The third sector, user involvement and public service reform: a case study in the co-governance of health service provision

The ‘modernization’ of British public services seeks to broaden public sector governance networks, bringing the views of third sector organizations, the public and service users (among others) to the design, management and delivery of welfare. Building on previous analyses of the contradictions generated by these roles, this paper draws on longitudinal qualitative research to enunciate the challenges faced by one third-sector organization in facilitating service user influence in a UK National Health Service (NHS) pilot programme, alongside other roles in tension with this advocacy function. The analysis highlights limits in the extent to which lateral governance networks pluralize stakeholder involvement. The ‘framing’ of governance may mean that traditional concerns outweigh the views of new stakeholders such as the third sector and service users. Rather than prioritizing wider stakeholders' views in the design and delivery of public services, placing third sector organizations at the centre of governance networks may do more to co-opt these organizations in reproducing predominant priorities.     

REFORMING PUBLIC SERVICES IN THE UK: BRINGING IN THE THIRD SECTOR

In the UK, the government continues its project to reform public services. Earlier projects have focused on the modernization of public sector organizations; in the latest round of reform, New Labour has focused on widening choice and the personalization of services. To this end, the government has been working with Third Sector (TS) organizations to expand their role in shaping, commissioning and delivering public services. The government’s vision is predicated on a normative assertion, that, unlike traditional public sector organizations, TS bodies create public value by being more innovative, are inspired by altruistic aims and values, and have greater commitment to their clients. This paper reviews recent policy and questions whether the government’s policy is flawed, contradictory and risks damaging the attributes of the TS admired by New Labour.     

ENTREPRENEURIAL LEADERSHIP IN THE ENGLISH PUBLIC SECTOR: PARADOX OR POSSIBILITY?

Our study explores the possibility for the enactment of entrepreneurial leadership in the English public sector under the Labour government’s modernization agenda. To substantiate our analysis, we draw upon data gathered from leaders in three public sector arenas – the National Health Service, secondary schools, and further education (FE) colleges. Our study proposes a definition of public sector entrepreneurship that extends beyond existing literature. In essence, we contend that public sector entrepreneurship is characterized by the combination of three distinct agencies: ‘stakeholder’, ‘entrepreneurial’ and ‘political’. The public sector entrepreneur identifies market opportunities within the political landscape, optimizes the performance‐enhancing potential of innovation for the public sector organization, and carries stakeholders in a way that both permits risk and recognizes the stewardship of public sector resources.     

THE ‘NEW PUBLIC GOVERNANCE’ AND EMPLOYABILITY SERVICES IN AN ERA OF CRISIS: CHALLENGES FOR THIRD SECTOR ORGANIZATIONS IN SCOTLAND

Third sector organizations (TSOs) have emerged as key players in the delivery of public services to assist jobless people to improve their employability and move from welfare to work. Drawing on in‐depth research with employability providers in Scotland, this article explores how TSOs have responded to the challenges of a rapidly changing public services environment. Specifically, we use the concept of the ‘New Public Governance’ to explore TSOs' relationships with UK, devolved and local government stakeholders. TSOs demonstrated a pragmatic approach to shaping their services to reflect the priorities of public funders, and identified some opportunities arising from the new emphasis on ‘localism’. However, the evidence suggests that opportunities for collaboration at times remained constrained by certain forms of ‘contractualism’ and top‐down performance management. Based on the evidence, lessons for future policy and practice are considered.     

STRUGGLING WITH AMBIGUITY: PUBLIC MANAGERS AS USERS OF NPM‐ORIENTED MANAGEMENT INSTRUMENTS

Improving public sector performance involves both ‘knowing’ and ‘doing’ problems. With the emphasis on the ‘doing’ problem, this study examines public managers as users of management instruments (MI) in attempts to improve the performance of public services. The article explores uses of three MIs in Finnish local government by using the conceptual framework of ambiguity. The article demonstrates why and how the use of MIs does not always simplify the public management exercise. It may become even more ambiguous. It is important to comprehensively understand the ways in which uses and users of MIs intervene in the process of public service delivery. It is argued that understanding MI uses in public administration necessitates a more profound theoretical approach acknowledging the ways in which ‘rational intentions' for performance improvements turn into situated, boundedly rational, managerial practice. In the context of productivity programmes, such understanding is essential to researchers and practitioners of public administration.     

Discretion drift in primary care commissioning in England: Towards a conceptualization of hybrid accountability obligations

In the context of welfare delivery, hybrid organizations mix public and ‘new’ market, social, and professional types of mechanisms and rationales. This article contributes to our understanding of accountability within hybrid organizations by highlighting how accountability obligations can become hybrid, simultaneously formal and informal. Instead of seeing accountability as hybrid only in the sense of the coexistence of types of organizational mechanisms and structures (i.e., the prevalence of both state and market types), we examine accountability arrangements governing a hybrid model—primary care commissioning in England—and interrogate the relationships between accountability actors and their accountability forums. We conceptualize ‘hybrid accountability obligations’ as a state whereby the nature of obligation underpinning accountability relationships is both formal-informal and vertical-horizontal concurrently. The article concludes by highlighting the consequences of this kind of hybridity, namely how it extended discretion from welfare delivery to the domain of welfare governance.     

HYBRIDS AND PROFESSIONAL COMMUNITIES: COMPARING UK REFORMS IN HEALTHCARE,BROADCASTING AND POSTAL SERVICES

Many countries use state‐owned, for‐profit, and third sector organizations to provide public services, generating ‘hybrid’ organizational forms. This article examines how the hybridization of organizations in the public sector is influenced by interaction between regulatory change and professional communities. It presents qualitative data on three areas of the UK public sector that have undergone marketization: healthcare, broadcasting, and postal services. Implementation of market‐based reform in public sector organizations is shaped by sector‐specific differences in professional communities, as these groups interact with reform processes. Sectoral differences in communities include their power to influence reform, their persistence despite reform, and their alignment with the direction of change or innovation. Equally, the dynamics of professional communities can be affected by reform. Policymakers need to take account of the ways that implementation of hybrid forms interacts with professional communities, including risk of disrupting existing relationships based on communities that contribute to learning.     

PUBLIC PROCUREMENT,PUBLIC VALUE AND THE NORTHERN IRELAND UNEMPLOYMENT PILOT PROJECT

This paper analyses the regulatory, commercial and socio‐economic goals underlying UK public procurement policy, highlighting the conflicts inherent between them and arguing that there is an overemphasis on commercial goals. A critique of the market model leads to consideration of the utility of the ‘public value’ concept as a means of assessing the achievement of public procurement goals in a balanced way through a greater emphasis on public consultation and the impacts and outcomes of procurement. An analytical framework is proposed, based on public value, against which to assess the delivery of public procurement policies. The framework is used to analyse a pilot project conducted in Northern Ireland on increasing employment through public service and construction projects. The paper demonstrates the achievement of a range of procurement goals and values and concludes by calling both for further research into the validity of the concept of public value and more extensive application of the framework.     

Is local authority procurement supporting SMEs? An analysis of practice in English local authorities

The UK coalition government wishes to improve the access of small- and medium-sized enterprises (SMEs) to public procurement, in recognition of their importance to the economy and for the benefits they can bring to public procurement and the wider public sector. Local government provides a significant opportunity for small firms, spending £84 billion of the total procurement spend of £230 billion. However, about two-thirds of both small businesses and local authorities think that SMEs face barriers in successfully accessing public procurement. This paper examines how councils are supporting SMEs in the procurement process by analysing 67 entry forms to the ‘Best Councils to do business with’ competition. This unique data source has provided insight into councils’ attitudes and procurement practices, and demonstrates that although a wide range of supportive actions are being employed there is considerable diversity across councils. Ambiguities and tensions in policies, between local and central government, have also emerged.     

Public Sector Commissioning: Experiences of Voluntary Organizations Delivering Health and Social Services

The perceived benefits to users and beneficiaries of voluntary organizations delivering public sector services have been well documented and include the engagement with parts of society that the state cannot reach, personalized service delivery, and improved services. There is a lack of clarity, however, as to whether these perceived benefits are being realized. This article presents the experiences of voluntary sector organizations involved in public sector commissioning. The research suggests that the public sector is limiting the voluntary sector's engagement in service design and performance monitoring. These findings raise questions about the role of the voluntary sector in public service provision.     

Innovation in Public Management: Is Public E-Procurement a Wave of the Future? A Theoretical and Exploratory Analysis

Project management has become an answer to many traditional organizational structuration and performance shortcomings, while gaining currency in business and public sector organizations. Public procurement systems have evolved into public electronic procurement systems with variations and distinctions in the age of globalization and digitalized complexities. This article examines the development of public e-procurement as an innovation in public management in the contexts of project management, public procurement management, and e-governance. It also links practice to theory—through a fourfold theoretical perspective—with contributions to the knowledge in public procurement, governance, and public administration.     

Champions of local authority innovation revisited

This article revisits the concept of the public sector innovation champion. Reflecting changes in sectoral and wider contexts and conceptual advances in the innovation literature, it suggests that much of the underlying thinking behind the original article is of continuing relevance and suggests a number of directions in which this could now be extended, particularly in terms of the nature of innovation and the role of champions therein. It concludes by considering how innovation champions of the future will require a new skillset which draws on new and emergent technologies to align diverse sets of stakeholders in networks of ‘open innovation’.     

Multiple principals,multiple problems: Implications for effective governance and a research agenda for joint service delivery

The multiple principal problem refers to multiple collective action problems that organizations face when they must balance (competing) interests of multiple stakeholders under joint service delivery. It negatively affects different types of organization, yet we know little about how organizations (can) mitigate it. We expand a framework based on principal–agent theory, review the literature, and consider implications for effective governance of joint service delivery in the public sector. We observe that joint service delivery can lead to free‐riding and duplication in monitoring, lobbying by principals, and increased autonomy for agents, leading to inefficiency. We build a research agenda and tentatively suggest, based on the literature, that an interface approach, where an elected unitary actor is placed in a middle tier between politics and service delivery, might best mitigate the multiple principal problem, which is currently not dealt with effectively in public management.     

A Modernization Myth: Public Management Reform and Leadership Behavior in the Irish Public Service

To assess whether public service modernisation in Ireland is a ‘useful myth’, we examine aggregate indicators of leadership behaviours and the interview responses of recognised ‘change agents’ to assess whether there is a gap between the rhetoric and reality of follower engagement in pursuit of a transformative vision that official rhetoric highlights as a potentiality in this sector. The persistence of such a gap can be explained in terms of the usefulness of this potentiality myth in legitimising the leading role top-level public servants play in reform processes in this country although this may have declined during the current recession.     

Political Influence on Public–Private Partnerships in the Public Health Sector in New Zealand

The purpose of this article is highlight the influences on the performance of public-private partnership organizations established to provide procurement services for public-sector organizations. The findings provide evidence of some values-based fracturing in public-private partnerships in the New Zealand public sector. However, it is the impact of political influence that illustrates significant potential to undermine effectiveness and efficiency. This case suggests there are innovative approaches which can be adopted—other than traditional models of public expenditure—yet still providing a sustainable public health service. Finally the case argues for the importance of appropriate political understanding of the changing scenarios.     

Crossing the Boundaries between ‘Third Sector’ and State: life-work histories from the Philippines,Bangladesh and the UK

The three-sector model—encompassing the private, public and non-governmental or ‘third’ sectors—is important to much of the research that is undertaken on development policy. While it may be analytically convenient to separate the three sectors, the realities are more complex. Non-governmental actors and government/public sector agencies are linked in potentially important (though often far from visible) ways via personal relationships, resource flows and informal transactions. This paper seeks to understand these links by studying the ‘life-work histories’ of individuals who have operated in both the government and third sector. Two main types of such boundary crossing are identified: ‘consecutive’, in which a person moves from one sector to the other in order to take up a new position, and ‘extensive’, in which a person is simultaneously active in both sectors. Drawing on a set of recently collected life-work history data, the paper explores the diversity of this phenomenon in three countries. It examines the reasons for cross-over, analyses the experiences of some of those involved, and explores the implications for better understanding the boundaries, both conceptual and tangible, that both separate and link government and third sector in these different institutional contexts.     

‘Subsistence’ Readings: World Bank and State Approaches to Commercialising Agriculture in Post-Communist Eurasia

This article explores the World Bank’s project of ‘returning agriculture to the market’ through land titling reforms. It describes how World Bank and national government strategy papers distinguish between a ‘commercial’ or ‘entrepreneurial’ sector of farming and a ‘subsistence’ agricultural sector in post-communist Eurasia. The extension and growth of the former represents the desired goal of policies since the 1990s, while the latter’s numerical prominence in many countries constitutes a source of concern for authorities. The article argues that ‘subsistence’ represents a misreading of the rural population that confounds self-sufficiency with the size of farms, and casts millions of smallholders as non-economic and alien to markets. It focuses on two post-communist countries (Romania and Ukraine, extremes in terms of the introduction of property rights over agricultural land) to argue that efforts to reduce ‘subsistence’ translate into measures that increase the households’ monetary needs and are therefore going to be resisted. The article relies on analyses of World Bank and national government’s strategy papers as well as ethnographic data collected in 2013–2017 in the Ukrainian-Romanian border region.     

What is performance measurement for? Multiple uses of performance information within organizations

Recent research in performance measurement has focused on the tension between two uses of performance information: ‘passive’, to ensure compliance, and ‘purposeful’, to improve services. This article presents an in-depth study of two public sector organizations in England and shows that the main tension may actually lie between a combined purposeful and passive use, and an exclusively passive one. This tension was most pronounced between organizational levels, where a combined use was dominant among senior managers, and an exclusively passive one was prevalent among middle managers and frontline staff. This split was not intentional—instead, it reflected how people interpreted the role of performance measurement, suggesting that simply promoting greater use of information may not be sufficient for linking measurement with service improvement. This study extends the theoretical understanding of the dynamics of performance information use in organizations and generates implications for using performance measurement to improve service delivery.     

THE CENTRE STRIKES BACK: META‐GOVERNANCE,DELEGATION, AND THE CORE EXECUTIVE IN THE UNITED KINGDOM, 2010–14

A growing literature on ‘agencification’, ‘quangocratization’, and the ‘autonomization’ of the state has highlighted a coordination dilemma in contemporary public governance whereby governments rely on delegated governance but are frustrated by the lack of control that arises from such structures. In the run‐up to the 2010 General Election in the United Kingdom this coordination dilemma was prominent as the capacity of the Cabinet Office to exert control over arm's‐length bodies, either directly or indirectly, received intense criticism. This article presents the findings of the first detailed research project to examine the subsequent Coalition Government's approach to this dilemma. It argues that in relation to the governance of public bodies, the role and capacity of the Cabinet Office has been transformed. In mapping this development the article explores the implications of the centre striking back in the context of ‘post‐New Public Management’ reforms.