Reforming the public sector for leaner government and improved performance: The New Zealand experience

Over the 10 year period from 1984 to 1994 New Zealand has gone through an intense period of restructuring, both of the public sector and of the wider economy. In the process New Zealand has been transformed from a highly protected and regulated economy with a range of intrusive and expensive interventions, to an open and deregulated economy with an efficient and leaned down public sector. The article presents the “New Zealand experience” in restructuring, not necessarily as an example to be copied but as a benchmark to be used in examining the most appropriate restructuring to apply in other circumstances. The stages in the reform are described and the three key success factors set out. One of the key factors is the establishment of a set of clear principles which are then applied with determination. The principles developed in the New Zealand context are set out. The article examines the restructuring of the science sector in New Zealand as one case study; in part because of the author's personal involvement but also because it is a particularly complete example. Areas where work remains to be done are identified including the reforms in education and health and the need for collective action across government. Finally lessons to emerge from the New Zealand experience are discussed. These include especially putting time into fully understanding market characteristics before a market oriented reform is started, carrying reforms through to their conclusion rather than stopping partway, and establishing clear principles to guide the reform process.     

STRATEGY,STRUCTURE AND PROCESS IN THE PUBLIC SECTOR: A TEST OF THE MILES AND SNOW MODEL

We present a comprehensive empirical application of the Miles and Snow (1978) model of organizational strategy, structure and process to the public sector. We refine the model by distinguishing between strategy formulation and implementation, and applying it to 90 public service organizations. Although the empirical evidence shows that organizational strategies fit the Miles and Snow categories of prospector, defender and reactor, the relationship between these strategies and organizational structures (for example, centralization) and processes (for example, planning) is less consistent with their model. Conclusions are drawn for public management theory and practice.     

EXPLAINING VARIATION IN PERCEPTIONS OF RED TAPE: A PROFESSIONALISM‐MARKETIZATION MODEL

In the public administration literature, ways in which perceptions of red tape vary between different parts of the public sector remains relatively unexplored. In this article we define organizational red tape as a subject‐dependent concept; that is, we expect to see variations in the level and type of red tape between different internal stakeholder groups. We then explain variations with two organizational‐based variables, professionalization and marketization. The empirical analysis is undertaken on nearly 800 English local government services. The framework correctly predicts that officials in highly professionalized and marketized services perceive higher levels of red tape, while those in less professionalized and marketized services report lower levels. We then summarize our findings and comment on their theoretical and practical significance.     

INTRODUCTION: DETERMINANTS OF PERFORMANCE IN PUBLIC ORGANIZATIONS

The performance of public organizations is one of the key topics in public administration research and practice. This topic was examined at the 'The Determinants of Performance in Public Organizations II' conference held at the University of Hong Kong in December 2006. The conference was held in association with the Public Management Research Association . In the present symposium we introduce four of the articles presented at conference. The articles explore: network performance (Kenis and Provan), goal ambiguity (Lee et al .), environmental shocks (Meier and O'Toole), and diversity (Pitts and Jarry). Alongside this we spotlight the importance of this field and introduce three research themes—contingency theory, measurement and data, and analysis.