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TIM NASIONAL PERCEPATAN PENANGGULANGAN KEMISKINAN CSR Initiative and Targeting Improvement for An Effective and Efficient Poverty Alleviation Programs TIM NASIONALPERCEPATAN PENANGGULANGAN KEMISKINAN Bambang Widianto Deputy for Social Welfare and Poverty Alleviation Office of The Vice President The Republic of Indonesia/ Executive Secretary of The National Team for the Acceleration of Poverty Reduction (TNP2K) CSR Conference | Indonesia Business Links | March 14, 2013 www.tnp2k.go.id

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Page 1: CSR Initiative and Targeting Improvement for An Effective .... 14032013 CSR Initi… · CSR Initiative and Targeting Improvement for An Effective and Efficient ... The primary data

TIM NASIONAL PERCEPATAN PENANGGULANGAN KEMISKINAN

CSR Initiative and Targeting Improvement for An Effective and Efficient Poverty Alleviation Programs

TIM NASIONALPERCEPATAN

PENANGGULANGAN KEMISKINAN

Bambang WidiantoDeputy for Social Welfare and Poverty Alleviation Office of The Vice President The Republic of Indonesia/Executive Secretary of The National Team for the Acceleration of Poverty Reduction (TNP2K)

CSR Conference | Indonesia Business Links | March 14, 2013 www.tnp2k.go.id

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TIM NASIONAL PERCEPATAN PENANGGULANGAN KEMISKINAN 2

Outline

About TNP2K

Government’s Poverty Alleviation Approach

Role of Corporation in Poverty Reduction

Sharpening Targeting System

Defining Public Private Partnership Model

Conclusion

1

2

3

4

5

6

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TIM NASIONAL PERCEPATAN PENANGGULANGAN KEMISKINAN 3

Achieving 8 – 10 % Poverty Rate in 2014The National Team for the Acceleration of Poverty Reduction (TNP2K) is established to speed up Government’s response to reduce poverty.

TNP2K led by the Vice President and report to the President, which main role:

To improve the implementation of targeted poverty alleviation program by introducing better targeting system, promote coordination & integration of poverty alleviation program and effective monitoring & evaluation.

TNP2K’s Main Priorities:

• Unification of National Targeting System through single database

• Improvement of the implementation of health social assistance for the poor

• Improvement of the implementation of PKH as a conditional cash transfer program

• Integration of community empowerment programs into PNPM

• The Implementation of Financial Inclusion System for social protection program

1

2

3

4

5

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TIM NASIONAL PERCEPATAN PENANGGULANGAN KEMISKINAN 4

A Comprehensive Strategy Approach The strategy is articulated around three clusters to comprehensively reduce the proverty rate.

Cluster

1

Cluster I focuses on household-based social assistance programs.

Cluster

2

Cluster II emphasizes community empowerment programs.

Cluster III seeks to expand economic opportunities for low-income households.

Cluster

3Household-

based Social

AssistanceCommunity

EmpowermentSmall/Micro Enterprise

Empowerment

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TIM NASIONAL PERCEPATAN PENANGGULANGAN KEMISKINAN 5

Poverty Reduction: Everybody’s BusinessGovernment’s resource is insufficient to combat poverty in Indonesia, hence huge participation is urgently needed.

Government Donors, CSO Private & Commercial Sectors

Communities

The magnitude of effectiveness in Poverty Reduction initiatives doubled, tripled, quadrupled, when other stakeholders include corporation and communities take initiatives.

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TIM NASIONAL PERCEPATAN PENANGGULANGAN KEMISKINAN 6

A Corporation Perspective: Triple Bottom Line

Economy

(Profit)

Environment

(Planet)

Social

(People)

Sales, Profit,

ROI

Tax paid

Monetary

flows

Jobs created

Air quality

Water quality

Energy usage

Waste

produced

Labor practice

Community

impact

Human rights

Poverty

Responsibility # Sustainability

Typ

ical

Measu

res

Total Total Total

Triple Bottom Line concept suggests a corporation should be beneficial not only for the shareholders but also for the stakeholders, include the community.

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TIM NASIONAL PERCEPATAN PENANGGULANGAN KEMISKINAN 7

Targeting the Right Beneficiaries

One of TNP2K main priorities is to define a single database to be used by various poverty reduction program/initiatives. Hence, we shoot at the same target.

Poor and Vulnerable

Groups Ministries

Other Government

Agencies

Local Government

CSO/NGO Donors

SOEs

Communities

Private Sectors

Private Sectors are encouraged to avoid duplication and sharpen their target groups.

Social assistance programs for poor households in Indonesia have previously relied on different approaches to target poor households using different databases, which results in duplication of efforts.

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TIM NASIONAL PERCEPATAN PENANGGULANGAN KEMISKINAN 8

The Unified Database SystemThe unified database housed at TNP2K includes the lowest 40% of household’s Social & Economic status in Indonesia.

The primary data source for the unified database was the Pendataan Program Perlindungan Sosial (PPLS), a survey of 26 million households conducted by the Badan Pusat Statistik (BPS) in July 2011.

• To develop a system to identify the poorest households in Indonesia based on scientific methods and unified technical criteria;

• To minimize targeting errors in order to improve the effectiveness of Indonesia’s social protection programs i.e. ensure low levels of exclusion of poor households (under-coverage) and low levels of inclusion of non-poor households (leakage);

• To facilitate the coordinated use of a high-quality database of poor households by social protection program stakeholders.

The goals of the Unified Database system at TNP2K

1

2

3

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TIM NASIONAL PERCEPATAN PENANGGULANGAN KEMISKINAN 9

Making Your CSR Targeted & More EffectiveCSR initiative can significantly contribute in reducing poverty rate if done to right target and beneficiaries.

TNP2K can advise you to sharpening your CSR target, hence improving effectiveness.“

TNP2K has been working with BPS and other institutions to develop targeted data and information for multiple purposes, include for CSR initiatives, for better targeting.

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TIM NASIONAL PERCEPATAN PENANGGULANGAN KEMISKINAN 10

GovernmentResourcesCompetenciesFunds

Beneficiaries

Policy & RegulationAcknowledgement

Incentives

Private Companies

Those who receive the benefit of the program:People, Organization, Community

Public Private Partnership Model

Defining Proper PartnershipThe Public Private Partnership for social assistance is one of the key idea. TNP2K is developing a PPP model and welcome you to join.

Improving targeting system

Facilitate communication and coordination with Local Government and other Government Agencies (Ministries, etc).

Program Matchmaking between implementer and corporation.

1

2

3

TNP2K Roles include

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TIM NASIONAL PERCEPATAN PENANGGULANGAN KEMISKINAN 11

Local Government

Ministries

Sho

pp

ing List

Single Database System

Coordination & Integration

Monitoring & Evaluation

TNP2K

1

2

3

SOEs

Private Companies

NGO/Universities

Communities

Local Government

Self-Execution

Targeted B

en

eficiariesOur Vision: A Seamless PartnershipGovernment realizes huge potencies and resources private companies have. Be able to allocate them in a seamless partnership with other stakeholders will ensure effective poverty reduction programs.

Defining Proper Needs

Right target & integration

Unlimited Partnership Mechanism

TNP2K is developing a PPP mechanism that involves local government and key ministries advice, using integrated single database system, and acknowledge private companies contribution.

Communication& Facilitation

Program Matchmaking

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TIM NASIONAL PERCEPATAN PENANGGULANGAN KEMISKINAN 12

Conclusion

Effectiveness of Poverty Reduction Initiative in Indonesia also depends on public participation, include participation from private corporation.

1

Corporate Social Responsibility can contribute to reduce poverty in Indonesia, through better coordination, targeting mechanism, and partnership.

2

3TNP2K is available to advise Corporate in sharpening its CSR targeting to improve CSR impact.

4Partnership between Government and Corporation, through a proper public private partnership mechanism can optimize Poverty Reduction initiative.

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TIM NASIONAL PERCEPATAN PENANGGULANGAN KEMISKINAN 13

For further information or to request publication & data, we encourage you to

visit TNP2K Official Website at

www.tnp2k.go.id

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TIM NASIONAL PERCEPATAN PENANGGULANGAN KEMISKINAN 14

Thank YouSekretariat Tim Nasional Percepatan

Penanggulangan KemiskinanGrand Kebon Sirih Lt.4, Jl.Kebon Sirih Raya

No.35, Jakarta Pusat, 10110