Glossary The Development Management Networking Site

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    Glossary of terms for Development Management

    F

    Note: Within each definition, terms for which there are definitions elsewhere are highlighted.

    Facilitator

    A person responsible for the procedure and process of an event, e.g. a workshop, a meeting. In development (e.g. in planning) usually an external person with no stake in the issue at hand. The facilitator is responsible for how an event proceeds, not for the content. Facilitators often make use of visualisation techniques for tracking discussion and for documentation, e.g. the Metaplan, mind-mapping.

    Factor costs

    Factors of production are usually labour, land, capital on land, and capital. Factor costs involve the investment cost (these costs are related to the production volume and revenues of a numbers of years) in the form of depreciation.

    For small-scale (family-type) enterprises one needs to distinguish between: (1) factor costs for externally bought factors of production (e.g. wages for hired labour, interests for credits, rents for buildings or lands) and (2) factor costs for contributions of the entrepreneur and his family which are usually not paid for in terms of wages, interest or rent payments, but which are expected to be covered by the balance between revenue and external costs, the so-called "gross margin".

    see also Gross margin calculation, Input costs, Investment costs

    Feasibility

    The degree to which something is able to be done, or in the economic sense profitable. Used in feasibility criteria.

    see also Viability

    Financial analysis

    A type of economic appraisal showing whether a certain investment or activity is financially feasible, i.e. whether at any point in time the money will be available to continue the activity. The relevant terms of analysis are: revenue and expenditure.

    see also Economic analysis, Micro-economic analysis, Macro-economic analysis.

    First World

    see Developed countries

    Frame conditions

    Frame conditions constitute the environment in which a development project or -programme operates. They produce situations which are either conducive to the achievement of objectives, or - and this is mostly the case - which are adverse, and ways have to be found to deal with them adequately.

    Frame conditions which may reflect the reality of developing countries (in each case with differing intensity and differing variations), and which cannot easily be influenced by actors on the level of a development project or -programme, are: ecological frame conditions (e.g. limited or even diminishing potential in usable natural resources (land, water etc.)), economic frame conditions (e.g. limited sales markets for increased production, foreign exchange bottlenecks, high level of foreign debt.), political - institutional frame conditions (e.g. limited flexibility of state administration as regular service institution) and socio-cultural frame conditions (e.g. care of social and client relationships has high importance). What constitutes a frame condition in a given situation depends on the level of system under consideration: for a project in a community the actions (or inaction) of service providers represent frame conditions; whereas for a capacity building project with service providers this is the object of influencing change.

    see also Assumptions

    Functional principle (approach)

    see Development from above / Development from below

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