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Measuring Progress and Efficiency in Public Administration (Government at a Glance). Oscar Huerta-Melchor OECD - Public Governance and Territorial Development Directorate (GOV). Tukums, Latvia, 28 August 2008. Presentation outline. 1. Describing Government at a Glance (GaaG).
(Government at a Glance)
OECD - Public Governance and Territorial Development Directorate (GOV)
Tukums, Latvia, 28 August 2008
1. Describing Government at a Glance (GaaG)
2. Measuring Efficiency in the Public Sector
3. Building an HRM Indicator – delegation of authority
The OECD GaaG project aims to provide comparative data in order to:
b) benchmark their own achievements through international comparisons;
c) learn from the experiences of other countries facing similar challenges.
What are the goods and services which the public sector produces?
What is the context in which government operates?
How much money does the public sector collect?
How much and what kind of resources does the public sector use?
What does the public sector do and how does it do it?
What is the resulting impact on the country?
Framework for understanding and measuring government’s activities
The political institutions and administrative structures provide the context that dictates public sector efficiency and effectiveness.
b) Revenue data
It reflects the redistributive power of government and the degree of ‘excludability’.
c) Input data
Labour as input for the production of public goods and services.
- Employment data:
The costs of public employment in order to gain proper understanding of production costs.
- Compensation costs:
- Production costs:
Composition of employees, direct production cost, indirect production cost.
An annual budget law conditions the implementation of political decisions.
- Budget practices:
Governments are under pressure to improve efficiency and effectiveness while controlling public expenditure.
- Performance measurement:
Efficiency in the management of human resources largely conditions the effectiveness of governmental policies.
- HRM practices:
It underpins government’s ability to ensure that regulations are efficient, effective and of good quality.
- Regulatory quality management:
Integrity is critical for achieving good governance. However, existing indicators are mainly based on perceptions and do little to track changes over time.
- Integrity framework:
Public sector transformation and e-government are increasingly seen as closely linked policy areas.
e) Output data
Outputs and outcomes of public administration are concerned with the machinery of government. Defining outputs for measurement is a complex matter as what is an output for one sector is an input for other one. Therefore it is necessary to ask the question: outputs for whom?
f) Outcome data
Executive governance indicators: trust in government, citizens satisfaction, equity and fiscal/economic stability.
a) Why measure government?
Economic (or cost)
Output measurement – some challenges
Difficulties in measuring efficiency
d) Exemplifying institutional drivers of efficiency – workforce issues
Are larger organisations more efficient than smaller ones?
What is the impact of workforce diversity and representation on efficiency?
Extent and nature of unionisation composition
What is the impact of unions on public sector efficiency?
Attractiveness of the public sector
How to recruit and retain highly skilled staff?
a) Why delegate?
Delegation of manpower planning.
Delegation of recruitment functions.
Delegation of staff training and development.
Careers systems and planning.
Organisations have to be able to motivate their staff.
A good indicator of freedom to manage is the degree to which departments control the personnel budget.
a) A clear theoretical framework.
b) Indicators must be selected on the basis of their quality and relevance.
c) Explain and justify the selection of weights and aggregation methods.
d) Select a method for handling missing values.
e) Normalise indicators to render them comparable.
f) Explicit assessment on the robustness of the composite indicator.
g) Presentation should clarify not mislead.
h) The composite indicator should be easily replicated.
Information available on line: www.oecd.org
OECD GOV Budgeting and Public Expenditures Division
For further information on the OECD Government at a Glance project contact: