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Mercy Corps Ethiopia

The Daily Monitor Dec25,2020

Terms of Reference(TOR)

Market Study on Child Care Services in Addis Ababa

1.Background

Livelihood Improvement for Women and Youth (LI-WAY) is a five-year program implemented by a consortium of partners, namely SNV /the lead/, Save the Children, Techno Serve, and Mercy Corps with the financial support from the Swedish International Development Cooperation Agency (Sida).

The overall objective of the program is to contribute to sustainable poverty reduction and social stability in Addis Ababa through improved livelihoods. The specific objective is to increase the incomes of 200,000 poor people (50% women and 75% youth) through increased access to wage and/or self-employment opportunities. Mercy Corps is a lead agency in the labor sector and facilitating intervention designed to address systemic constraints identified through a diagnostic process of the labor market system in Addis Ababa City.

2. Rationale/Problem Statement

LIWAY’s analysis to date has identified the absence of accessible, affordable childcare as a key obstacle to women returning to the workforce after childbirth. Childcare is an underdeveloped market in Ethiopia and so LIWAY’s work in this area to date has focused on trying to establish whether there is a viable business model that could be both attractive to entrepreneurs and priced so that it gives sufficient incentive for women to put their children into childcare and return to work. A further consideration, given our targets, is scale, and we are attempting to examine models that have the potential to reach a large number of people.

This could either be through rapid replication and scale-up of smaller entities, or looking at the mechanisms for scale-up through more cross-cutting functions such as financial products, franchising, embedding childcare in government institutions, or policy change.

The assessments and diagnostic processes conducted thus far have pinpointed that the main cost drivers in private childcare services provision in Addis Ababa are the high rental price of working spaces, stringent regulatory conditions (including requirements to open-up the childcare centers, nanny-children ratio & mandate confusions among different government agencies), and limited availability of trained nannies. However, these assessments lack sufficient scope and depth in establishing facts and proposing pragmatic solutions around the policy landscape, the possibilities (challenges and enablers) for setting up Public-private Partnerships, and the existing incentives & dis-incentives in the business environment for the establishment & flourishing of franchise models owned & operated by private businesses.

Thus, Mercy Corps through its LI-WAY program, would like to invite competent and experienced consultants to assess & better understand the childcare services market including the constraints faced by the target group, the existing regulatory environment around childcare provision and the business landscape for start-up and scaling up of PPP & franchise models for enhanced provision of affordable and accessible childcare services for program target groups in Addis Ababa.

3. Objective

The main objective of this TOR is to collect selected quantitative information & assess potentials and constraints around the childcare services market specifically focusing on the regulatory and the business environments for the enhanced provision of affordable and accessible childcare services by means of rapid, sustainable and scalable models including PPP and franchise models. Specific objectives

  • To collect selected quantitative information related to the childcare market system. These will be defined in detail at the start of the contract E.g.
  • Rationally estimate/quantify the number of women’s who lost their jobs and unable to rejoin the labor force due to childcare duties;
  • The types and number of childcare service providers existing in Addis Ababa, with a particular emphasis for LI-WAY target groups;
  • Analyze quantitatively how much of the LI-WAY target groups are affected by childcare duties/domestic duties and how it affects their participation in the labor market.
  • To examine job seekers (LI-WAY target group) capacity and willingness to pay for available childcare services.
  • To assess and examine the feasibility of new business models (PPP and Franchise) which fits with the needs/requirements of LI-WAY target group;
  • To examine the willingness and capacity of public and private employers to pilot and adopt new business models (PPP Franchise) to establish and provide childcare services;
  • To assess the regulatory framework that governs childcare service delivery
  • Understand the regulatory frameworks including policy directives, standards, licensing and others that governs childcare service delivery in Ethiopia, specifically in Addis Ababa City and major challenges which constrained its enforcement;
  • Identify major challenges encountered in the enforcement processes;
  • To analyze major constraints and existing opportunities across different types of childcare services;
  • Provide recommendations based on the key findings

4. Deliverables

Generally, the consultant/consulting firm will be expected to produce and submit the following deliverables:

  • An inception report: outlining the approach & methodology, sampling procedures, study instruments etc.
  • Revised work plan.
  • Draft Report: Presentation of findings and recommendations not more than 30 pages-for review by the LIWAY team.
  • Debriefing presentation: the consultant (with its key team members) presents to the LIWAY, JCC, and other stakeholders for feedback and validation.
  • Final Report-Well researched and full-fledged study report which should not be longer than 40 pages capturing but not limited to the following sections: o Executive summary (1-2 pages) o Introduction (Background, Problem Statement & Methodology)(7-10 pages)
  • Findings (10 – 15 pages)
  • Conclusion & Recommendations (5 – 10 pages)
  • Submit four copies of full sets of the final study a report in hardcopy being (color, if pictures or different colors used) and soft copy of full reports in word & PDF presented in flash with all annexes and TOR on the last page.

Specifically, the report is expected to comprehend on the following key areas:

  • Well synthesized and analyzed problems of childcare service to LIWAY target groups.
  • A quantitative estimate of how many job seekers are affected by childcare duties/domestic duties in getting jobs.
  • Understand LI-WAY’s target group ability and willingness to pay for different types of childcare services.
  • Stocktaking on the enablers for franchise and PPP business models in Addis Ababa context on the possible ways of harnessing these opportunities;
  • Stocktaking the dis-enablers to the franchise and PPP business models in Addis Ababa context and report on the possible ways of containing the effects of these challenges;
  • Understand the willingness and ability of public and private employers to pilot and adopt new childcare business models (PPP & Franchise);
  • Provide insight & framework on the feasibility of the business environment and on the legal framework in general and specifically to test/pilot new products like PPP & franchise models in Addis Ababa;
  • Recommendations in all aspects: technical, business, legal/policy, etc..) as an input to influence government policy.

5. Duration

The consulting firm/consultant is expected to undertake the assignment within 30 calendar days.

6. Qualification, skills and Experiences Requirements Team Composition and Qualification

The consultant needs to mobilize study team consisting of team leader specialized in labor market, Job Creation and Knowledge of Women and Youth policy areas.

A minimum of bachelor degree in the relevant field of study and 6 years of work experience in the area is required.

Skills and Knowledge

The consultants’ team should have:

  • Skills on conceptual and operations of the labor market dynamics and development of Ethiopia.
  • Product design and development preferably on labor market and skill on women and youth job creation and policy wording using appropriate terminology
  • Sound understanding on the Ethiopian business the operational environment in all aspects-PEST;
  • Broad knowledge and understanding on Ethiopia’s Child Care service, regulations, proclamations and directives.

7. Application Process:

  • Interested and experienced service providers/consultants should collect the bid document-sending request to et-tender-questions@mercycorps.org  or from Mercy corps Addis Ababa office Yeka Sub-City, Kebele 08, House No. 377; Hayahulet, Tel. 011-1-110777; and bid documents should be completed and returned to Mercy corps.
  • Bidders are required to send a brief proposal, an updated CV/profile of consultants that will actually engage in this task & references and all in English is required. Bidders should include a full package of trade licenses and Tin Certificate.
  • The financial proposal should be detailed enough and should include any professional costs, Material costs and relevant administrative and logistic costs related to the work. It should also show the willingness and amount of cost-share for the work.
  • The technical and financial proposal should be sent separately in a sealed envelope to Mercy corps Addis Ababa office Yeka Sub-City, Kebele 08, House No. 377; Hayahulet, Tel. 011-1-110777 OR by P.O.Box 14319 writing on the envelope Child Care ” LI-WAY Market Study on Child Care Service in Addis Ababa”.
  • Bidders can also send by tenders@mercycorps.org  mentioning that it is by for LI-WAY Market Study on Child Care Service
  • Deadline for submission is 31st Dec.2020 5:00pm

Mercy Corps Ethiopia

Tel: +251-11-110777 Fax: +251-11-110707