New Public Managemen_summary

7/31/2019 New Public Managemen_summary

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New Public

Management


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Day One, Session Four, pm.

NPM as an ideology

Legitimating NPM

Clarke & Newman, 1997, argue that the New Right havepushed NPM as better than other systems

The New Right argument

Bureaucracy is: rule bound, inward looking, compliancecentre, ossified.

Management is: innovative, externally oriented,performance centred, dynamic

Professional is: paternalist, mystique ridden, standardoriented, self regulating.

Management is: customer centred, transparent, resultsoriented, market tested.

Clarke & Newman, 1997, page 65


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NPM - Christopher Hood

One of the first writers to use the term NPM

Linked it to the Thatcherite drive with the three Es:Economy, Effectiveness, Efficiency.

Central Doctrines Focus on management, not policy

Break-up of public bureaucracies

Contracting out

Competition Monetary incentives


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Pollit, Christopher

Also concerned with the weaknesses inNPM

He wrote of its preoccupation with simply

traditional and classical approaches But Pollit recognised that the growth of

managerialism in the public sectorbegan pre Thatcher, under Wilson andHeath


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The argument for NPM

Most entrepreneurial governments promotecompetition between service providers. Theyempower citizens by pushing control out ofbureaucracy into the community. They measure

performance of their agenciesThey are driven bygoalsnot by rules. They redefine their clients ascustomers and offer them choices.

Osbourne & Gaebler, 1992, p.20

Osbourne & Gaebler advocated a theory in theUSA called Reinventing Government. It was veryinfluential and is similar in characteristics to theNPM.


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Conclusions on NPM

Hughes (1998) states the following weaknesses ofNPM: its economic base, private sectorbackground, neo taylorism, politicalisation ofbureaucracy, reduced accountability,

implementation, abstract concepts.But he also says: the old model did not work

anymore. p.20

As a consequence we can see a trend towardsmajor social contradictions and conflicts beingexperienced at the front line of service delivery.Clarke & Newman, p.159

The Conservatives succeeded in redrawing theboundaries of the state, substituting markets for

politics in the allocation of resources andmodelling the remaining public sector on private


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Reinventing Government the New PublicManagement


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Reinvention

An effort to improve quality andproductivity

Requires increased entrepreneurship

An entrepreneurial government is...

Streamlined

Flexible

Responsive


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Principles of a reinventedGovernment

Catalytic steer (recognize options) dont row (singleobjective)

Community-owned (empower, dont just serve)

Competitive with private enterprise

Mission- and customer-driven, results oriented

Anticipatory (prevent, dont cure)

Decentralized (participation and teamwork)

Market-oriented


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Issues

Do the differences between the goals of businesses andgovernment agencies create fundamentally differentincentives?

Should market forces drive public organizations? Should economic principles be paramount?

Is administrative efficiency an appropriate goal?

Measuring productivity
http://www.whitehouse.gov/omb/


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Federal productivityprograms

OMB Office of Management and Budget (Executive Office of

the President)

Goals:

Improve Federal financial management

Reduce fraud, waste and abuse

Privatize where possible

Encourage use of new technologies
http://www.whitehouse.gov/omb/http://www.whitehouse.gov/omb/http://www.whitehouse.gov/omb/http://www.whitehouse.gov/omb/http://govinfo.library.unt.edu/npr/


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1993 GPRA Government Performance

National Performance Review and National Partnershipfor Reinventing Government

Cut red tape, reduce size of Federal government, putcustomers first and empower employees

Federal agencies had to: Develop strategic plans and measures of

performance Produce annual performance plans and reports

(1998 GAO evaluation of agency compliance -

Justice Dept. example) One thing that was accomplished the Federal workforce

was reduced by more than 300,000 employees
http://govinfo.library.unt.edu/npr/http://www.gao.gov/new.items/gpra/gg98134r.pdfhttp://www.gao.gov/new.items/gpra/gg98134r.pdfhttp://www.gao.gov/new.items/gpra/gg98134r.pdfhttp://govinfo.library.unt.edu/npr/http://govinfo.library.unt.edu/npr/


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Quality of life issues

Compensation

Working conditions

Worker opportunity for growth

Autonomy Responsibility

Authority

Social relevance Balancing personal life


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Job Enrichment

Better performance through:

Task diversity

Autonomy

Clear feedback on performance

Methods

Expanded work / team work

Vertical loading (devolve managementresponsibilities to workers)


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Result: The newmanagement

Some common precepts and buzzwords:

Clearly defined goals and objectives

Simple structure, lean staff

Precise measures of output

Just in time

Loose and tight: central direction coexists with individualautonomy

Stick to what you know- avoid excessive diversification Customer service / customer orientation

Employee empowerment - those closest to the task should knowthe most


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Techniques to implement thenew management fads or

helpful tools?

Management by Objectives (MBO)

Quality Circles

Organization Development (OD)

Total Quality Management (TQM)


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Management by Objectives

Top develops broad goals

Rest of organization develops objectives and sets performance

criteria

Performance criteria can be amount of work, quality ofwork, effectiveness of work, timely completion, and costs

Requires lots of time, effort and paperwork to implement

May be a sneaky way to ramp up production

Best applicable when output is quantifiable Application can promote cynicism throughout the workplace


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Quality circles

Small groups that meet to identify and solve workplaceissues

Requires support of top management

Care not to cut out middle managers(recommendations still go through chain)

Requires training group members in decision-makingtechniques

Groups may ask for resources that are unavailable Results may not benefit the employers bottom line


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Total Quality Management(TQM)

Emphasis on quality service, customer orientation and

program excellence

Employee involvement

Enhanced communications

Standards and measures

Extensive training and recognition


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Difficulties in implementation Resistance to change and to participatory management

Lack of funding

Lack of knowledge

Personnel regulations

Lack of attention and support from senior managers

Like psychoanalysis feels good but absence ofmeasurable gains over the short term


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Benchmarking and BestPractices

Survey experts and academics to identify like agencies

and programs with excellent reputations

Visit them examine how they work

Input-process-output

Work processes, personnel practices, performance standards

and measures

Develop benchmarks for local use

So obvious it may not require management experts

Same solutions not applicable everywhere

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