Goats or wolves? Private sector managers in the public sector

Public administration reforms have propagated the use of private sector management skills in the public sector, and an increased openness to managers with a private sector background. This has created a debate between those who think private sector experience improves public institutions by bringing core managerial values such as results orientation, efficiency, or openness to innovation, and those who argue that private sector experience can damage core public sector values, such as impartiality and equity. Despite the abundant anecdotal evidence, broad empirical evidence on the effects of private sector experience on public managers' values remains limited. Using data from a survey among central government top managers in 18 European countries, we show that public managers with private sector experience have, as expected, more core managerial values. Yet, unlike the conventional view, core public values do not suffer.     

The acceptance,relevance and dominance of lobbying the EU Commission — a first‐time survey of the EU Commission's civil servants

Among public affairs techniques lobbying is by far the most mystifying one — at least in Europe. Lobbying comes from the Latin word ‘labium’ and means ‘entrance hall’ or ‘lounge’. Therein the essential meaning can be seen: today political decisions are not made in plenary assemblies but primarily in the pre‐political phase of balancing the various interests. Lobbying is to be understood as the ‘diverse intensive activities of social groups, chambers and companies in the political and bureaucratic vestibule’ (Beyme 1980). Modern lobbying on the EU level is an intermediary policy for the support of political decision making — even if some critics refuse to believe it. Lobbying at EU level has become a politically realistic dimension. Even if the mass media still take a very sceptical and negative view of lobbying in Brussels, based on the existing European taboo on influencing politics, an in‐depth analysis reveals various lobbies at work in EU institutions. Lobbying today is an essential part of all EU decision areas. This paper describes the functional theory approach of lobbying known as ‘cooperation as confrontation through communication’. For the first time, recipients of lobbying in the EU Commission are demonstrating their acceptance of lobbying efforts. The paper is based on the doctoral thesis ‘The acceptance, relevance and dominance of lobbying the EU Commission’ by Peter Koeppl, University of Vienna (unpublished). Copyright © 2001 Henry Stewart Publications     

How political and social change will transform the EU public affairs industry

The EU public affairs industry is failing to recognise that political and social change is rendering its traditional approach to lobbying redundant. The key change is the growing importance of public opinion. Politicians are tending to follow rather than lead public opinion. The public is becoming more individualistic and more prone to emotional appeals. Pressure groups are increasingly setting the political agenda. The Internet is reinforcing all these trends and multiplying the number of political actors. To survive and prosper, public affairs practitioners need to adopt a strategic view of public affairs, which is aligned with companies' brand strategies. This view must be based on a holistic view of politics and recognition that winning public trust, acceptance and support is the prerequisite of successful lobbying. The emphasis will therefore shift away from traditional elite lobbying towards NGO‐style campaigning and mobilisation of public support. Copyright © 2003 Henry Stewart Publications     

Problems and process: European merger control and how to use it

This paper seeks to explore some of the public affairs principles involved in the EU mergers and acquisitions regulatory process, which affects most corporate restructuring of a European scope. Following a brief overview of the EU merger review process and the main role of public affairs in such cases, the paper explores some of the more sensitive issues that demand public affairs activities, and issues that are raised by public affairs activities. The paper focuses on the open nature of the EU merger review process, which allows for wide consultation; the imperfections within the EU merger review process, which lead to confusion as to where the exact point of decision lies; and the fact that the process is only quasi‐legal, so that competition policy and industrial policy considerations may filter into the regulator's assessment. The impact of politics is also explored; from high‐profile political interventions to low‐key political negotiations. Finally, there is a review of the perception of lobbying and the question of the legitimacy of the public affairs discipline in the context of EU merger control. Copyright © 2004 Henry Stewart Publications     

How political malpractice affects trust in EU institutions

Abstract

Political misconduct is known to harm the politicians involved. Yet, we know less about how such events affect trust in political institutions. We study a real-world political malpractice affair in the European Commission, using a three-wave panel design to investigate how information about the affair influences trust in EU institutions. This enables us, first, to isolate the impact of new information on political trust, remedying endogeneity issues common in political trust research. Second, we assess which institutions are affected most (specificity) and whether effects depend upon citizens’ sophistication levels (conditionality). Finally, we assess the durability of effects over time. Our findings demonstrate that citizens obtain knowledge about EU affairs through the media, and use this knowledge in their trust evaluations. In doing so, citizens differentiate between EU and national institutions, with trust in the European Commission affected most. This suggests a sophisticated process and highlights the evaluative nature of political trust.     

Revolving door laws and state public utility commissioners

This paper investigates the effects of revolving door regulations – laws that restrict the post‐government employment opportunities of public sector workers – on the characteristics of state public utility commissioners. We find that commissioners from states with revolving door regulations have less expertise, serve shorter terms, and are less likely to be subsequently employed by the private sector, compared with their counterparts from states without revolving door laws. These findings suggest that revolving door regulations may have costly unintended consequences.     

Sector Switching from a Business to a Government Job: Fast‐Track Career or Fast Track to Nowhere?

This paper examines the career consequences for public managers of having had full-time private sector work experience. We find positive career outcomes for public managers with private sector experience: Individuals with such experience are more likely to have been recently promoted relative to peers and to supervise somewhat greater number of employees, especially if their most recent job was in the private sector. While experience in the private sector enhances such career outcomes, the length of such experience diminishes them. The authors conclude by identifying three career scenarios emerging from the models and discussing the managerial and theoretical implications of "sector-switching careers."     

Envisaging the future — scenarios and public affairs practice

Public affairs in the third millennium will develop in three significant ways.

• (1) It will deal increasingly with global issues and authorities. ‘The chief executive needs to be an entrepreneur with global vision. He needs political skills, to steer a course through the regulatory maze.’
• (2) The companies that succeed may be global, but many of the regimes of regulation and control will remain national. The ability to deal with them will be essential.
• (3) Public affairs will have to deal effectively not only with national and international regimes but also with organised ‘civil society’. NGOs have now formed global alliances. They are recognised and consulted formally and informally and have begun to ‘show their teeth’.

These developments create strong and specific challenges for corporate communications. ‘Sovereignty is what you belong to.’ The European Union (EU) has developed as a model for global public affairs. Companies that have learnt to combine national with supranational public affairs in the EU will be well equipped in the fora of WTO, OECD, ILO and others yet to come. The communications challenges are two:

• (1) Support for mergers: As globalisation proceeds by merger, companies will need fluency in communicating the benefits of mergers, both internally and externally.
• (2) Trading identities: As countries go for national brands to achieve tourism and investment, mega‐merged global companies are using nation‐building techniques to achieve internal cohesion across cultures.

Copyright © 2001 Henry Stewart Publications     

Of legitimacy,legality and public affairs

This paper argues that legality is not enough and that sound public affairs underpins the legitimacy of a political system. It examines the impact of lost legitimacy on Tony Blair, President Bush and America's foreign policy. The author draws historical comparisons between Britain in the Middle East in the 1920s and the USA's problems today and suggests that the fundamental problem is the lack of legitimacy in the region's politics. The paper concludes by asserting that the legitimacy of the EU political system will be endangered while public understanding of its institutions remains limited. Copyright © 2004 Henry Stewart Publications     

NATIONAL SETTINGS AND PUBLIC ENTERPRISE: AUSTRALIA AND ISRAEL

Abstract: There are sharp differences between the public enterprises of Australia and Israel. Australia relies on the structure of statutory authorities for enterprises of the Commonwealth and the States; managers express a narrow view of what is permitted to them; and tend to spend their careers within single firms. "Public" enterprise in Israel reflects a complex amalgam of three public sectors, with Arms owned wholly or in part by the State, the labour federation, and institutions of the international Jewish community. Israel emphasizes the more flexible structure of public sector holdings in limited liability companies. Entrepreneurialism is more apparent in the public enterprises of Israel than Australia, but problems of service delivery are also more apparent in Israel. This article relates national differences in enterprise traits of control by government, styles of management, career patterns and service delivery to the national settings of government structure, economics, and political culture.     

Corporate interests and public affairs: organised business–government relations in EU member states

The internationalisation of economic and political affairs changes the way in which business interests are brought to bear on public policy. This is a global phenomenon but can, in particular, be observed in Europe. The construction of the European Union, the development of the Single Market and the build‐up of the policy institutions to go with it, together change business–government relations profoundly. This paper answers the question of how organised business interests relate to government agencies and political institutions. By using the example of trade associations in the Netherlands and Germany, the paper shows that, despite the internationalisation of public affairs in Europe, the national political level remains strategically important for the representation of business interests. The paper thus argues that changes in European business–government relations are institutionally embedded at both the European and the national level. The implication for future research is that much of the dynamics of economic and political internationalisation materialises within the domestic arrangements of interest politics. Copyright © 2004 Henry Stewart Publications     

The New Governance: Practices and Processes for Stakeholder and Citizen Participation in the Work of Government

Leaders in public affairs identify tools and instruments for the new governance through networks of public, private, and nonprofit organizations. We argue the new governance also involves people—the tool makers and tool users—and the processes through which they participate in the work of government. Practitioners are using new quasi-legislative and quasi-judicial governance processes, including deliberative democracy, e-democracy, public conversations, participatory budgeting, citizen juries, study circles, collaborative policy making, and alternative dispute resolution, to permit citizens and stakeholders to actively participate in the work of government. We assess the existing legal infrastructure authorizing public managers to use new governance processes and discuss a selection of quasi-legislative and quasi-judicial new governance processes in international, federal, state, and local public institutions. We conclude that public administration needs to address these processes in teaching and research to help the public sector develop and use informed best practices.     

Corporate interests and public affairs: organised business–government relations in EU member states

The internationalisation of economic and political affairs changes the way in which business interests are brought to bear on public policy. This is a global phenomenon but can, in particular, be observed in Europe. The construction of the European Union, the development of the Single Market and the build‐up of the policy institutions to go with it, together change business–government relations profoundly. This paper answers the question of how organised business interests relate to government agencies and political institutions. By using the example of trade associations in the Netherlands and Germany, the paper shows that, despite the internationalisation of public affairs in Europe, the national political level remains strategically important for the representation of business interests. The paper thus argues that changes in European business–government relations are institutionally embedded at both the European and the national level. The implication for future research is that much of the dynamics of economic and political internationalisation materialises within the domestic arrangements of interest politics. Copyright © 2004 Henry Stewart Publications     

Market making via regulation: The role of the state in carbon markets

Proponents as well as critics of carbon trading underestimate the institutional and political underpinnings of evolving carbon markets. Based on institutionalist approaches, this paper argues that the strong embeddedness of carbon markets explains why certain characteristics (positive and negative) materialize. Focusing on the actors who initiate and who influence carbon markets, this article also shows that currently only states and intergovernmental agreements provide the necessary regulation for carbon markets to exist and to work. Today, neither market actors nor NGOs nor public private partnerships have the political power to set up, regulate or capture evolving market structures. Thus, whether or not market‐based instruments bring about the desired results depends on good public regulation, which is – at least up to now – represented by the state. Four instances of the commodification of carbon serve as illustrations: the European Union Emission Trading System (EU ETS); the Clean Development Mechanism (CDM); the voluntary market; and new sectoral approaches, particularly Reducing Emissions from Deforestation and Degradation (REDD+).     

Comparing Accountability in the Public and Private Sectors

Analysis of public accountability tends to concentrate on public sector institutions. However, increasing use of the private sector in the provision of public services suggests the need to compare accountability in the two sectors. While private sector (for-profit) companies are more accountable in terms of their 'bottom line', accountability requirements in the public sector are generally more stringent, particularly with regard to process and general policy.     

No Sex Scandals Please,We’re French: French Attitudes towards Politicians’ Public and Private Conduct

The notion of distinct ‘public’ and ‘private’ spheres underpins much normative and practical engagement with political misconduct. What is less clear is whether citizens draw distinctions between misdemeanours in the ‘public’ and ‘private’ spheres, and whether they judge these in systematically different ways. This paper explores attitudes to political misconduct in France. French citizens are often said to be particularly relaxed about politicians’ private affairs, but there has been little empirical evidence for this proposition. Drawing on original survey data, this paper demonstrates clearly that French citizens draw a sharp distinction between politicians’ public and private transgressions, and are more tolerant of the latter.     

From the rule of law to the rule of rules: technocracy and the crisis of EU governance

This article focuses on two trends emerging through the eurozone crisis, both of which diminish the quality of democracy in the EU and its member states. Firstly, the crisis has led to an increased reliance on non-majoritarian institutions, such as the ECB, at the expense of democratic accountability. Secondly, the crisis has led to a new emphasis on coercive enforcement at the expense of the voluntary cooperation that previously characterised (and sustained) the EU as a community of law. Thus, the ECB’s (over-)empowerment is a synecdoche of a wider problem: The EU’s tendency to resort to technocratic governance in the face of challenges that require political contestation. In the absence of opportunities for democratic contestation, EU emergency governance – Integration through Crisis – oscillates between moments of heightened politicisation, in which ad hoc decisions are justified as necessary, and the (sometimes coercive) appeal to the depoliticised rule of rules.     

Why brands should foster political sustainability

Sustainability figures prominently in the rhetoric around the nonfinancial responsibilities of business, as is manifest in the concept of corporate social responsibility (CSR). Often, however, sustainability assumes a narrow social and ecological meaning. A more comprehensive and apt concept would instead focus on the political dimension of sustainability. The long-term success of business depends primarily on sound institutions as embodied in the liberal democratic state. Therefore, companies should invest politically in strengthening the public realm—to their own benefit. CSR misses this strategic nexus; rather, the business case lies in the adoption of a corporate political responsibility (CPR). Advocating for a broad definition of what is political, the paper lays out concrete CPR fields of action that allow companies to become political brands. As a holistic concept to conceive of the interface between business and politics, CPR does not only help to secure a company's longevity, but also reorients our understanding and practice of public affairs.     

The Europeanisation of national party organisations: A conceptual analysis

Abstract.  The likely effects of the ongoing process of European integration on the internal workings of national political parties have hitherto attracted surprisingly little attention in comparative research. This conceptual article discusses how the increasing relevance of European-level decision making may have changed the balance of power within national political parties. It identifies two groups of party actors who are most likely to benefit from the process of Europeanisation of national political parties. First, the 'executive bias' of European Union (EU) decision making is likely to work in favour of party elites in general. However, while they may gain power in intra-party decision making, their control over the national policy agenda is likely to become increasingly eroded through a general shift of policy control to the European level. Second, EU specialists (i.e., those who specialise in EU affairs) are likely to have more access to resources and more control over policy decisions within national parties because of the growing importance of European integration. These propositions are discussed in detail and are then assessed with reference to the main findings from a major empirical study of the topic.     

Guerrilla Employees: Should Managers Nurture,Tolerate, or Terminate Them?

“Guerrilla government” is Rosemary O'Leary's term for the actions of career public servants who work against the wishes—either implicitly or explicitly communicated—of their superiors. This form of dissent is usually carried out by those who are dissatisfied with the actions of public organizations, programs, or people, but typically, for strategic reasons, choose not to go public with their concerns in whole or in part. Rather than acting openly, guerrillas often move clandestinely behind the scenes, salmon swimming against the current of power. Guerrillas run the spectrum from anti‐establishment liberals to fundamentalist conservatives, from constructive contributors to deviant destroyers. Three public managers with significant experience comment on O'Leary's thesis that guerrilla government is about the power of career bureaucrats; the tensions between career bureaucrats and political appointees; organization culture; and what it means to act responsibly, ethically, and with integrity as a public servant. Karl Sleight, former director of the New York State Ethics Commission; David Warm, executive director of the Mid‐America Regional Council of Greater Kansas City; and Ralph R, Bauer, former deputy regional administrator of the U.S. Environmental Protection Agency in the Seattle and Chicago regions, present unique perspectives on the “guerrilla” influence on policy and management, as well as the challenges posed by this ever‐present public management phenomenon.

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