Skills Transfer Capacity building encompasses a broad range of improvements to the human, economic, scientific, and community resources that allow a country, usually a developing country, to evaluate and act upon crucial problems related to its development, such as poverty. Skills transfer is a subset of capacity building, and refers to the transfer of competencies from one person or group of people, usually from a developed country, to another, usually within a developing country.
There are many different types of capacity-building efforts, primarily determined by the community, group or organisation involved in the efforts. Those efforts include training, human-resource management, organisational development, the strengthening of communities and social networks, conducting research and coordinating alliances.
Capacity building is generally carried out by intergovernmental organisations, such as UNDP, private sector consulting firms and non-governmental organisations (NGOs). Irrespective of the processes and strategies used to build capacity, this term can be applied to interventions that have changed an organisation’s or community's ability to address development issues by creating new structures, approaches and/or values.