company. For more than 45 years, we have worked on the frontlines of international development, tackling fundamental social and economic development problems caused by inefficient markets, ineffective governance, and instability. Currently, DAI is delivering results that matter in some 80 countries. Our development solutions turn ideas into impact by bringing together fresh combinations of expertise and innovation across multiple disciplines. Our clients include international development agencies, international lending institutions, private corporations and philanthropies, and national governments.