7 Must-Have Functional Competencies for MSD Professionals


As MSD practitioners, we need to possess three types of competencies to be considered competent in our work: behavioural, functional, and professional. Practical or technical competence refers to our ability to perform our work responsibilities.

 Our work as MSD practitioners involves bringing about behavioural changes that lead to systemic change.

 Essentially, we are like conductors who facilitate relationships between all the instruments in an orchestra to create a system change. To do this, we need the technical skills to determine how each instrument can be used independently or collaboratively to generate the systemic sound we are mandated to make happen. Functional competence is the ability to do this effectively and in various contexts.

 As we rate ourselves in these competencies, we should consider the differences between having knowledge, skill or competencies of these concepts.

 Where knowledge is being trained and never applied, skill is the ability to use, and competence is the repeated demonstration of the skill in various contexts.

 The following are some of the many functional competencies we must have to be considered competent MSD practitioners;

1.     The market systems development approach

This involves using various frameworks and tools to achieve intervention objectives. The guidebook for this approach includes diagnostic tools, program and intervention strategy tools, partnership tools, will and skill tools, and many more. To be effective in this approach, an MSD professional must have the knowledge and skill to apply these tools independently and collectively. This functional competence is critical to achieving intervention objectives. 

2.     Context Analysis

It's essential to analyse how people and their surroundings interact and how this interaction affects the decisions made by various stakeholders. Considering how this context involves the frameworks and tools used in the MSD approach guidelines is also essential. This analysis helps us understand the dynamism of people and their surroundings and how it relates to the program or intervention objectives.

3.     Investment Analysis

Market Systems Development (MSD) professionals need to possess the competence to present a convincing value proposition to private sector participants. Acquiring this competence demands a comprehensive knowledge of investment analysis. This includes understanding the required investment, duration of investment, expected value, influence on business operations, effect on company finances and resources, and how it aligns with the strategic direction of the business. Having this expertise ensures effective engagement with the private sector.

4.     Pitching

This competency is an extension of the investment analysis competence. An MSD practitioner must be able to convert investment analysis into an investment story that can be shared with potential investors. This competency includes both written and oral communication competence. The competent practitioner should be able to convey tailored stories in writing and speech. The delivery of these stories is not only to private sector actors but also to participants, beneficiaries, government officials, and other stakeholders. The primary goal of the practitioner is to bring about a behaviour change. Therefore, the professional must be able to create collaterals that can persuade.

5.     Persuasive Skills

One of the critical competencies for a practitioner in MSD (Market Systems Development) is acquiring the necessary skills and tools to persuade colleagues, partners, and donors effectively. This competency stems from being able to understand complex ideas, simplify them to make them accessible, and tailor them to the audience in a way that is relatable and leads to a change in behaviour and understanding. This competence is often overlooked but is a crucial competence that practitioners should develop.   

6.     Intellectual Flexibility

This nuanced competence cannot be measured as a skill or knowledge. Instead, it is an attitude that involves appreciating different perspectives and having the ability to change one's position when presented with superior logic or evidence. This challenging competence is often considered a behavioural trait, but I believe it is a core competence that depends on one's cognitive development. While it may be controversial, it is an essential competence for achieving a program's mandate or intervention objective.

7.     Cross-function Competence

As an MSD practitioner, it is essential to have good cross-functional competence. This means having the ability to understand and collaborate effectively with other functions within a program. A competent practitioner should understand the core principles of functions such as M&E, gender mainstreaming, environment, WASH, and others. Additionally, a qualified practitioner should be able to manage resources efficiently, whether human or non-human. Having excellent administration and reporting skills is also crucial. A practitioner can be regarded as competent in their field by possessing these competencies.

To be considered competent in Market Systems Development (MSD), a practitioner must possess seven specific competencies. It is recommended to map these competencies in a wheel of competence to determine the current level of each competency and create a competence development plan to improve the level of each competency.

I would appreciate it if you could add competencies I may have left out, but please consider the differences between knowledge, skill and competence when you suggest other competencies.