PSE Process Analysis for USAID

USAID has been a leader in private sector engagement (PSE) within the development sector. This wealth of experience informs current USAID practices and processes when engaging the private sector (PS) and is the foundation for the PSE Policy. Through its PSE Policy, USAID has taken a strategic approach to consult, strategize, align, collaborate, and implement with the PS to achieve greater scale, sustainability, and effectiveness of development or humanitarian outcomes. However, despite an existing body of evidence on PSE practices and effects of PSE approaches, critical gaps remain in understanding how to most effectively engage with the PS to achieve and sustain results. To better understand USAID’s PSE processes and potential bottlenecks, in 2018 the Center for Transformational Partnerships (Lab/CTP, now DDI/PSE Hub) funded the LASER PULSE program to conduct USAID’s PSE Process Analysis to address the questions in their PSE Learning and Evidence Plan. The overall purpose of this research is to help USAID understand process bottlenecks that may limit them from being ‘Partner of Choice’ for the private sector.

Read the full executive summary here.