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What LSDP represents?
The outline of the Supplier Development Programme
Local Supplier Development Program (LSDP)

The overall objective of the Local Supplier Development Program (LSDP) is to increase the competiveness of suppliers from the Republic of Moldova up to a level making them eligible as suppliers to multinational companies (MNC) inward investors in the automotive sector of Moldova.
• Increase quality, organizational, operational etc. standards of local suppliers;
• Foster partnerships and business ties between local suppliers and MNCs;
• Provide supplier information to MNCs and other potential clients – gather and disseminate information about suppliers in the local industries.

Establish a database with potential local suppliers

The Local Supplier Development Program is open to:
  • Local companies, regardless of size, potential suppliers of direct and indirect components, services for multinational companies (MNCs) investing in the automotive sector of the Republic of Moldova.
  • Foreign and mixt capital companies, regardless of size, which have invested in the Republic of Moldova and intend to supply direct, indirect components and/or service to multinational companies (MNCs) from the automotive sector of the Republic of Moldova.
The database will be available on the Program’s website and will help foreign investors in identifying potential partners (suppliers) from among companies in the Republic of Moldova.

Selection of companies for the Program

Based on their potential to supply products and/or services to multinational companies investing in the automotive sector of the Republic of Moldova, but also on their interest in the Program, a group of approximately 50 companies-potential suppliers will be selected to be provided with technical assistance and support (in areas such as technology and quality management, organizational management, production organization, business planning, finance, accounting, marketing, human resources management, etc.), to make them eligible as component/service suppliers for multinational companies investing in the automotive sector of the Republic of Moldova.

First company evaluation

Evaluation of companies participating in the Program based on the EFQM audit methodology (https://www.efqm.org/index.php/efqm-model/). The evaluation will focus on the areas of performance of the highest importance for meeting the requirements of the MNCs and will identify the competences, practices and processes to be improved, so that the companies can deliver products/services to the MNCs.

Implementation of short-term action plans

Based on the results of the audit (first evaluation), short-term corporate action plans will be developed (from 6 to 8 months). These will include actions and measures to be performed by the participating companies in the areas identified by the audit, in order to raise them to the standards required by the MNCs and to review the way forward for the business of these companies. In parallel, the Program will ensure a series of workshops and other forms of technical assistance for participating companies, focusing on the key areas of improvement identified following the business review, to help companies implement their short-term action plans.

Control evaluation

Evaluation of the results of the implementation of short-term corporate action plans, to determine to what extent the recommendations resulted from the first evaluation were met and to select, based on the results of this evaluation, the best companies for the intensive support phase (approximately 20-25 companies).

Implementation of detailed action plans

(intensive support phase)

The purpose of the intensive support phase is to provide the participating companies with the information and skills necessary to meet the MNC requirements and to establish more contracts with higher value added. This will be achieved through the provision of individually tailored and targeted 1:1 support, by appointing an individual team of mentors/consultants for each company, consisting of a leading consultant – EU expert and a local independent consultant. These consultants will assist the participating companies in the implementation of a detailed action plan, resulting from the control evaluation.

Create business opportunities

The purpose of this stage is to connect the companies from the Program to potential customers and partners through direct contacts or events such as “Meet the buyer”, “Supplier of the Year”, “Automotive Cluster Days”, etc.
Program budget : 25,885 milion MDL
Duration of the Program : 24 months
Implementing organization : Free Economic Zone ”Bălți”
Contact information: www.interconectare.md
[email protected]
tel.: 060134555

Benefits of the Program

For local suppliers:

  • Improved access to clients/markets, technology transfer
  • Better financial potential for
  • Perspectives for internationalization

For multinational companies inward investors:

  • Shorter supply chains
  • Cost savings
  • Potential partnerships for product development
  • More flexible suppliers