'Capacity building' is a key strategy in IF's support for local organisations. However, 'capacity building' is an often overused and poorly understood term. It also provides a good example of the divide between development rhetoric and practice (i.e. what is said and what is done), a common concern. So what is it? IF believes capacity building should ensure the capacities of the poor and marginalized are acknowledged and strengthened so that they can meet their own needs and aspirations. More specifically, we see it as an:

Approach to development, which enhances the ability of people (and the groups and organisations within which they work) to analyse, manage and improve their lives.

It is how you 'do' development. With this definition, both the process and the result are of equal importance. It means ensuring participatory action-learning takes place, that people are given the opportunity and responsibility to use their skills, and that the opinions, values, working systems and culture of those we work with are respected. It requires international stakeholders (in particular) to listen and respond to local direction, and not feel threatened by local communities taking the lead. Thus, it is through our approach to development that we aim to work towards increasing the capacity of the Not for Profit organisations (NFPs) we support.

Objective that, if achieved, will:

a) assist local organisations to deliver quality services to their communities and

b) allow IF to withdraw its support over a reasonable time with minimum disturbance. This means IF must work to 'do itself out of job'. If we can exit a community and the NFP can continue to improve their community's lives independently by using local resources (human and financial) then capacity will have been built.

Capacity building is more than training for individuals. It is not a 'mechanistic resource-transfer… [but requires] a systemic understanding of, and approach to change. A systemic approach to aid and development seeks to strengthen organizational and relational capacities of the state, civil society and the private sector, to create conditions that better facilitate poverty reduction and sustainable development.' 1

A systems approach recognises that development must operate on a number of interconnecting levels. Therefore, IF works to enhance capacity through:

• Individuals
• Organisations
• Networks

This approach aims to create a depth of knowledge, skills and relationships within a community that strengthens and sustains its development responses.