IDAP – Inclusive Digital Transformation Acceleration Ecosystem for MSMEs

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Inclusive Digital Acceleration Program (IDAP)

What is IDAP?

The Inclusive Digital Acceleration Program (IDAP) is a project aimed at strengthening an inclusive digital transformation ecosystem for micro, small, and medium-sized enterprises (MSMEs), with a focus on agriculture and tourism in the provinces of Lao Cai and Son La, Vietnam.

The project is implemented by KisStartup Joint Stock Company as the lead implementing partner, under the framework of the project “Promoting Gender Equality through Improved Economic Efficiency of Agricultural Production and Tourism Development in Lao Cai and Son La (GREAT)”. GREAT is an initiative funded by the Australian Government and managed by Cowater International, implemented during the 2022–2027 period with a total budget of AUD 67.4 million.

IDAP is implemented from 2024 to 2027, with the objective not only of supporting individual enterprises, but of building a digital transformation ecosystem that is self-sustaining, delivers long-term impact, and ensures inclusiveness.

Why was IDAP created?

Digital transformation in Vietnam is advancing rapidly, driven by national policy direction, the growth of e-commerce, and increasing access to digital technologies among the population. However, in mountainous provinces such as Lao Cai and Son La, the transformation process still faces significant barriers.

Most micro, small, and medium-sized enterprises lack the strategic mindset, knowledge, and skills required to implement digital transformation effectively. Digital transformation is often understood simply as adopting tools or joining digital platforms, rather than as a process linked to business model innovation and human capability development. At the same time, connections among ecosystem actors - businesses, educational institutions, service providers, and support organizations—remain fragmented, limiting the sustainability of digital transformation efforts.

For vulnerable groups such as women, ethnic minority women, and persons with disabilities, barriers related to access to information, skills, and resources increase the risk of being left behind in the digital transition.

IDAP was designed to address these challenges through an ecosystem and market systems approach, viewing digital transformation as a comprehensive process of upgrading business capabilities and fostering local economic development.

The practical foundation of IDAP: from digital business acceleration (DAP) to ecosystem development
IDAP’s approach is grounded in KisStartup’s practical experience since 2020. During the COVID-19 crisis, KisStartup piloted digital business acceleration programs to help enterprises adapt and remain operational. These experiences demonstrated that digital tools only generate impact when combined with changes in mindset, business models, and team capabilities.

Rather than focusing solely on platform adoption or tool usage, KisStartup supported enterprises in redesigning business models, strengthening human resources, redefining market approaches, and using digital tools as part of an integrated strategy. Many participating enterprises not only survived the crisis but achieved significant revenue growth through online channels.

The DAP approach: evidence-based and results-driven
IDAP builds on KisStartup’s long-term implementation results rather than on theory alone.
Between 2020 and 2023, KisStartup designed and implemented the Digital Acceleration Program (DAP) for enterprises, cooperatives, and household businesses. Over three years, five intensive DAP cohorts were delivered, combining training, hands-on coaching, and direct market experimentation.

The outcomes of DAP form a critical foundation for IDAP’s approach:

All participating enterprises and cooperatives transformed their business models, shifting from traditional operations to more market-responsive digital business models. 100% recorded revenue growth, not only during the program but also sustained afterward.
Within just 10 weeks of implementation across five DAP cohorts, total online revenue exceeded VND 7.2 billion. On average, each participating enterprise or cooperative achieved 300–500% revenue growth compared to pre-program levels.

More importantly, participants did not remain dependent on external support. Many enterprises and cooperatives independently developed digital business strategies, content, and stable online revenue streams. Several began adopting software for internal management, progressively standardizing operations. Some enterprises successfully expanded into export markets, leveraging their initial digital business foundations.

These results confirm that digital transformation creates real impact only when integrated with business model innovation, human capacity development, and real market engagement. This evidence-based approach enabled KisStartup to scale from accelerating individual enterprises to building an inclusive digital transformation ecosystem through IDAP in Lao Cai and Son La.

These results were further strengthened through international cooperation projects and formed the basis for KisStartup’s implementation of GREAT Phase 1 in Lao Cai and Son La. The success of GREAT 1 laid the foundation for IDAP as the ecosystem development phase of GREAT 2.

How does IDAP approach digital transformation?

Under IDAP, digital transformation is not viewed as isolated digitization, but as the use of data and digital technologies to fundamentally change how enterprises and organizations create value. The project focuses on the digital economy, linking digital transformation to growth, markets, and livelihoods.
Enterprise digital transformation is understood as a flexible journey involving mindset shifts, strategy development, digital capability building, appropriate technology selection, and gradual adjustments to business models and operations. These steps are not linear, but adapted to each enterprise’s context and readiness.
Crucially, IDAP treats digital transformation as a collective ecosystem effort, where enterprises, universities, service providers, support organizations, and local authorities interact to generate inclusive impact.

Key interventions under IDAP

IDAP focuses on strengthening the entire ecosystem in Lao Cai and Son La, with MSMEs at the center. The project enhances digital transformation capacity among enterprises while simultaneously building capacity for local universities and colleges, technical service providers, and digital human resource suppliers.
Through training, coaching, networking, and real-world experimentation, IDAP fosters the development of a local digital services market, enabling locally rooted service providers to sustainably support enterprises even after the project concludes.

In parallel, IDAP serves as a bridge between local ecosystems and national and international ecosystems, opening opportunities for collaboration, investment, and long-term development.

Expected impact and outcomes

IDAP aims to deliver deep and sustainable change. MSMEs—particularly women-led enterprises—strengthen their digital transformation capacity and increase revenues. Women, ethnic minority women, and persons with disabilities gain confidence in applying digital technologies to production and business activities.
Local universities and colleges progressively integrate digital transformation into training and education, supplying basic technical services and human resources to enterprises. At the same time, local digital service providers emerge and improve in quality, contributing to the formation of a self-sustaining ecosystem.

Project information
IDAP is implemented in Lao Cai and Son La from 2024 to 2027, with KisStartup as the lead implementing partner and funding provided by the Australian Government through the GREAT Project. The intervention focuses on agriculture and tourism, targeting MSMEs, universities and colleges, service providers, and business support organizations at the local level.

Project website: https://www.idapvietnam.com
Fanpage: https://www.facebook.com/idapvietnam