Cluster Development Methodologies

The Cluster Development Approach works with-
  • Selection of Clusters: A judicious selection framework based on a cluster's importance, pptential to be promoted, viability and sustainability helps to ensure an effective and wide reaching impact in the overall cluster development program.
  • Diagnostic Study: Gathering dispersed knowledge through a participatory study is essential to learn not only about the potentials and constraints faced by a cluster but also about the strength of linkages and support mechanisms. The participatory process helps build trust with the local actors and secure their positive involvement in the cluster development program.
  • Trust Building: Establishing an atmosphere of trust within a cluster is essential for building a realistic action plan that will have support from firms, service providers and support agencies.
  • Action Plan: An action plan for the cluster is more than the sum total of the demands voiced by different cluster actors. It is a roadmap for the development and fostering of lasting relationships among the actors in a particular cluster and, at the same time, crucial in delivering visible results.
  • Implementation: The implementation of the action plan is not simply the realisation of the targets set in the action plan. More ambitiously, it provides the opportunity for a radical change in the way the cluster stakeholders interact.
  • Monitoring and Evaluation: Quantifying the outputs of the activities implemented helps disseminating best practices and strengthening trust. Such task is made even more difficult than in "traditional" SSI programs by the need to identify subtle and slowly emerging changes in the relationships among cluster stakeholders.

The successful introduction of such a methodology is the responsibility of a Cluster Development Agent (CDA). The CDA is the person, or team, who oversees the implementation of the Programme in a professional and effective manner at the cluster level.
“We assist institutions undertake effective and inclusive cluster based local economic development in developing and transition economies.”