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Public Value Means Value to the Public Patrick Barwise London Business School 1.Whats the problem were trying to address? 2.Net public value: what it is.

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Presentation on theme: "Public Value Means Value to the Public Patrick Barwise London Business School 1.Whats the problem were trying to address? 2.Net public value: what it is."— Presentation transcript:

1 Public Value Means Value to the Public Patrick Barwise London Business School 1.Whats the problem were trying to address? 2.Net public value: what it is and isnt 3.Initial evaluation of the BBCs proposals Oxford : BBC Governance and the PVT

2 1. Whats the Problem Were Trying to Address? (With a few quibbles) the BBC provides: Good range and quality of services, popular with the public Good value for money and financial probity One of the most trusted media brands on the planet Independent of government Supports citizenship, education, culture, training, new technology, etc Backbone of UK broadcasting for 80 years – a great British success story

3 So Whats the Problem? Not perfect, eg Hutton, dumbing down (?) Governance requires difficult judgements about scope, populism, etc Governors have lacked expertise, resources, independence from management Lack of transparency, framework, objective evidence Inevitably losing share (in TV) Offends market fundamentalists (although chosen 60m times/day) Commercial and political vested interests (usually calling for less competition)

4 2.Net Public Value: What It Is and Isnt As defined and used in the 2004 review of the BBCs digital television services (1) : Public value is the overall benefit to the UK public Includes short- and long-term, direct and indirect, consumer and citizenship benefits Net public value is public value after allowing for both the cost of providing the service and the indirect effects of its market impact (1) Independent Review of the BBCs Digital Television Services, October 2004 (www.culture.gov.uk), p 19

5 Net Public Value is NOT A metric (ie an objective, quantitative measure): it is a structured, evidence-based framework for making subjective judgements A sophisticated technique, although these may be used to analyse specific issues such as consumer preferences or market impact A way of balancing benefits to the public against disbenefits to other market players: the market impact of a BBC service is included only to the extent to which it indirectly affects the services net benefit to the UK public

6 3. Initial Evaluation of BBCs Proposals About improving something that works, not replacing something that doesnt BBCs main accountability is directly to viewers and listeners (choice) Grade reforms already addressing problems with Governors: Hutton, expertise, resources, independence from management Service licences and PVT will provide transparency, a framework, and evidence Easily the most sophisticated and transparent PSB governance scheme in the world; should be given time to bed in

7 Five Concerns 1.Wont satisfy market fundamentalists or commercial and political vested interests 2.Public voice: general consumer organisations (Which?, NCC) not involved; VLV punches above its weight but has limited resources 3.BBC purposes and service licences are too complex: need to keep focused on what matters to the public – good programmes (inform, educate, and entertain) 4.Market Impact Assessment: need to follow this through to its effect on net public value 5.Scope is inherently controversial at the margin (eg local TV)

8 Finally – the PVT Cuts Both Ways From now on, the onus will also be on the BBCs critics to say why the public would benefit from their proposals


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