SL- Case Analysis

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    Rural Production & Livelihoods

    MRM Term-II

    SL case analysis

    Ashok Kumar Gupta

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    A case for discussion

    An Organisation working with tribal department had givena loan for purchase of a cow purchase to a widow whoearned wages from stone crusher.

    The govt. have norm of involving their veterinarian & bank

    official for the purchase. The insurance co. will be doing insurance.

    You come to know that govt. staff had asked for bribe andwill not help the poor women if bribe is not given.

    Marketing can be linked with dairy cooperative.

    As a manager you nave to make her livelihood sustainable byadopting and practicing the livelihood framework???

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    Livelihood

    "the command an individual, family, or other

    social group has over an income and/or

    bundles of resources that can be used or

    exchanged to satisfy its needs. This may

    involve information, cultural knowledge, social

    networks and legal rights as well as tools, land

    and other physical resources.

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    The livelihoods Approaches

    A Livelihood comprise the capabilities, assets &activities required for a means of living; a

    livelihood is deemed sustainable when it can

    cope with and recover from stresses & shocks

    and activities both now & in the future, while

    not undermining the natural resource base.

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    Livelihoods assets

    FinancialCapital

    NaturalCapital

    SocialCapital

    PhysicalCapital

    HumanCapital

    The Poor

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    Human Capital

    Health

    Nutrition

    Education

    Knowledge and skills

    Capacity to work

    Capacity to adapt

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    Natural Capital

    Land and produce

    Water & aquatic resources

    Trees and forest products

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    Social Capital Networks and connections

    o patronageo neighbourhoodso kinship

    Relations of trust and mutual support

    Formal and informal groups Common rules and sanctions Collective representation Mechanisms for participation in decision-

    making Leadership

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    Physical Capital

    Infrastructure transport - roads, vehicles, etc.

    secure shelter & buildings

    water supply & sanitation energy

    communications

    Tools and techology

    tools and equipment for production seed, fertiliser, pesticides

    traditional technology

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    Financial Capital

    Savings

    Credit/debt - formal, informal, NGOs

    Remittances

    Pensions

    Wages

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    The Asset Mix

    Different households with differentaccess to livelihood assets

    Livelihoods affected by:o diversityof assets

    o amount of assetso balance between assets

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    So..Human capitallabour capacity no education limited skills

    Natural capitallandless access to common property resourcesFinancial capitallow wages

    no access to creditPhysical capitalpoor water supply poor housing poor communicationsSocial capital

    low social status descrimination against women strong links with family & friends traditions of reciprocal exchange= an extremely reduced livelihood

    pentagon

    Landlessfemale

    agriculturallabourer

    FinancialCapital

    SocialCapital

    PhysicalCapital

    HumanCapital

    NaturalCapital

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    The Vulnerability Context

    The vulnerability context is the external environment inwhich people exist

    The vulnerability context encompasses:

    Shocks such as illness, disasters, conflicts, floods, droughts,storms and crop & livestock pests & diseases

    Stresses such as long term trends that underminelivelihood potential; population, decline natural resourcebase, climate change, economic downturns, inflation,

    currency devaluation, structural unemployment and poorgovernance.

    Seasonalities such as changing prices & shiftingemployment opportunities

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    FP

    H

    NS

    The Poor

    Vulnerability

    ContextShocks

    Seasonality

    Trends

    Changes

    Vulnerability Context

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    Policies, Institutions & Processes

    Policies of government of different LEVELS of government

    of NGOs of interational bodies

    Institutions

    Processes

    political, legislative & representative bodies executive agenciesjudicial bodies civil society & membership organisations

    NGOs law, money political parties commercial enterprises & corporations

    the rules of the game decision-making processes social norms & customs gender, caste, class

    language

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    Policies & Institutions

    Livelihood strategies & outcomes are not justdependent on capital assets or constrained by thevulnerability context; they are also determined by theenvironment of structures & processes.

    Structures are the public & private sector organizationsthat set and implement policy and legislation, deliverservices, and purchase, trade and perform all mannerof other functions that affect livelihoods.

    Processes embrace the laws, regulations, policies,

    operational arrangements, societal norms andpractices that in turn, determine the way in whichstructures operate.

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    The Sustainable Livelihoods

    Framework

    Policies

    Institutions

    Processes

    NS

    FP

    H

    The Poor

    Vulnerability

    Context

    Shocks

    Seasonality

    Trends

    Changes

    influenceLivelihood

    StrategiesLivelihood

    Outcomes

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    Livelihood Outcomes

    Potential livelihood outcomes can include:

    Improved food security

    Enhancing income

    Reduced vulnerability

    Increased well-being

    Protected rights of access

    Recovered human dignity

    Reducing variances in income

    Organizing producers to have control over their livelihoods

    Enhancing the money that circulates within the localeconomy

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    DFID Approach to SLs

    People Centered focuses on what matters to people, understands the

    differences between groups of people and works with them in socialenvironment and ability to adapt.

    Responsive & Participatory so that people themselves identifying andaddressing livelihood priorities.

    Multi-Level working ensure that micro level activity create an effectiveenabling environment, and that macro level structures and processes

    support people to build upon their own strengths. Conducted in Partnership :of the public and private sector.

    Sustainable A balance between four key dimensions to sustainabilityeconomic, institutional, social and environmental sustainability.

    Dynamic : external support recognise the dynamic nature of livelihoodstrategies, respond flexibly to changes in peoples situation, and develop

    longer-term commitments. Emphasis to maintain an outcome focus , thinking about how

    development activity impacts upon peoples livelihoods, not aboutimmediate project outputs.

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    CARE Approach to SLs

    Three fundamental attributes of livelihoods : human capabilities education, skills, health, psychological

    orientation

    access to tangible and intangible assets ; and

    existence of economic activities

    The interaction between these attributes defines whatlivelihood strategy a household will pursue.

    A livelihoods approach can effectively incorporate a basicneeds and right-based approach.

    The focus on household does not mean that the householdis the only unit of analysis, nor does it mean that theinterventions must take place at the household level.