Sanitation Marketing Toolkit. Book 1 SANITATION MARKETING IMPLEMENTATION FACILITATOR'S MANUAL

Transcription

1 Sanitation Marketing Toolkit Book SANITATION MARKETING IMPLEMENTATION FACILITATOR'S MANUAL

2 TABLE OF CONTENTS INTRODUCTION SANITATION MARKETING MANUAL PAGE 3 ROLES AND RESPONSIBILITIES PAGES 9 MINIMUM STANDARDS PAGE 3 SANITATION MARKETING IMPLEMENTATION PROCEDURE PAGE 5 DEMAND CREATION PAGE 52 FORMS PAGE 55 2

3 CHAPTER : INTRODUCTION TO SANITATON MARKETING MANUAL 3

4 . INTRODUCTION ABOUT SANITATION MARKETING MANUAL This manual is intended to be used as a reference by those responsible for implementing Sanitation Marketing in Lao PDR as well as by other organizations or third parties that have no experience with Sanitation Marketing. The contents of this book are the following:. The vision of the Sanitation marketing 2. Role and responsibility 3. Minimum standard 4. Sanitation Marketing Implementation Procedure 5. Marketing method 6. Forms VISION STATEMENT The goal of Sanitation Marketing is to improve access, equity, quality, and cost effectiveness of improved sanitation in Laos, thereby improving the health and quality of life for people in Laos now and in the future. SANITATION MARKETING POLICY All Latrine Businesses must demonstrate compliance with Sanitation Marketing standards. The Market Facilitator is responsible for enabling Latrine Businesses to perform according to standards described in Section 4. 4

5 PRINCIPAL CONCEPT Generally, Sanitation Marketing is defined as the application of the best social and commercial marketing practices to change behavior and to scale up the demand and supply for improved sanitation, particularly among the poor. SanMark implementation varies between countries. In Laos, Sanitation Marketing activities are centered on strengthening the sanitation supply chain through private sector capacity building. Local entrepreneurs are recruited into the SanMark network where they can benefit from services such as business skills training, latrine production training, sales agents that conduct village-level, direct sales on their behalf, and assistance with sales agent management. Strengthening the supply chain increases both accessibility and availability of latrines for consumers. WORKING PROCESS In order for the SanMark implementation process to be effective and efficient, the 4 P s of marketing must be considered: Product, place, price, and promotion. The main steps of the process are outlined below (Figure ). Planning Research Product Design Business Models Promo`ons Market Facilita`on Monitoring 2 3 MONTHS Ongoing Figure - SanMark Working Process Formative research must be conducted at the very beginning of the process in order to get a good sense of the 4 P s, particularly place, as well as to make informed, evidence-based decisions. Formative research provides a snapshot of the current sanitation practices, the factors that influence these behaviors, available sanitation products, desired sanitation products, and willingness to pay for such products. In some occasions, secondary research data will already be available. Formative research would then serve to fill gaps in the existing research. This information helps implementers tailor the product, price, and promotion strategies used throughout the working process to the place in which they are being realized. WSP. Orientation on Sanitation Marketing, Vientiane. 3 November203. PPt. 5

6 In Lao, two studies have been conducted to evaluate the sanitation environment. Both ide and PSI under WSP conducted formative research in 20 and 203, respectively. The findings heavily informed the next three steps of the working process. It informed the decision to design a pour flush latrine with tiles, emphasized the need to develop a one-stop-shop business model in order to streamline the supply chain, and highlighted consumers motivations for buying a latrine which aided the development of marketing materials. 2 3 Parts of these steps may involve consulting outside parties with higher levels of expertise. For example, a local engineer was contracted to develop the latrine production guidelines for use by enterprises presented in this Toolkit. The market facilitator then guides the implementation process through a number of regulatory and supportive activities. The market facilitator recruits suitable latrine businesses into the SanMark network, provides the new enterprises with technical assistance including business skills training, develops network standards latrine businesses must adhere to, and ensures services evolve according to consumer needs. Market facilitation also involves coordinating with relevant partners in order to align sanitation activities. Relevant partners include the government as well as other development organizations. In Laos, the National Centre for Environmental Health and Water Supply (Nam Saat) is the government authority on water, sanitation, and hygiene (WASH) activities. Nam Saat oversees all WASH activities in the both the public and private sector and ensures quality and safety regulations are adhered to. Additionally, Nam Saat coordinates the nationwide behavior change communication (BCC) campaign and community-led total sanitation (CLTS) events. Sanitation Marketing cannot be successful in isolation. According to Jacqueline Devine and Craig Kullman in their Introductory Guide to Sanitation Marketing (20), changing sanitation behaviors and moving up the sanitation ladder in Laos requires a multi-pronged approach that addresses demand, supply, and behavior change. The approaches outlined include Sanitation Marketing, CLTS, and BCC. The sanitation ladder is shown below in Figure 2. 2 ide. Development and Marketing of Affordable Technology Options for Sanitation in Lao PDR.- Final Report. 20 February WSP. SanMark Consumer and Enterprise Qualitative Research Report, Laos

7 Figure 2- The Sanitation Ladder Sanitation marketing is most successful in an environment where all three of these concepts are being implemented. In Lao, the Ministry of Health s Center for Environmental Health and Water Supply is implementing a nationwide BCC campaign with support from Another Option LLC. Nam Saat is also conducting nationwide CLTS activities alongside other organizations such as WSP, SNV, PADETC, and UNICEF. Both CLTS and BCC activities generate demand for sanitation technologies while SanMark activities help to meet the growing demand. Currently, supply side solutions are only available in the South of Laos in Champasak, Sekong, and Savannakhet provinces. Elsewhere in the country demand is being created without simultaneous development of an accessible, efficient, and affordable supply chain. Figure 3 below, highlights the areas where all three of these activities are taking place as well as where gaps in coverage exist on either the demand or supply side. 7

8 CLTS SanMark BCC 8

9 CHAPTER 2: ROLES AND RESPONSIBILITIES 9

10 2. ROLES AND RESPONSIBILITIES MARKET FACILITATOR! Selects Latrine Businesses that meet predetermined selection criteria through a fair and transparent process! Develops Latrine Businesses capacity to deliver products and services in accordance with minimum standards o Clearly defined and user-friendly Service Delivery Standards and Guidelines for Latrine Businesses o Training for the delivery of products and services according to those guidelines o Provision of master copies of IEC and sales materials, reporting forms and recordkeeping forms needed to effectively carry out the Latrine Business, including providing any updated materials or forms over time! Provides Latrine Businesses with routine support and supervision needed to maintain network standards! Monitors Latrine Businesses performance and enforces standards in all locations.! Creates consumer demand for Latrine Business products and services via direct sales activities! Modifies products and services offered when customer demand or new appropriate services or products become available. LATRINE BUSINESS! Deliver services that conform to minimum standards and procedures as described in the Latrine Entrepreneur Operations Manual (i.e. quality standards, pricing, staffing, record keeping, timeliness, etc.)! Reproduce all IEC and sales materials for Sales Agents and ensures that all Sales Agents have sufficient supplies of these materials at all times! Submit performance data/reports to Market Facilitator as required! Pay fees if and as required SANMARK PROVINCIAL COORDINATORS! Act as Market Facilitator s feet on the ground! Recruit, train and supervise Sales Agents and Latrine Businesses! Creates monthly plans and targets for Sales Agents and follows up on progress of plans and targets! Identifies areas of weakness according to supervision and/or quality audits and conducts refresher trainings, advice, or coaching as needed! Maintains open lines of communication with Market Facilitators at central level, and with Sales Agents and Latrine Businesses through phone calls, site visits, and reporting. 0

11 SALES AGENTS! Conducts direct sales activities according to standards, including group sales events and door-todoor sales! Collects order forms and deposits from customers, and delivers forms to Latrine Business according to standards! Adheres to all reporting and recordkeeping requirements of the Market Facilitator! Reports any market intelligence to Market Facilitator through regular communication via reporting and phone calls! Maintains collaborative and respectful relationships with village and district authorities and residents of villages VILLAGE CHIEF*! Assists in the organization of sales events and motivating village residents to attend, especially non-latrine owners! Follows up with customers after ordering to ensure the pit is dug for the latrine and that the household has the money to pay the balance owed upon delivery! Conducts quality audit of the latrine after installation to ensure environmental health and safety! Reports and concerns with quality of the product or service to the Latrine Business and/or Provincial SanMark Coordinators on behalf of the customers NAM SAAT! Conducts public health education activities and demand creation activities such as Community Led Total Sanitation (CLTS)! Ensures all sanitation technologies (produced and sold through the private sector and built by households using local materials) meet environmental health and safety standards! Facilitates coordination between all stakeholders in the sector, including ensuring that development partner activities are well aligned with government policies and strategies and do not create conflict between approaches! Provide accurate and timely data on latrine coverage and demographics to the Latrine Businesses and SanMark Provincial Coordinators

12 SERVICE DELIVERY PACKAGE PRODUCTS AND SERVICES COMPONENTS/DESCRIPTION RECOMMENDED PRICE Basic pour-flush latrine Three concrete rings; one concrete slab (no tiles); one ceramic pour-flush pan; one plastic emptying hole cover 360, ,000LAK (US$45-55) Chrome standard pour-flush latrine Silver standard pour-flush latrine Gold standard pour-flush latrine Latrine Delivery Service Latrine Installation Service Four concrete rings; one concrete slab (no tiles); one ceramic pour-flush pan; one plastic emptying hole cover Three concrete rings; one concrete slab with tiles; one ceramic pour-flush pan; one plastic emptying hole cover Four concrete rings; one concrete slab with tiles; one ceramic pour-flush pan; one plastic emptying hole cover Delivery of latrine components to household of customer. Must be on time and without damaging the product. Installation of latrine components at household of customer or other specified site. Must be installed according to environmental safety standards (see Manual for Production and Installation of Pour-Flush Latrines) and without damaging the product. GEOGRAPHIC DISTRIBUTION OF LATRINE BUSINESSES 390, ,000LAK (US$49-59) 405, ,000LAK (US$5-60) 455, ,000LAK (US$57-68) 50,000LAK (US$6) for deliveries within 0km; 3,000LAK (US$0.40) per additional kilometre 00,000LAK (US$2) Latrine Businesses normally operate at the district level, serving customers living within district lines. As the market grows through implementation of Sanitation Marketing, it is possible that more than one business may be operating within a district. It is not possible to guarantee territory or market share for Latrine Businesses. In fact, it is necessary that in the private sector there is sufficient competition to ensure that prices remain affordable, innovation is on-going, and products and services are high quality. Market Facilitators should ensure that Latrine Businesses are equipped with the skills and strategies to remain competitive through product innovation, excellent customer service, low prices, and exceptional quality. 2

13 CHAPTER 3: MINIMUM STANDARDS 3

14 3. MINIMUM STANDARDS. STANDARDS RELATED TO LATRINE PRODUCTION, DELIVERY AND INSTALLATION. Latrine Businesses must manufacture latrine products according to the standards outlined in the Manual for Production and Installation of Pour-Flush Latrines, and also provide delivery and installation service options to the customer..2 Latrine Businesses must ensure that all measures are taken to minimize risks of injury, illness, or other harmful effects in the production, delivery, installation, or use of the product..3 Latrine Businesses must ensure that products and services comply with environmental safety standards regulated by the National Centre for Environmental Health and Water Supply (Nam Saat). 2. STANDARDS RELATED TO CUSTOMER SERVICE 2. Latrine Business staff must treat customers with respect. 2.2 Latrine Business staff must deliver products and services in a timely manner. 3. STANDARDS RELATED TO EQUITY 3. Latrine Businesses must not deny products or services to customers for any reasons related to economic, social, religious, or linguistic barriers. 3.2 Latrine Businesses must offer flexible payment options to customers. 4. STANDARDS RELATED TO PRODUCTIVITY 4. Latrine Businesses must maintain a stock of rings, slabs, and other latrine components that amount to the equivalent of at least ten complete latrine sets Latrine Businesses must invest into the necessary equipment, raw materials, and labor to meet the standards laid out in this Manual and in the Manual for the Production and Installation of Pour-Flush Latrines. 5. STANDARDS RELATED TO REPORTING AND RECORD KEEPING 5. Latrine Businesses must maintain records of all latrine products and services ordered and sold to ensure accurate monitoring and reporting of impact to stakeholders. 4 One complete latrine set is defined as four rings, one slab with tiles, one ceramic pan, one plastic emptying hole cover 4

15 CHAPTER 4: SANITATION MARKETING IMPLEMENTATION PROCEDURE 5

16 4. SANITATION MARKETTING IMPLEMENTATION PROCEDURE Three essential mechanisms must be in place in order for SanMark Latrine Businesses to meet standards and thus for Market Facilitators to deliver on its vision and policy intent. Operations are structured around these mechanisms:. Recruitment and Selection 2. Training and Development 3. Management (support, monitoring and evaluation) 4. RECRUITMENT AND SELECTION IDEAL LATRINE BUSINESS PROFILE/CRITERIA FOR SELECTION In most districts in Laos, there are a couple of existing concrete product manufacturers. These enterprises are not always producing latrines, but they are producing products that are similar enough to latrines that making the jump to latrine manufacturing will not require too much deviation from their current operations. For example, concrete rings for sewer systems, spirit houses, or concrete columns or tables. However, there are also other essential criteria that will help you ensure that the businesses in the network are capable of delivering on the network s promises to customers. The following factors are based on what we know to be important for success and ensuring the highest potential for success. These qualities will guide you in developing necessary and preferred selection criteria. Candidates must be willing to! Invest in new equipment if necessary! Provide commission-based payment to sale agents! Follow guidelines in the Manual for the Production and Installation of Pour-Flush Latrines! Keep accurate and timely financial records and share these records with appropriate stakeholders! Undergo quarterly quality assessment audits and respond in the appropriate manner to recommendations! Maintain sufficient stock to meet demand! Maintain a safe, orderly, and legal work environment 6

17 ! Effectively respond to any problems related to cash flow and latrine production, sale, delivery, and/or installation. SITE ASSESSMENT TOOL The site assessment is designed to produce a score based on how closely the enterprise meets the eligibility requirements listed above. It especially aims to assess the level of dedication to the business model, the level of financial stability the enterprise has, and the level of investment in additional labor and equipment needed to adopt the business model. Site Assessment and Final Selection Tools The following methods and tools were adapted from PSI s global franchising tools and inspired by ide Cambodia and PSI/India s enterprise assessment strategy. The following scoring system is designed to help training facilitators assess where individual Enterprises already are in terms of meeting the requirements of participation in Latrine Business training. Specifically, it will tell Market Facilitators how much input would be required to get the enterprise working at an acceptable level to meet sanitation demand in their catchment area. Scoring System: ) A value has been assigned to each criterion according to how important it is to site selection. 2) When assessing Enterprises, Enterprises should be evaluated according to each criterion and assigned a score that best reflects where they are in terms of meeting the preferred conditions described. 3) Final scores are calculated as a product of the score received on each criterion and its corresponding value (weight of importance assigned to that criteria). The following table provides an example of how the scoring system might work. Values (reflect importance of these criteria already being in place) Scores (reflect level of inputs that would be required in order for the facility to meet the preferred criteria) = minimally important (can easily be addressed through training) 2 = moderately important (can be addressed with moderate level of training and support) 3 = very important (can be addressed with high level of training and support) 4 = extremely important (highly preferred criteria that is difficult to address via training 0 = not acceptable as is, no input will address the problem = minimally acceptable (a high level of input will be required) 2 = acceptable (a moderate and reasonable amount of input would be required) 3 = exceptional (Enterprise is already functioning at a high level in this area and 7

18 and support) would require little or no input to meet preferred criteria) Output: Once the assessment has been conducted and a total score for each Enterprise is provided, objective results (Enterprise scores) can be analyzed and compared along with any individual impressions (positive or negative) in order to make informed decisions about which Enterprises should be selected for training. Enterprise s having the highest scores should reflect those that are best equipped to deliver latrines and latrine services to in accordance with service delivery standards and protocols. Following the steps below will help you to gauge whether or not the enterprise in question has the potential to become a successful latrine entrepreneur:. Explain the benefits of the Latrine Business 2. Present the business model 3. Present the product 4. Show them the estimated cost of production 5. Show the required investment in equipment, materials, and labour 6. Calculate their potential return on investment 7. Show the size of the market in their area. BENEFITS OF THE LATRINE BUSINESS! Earn more profit and grow your business over time! Expand your ability to enter other related markets (housing construction, rain water collection tanks, septic tanks, faecal sludge management, etc.)! Learn new skills in construction, marketing, sales, and business skills! Improve the health, comfort, and safety of your family, friends, and neighbours 2. THE BUSINESS MODEL The business model presented here is based on a one-stop shop model and direct sales. This is the model that extensive research and experience has shown works best. The one stop shop model The main idea of this model is to bring together all of the parts of a latrine and sell it as a single product. In the traditional model, Lao people must go to at least three different people to buy the parts for their latrine. By facilitating this process for the customer, the business is removing a barrier that may have been preventing them from purchasing a latrine sooner, and is also more affordable for the end consumer. 8

19 Traditional supply chain Thai or Vietnamese Large-Scale Manufacturers Ceramic pans Tiles Plastic access District wholesalers and retailers Plastic access Ceramic pans Tiles Cement Pakse, Soukhoumma &Saravane Suppliers Slab and ring moulds Sand Cement Provincial or district concrete product enterprises Concrete slabs Concrete rings FINAL CUSTOMER Gravel 9

20 One stop shop model Ceramic pans Thai or Vietnamese Large-Scale Manufacturer Tiles Plastic access cover Cement Slab and ring moulds LATRINE ENTREPRENEURS COMPLETE LATRINE PRODUCT FINAL CUSTOMER Pakse, Soukhoumma &Saravane Suppliers Sand Cement Gravel 20

21 DIRECT SALES Most concrete product manufacturers in Laos have a passive approach to marketing and sales, relying on word of mouth to lead customers to their place of business. At most, some enterprises print flyers or distribute business cards. However, for latrine sales to reach their full potential, a more active approach must be adopted. One of the main reasons for this is because latrine purchase and use is a new behavior for many consumers, so they must be convinced that it is a worthy and necessary purchase to win priority over other options such as motorbikes, mobile phones, or satellite dishes. The direct sales approach means that sale agents are recruited, trained, and closely supervised to go into villages with tested sales and promotional tools to sell the latrine product. They conduct group sales events on a village level and also conduct door-to-door sales with guidance from local authorities. The full sales process looks like this: Coordinate with local government and CLTS* Coordinate with village chiefs Sales event Door to door sales Take orders/deposits Report the number, types, and delivery dates of latrines ordered Produce latrines Village Chief makes sure customer is ready Deliver latrine** Install latrine** Customer pays balance 2

22 3. THE PRODUCT The product design is based on recommendations from ide, findings from consumer research on their preferences and expectations, and expert advice from a local engineering firm. The final product is designed to be affordable, but also meet the quality and design expectations in the local context.! This latrine has a ceramic pan that is clean and hygienic, and just like the ones found in the city.! It has a strong concrete slab and rings that will not break and will last many years.! The pit is also big enough to last several years, and has an emptying hole so that when it fills up, it can be emptied and used again.! Beautiful tiles can be placed on the slab for a more attractive and easier to clean latrine.! Customers can build their own shelters out of local materials, or they can even build a bathroom complete with wash basin for bathing and laundry.! And best of all, it s affordable! Price will depend on where the latrine is produced, but most latrines are sold for around US$50, or 450,000 LAK. 22

23 The options recommended here were conceived to offer variations on this design to suit different budget requirements. The four options shown here include:! Four rings with tiles! Four rings without tiles! Three rings with tiles! Three rings without tiles In addition, each of these options can be delivered to the customer and installed for them, for an extra fee. The accompanying Business Skills Training Module in this toolkit explains how to calculate the price for each option, and transportation costs. Detailed instructions on how to produce this latrine product are also included in this toolkit (see Manual for the Production and Installation of Pour-Flush Latrines). 23

24 4. COST OF PRODUCTION It is important for potential new enterprises to be fully aware of how much it will cost to produce the latrine product. This will help them to be prepared to make the capital investment needed to become a successful latrine producer. Cost of production will need to be calculated for each enterprise, as cost for raw materials, labor, and overhead fluctuates depending on locally available materials and labor, and proximity to international borders. The simple tools provided in the Business Skills Training Module (Part Two, Steps One through Three) can be used to estimate the cost of producing the latrine product shown above based on information provided by the potential enterprise. A quick and dirty cost analysis can be done at the time of recruitment, while a more accurate price calculation will be done for selected enterprises during training. 5. INVESTMENT IN ADDITIONAL EQUIPMENT Depending on what the enterprise already has on hand, they may need to invest in the following equipment:! Ring mould (should have a minimum of three moulds)! Tile cutting machine! Steel bar cutting machine (or manual saw)! Concrete vibrator machine Other investments may include additional labor and the cost of producing marketing and sales materials for sale agents. 24

25 6. POTENTIAL RETURN ON INVESTMENT This tool is helpful for demonstrating profit potential to hesitant or skeptical enterprises. However, it can also create initial excitement in enterprise owners that may not materialize in actual commitment to the business model. Other ways of demonstrating proof of concept include giving real examples of participating enterprises that are seeing great success and profitability in the Latrine Business. The Return on Investment tool below is designed to show potential enterprises how their investment can pay off. Enterprise Financial Potential Week Week 2 Week 3 Week 4 Total for month Presentations Orders per presentation Total orders per week Sales Agents Enterprise profit per latrine 00,000 00,000 00,000 00, ,000 Total profit potential 8,000,000 8,000,000 8,000,000 8,000,000 32,000,000 Inputs Presentations per week 2 Orders pre presentation 0 Sales Agents 4 Enterprise profit 00, SIZE OF THE MARKET You can easily estimate the size of the market in a particular district by using the most up-to-date data from district level Nam Saat on latrine coverage. You can request this data from the Nam Saat office and look at the number of households without latrines, or subtracting the number of households with latrines from the total number of households in the district. Remember to consider sanitation coverage from a household level versus an individual level. 25

26 8. RECRUITMENT EVENTS AND PRESENTATIONS When first beginning Sanitation Marketing activities in a new region or province, it may be appropriate to conduct a larger recruitment meeting to identify your first group of businesses to work with. This section provides some materials and guidance for such events. Key messages: TARGET AUDIENCE SUMMARY STATEMENT CUSTOMER BENEFIT Concrete Businesses Entering into the sanitation business with SanMark support is a golden ticket to accessing desirable resources That will increase your professional and personal success, because If you adhere to the standards, you will receive comprehensive support: " Access to best practices in operating a concrete business " Access to continuing education and training " Marketing activities and materials that drive demand for your products " Forum to network and build relationships with other business owners and with government officials 26

27 The Presentation Below is a sample presentation for use at a recruitment event. The figures used in the presentation will need to be adapted and updated based on the context in with Sanitation Marketing will be implemented. If possible, invite a SanMark enterprise to attend the recruitment event to share his/her experience with SanMark with the candidates present at the event. 27

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34 The Application Process Interested applicants should follow the three-step process below to be officially accepted as a SanMark business:. Take the literacy and numeracy test. 2. Pass the site assessment conducted at his/her place of business 3. Sign a contract Continuance onto the next step of the process requires first passing the previous step. For example, candidates who do not pass their literacy and numeracy test will not be given a site assessment. Candidates who do not pass their site assessment will not be asked to sign a contract. 34

35 IDEAL SALES AGENT PROFILE/CRITERIA FOR SELECTION Like Sales Agents in other industries around the world, latrine Sales Agents have a high turnover rate. To keep this rate as low as possible, adequate time and adherence to a tested and selective set of criteria is essential. Identifying individuals that meet all of the criteria will be difficult, but training the right people the first time will save time and money in the future. THE SELECTION CRITERIA Selection criteria for Sales Agents include:! Willing to travel to remote villages and have their own motorbike;! Have enough time to conduct at least two sales events per week;! Have a mobile phone;! Able to read and do basic math;! Understand the local language;! Willing to work on commission;! Own a latrine or be willing to buy one;! Comfortable speaking in front of groups; and! Good communication skills, confidence, and enthusiasm. People who meet these criteria are most likely to be active, motivated, successful Sales Agents. The Sales Agent recruitment section below will walk you through the steps of how to ensure that Sales Agent candidates meet these criteria. 35

36 SALES AGENT RECRUITMENT GEOGRAPHIC TARGETING Select high potential zones from which to recruit Sales Agents in a district. Work with district health officials to map health centers and corresponding zones, usually consisting of 0-5 villages surrounding a health center. Consider the following criteria when selecting zones to target: - Low latrine coverage - CLTS triggering has occurred - Good road access - Access to water - Relatively high population (based on number of households) RECRUITMENT PROCEDURES. Work with Nam Saat to organize a time and place for the recruitment event within a zone. 2. Visit villages within targeted zones and share job flier with criteria for Sales Agents and request village chief, LYU, LWU, and other relevant groups for assistance in recruiting potential Sales Agents in their villages. Ask them to recommend at least two candidates from their village and provide them with official letters of invitation to pass on to candidates. 3. On the day of the event, ask candidates to fill out the questionnaire when they arrive to screen out those who do not meet criteria. 4. Conduct short interviews using the questions below and select the best candidates. 5. Confirm the new Sales Agents by calling them that day or the next day. 6. Call other people who were interviewed and let them know they were not selected. Thank them for their time. RECRUITMENT EVENT Give a brief group introduction. Include information about what they will be selling as A Sales Agent, travel requirements, types of sales activities they will be performing, and their payment structure. Give an idea of the realities of the job, including some challenges such as travelling in the rainy season and giving presentations in front of large groups. Provide a few details about the current scale of Sanitation Marketing number of Sales Agents, number of enterprises, number of districts, etc. Explain the characteristics of an ideal Sales Agent: energetic, motivated people who can be representatives of businesses and help to improve their communities. Below is a suggested script for Market Facilitator staff to use when conducting Sales Agent recruitment events: Thank you (village chief) for having us here today. 36

37 My name is Mr., I am working with enterprise with support from Nam Saat to make sure that everyone in Laos has a latrine for their better health and happiness. I am a sanitation and marketing coordinator for the province 5. I am here today to tell you about a great job opportunity that will benefit you and people in your community. We have implemented sanitation marketing in Bachieng, Sanasomboun, Soukhoumma, etc. we have over XX agents working for with us now. We want professional representatives to help your community to purchase latrines. About the job: This is a great opportunity, the important thing is to help the community. You will need to travel a lot in your area you have 5 villages. Those selected will travel to the villages to promote and sell latrines to people who do not have latrines. You will have commission from each latrine sale. We are looking for people who own their own motorbikes and mobile phones, that are available to attend a 5-day training to build your skills as a Sales Agent, and that have at least 2-3 days available per week to commit to the job. We are looking for people who are motivated, good communicators, active, and want to help their communities. If this sounds like you, I will ask you to fill out an application form and then I will have a short interview with you. Thank you very much for coming today. INTERVIEW QUESTIONS. Why are you applying for this job? 2. What is your job now? (To identify how many obligations they currently have) 3. How many hours per week are you able to commit to this job? 4. Are you able to attend a 5-day training? a. Remind them that you will give them training. 5. How far are you willing to travel? 6. Do you have experience in sales? a. Do you like working in sales? b. Why do you like sales? (Motivation) 7. Do you have experience giving presentations/speaking to groups of people? a. Please describe this experience. b. What are the topics that you were discussing? 8. Do you have experience working with people from different villages? 9. Have you ever worked with a village chief? a. Have you ever worked with a village chief from a different village? 0. Can you go to do a presentation alone?. What is your motivation to be a Sales Agent/ to sell latrines? 2. Show me how to present the pen only with strong candidates. 3. Tell me about a time when you had a conflict with someone. What happened? How did you resolve the problem?* 5 It is recommended to avoid project language to prevent expectations of subsidies or freebies. 37

38 4. Tell me about a time when you had a challenge with your (problem with a supplier, customer, etc.) job. What happened and what did you do to solve the problem?* 5. What questions do you have for me? *With these questions you are looking for strategy and problem solving skills. If you are unsure of their answer, ask them to give another example or change your question a little bit. These are very important questions for this type of job. You can also ask about things like how they will manage challenges such as traveling in the rainy season practical day-to-day challenges of the job. After the interviews, follow-up with top candidates to ask a few more questions if you need to choose between multiple people. SELECTION CRITERIA - Owns motorbike and mobile phone - Willing to travel to villages up to 50 km away - Willing to work on commission - Willing to do both sales events and door to door sales - Able to commit at least 0 hours per week - Willing and able to attend initial 5 day training and future follow-up trainings - Excellent communication skills - Confident and outgoing - Desired characteristics: o Volunteer experience (dedication to community development) o Studying or has experience in marketing, sales, or social development BENEFITS OF POSITION - Gain professional experience for your future - Receive training on communication and marketing skills - Receive an official certificate upon completion of training - Flexible hours - Cash income on commission - Chance to help your community JOB DESCRIPTION All Sales Agents will: Attend initial Sales Agent training and any subsequent mandatory trainings, and conduct sales and promotional activities according to the trainings. Conduct village sales events and door-to-door sales, and coordinate with village chiefs to organize sales events and door-to-door sales. Collect deposit money from customers as commission in the agreed amount. Take a minimum of 5 latrine orders per week. 38

39 Transportation costs have been factored into the commission that each Sales Agent earns per latrine. Accurately complete any and all forms provided by the Latrine Business Owner, including submitting copies of Purchase Contracts, to the Latrine Business Owner in a timely manner. Submit Weekly Reports and Plans to Provincial Coordinators using the forms provided. Maintain honest and open communication with Provincial Coordinators. 4.2 TRAINING AND DEVELOPMENT DEVELOPMENT INPUTS Once Sales Agents and enterprises have been selected, Market Facilitators should work with them to fully develop their capacity to deliver sanitation products and services and to operate in accordance with minimum standards. Inputs designed to enable enterprises and Sales Agents to operate effectively include the following: For Latrine Businesses:. Latrine Entrepreneur Operations Manual 2. Business Skills Training, Participant s Workbook For Sales Agents:. Sales Agent Training, Participant s Workbook LATRINE BUSINESS TRAINING In addition to the Latrine Entrepreneur Operations Manual which guides Latrine Businesses through all operating procedures, standards, and practices expected of SanMark Latrine Businesses, newly recruited SanMark Latrine Businesses also receive the following trainings:. Latrine Production, Delivery and Installation Training (refer to Production and Installation of Pour-Flush Latrines, Facilitator s Manual as part of this Toolkit) 2. Business Skills Training (refer to Business Skills Training for Latrine Entrepreneurs, Facilitator s Manual as part of this Toolkit) SanMark Latrine Businesses are required to participate in the training above and demonstrate competency before signing a contract. All training modules included in the Facilitator s Manuals are designed to be easily conducted as individual refresher trainings as necessary. Results of Quality Audits conducted quarterly should be used to identify areas of weakness where additional refresher training is needed. SALES AGENT TRAINING 39

40 In addition to the Sales Agent Operating Manual which guides Sales Agents through all operating procedures, standards, and practices expected of Sales Agents, newly recruited Sales Agents also receive the following training:. Sales Agent Training (refer to Sales Agent Training, Facilitator s Manual as part of this Toolkit) Sales Agents are required to attend the training above and demonstrate competency in the skills before signing a contract. All training modules included in the Facilitator s Manual are designed to be easily conducted as individual refresher trainings as necessary. Weaknesses in Sales Agent performance identified during routine supervision and management can be addressed using these modules to strengthen skills where needed. The table below includes recommended pricing for each product and service offered by SanMark enterprises. The price range will differ depending on the cost of raw materials in different regions of Laos. The Market Facilitator should not attempt to control prices in the market. However, Market Facilitators should train business owners according to the Business Skills Training, Facilitator s Manual that demonstrates the strategic benefits of a high volume, low profit pricing structure, and uses a price calculating tool with a 25% profit margin. Business owners should be encouraged to keep their profit structures at a maximum of 25% or lower in order to reach the greatest number of customers. PRODUCTS AND SERVICES COMPONENTS/DESCRIPTION RECOMMENDED PRICE Basic pour-flush latrine Three concrete rings; one concrete slab (no tiles); one ceramic pour-flush pan; one plastic emptying hole cover 360, ,000LAK (US$45-55) Chrome standard pour-flush latrine Silver standard pour-flush latrine Gold standard pour-flush latrine Latrine Delivery Service Latrine Installation Service Four concrete rings; one concrete slab (no tiles); one ceramic pour-flush pan; one plastic emptying hole cover Three concrete rings; one concrete slab with tiles; one ceramic pour-flush pan; one plastic emptying hole cover Four concrete rings; one concrete slab with tiles; one ceramic pour-flush pan; one plastic emptying hole cover Delivery of latrine components to household of customer. Must be on time and without damaging the product. Installation of latrine components at household of customer or other specified site. Must be installed according to environmental safety standards (see Latrine Production 390, ,000LAK (US$49-59) 405, ,000LAK (US$5-60) 455, ,000LAK (US$57-68) 50,000LAK (US$6) for deliveries within 0km; 3,000LAK (US$0.40) per additional kilometre 00,000LAK (US$2) 40

41 Manual) and without damaging the product. Latrine Business owners should also be encouraged to offer flexible payment options to customers, recognizing liquidity constraints of many of their target customers. A structure of 50% down payment, and 50% payment after one month is recommended. Proper documentation of this agreement with the customer is essential, with receipts provided to the customer and kept in the enterprise owner s records for each payment. 4

42 4.3 MANAGEMENT SALES AGENT MANAGEMENT PROCEDURES SUPERVISION AND COACHING ARE TWO ESSENTIAL PRACTICES FOR SALES AGENT DEVELOPMENT. GREAT SALES AGENTS ARE NOT CREATED THROUGH A FIVE DAY TRAINING, BUT THROUGH CONTINUOUS SUPPORT FROM SUPERVISORS WHO HELP THEM OVERCOME WEAKNESSES AND BUILD ON STRENGTHS. THIS JOB SHOULD BE UNDERTAKEN, IDEALLY, BY SOMEONE WHO CAN SUPERVISE SALES AGENTS FULL TIME. The strategies and tools below will help you to ensure that your Sales Agents remain motivated and continuously improve their skills over time. SALES AGENT PLANNING SHEET This is a motivational tool used with Sales Agents on the last day of training as a way to set expectations for their performance. Sales Agents and supervisors should fill out this sheet together, based on the level of performance needed for the enterprise to meet his/her sales targets and what is realistically possible for the Sales Agent considering their other responsibilities and the circumstances of the particular area in which they are working. In addition, it helps the Sales Agents follow up with leads generated by communicating when potential customers can expect them to come back to their village. Sales Agent Weekly Plan Week Mon Tues Wed Thurs Fri Sat Sun Village A Village B Week 2 Mon Tues Wed Thurs Fri Sat Sun Village C Village D Village E Week 3 Mon Tues Wed Thurs Fri Sat Sun Village A Village B Week 4 Mon Tues Wed Thurs Fri Sat Sun Village C Village D Village E 42

43 Directions for using the Sales Agent Weekly Plan:. Specify goals: 2-3 presentations per week. 2. Specify targets: 20 orders per week (2 presentations X 0 orders) OR 20 orders per week (4 presentations X 4 orders + door to door 4 orders) 3. Sales Agents should be visiting all villages on a rotation 4. Create new weekly plan each month. FIELD VISITS Field visits should be conducted once per month for each new Sales Agent, and quarterly, or as needed for each experienced Sales Agent. The purpose of field visits is for supervisors to observe the Sales Agents conducting sales events and door-to-door sales, identify strengths and weaknesses, and coach the Sales Agents on building strengths and improving on weaknesses. Field visits also serve as great motivators as Sales Agents feel supported, more confident, and oftentimes make more orders than when they conduct sales activities independently. Field visits should also involve the following activities:! Review last month s sales and provide positive feedback. Redefine expectations as needed.! Review their list of customers with whom they should follow up (leads generated).! Review their weekly and/or monthly plan to make sure they are visiting villages regularly and meeting objectives.! Review the Return on Investment calculator! Make sure they are carrying all materials with them to sales activities.! Share best practices from other Sales Agents/areas/districts. Use the form below to ensure Sales Agents are performing according to best sales practices and communicating the key messages to audiences. WASH Sales Agent Supervision Checklist Sales Agent Name: District, Province: Date: Mark the box for each step that the Sales Agent completed: Step : Preparation: Contact village chief to conduct sale activities and Submitted official letter to Village Chief Ask Village Chief to arrange time and date for sales event and door-to-door 43

44 Asked Village Chief to invite people with and without latrines Step 2: Presentation: Arrived on time and with all needed materials Delivered full introduction (introduced themselves, the Enterprise they represent, and the topic) Which of the negative aspects of open defecation did the Sales Agent talk about (select all that apply): Convenience Safety Privacy Health Other (list): None (check this box if this step was not completed) Asked for positive experience testimonials from latrine owners Addressed the following objections: Cost (much cheaper than you think) Subsidy/free latrine (may not ever come, or may not come for many years) Other (list): None (check this box if this step was not completed) Mentioned the following benefits (select all that apply): Earn respect from your neighbors for caring about the cleanliness of the community Modern pour-flush design has no smell and is used in cities Tiles are easy to clean and beautiful Home delivery reduces time and money spent on transport Building their own superstructure allows them to upgrade over time Produced by a trusted concrete manufacturer and designed by engineers so you know the product is safe for your family and will last many years Other (list): None (check this box if this step was not completed) Effective supervisors spend at least 50% of their time in the field with Sales Agents providing support, coaching, and refresher trainings as necessary. PHONE CALLS Weekly or twice weekly phone calls serve a number of purposes:! Provide support to Sales Agents and motivate them to continue conducting sales activities.! Receive verbal reports on results of sales activities.! Learn about any problems soon after they occur to allow you to take any necessary actions quickly. 44

45 During phone calls, use the planning form (shown below) to follow up with Sales Agents and make sure that the plan is being adhered to, and the Sales Agents are on track to meet targets set in the planning form. REPORTING AND MONITORING It is important that Sales Agents keep records of their progress against targets, both for personal growth and as a supervisory tool for their supervisors. Lagging behind targets can indicate that there are problems with the Sales Agent s performance or motivation, or an external problem that they may need support to overcome. Sales Agents progress is reported with the following tools:! Sales Agent planning sheet! Order tracking journal! Projected vs. actual orders record 45

46 LATRINE BUSINESS MANAGEMENT PROCEDURES Ongoing management of Latrine Businesses ensures that they have the ongoing support needed to deliver services in accordance with minimum standards, monitors their performance, rewards good performance for motivation and penalizes poor performance. Market Facilitators are responsible for managing the on-going operations of the business related to Sanitation Marketing so that it is continually able to deliver the products and services according to minimum standards. These management procedures include the following: - Provide routine support and supervision to the Latrine Business - Monitor performance - Take actions based on findings: rewards for good performance, additional support to help sites overcome problems, or terminate the contract if performance is consistently poor. SUPPORT AND SUPERVISION The Market Facilitator provides on-going support to Latrine Businesses so that they are continually able to deliver services in accordance with minimum standards. Types of support are designed to address OAM (Opportunity, Ability, Motivation) related needs for each of the five categories of standards. In general, support offered to Latrine Businesses includes: - On-going training and skills development opportunities - Literature and technical updates - Access to Market Facilitator staff (Provincial Coordinators) for advice or support when needed (via telephone, , in-person visits) Support specific to standards includes the following: Mechanisms to Support Adherence to Latrine Production, Delivery and Installation Standards Opportunity Ability Motivation Advising on New Equipment Procurement Technical Training Manual for the Production and Installation of Pour-Flush Latrines On-going Advice and Coaching Rewards and Recognition 46

47 Mechanisms to Support Adherence to Customer Service Standards Opportunity Ability Motivation Marketing to Attract Customers Guidelines Enterprise Testimonials Training On-going Advice and Coaching Customer Feedback Latrine Business of the Month Mechanisms to Support Adherence to Equity Standards Opportunity Ability Motivation IPC Assistance with Pricing Communicate Why it Matters Business Skills Training Mechanisms to Support Adherence to Productivity Standards Opportunity Ability Motivation Marketing Business Skills Training Rewards and Recognition Promotions Advising and Coaching ROI Calculator IPC Order Forms Mechanisms to Support Adherence to Reporting and Recordkeeping Standards Opportunity Ability Motivation MIS Forms Business Skills Training Rewards and Recognition Advising and Coaching 39 HOW SUPPORT NEEDS ARE IDENTIFIED Market Facilitators will have at least one staff member (Provincial Coordinator) who is dedicated to the ongoing oversight of Latrine Business performance. The Provincial Coordinator s job responsibilities would include uncovering Latrine Business needs via: 47

48 - Skilled questioning and observations made during routine site visits - Quality Assurance Audits - Satisfaction, Use and Wealth Quintile Surveys of Customers - Latrine Business requests made at the time of supervisory visits, through telephone call to Latrine Business, or other communications channels that might be used to reach Provincial Coordinator After determining support needs, the Provincial Coordinator will follow-up with facilities and provide whatever support is needed and organize training where needed. Quality Assurance Audit The Quality Assurance Audit is conducted quarterly by Market Facilitator monitoring and evaluation staff. The audit collects data on technical production quality, recordkeeping, and stock maintenance. Quality Assurance Check List I Concrete Rings (3 x 40 x 80 cm) Produced Ring by good mold 2 Use steel bar (6mm) for reinforcement of concrete rings Use good quality cement (not expired, used for construction only, 3 stored in clean, dry place) 4 Gravel or Stones scale max 0mm 5 Use clean Sand 6 Mix concrete using one of the recommended ratios in Manual for the Production and Installation of Pour-Flush Latrines 7 Ring is of correct dimensions (W80 x H40 x T3 cm) 8 No visible cracks or breaks in concrete Yes No II Concrete Slabs ( 4 x 00 x 00 cm) Use wood or Steel mold to produce 2 Use steel bar (6mm) for reinforcement of concrete slab Use good quality cement (not expired, used for construction only, 3 stored in clean, dry place) 4 Gravel or Stones scale max 0mm 5 Use clean Sand Mix concrete using one of the recommended ratios in Manual for 6 the Production and Installation of Pour-Flush Latrines 7 Slab is of correct dimensions (00 x 00 x 4 cm) 8 Slab includes hole for pit emptying 9 No visible cracks or chips in the slab 48

49 0 Tiles are not broken and are placed neatly on slab (if applicable) III MIS Forms MIS forms are kept in a folder or file 2 MIS forms are clean and neat 3 Forms are organized in a way that makes them easy to find 4 Monthly Report was complete and submitted on time 5 Tracking Form is complete and up-to-date 6 Cash Flow Form is complete and up-to-date IV Stock Maintenance Products are stored according to the Manual for the Production and Installation of Pour-Flush Latrines 2 Materials and equipment are recorded in a system 3 Carrying minimum stock (parts for at least 0 latrines) QA Audits should be scored following the reporting template below, and trigger a response from Provincial Coordinators for reward or corrective action. 49

50 Quarterly Enterprise Audit Report Enterprise name: Province: District: Telephone number: Date of Report: Name of Auditor: Score: A= Excellent, B= Good, C= Fair, D= Poor, F= Unacceptable % Score: A = 00%, B = 75%, C = 50%, D = 25%, F= 0% # of products in stock = 00%: 0, 0% <0 Date of Audi t Product Quality Score (percentage of checklist achieved) Current number of products in stock for audit Adherenc e to stocking procedure s Materials and equipment kept in system MIS form quality Recommendations for improvement Slab Ring Next steps: Final Score = Date of Next Audit: 50

51 Satisfaction, Use and Wealth Quintile Surveys These surveys are designed to measure the how well Latrine Businesses are meeting standards related to customer service and equity. They should be conducted by Market Facilitator M&E staff according to the protocols below. The questionnaire is included in the Forms section of this Manual. Study Population The study population will be made up of households that purchased and installed a latrine from one of the SanMark enterprises supported through this program. The persons interviewed in each households will be heads of household or spouses of the head of household. Households will be identified through MIS data recorded by Sales Agents or Latrine Businesses using the Tracking Form found in the Forms section of this Manual. Sampling Approach Data on satisfaction and household assets (Sections 2 and 3) will be collected through household interviews for those households that have had their latrines delivered between four and eight weeks prior to the survey date. Data on latrine use (Section 4) will be collected through household interviews for those households that have had their latrines delivered at least six months prior to the survey date. Household demographics (Section ) will be collected during each interview. Household contact information and delivery dates will be determined through MIS data collected by enterprises. Satisfaction and household assets data will be collected from ten villages per month (totaling around 50 villages surveyed by the end of the project). Every household that has purchased a latrine through the SanMark program will be interviewed in each of the ten villages. Villages will be selected randomly using a probability proportionate to size (PPS) method, so that districts with highest latrine sales will have more villages represented in the sample. The same method will be used to select villages included in the use survey, although number of villages will be determined at the time of data collection depending on total latrine sales. Market Facilitator M&E Officers will conduct interviews and record data. The head of household or spouse of the head of household will be interviewed. The interview will be carried out at the household of the interviewee where the latrine was delivered. Data will be analyzed and reported quarterly on satisfaction and household assets, and every six months on use. Frequency Sample size Sampling Method Data Analysis/ Reporting Sections, 2 & 3: Demographics, Household Assets, and Satisfaction Monthly Ten villages Randomly selected using PPS; interview all households in each of ten villages that have purchased latrines through SanMark enterprises Quarterly 5

52 Sections & 4: Demographics and Use Every 6 months To be determined based on total latrine sales at time of data collection Randomly selected using PPS; interview all households in each village that have purchased latrines through SanMark enterprises Every 6 months Data Collection Tool The structured questionnaire will collect data on:. Household demographics 2. Household assets 3. Household use of the latrine 4. Household satisfaction with the latrine Monthly interviews on satisfaction and wealth quintile will use Sections -3 of the questionnaire. Sixmonth interviews on use will use Sections and 4 of the questionnaire. 52

53 CHAPTER 5: DEMAND CREATION 53

54 5. Demand creation The direct sales business model implemented through Sanitation Marketing is also a form of demand creation. Rather than passively waiting for households to come to the Latrine Business, the Business goes directly to the communities and creates demand through engaging presentations and conversations about the latrine product. The sales presentation echoes many of the messages communicated through CLTS, encouraging households to live healthier, more comfortable, and more convenient lives by purchasing a latrine that they can proudly use every day. 54

55 FIGURE: 2 A social franchise is a network of individuals or groups that market and distribute services and/or products that benefit society under a unifying brand. It incorporates the sanitation marketing business model presented at the beginning of this book into a larger network. In this model, the market facilitator becomes the franchisor and the latrine businesses become franchisees. The Franchisor will be a locally-owned and operated social business capable of identifying and securing its own funding. The Incubator will provide capacity building support in the initial years of operation of the Franchise to ensure the Franchisor possesses all the skills, strategies, and tools necessary for success. The franchise model established will be more closely connected between and within essential networks of donors, government stakeholders, development partners, and corporate partners to diversify its streams of revenue for long-term sustainability. Donor networks may include the ingo Network and the Scaling Up Nutrition Civil Society Alliance (SUN CSA). 55

56 CHAPTER 6: FORMS 56

57 6. SANITATION MARKETING FORMS FOR MARKET FACILITATORS. Enterprise Site Selection Tool 2. Quality Assurance Audit 3. Satisfaction, Use and Wealth Quintile Monitoring and Evaluation Survey 4. Sales Agent Supervision Checklist FOR LATRINE BUSINESSES. Latrine Business Monthly Report 2. Order Tracking Form 3. Cash Flow Record FOR SALES AGENTS. Order Form 2. Leads Generated Contact Sheet 3. Weekly Planning Sheet 4. Order Tracking Journal 57

58 ENTERPRISE SITE SELECTION TOOL SITE SELECTION TOOL -- PHASE II: ASSESSMENT OF NECESSARY/REQUIRED CONDITIONS Enterprise Name: Enterprise Location (District, Village) Name of Enterprise owner/manager interviewed A) Level of Interest and Commitment Yes No No, but willing to addres s Enterprise owner/manager has expressed interest in adding latrine production to his/her business, or changing their current product Enterprise owner/manager is interested in implementing the Sanitation Marketing business model, including increasing sales and marketing efforts Enterprise owner/manager is willing to receive support in recruiting, training and monitoring latrine sales force If responses to any of the above are NO, do NOT proceed. Exclude candidate from list of potential Enterprises B) Enterprise Capacity (does the facility have the capacity to deliver latrine Yes No No, but 58

59 products and services in accordance with standards and protocols?) willing to addres s Enterprise has basic infrastructure in place needed for latrine production (check yes if all of the following criteria are met) Source of water Electricity Stock area Large enough to stock at least ten latrines at one time Production area Enterprise environment meets basic standards and protocols (check yes if all of the following criteria are met) Materials are stocked safely and neatly Dangerous tools and equipment are appropriately stored Enterprise already offers related products and services (concrete products) Enterprise currently serves and/or has the potential to serve target population What villages/districts are your current customers from? Are you willing to expand your business to include remote villages, including delivering and installing latrines in those 59

60 villages? Enterprise is willing and able to accommodate increased demand for products, specifically latrines, through investment in additional equipment, tools, and staff, if necessary. How many of the equipment below do you already own? (Record number of each type of equipment) Ring moulds Slab moulds Concrete mixer Delivery truck C) Enterprise Qualifications (is the facility staffed with people having appropriate qualifications and experience?) At least one full-time staff is qualified to provide or, with reasonable input, gain the skills to provide latrine products and services (check yes if all of the following criteria are met) Latrine production and necessary supporting skills are within the Enterprise s capabilities, with proper training. Adequate staff is available to produce latrines in a timely and efficient manner, and keep minimum stock levels consistent. How many full time staff do you employ? How easy/difficult is it to find additional laborers to work if you have a large 60

61 order to fill? (Select one) Very easy Easy Normal Difficult Very Difficult Where do you find labor? Does your staff change at all throughout the year, for example during harvesting season? If yes, when? Recordkeeping and business management skills are within the Enterprise s capabilities, with proper training. 6

62 SITE SELECTION TOOL : ASSESSMENT OF PREFERRED CONDITIONS A) Enterprise Capacity Enterprise is financially accessible to target audience Does the enterprise sell an affordable product, or are they able to do so? Does the Enterprise make provisions for low-income clients such as options for payment in installments? If not, is there a willingness to do so? How much do you currently charge for a latrine (if they currently produce and sell latrines or latrine parts)? LAK (Record cost of three rings and one slab) Value (V) Score (S) Total (V x S) Where do you source your raw materials? How much do you pay for these materials: gravel, sand, water, cement? Gravel: LAK per unit Sand: LAK per unit Water: LAK per unit Cement: LAK per unit Enterprise is financially sustainable is already operating without financial difficulties and is willing and able, with assistance, to access external financing from financial institutions 62

63 Do you have a bank account? Yes No Have you ever taken out a loan from the bank? If not, where do you borrow from, if at all? Yes No (list other sources of loans, if any): What is the biggest order you ve received? units Were you able to deliver on that order? Yes, on time Yes, but late No Did you have to make any additional investments in labor or equipment to meet the order? Yes, equipment Yes, labor Yes, materials No How much cash do you have in the bank? LAK Ask to see order book. How many outstanding orders do you have? orders 63

64 How frequently are orders coming in? Daily Weekly Monthly Mostly in dry season Mostly in wet season How long have you been in business? years How many pending orders do you have? units Do you buy your materials or equipment on credit? No Yes: What are the credit terms? Have you ever been late on a payment or unable to pay back? No Yes Enterprise has an interest or willingness to coordinate sales with finance institutions, such as village banks. 4 B) Business Owner Attitude Manager s Attitude toward delivering high quality latrines to rural areas is positive, enthusiastic, and sincere Enterprise has good track record and reputation in community (is well respected and trusted) Manager has or is willing to establish links with the community that makes the Enterprise more accessible to rural

65 Manager has or is willing to establish links with the community that makes the Enterprise more accessible to rural area clients, with assistance 2 Enterprise is willing and able to maintain sales records 3 Enterprise is willing to be monitored and to comply with product protocols 4 Manager has the support of his/her staff 4 Enterprise is committed to serving community, motivated to succeed in business, personable, and altogether has an attitude that demonstrates a potential to succeed. 3 Enterprise is interested in participating 4 Total Score for this Facility Value (V) Score (S) Total (V x S) Values (reflect importance of these criteria already being in place) = minimally important (can easily be addressed through training) 2 = moderately important (can be addressed with moderate level of training and support) 3 = very important (can be addressed with high level of training and support) 4 = extremely important (highly preferred criteria that is difficult to address via Scores (reflect level of inputs that would be required in order for the facility to meet the preferred criteria) 0 = not acceptable as is, no input will address the problem = minimally acceptable (a high level of input will be required) 2 = acceptable (a moderate and reasonable amount of input would be required) 3 = exceptional (Enterprise is already functioning at a high level in this area and would require little or no input to meet preferred criteria) QUALITY ASSURANCE AUDIT 65

66 Quality Assurance Check List I Concrete Rings (3 x 40 x 80 cm) Produced Ring by good mold 2 Use steel bar (6mm) for reinforcement of concrete rings Use good quality cement (not expired, used for construction only, 3 stored in clean, dry place) 4 Gravel or Stones scale max 0mm 5 Use clean Sand 6 Mix concrete using one of the recommended ratios in Manual for the Production and Installation of Pour-Flush Latrines 7 Ring is of correct dimensions (W80 x H40 x T3 cm) 8 No visible cracks or breaks in concrete Yes No II Concrete Slabs ( 4 x 00 x 00 cm) Use wood or Steel mold to produce 2 Use steel bar (6mm) for reinforcement of concrete slab Use good quality cement (not expired, used for construction only, 3 stored in clean, dry place) 4 Gravel or Stones scale max 0mm 5 Use clean Sand 6 Mix concrete using one of the recommended ratios in Manual for the Production and Installation of Pour-Flush Latrines 7 Slab is of correct dimensions (00 x 00 x 4 cm) 8 Slab includes hole for pit emptying 9 No visible cracks or chips in the slab 0 Tiles are not broken and are placed neatly on slab (if applicable) III MIS Forms MIS forms are kept in a folder or file 2 MIS forms are clean and neat 3 Forms are organized in a way that makes them easy to find 4 Monthly Report was complete and submitted on time 5 Tracking Form is complete and up-to-date 6 Cash Flow Form is complete and up-to-date 66

67 IV Stock Maintenance Products are stored according to Manual for the Production and Installation of Pour-Flush Latrines 2 Materials and equipment are recorded in a system 3 Carrying minimum stock (parts for at least 0 latrines) QUALITY ASSURANCE AUDIT REPORT 67

68 Quarterly Enterprise Audit Report Enterprise name: Province: District: Telephone number: Date of Report: Name of Auditor: Score: A= Excellent, B= Good, C= Fair, D= Poor, F= Unacceptable % Score: A = 00%, B = 75%, C = 50%, D = 25%, F= 0% # of products in stock = 00%: 0, 0% <0 Date of Audit Product Quality Score (percentage of checklist achieved) Current number of products in stock for audit Adherence to stocking procedures Materials and equipmen t kept in system MIS form quality Recommendations for improvement Slab Ring Next steps: Final Score = Date of Next Audit: 68

69 SATISFACTION, USE AND WEALTH QUINTILE CUSTOMER SURVEY QUESTIONNAIRE SECTION : HOUSEHOLD DEMOGRAPHICS First, I have some questions about your household. No. Questions and filters Responses Code Skip Date of Interview / / /204 Date of Latrine Purchase / / /204 Date of Latrine Installation / / /204 69

70 Q0 District Thateng Lamarm Dakcheung Bachieng Paksong Pathoumpone Khong Sanasomboun Sukhoumma Mounlapamok No. Questions and filters Responses Code Skip Q02 Village Q03 Sex of respondent Male Female 0 Q04 How old are you? Age (in years): Q05 To what ethnic group do you belong? Lao Loum Lao Soung Lao Theung

71 Q06 What is your education level? Never studied Completed primary school 2 **DO NOT READ THE ANSWERS OUT LOUD **INTERVIEWER TO SELECT ONE ANSWER ONLY Completed lower secondary school Completed High school Completed vocational school 6 Completed university or higher Q07 What is your main occupation? Farmer Labor 2 **DO NOT READ THE ANSWERS OUT LOUD. Forest work 3 **INTERVIEWER TO SELECT ONE ANSWER ONLY. Street vendor (sundry shop, fruit, food, etc.) 4 Livestock raising 5 Student 6 Government officer/private company officer 7 Private business operator Unemployed 8 9 Q08 How much is your monthly household income? Income (in Kip/month): 7

72 Q09 Have you ever participated in a village level event about good hygiene and sanitation practices, and stopping open defecation? Yes No 0 IF NO, SKI P TO SEC TIO N 2 No. Questions and filters Responses Code Skip Q0 How did you buy your latrine? Group sales event At home through a salesperson 2 **READ ANSWERS OUT LOUD Placed order with Village Chief At a town market 3 At a concrete business In my village with the 4 owner/staff of concrete busn. 5 Other:

73 SECTION 2: HOUSEHOLD ASSETS No. Questions and filters Responses Code Skip Yes No Q20 Is your household registered on the village list of poor households? 0 Q202 What assets do you have in your household? Transport equipment Vehicle (car, van, etc.) 0 ** READ ANSWERS OUT LOUD Motorcycle 0 ** MULTIPLE ANSWERS ARE POSSIBLE Bicycle 0 House equipment 0 Refrigerator/freezer Sewing machine Washing machine Vacuum cleaner Electric rice cooker Cook stove Fan Red pot (Souki electric pot) Water heater Agriculture/business Two-wheeled tractor Four-wheeled tractor

74 No. Questions and filters Responses Code Skip Boat Rice mill Thresher Water pump

75 No. Questions and filters Responses Code Skip Yes No Q203 What assets do you have in your household? TV, Radio, Phones Television 0 ** READ ANSWERS OUT LOUD Radio 0 ** MULTIPLE ANSWERS ARE POSSIBLE CD/DVD Player 0 Telephone 0 Mobile phone 0 Camera 0 Animals Cows Buffalo Goats Poultry Pigs Horses/Donkeys/Mules Drinking water sources Water supply River/stream Pond

76 Dam Bottled water 4 5 Cooking fuel sources Electricity Gas Kerosene Coal Wood Straw What assets do you have in your household? Household floor materials ** READ ANSWERS OUT LOUD ** MULTIPLE ANSWERS ARE POSSIBLE Wood planks Cement 2 76

77 SECTION 3: SATISFACTION For each of the following questions please select only one answer. No. Question Responses Coding Skip Q30 How satisfied are you with your latrine? Dissatisfied Unsure 2 **READ ANSWERS OUT LOUD. **INTERVIEWER TO SELECT ONE ANSWER PER QUESTION ONLY. Satisfied 3 a. How satisfied are you with hygiene and cleanliness? Dissatisfied Unsure 2 Satisfied 3 b. How satisfied are you with privacy? Dissatisfied Unsure 2 Satisfied 3 c. How satisfied are you with the convenience of using your latrine? Dissatisfied Unsure 2 Satisfied 3 d. How satisfied are you with safety or protection (from animals, flies, snakes, etc.)? Dissatisfied Unsure 2 Satisfied 3 Q302 How satisfied are you with the following after 77

78 purchasing the latrine: **READ ANSWERS OUT LOUD. **INTERVIEWER TO SELECT ONE ANSWER PER QUESTION ONLY. a. How satisfied are you with the cost of purchase? Dissatisfied Unsure Satisfied 2 3 No. Questions and filters Responses Code Skip b. How satisfied are you with the value for price? Dissatisfied Unsure 2 Satisfied 3 Q303 Did you install the latrine yourself? Yes No 0 IF NO, SKIP to Q406 Q304 What assistance did you have with installation? Enterprise Owner/Staff Local mason/laborer 2 **READ ANSWERS OUT LOUD **MULTIPLE ANSWERS ARE POSSIBLE Village Chief Sales Agent Other government 3 4 **INTERVIEWER TO CHECK ALL THAT APPLY staff Written instructions 5 Family/neighbors 6 None

79 Q305 How easy was the installation? Difficult Unsure Easy Q306 Did you have your latrine delivered? Yes No IF NO, SKIP TO Q408 Q307 How satisfied were you with the timeliness of delivery? Dissatisfied Unsure 2 Satisfied 3 No. Questions and filters Responses Code Skip Q308 What payment method did you use? Cash on delivery Q309 How satisfied are you with the payment method? Loan through village bank Installments through enterprise Other: Dissatisfied Unsure Satisfied

80 SECTION 4: LATRINE USE Next, I have some questions about the latrine you purchased from the WASH enterprise. No. Question Responses Code Skip Q40 When did you install your latrine? Less than one month after delivery 2-3 months after delivery 4-6 months after delivery More than 6 months after delivery IF NEVER, SKIP TO Q45 Never 5 Q402 In the past week, how often do you use the latrine when you need to defecate? Every time Sometimes Rarely 2 3 IF EVERY TIME, SKIP TO Q404 **READ ANSWERS OUT LOUD **INTERVIEWER TO SELECT ONE ANSWER ONLY Never 4 80

81 Q403 What are the reasons that you don t use your latrine every time? Too far from home/field No water for flushing 2 **MULTIPLE ANSWERS ARE POSSIBLE Not satisfied with latrine No superstructure 3 4 Broken/not functioning 5 Other: 99 (SPECIFY) Q404 In the past week, how many people have used the latrine? or more 3 Q405 In the past week, who in your household has used the latrine? Children under 2 Children **READ ANSWERS OUT LOUD Children **MULTIPLE ANSWERS ARE POSSIBLE Female adults 6-49 Male adults Female Male

82 Q406 In the past week, who in your household has NOT used the latrine? Children under 2 Children **READ ANSWERS OUT LOUD Children **MULTIPLE ANSWERS ARE POSSIBLE Female adults 6-49 Male adults Female Male Q407 I would like to take a look at the latrine you purchased from the WASH enterprise. Can you please show me the latrine? Used Unused 2 **INTERVIEWER TO RECORD THE GENERAL CONDITION OF THE LATRINE AND TAKE PHOTO **REFER TO ANNEX A FOR GUIDANCE ON HOW TO EVALUATE LATRINE USE Q408 **INTERVIEWER TO RECORD IF THE LATRINE HAS A SHELTER Yes No 0 IF NO, SKIP TO Q42 Q409 **WHAT KIND OF SHELTER DOES THE LATRINE HAVE? **MULTIPLE ANSWERS ARE POSSIBLE Walls only Walls and roof Door 2 3 IF WALLS ONLY, SKIP TO Q4 82

83 Q40 **INTERVIEWER TO RECORD MATERIAL(S) USED TO BUILD ROOF Bamboo Concrete 2 Wood 3 **MULTIPLE ANSWERS ARE POSSIBLE Thatch 4 Plastic 5 Other: 99 (SPECIFY) Q4 **INTERVIEWER TO RECORD MATERIAL(S) USED TO BUILD WALLS Bamboo Concrete 2 Wood 3 **MULTIPLE ANSWERS ARE POSSIBLE Thatch 4 Plastic 5 Other: 99 (SPECIFY) No. Questions and filters Responses Code Skip Q42 How far is the latrine from your household? Distance (in meters): Q43 How far is the latrine from the nearest water source? Distance (in meters): IF OVER 5 METERS, SKIP TO END 83

84 Q44 What type of the water source is close to the latrine? **READ ANSWERS OUT LOUD **MULTIPLE ANSWERS ARE POSSIBLE **INTERVIEWER TO CHECK ALL THAT APPLY River Pond Water well Other: (SPECIFY) END SURVEY HERE FOR INSTALL ED LATRINE S Q45 Why haven t you installed your latrine? No money for shelter No one to install (no masons) 2 Don t know how Too wet 3 Don t like the latrine 4 Other:

85 Thank you for your time. Refer to the following guide for determining whether or not a latrine has been used or not used. Used Presence of water bucket for washing and flushing Footprints on or around pan Fecal matter or other excreta on or around pan Water on pan and/or floor from washing and flushing Personal belongings such as flip flops, soap, sarongs/towels, or decorations in/around latrine Unused No water bucket for washing and flushing No footprints on or around pan No fecal matter or other observable excreta on or around pan Dry, dusty pan and/or floor No personal belongings related to latrine use in or around latrine 85

86 SALES AGENT SUPERVISION CHECKLIST WASH Sales Agent Supervision Checklist Sales Agent Name: District, Province: Date: Mark the box for each step that the Sales Agent completed: Step : Preparation: Contact village chief to conduct sale activities and Submitted official letter to Village Chief Ask Village Chief to arrange time and date for sales event and door-to-door Asked Village Chief to invite people with and without latrines Step 2: Presentation: Arrived on time and with all needed materials Delivered full introduction (introduced themselves, the Enterprise they represent, and the topic) Which of the negative aspects of open defecation did the Sales Agent talk about (select all that apply): Convenience Safety Privacy Health Other (list): None (check this box if this step was not completed) Asked for positive experience testimonials from latrine owners Addressed the following objections: Cost (much cheaper than you think) Subsidy/free latrine (may not ever come, or may not come for many years) Other (list): None (check this box if this step was not completed) Mentioned the following benefits (select all that apply): Earn respect from your neighbors for caring about the cleanliness of the community Modern pour-flush design has no smell and is used in cities Tiles are easy to clean and beautiful Home delivery reduces time and money spent on transport Building their own superstructure allows them to upgrade over time Produced by a trusted concrete manufacturer and designed by engineers so you know the product is safe for your family and will last many years 86

87 Other (list): None (check this box if this step was not completed) LATRINE BUSINESS MONTHLY SALES REPORT Enterprise Name: Monthly Sales Report District: Date: Latrine Type New orders in this month Delivered this month Canceled Total paid full Total unpaid Current stock With tile Without tile 4 ring 3 ring 4 ring 3 ring 87

88 ENTERPRISE ORDER TRACKING FORM SanMark Order Tracking Form Enterprise name: Tile No Tile No. District Village Customer name Tel 4 Ring 3 Ring 4 Ring 3 Ring Install Delivery Total Cost Deposit Balance Req delivery Date delivered Payment Status 88

89 Total latrines Total Cash collected Enterprise Signature 89

90 CASH FLOW RECORD Daily Cash Record Cash IN Date Cash received from latrine sales Cash OUT for Latrine Business Cement Sand Steel bars Tile Labor Water Fuel Commissions Promo materials Interest/loan repayment Other Total Cash OUT Cash Remaining Mon Tue Wed Thurs Fri Sat Sun Week Total 90

91 Monthly Cash Record Week Week 2 Week 3 Week 4 Week 5 Month Total Cash IN Cash received from latrine sales Date Cement Sand Steel bars Tile Labor Water Fuel Commissions Promo materials Interest/loan repayment Other Total Cash OUT Cash Remaining 9

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93 LATRINE ORDER FORM Latrine Order Form Order number: Enterprise name:.. Village:.. Sales Agent name:. Customer name:. Village:.. Date: Tel: District:. Tel: Tel: Unit:... Photo of product Name Price/Unit Number of Units Total Cover with tile including 4 rings 440,000 kip Cover without tile including 4 rings 380,000 kip Cover with tile including 3 rings 400,000 kip Cover without tile including 3 rings 340,000 kip Installation 50,000 kip 93