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New public management

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Page 1: New public management
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Our Group Members… E.Kushan Sri Lanka

2015-05-05

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Introduction…In the late 1980s, yet another generation of Public

Administration theories Began to displace the last.

The new theory, which came to be called… “NEW PUBLIC MANAGEMENT” Was proposed by David Osborne & Ted Geabler in

there book Reinventing Government.

The new model advocated the use of private sector-style models, organizational ideas & values to improve the efficiency & service orientation of the public sector.

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New Public Management refers to a cluster of contemporary ideas and practices that seek, at their core, to use private sector and business approaches in the public sector.

While, as we have seen, there have long been calls to….

“run government like a business;

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The Root of New Public Management.

1. An Old Paradigm in Gradual Disarray: 1970s and early 1980s.

2. Political and Economic Changes to old order.

3. Force of new ideas and ideology.

4. Emergence of a new paradigm.

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The Old Paradigm and ItsShort comings.

Single, Integrated, Hierarchical Civil Service means delay, inflexibility.

Overly bureaucratic structure and culture... Primary responsibility to Ministers alone.

State-owned monopolies stifle private initiative. Results are Overload, Over-reach, Decline of

trust.

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Fiscal Crisis: Demands for government spending not matched by revenue growth.

Globalization: New pressures of competitiveness on both private and public sectors.

New technologies transform workplaces.

Budget-Maximizing Bureaucrats.

Managerialism: erasing the private/public distinction.

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Main Features of NPMBased on New institutional economic theory.

Efficiency orientation; Use of markets, competition, contracts and privatization.

But also based o management theory; “let or make the managers manage”Combination of centralization & autonomy.

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Over the past couple of decades, the New Public Management has literally swept the nation and the world.

As a result, a number of highly positive changes have been implemented in the public sector.

New public management (NPM), management techniques and practices drawn mainly from the private sector, is increasingly seen as a global phenomenon.

The New Public Management Approach and Crisis States

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New Zealand public management model and accountability: systems evolution

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NPM reforms shift the emphasis from traditional public administration to public management.

NPM reforms have been driven by a combination of economic, social, political and technological factors.

A common feature of countries going down the NPM route has been the experience of economic and fiscal crises, which triggered the QUEST for efficiency and for ways to cut the cost of delivering public services.

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Role of the NPM

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Most of developing countries, reforms in public administration and management have been driven more by external pressures and have taken place in the context of structural adjustment programmes.

Other drivers of NPM-type reforms include the ascendancy of new liberal ideas from the late 1970s, the development of information technology, and the growth and use of international management consultants as advisors on reforms

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Additional factors, in the case of developing countries, include lending conditionality and the increasing emphasis on good governance.

Autonomous agencies within the public sector are being created in some countries.

Examples include autonomous hospitals in Ghana, Zimbabwe and Sri Lanka, as well as the hiving-off of the customs and excise, and internal revenue departments to form executive agencies in Ghana and Uganda.

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References1- http://www.ssc.govt.nz/node/5579

2- Publication and ordering detailsPub. Date: 1 Sep 1999Pub. Place: GenevaISSN: 1012-6511From: UNRISD

3- Author(s): George A. LarbiProgramme Area: GovernanceCode: DP112Project Title: Public Sector Reform and Crisis-Ridden StatesNo. of Pages: 65

4-http://www.unrisd.org/80256B3C005BCCF9/(httpPublications)/5F280B19C6125F4380256B6600448FDB

5- The Book of THE NEW PUBLIC SERVICE; JANET V. DENHARDT AND ROBERT DENHARDT