With support from the European Union (EU), under its Regional Private Sector Development Programme (III), the Caribbean Export Development Agency is initiating efforts to support the digital transformation of micro, small, and medium enterprises (MSMEs) in the Caribbean.
The Caribbean Export Development Agency (Caribbean Export) leads private sector development programmes across the Caribbean through the provision of innovative, targeted initiatives designed to increase Caribbean business growth, sustainability and job creation.
In recent years, especially following the COVID-19 pandemic, digital transformation has emerged as a critical pillar for business resilience and growth worldwide. The pandemic underscored the importance of digital technology in maintaining business continuity, as businesses with digital capabilities were better able to pivot to online platforms, remote work, and digital sales channels. In fact, an October 2020 survey of business executives, conducted by McKinsey & Company, found that just a few months into the pandemic, there was a marked acceleration in the projection of digital technology adoption. The average share of customer interactions that became digital increased by over 20 percent in 2020 with North America seeing an accelerated adoption rate of 65 percent compared to 41 percent in the previous year. This trend was echoed with similar results in the European and Asia-Pacific regions as well (53 percent and 55 percent respectively). This same survey noted that the pandemic saw a shift in the offerings of products characterised by marked increase in the average share of products and/or services that became partially or fully digitized (55 percent in 2020 as compared to 35 percent in 2019). Again, North America led the way with 60 percent followed by Asia-Pacific and Europe with 54 percent and 50 percent, respectively.
Proactive responses to the pandemic led to global changes in areas such as increased use of advanced technologies in operations and business decision-making, with an acceleration factor of 25. The survey noted that companies expected it to take well over 600 days to respond to these changes but responded in 25 days to implement the necessary changes. The area of business that saw the highest acceleration factor was around increased remote working and/or collaboration. Globally, companies expected it to take 454 days to adjust and implement changes, however, the study revealed companies took just 10.5 days, an acceleration factor of 43.
Other areas saw significant acceleration in implementing digital technology measures to adjust to pandemic such as increased migration of assets to the cloud and increased spending on data security, both of which saw an acceleration factor of 24 and 19 respectively.
Whilst globally the pandemic has shown evidence that points to an uptake in digital inclusion, adoption and overall transformation, the Caribbean has lagged behind. ECLAC’s report, Digital inclusion in Caribbean digital transformation frameworks and initiatives: A Review, concluded that digital inclusion was not yet a priority in the eleven (11) Caribbean states of interest. It also noted that few countries have digital transformation frameworks in place. In fact, the research highlights that data on digital transformation in the Caribbean is severely lacking such that the true extent of Caribbean digital transformation is unclear at best. What has been noted however, is that where digital transformation has taken place in the Caribbean, it has done so at the public administration level with some Caribbean states putting emphasis on e-government. One of its recommendations, upskilling Caribbean people in ICT, noted that training is paramount to the success of any digital transformation initiative.
With the noticeable global shift favoring digital transformation and the Caribbean’s inability to be early adopters of digital transformation tools and processes, there needs to be a concerted effort to build the knowledge capacity and implementation of digital transformation in the Caribbean private sector where small and medium enterprises (SMEs) form the backbone of the economy. Even well before the pandemic, early digitization was touted to have significant impact on productivity and job creation in the Latin American and Caribbean region. According to Strategy&, a PwC partner, digitization was estimated to provide an additional $USD27 billion to the LAC economy and create over 600,000 new jobs in 2011.
Caribbean SMEs face several barriers to digital transformation, including limited digital literacy, lack of access to affordable digital tools, inadequate connectivity in some regions, and difficulties in financing technology investments. Moreover, regulatory frameworks in the region have struggled to keep pace with the rapid evolution of digital technologies, further complicating the path to digital adoption for many businesses. The Caribbean Digital Transformation Masterclass directly addresses these challenges by providing businesses with practical skills and insights to navigate the digital landscape.
However, Caribbean Export understands that digital transformation is not a one-time process but a continuous journey. This is why the masterclass works in conjunction with other strategic initiatives, such as the Caribbean Digital Transformation Institute (CDTI) Check-Up Project. As a requirement, all participants of the masterclass must complete the CDTI Check-Up, a diagnostic tool that assesses their digital readiness and identifies key areas for improvement. This check-up ensures that businesses entering the masterclass have a clear understanding of their digital gaps and are prepared to work on specific solutions during the workshop.
Hence, the initiative aims to enhance the resilience and competitiveness of Caribbean MSMEs, in the post-COVID digital economy. By leveraging its expertise and extensive network, Caribbean Export is committed to ensuring that the objectives are achieved, thereby fostering sustainable digital transformation across the Caribbean.
The contracting authority for this assignment is the Caribbean Export Development Agency (hereinafter Caribbean Export/the Agency).
The primary beneficiary of this this project is the private sector of Trinidad & Tobago.
The overall objective of this initiative is to empower Caribbean SMEs with the knowledge, skills, and tools necessary to actively participate in the digital transformation process, enabling them to enhance their operational efficiency, competitiveness, and achieve long-term sustainability in the global market. This initiative aims to increase the number of SMEs that successfully adopt and implement digital strategies, fostering innovation, growth, and resilience across the Caribbean region measured by an increase in their digital maturity scored using Caribbean Export’s Digital Maturity Check-Up Tool.
The specific objectives of the Consultancy are:
The scope of works for this consultancy are:
in-person workshops across key thematic areas including but not limited to: Cloud Tools for Business Efficiency, Digital Payments, AI and Data Analytics for Decision Making E-Commerce, Digital Marketing, Digital Sales Strategies, Improved Customer Experience using Digital Tools, Cybersecurity and Digital Risk Management. Develop individual digital transformation gap analysis and implantation roadmap for each participating SME.
The consulting firm will be responsible for the delivery of the following
Deliverable 1: Inception Report and Draft Work Plan within 2 weeks of contract signing
Deliverable 2:
Deliverable 3: Execution of 5-Day Digital Masterclass Event. This entails, but is not limited to the following:
Deliverable 4: Submission of Post-Masterclass Analysis Report to include, but not limited to the following:
Every deliverable must be presented to and reviewed by the Caribbean Export team, and recommendations made need to be addressed to the satisfaction of the parties before payment of the deliverable.
Six months, with payment based on deliverables.
Trinidad & Tobago.
To apply, please download the full Terms of Reference (TOR) and submit the required documentation:
Applicants should submit documents to Jonathan Seecharan, Innovation and Digital Business Officer at jseecharan@carib-export.com, copied to Wayne Elliott, Manager – Technical Programmes, at welliott@carib-export.com.
Jonathan Seecharan, Innovation and Digital Business Officer
Email: jseecharan@carib-export.com,
Copy to:
Wayne Elliott, Manager – Technical Programmes,
email: welliott@carib-export.com.