Market Orientation and Public Service Performance: New Public Management Gone Mad?

The backbone of theory of the market‐based approach New Public Management is that market orientation improves public service performance. In this article, market orientation is operationalized through the dominant theoretical framework in the business literature: competitor orientation, customer orientation, and interfunctional coordination. Market orientation is examined from the vantage point of three stakeholder groups in English local government: citizens, public servants, and the central government’s agent, the Audit Commission. Findings show that market orientation works best for enhancing citizen satisfaction with local services, but its impacts on the performance judgments of local managers or the Audit Commission are negligible. The conclusion discusses important implications of these findings for research, policy, and practice.     

Into an Age of Multiple Austerities? Public Management and Public Service Bargains across OECD Countries

This article focuses on Public Service Bargains (PSBs) in the Organisation for Economic Co‐operation and Development (OECD) world in an age of austerity and makes four main claims. First, both logic and recent history suggest that states can respond to financial crises in more than one way. Second, we argue that the pressures on existing PSBs are not all the same in this group of states, given observable differences in their financial vulnerability. Third, we analyze countries' differential exposure to two other major challenges, namely, that of population aging and environmental risk. Fourth, we show that those areas of vulnerability can counteract one another in some cases but be mutually reinforcing in others, and we argue that “triply vulnerable” states in a composite analysis are those likely to face the strongest pressure to change their existing PSBs. We conclude that while homogenizing pressures cannot be ignored, PSB diversity is likely to continue.     

Closing the Rhetoric‐Reality Gap? Employees' Perspective of Performance Management in the Australian Public Service

Performance management has been hailed by its proponents as an essential tool to enhance public service performance. Yet, its actual capacity to improve public service performance continues to be questioned by many academics. This research on a small group of Australian Public Service employees examines their perceptions on the efficacy of the performance management system in their agencies. The study respondents did not believe that their work behaviours had significantly changed in response to performance management. Obstacles to high performance include perceptions of a poorly designed performance measurement system, an inadequate level and mix of rewards offered, and inconsistencies in the implementation process.     

Overspending in Public Organizations: Does Strategic Management Matter?

ABSTRACT

In the wake of the financial crash, many governments across the globe are seeking to curb expenditure in public sector organizations. To assess the extent to which public organizations can make strategic choices that might result in lower expenditure, we explore the relationship between strategic management and overspending in English local governments. The effects of strategic stances and actions on overspending are tested using multivariate statistical techniques. The empirical results show that an innovative strategic stance results in overspending as does a commitment to the development of new services, while a reactive strategic stance and decentralized decision making are associated with lower levels of overspending. Our analysis provides support for arguments that public organizations can make strategic choices that result in tighter control of their budgets.     

Promiscuously Partisan? Public Service Impartiality and Responsiveness in Westminster Systems

Public servants in Westminster countries are being drawn into the limelight by demands from their political masters that they publicly defend policies. Critics suggest these conditions undermine the capacity and willingness of senior public servants to manage the enduring Westminster tension between serving elected governments and remaining nonpartisan. Interviews with senior officials from Australia, Canada, and the United Kingdom challenge this pessimistic view, showing that officials consistently stress the importance of not “crossing the line” when dealing with their elected masters. Two exploratory case studies are presented—one of an Australian ministerial department (Treasury) and another of a Canadian quasi‐autonomous agency (Statistics Canada)—in which public servants faced pressure to defend controversial government policies. These cases show how contemporary public servants actively interpret, establish, and defend the line between appropriate responsiveness and inappropriate partisanship in Westminster systems.     

Do Partners in PPPs view Public and Private Management Differently?

Differences between public and private management have been studied extensively by comparing sectors, but not within cross‐sectoral collaborative arrangements. As participants in such arrangements have actually experienced both management styles, examining their perceptions of how these styles differ may contribute innovatively to existing literature. This paper compares such perceptions between public and private sector project members (N = 63) involved in four PPPs in the Netherlands. We assess (1) to what extent and under which conditions these project members view public and private management differently and (2) how they evaluate these differences. By triangulating quantitative and qualitative interview data, we examine Boyne's classical hypotheses and find that more than two‐thirds of the statements making reference to these hypotheses offer support for them; more so, the vast majority of such statements evaluate sectoral differences negatively. Intriguingly, type of PPP is a stronger determinant of perceived differences than the manager's sector of origin.     

Is Public Management Neglecting the State?

Public management is a domain of research that is now roughly three decades old. Researchers in this area have made important advances in understanding about the performance of public organizations. But questions have been raised about the scope and methods of public management research (PMR). Does it neglect important questions about the development of major institutions of the modern state? Has it focused unduly on problems of the advanced democracies? Has it made itself irrelevant to public debates about the role and design of government, and the capacity of public institutions to deal with emerging challenges? This set of eight short essays were prepared for a roundtable held at the research conference of the PMR Association at the University of Aarhus in June 2016. Contributors were asked to consider the question: Is PMR neglecting the state?     

Good Governance Practices in Professional Associations for Public Employees: Evidence of a Public Service Ethos?

Professional associations and occupational societies play an important role in educating and credentialing public employees. Very little research has attempted to connect, empirically, a public service ethos to the professional memberships that public employees carry. Nowhere is that potential influence more likely to be seen than in the governing boards of these nonprofit associations, whose behavior is subject to strong normative and mimetic influences as a result of the public's expectations for good governance. This article uses a large generalizable sample of boards of directors, controlling for many organizational characteristics known to influence board behavior, to compare the governance practices of professional and trade associations serving public employees with those serving the private sector. The results suggest that governance practices are shaped by many forces but that public employees do indeed carry their public values into the associations they join, and these values, in turn, are positively related to board behavior.     

Motivating Employees of the Public Sector: Does Public Service Motivation Matter?

ABSTRACT

This article analyzes if, and to what extent, the public service motivation (PSM) construct has an added value to explain work motivation in the public sector. In order to address the specificity of PSM when studying work motivation, the theoretical model underlying this empirical study compares PSM with two other explanatory factors: material incentives, such as performance-related pay, and team relations and support, such as recognition by superiors. This theoretical model is then tested with data collected in a national survey of 3,754 civil servants at the Swiss municipal level. Results of a structural equations model clearly show the relevance of PSM. They also provide evidence for the importance of socio-relational motivating factors, whereas material incentives play an anecdotal role.     

Public Debt,Economic Growth,and Public Sector Management in Developing Countries: Is There a Link?

The article investigates whether differences in public sector management quality affect the link between public debt and economic growth in developing countries. For this purpose, we primarily use the World Bank's institutional indices of public sector management (PSM). Using PSM thresholds, we split our panel into country clusters and make comparisons. Our linear baseline regressions reveal a significant negative relationship between public debt and growth. The various robustness exercises that we perform also confirm these results. When we dissect our data set into “weak” and “strong” county clusters using public sector management scores, however, we find different results. While public debt still displayed a negative relationship with growth in countries with “weak” public sector management quality, it generally displayed a positive relationship in the latter group. The tests for non‐linearity shows evidence of an “inverse‐U”‐shape relationship between public debt and economic growth. However, we fail to see a similar significant relationship on country clusters that account for PSM quality. Yet, countries with well‐managed public sectors demonstrate a higher public debt sustainability threshold. Copyright © 2015 John Wiley & Sons, Ltd.