1 / 17

Public Management Reform in the OECD countries

Public Management Reform in the OECD countries. Nick Manning Manager Sector PREM - Latin America and Caribbean – Public Sector unit September 10 th , 2008. Reforming Public Management in OECD countries. General Government Expenditure as Percent of GDP in OECD, 1870-2005. Thailand: 19.78.

lundy
Download Presentation

Public Management Reform in the OECD countries

An Image/Link below is provided (as is) to download presentation Download Policy: Content on the Website is provided to you AS IS for your information and personal use and may not be sold / licensed / shared on other websites without getting consent from its author. Content is provided to you AS IS for your information and personal use only. Download presentation by click this link. While downloading, if for some reason you are not able to download a presentation, the publisher may have deleted the file from their server. During download, if you can't get a presentation, the file might be deleted by the publisher.

E N D

Presentation Transcript


  1. Public Management Reform in the OECD countries Nick Manning Manager Sector PREM - Latin America and Caribbean – Public Sector unit September 10th, 2008

  2. Reforming Public Management in OECD countries General Government Expenditure as Percent of GDP in OECD, 1870-2005 Thailand: 19.78 Source: 1870-1990: (World Bank: 1997), Figures 1 and 1.2; 1995-2005: OECD.Stat - National Accounts, and Clements, Faircloth, and Verhoeven: 2007, Figure 2; IMF, Governemnt Finalcial Statistics: 2008.

  3. Reforming Public Management in OECD countries Confidence in the Civil Service in OECD countries Confidence in the civil service (%) Source: CD-Rom; ICPSR 2790, World Values Surveys and European Values Surveys, 1981-1984, 1990-1993, and 1995-1997, 1st ICPSR version, February, 2000

  4. Reforming Public Management in OECD countries GDP p.c. in US$ (purchasing-power-parity) in 28 OECD Countries, 2005 Source: World Bank data

  5. Reforming Public Management in OECD countries The Deepening Basis for the Legitimacy of the Public Service Progress Tensions 1990s – Performance • Concern to make promises and deliver on them • Measurement of results and the use of measurements for planning or accountability purposes 1970s - Responsiveness to elected officials and political priorities • Frustration with political neutrality • Concern that the public service is an obstacle to political objectives 1950s - Equal access and equal treatment • Impartiality • Concern that employment in the public sector should be representative of society 19th century - Due process and institutional continuity • Driven by the law • Administration as a "separate world" Source: Authors

  6. Responsiveness and Performance A responsive public sector is one that reduces the time lag between political priorities and public policy actions. A performance orientation in the public sector is one that establishes explicit linkages between measured results and planning for future services or accountability for past deliverables. Source: Authors

  7. 5 technical dimensions of reform Public expenditure management and financial accountability Demand-side reforms Human Resources Management 5 technical dimensions of reform Alternative Service Delivery The structure of public sector Source: Authors

  8. Reform Patterns in the OECD 1. Public expenditure and financial accountability reforms Area of Reform Reform Patterns Budget rules • Input-oriented line item budget, incrementalist • Input-oriented line item budget, non-incrementalist • Input-oriented line item budget, plus some performance information • Budget procedures and timing based around performance reporting • Some accruals budgeting Accounting • Cash-based • Double-entry bookkeeping • Accruals accounting with extended cost calculation supported by • performance measurement system Audit • Traditional financial and compliance audit • Compliance focus with elements of performance and evaluation • Institutionalized financial, compliance and performance auditing Source: Joumard et al: 2004; OECD: 2005b, c, 2007b; Pollitt et al: 2004a.

  9. Reform Patterns in the OECD 2. Human resource management reforms Area of Reform Reform Patterns Workforce size and composition • Incentives for workforce reduction • Greater use of lateral entry – particularly for senior staff Compensation and careers • Moves towards position-based system (or even towards use of general • labor law) • Promotion by performance • Decentralization of the employer function • Limited introduction of performance-related pay – associated with • targets or quasi-contracts for agencies • Moves towards defined contribution pension schemes Source: Joumard et al: 2004; OECD: 2005b, c, 2007b; Pollitt et al: 2004a.

  10. Reform Patterns in the OECD Proportion of Fixed-Term and Open-Term Contracts or Lifelong Guaranteed Employment in the Civil Service at the National/Federal Level in 2004/05 in Selected OECD Countries Source: OECD, 2006.

  11. Reform Patterns in the OECD General Government wage bill as % of GDP (1995 and 2004) Source: National Accounts, OECD.

  12. Reform Patterns in the OECD 3. Structure of the public sector reforms Area of Reform Reform Patterns Regulatory management • Growth in independent regulators • Creation of central bodies for regulatory management Inter- governmental decentralization • Some functional and fiscal decentralization to sub-national • governments Organizational diversification • Unbundling – (possible) creation of more "arms-length" agencies • Delegation of managerial authority within central ministries and • departments Source: Joumard et al: 2004; OECD: 2005b, c, 2007b; Pollitt et al: 2004a.

  13. Reform Patterns in the OECD Increasing Numbers of Independent Regulatory Authorities in OECD Countries Source: (Malyshev: 2006, p.291)

  14. Reform Patterns in the OECD Revenues Balanced decentralization Decentralized expenditures Centralization Expenditures Evolution of revenue and expenditure decentralization in OECD countries, 1995-2003 (% age change) Source: National Accounts, in (Blöchliger et al: 2006)

  15. Reform Patterns in the OECD 4. Alternative service delivery Area of Reform Reform Patterns Outsourcing • Increased out-sourcing Public Private Partnerships • Greater use of "public private partnerships" Source: Joumard et al: 2004; OECD: 2005b, c, 2007b; Pollitt et al: 2004a.

  16. Reform Patterns in the OECD 5. Demand side reforms Area of Reform Reform Patterns Market-type mechanisms • Market-based approaches to delivering public services (including the • introduction of user charges and some use of vouchers) • Market-based approaches to delivering internal government services • Market-based approaches to setting regulatory standards or prices Participation • Diverse pilot activities of increasing user participation in management • and planning. Open government • Provision of information about services and entitlements through • charters • Freedom of Information legislation • Extension of offices of ombudsman E-government • Provision of information about services and entitlements through • e-government • E-government infrastructure and legal framework Source: Joumard et al: 2004; OECD: 2005b, c, 2007b; Pollitt et al: 2004a.

  17. Conclusion: some achievement and some risks Achievements • Productivity and quality improvements the public sectors of OECD countries in the • last three decades. These improvements are due: • measure to the quantum leap in human capacity within the public sector; • ICT investments; • managerial reforms. • The contribution of performance-based approaches has undoubtedly been significant. Risks and Unintended consequences • Reforms may have been more costly than anticipated - and they may also have had • unintended consequences. • Unintended consequences: • The erosion of value in the public service; • Managing the political-administrative boundary; • Emerging risks (Could there be too many reforms?); • Performance approaches bring with them a significant risk of "gaming“. Source: Authors

More Related