Issues and Approaches of New Public Management, NPM and Governance and State Management Issues and Approaches of New Public Management, NPM and Public Service Delivery Bharat Gautam, PhD 2074 . 4. 17

Climate Setting

NPM and Public Service Delivery Outline of the Presentation Objectives Concept of NPM, Origin and Principles of NPM NPM in International Reference NPM Approach in Nepal Critics of NPM Issues of Post NPM Public Service Delivery and Its Principles Points for the Discussions and Arguments Factors Affecting NPM Application and Public Service Delivery Recap and Conclusion.

NPM and Public Service Delivery Main Objective: To Discus Issues and Approaches of NPM and Changing Principles of Public Service Delivery. Learning Objective: At the end, we Would be able to Understand Concept, Issues and Approaches of NPM and Public Service Delivery and its Application in the Nepalese Context.

NPM and Public Service Delivery… The basic concept of NPM is based on Economic and Managerial Principles. 1. Economic Principle : Market Competition and Customer Choice Service Contracts and Contracting Out Privatization of Governement Functions 2. Managerial Principle : Managerial Autonomy to Manage and Service delivery Mangerial Devolution and Decentralization Performance/Result Based Management and Delivery

NPM and Public Service Delivery… Pre NPM Situation of Public Administration and Its Delivery Before 1980s Focuses on rules and procedural in administration and service delivery Conventional public administration or bureaucracy was heavily criticized for poor performance, buck-passing, holding the files and red­-­tapism in administration and service delivery. Prompt Response and Service Delivery was the growing demand in the Public Sector. NPM Wave: 1980s and 1990s NPM originated as an alternative reform approach to traditional Public Administration and its delivery. NPM approach of reform came from the private sector's management. UK was the pioneer country of NPM first introduced by Margret Thatcher, when she was elected the Prime Minister in 1979.

NPM and Public Service Delivery… NPM Approach of Reforms Privatization, down sizing, right sizing public sector, Conversion of public service departments into independent agencies for professional service delivery, Break down of organizational functions and professionalism, Competition in public service delivery and customer Choice: Postal Service Performance/result based management and incentives Cont..

NPM and Public Service Delivery… NPM Approaches… Devolution of managerial power and authority for the effectiveness of management and service delivery Managerial autonomy for better performance, Reductions of the layer of decision making, Anti hierarchy and promote team work in management and delivery, Use of citizens charter for smooth service delivery, Procedural simplifications in service delivery, Consider citizens and service seeker as customer and value as like.

NPM and Public Service Delivery… Application of NPM Oriented Reforms and Service Delivery Developed Countries UK: Creating independent agencies, use of citizens charter New Zealand: Performance agreement and contracting out Australia: Managerial autonomy Canada: Managerial autonomy USA: Reinventing government and result based management, European Countries: Managerial autonomy and Management by Objective Developing Countries Kenya: Performance contracts with the Ministries Uganda: NPM inspired autonomous revenue authority South Africa : Managerial Devolution and Semi-Autonomous Agencies India: Citizens Centric Service delivery through e-governance and ICT. Malaysia: Performance agreement gencies

NPM and Public Service Delivery… Nepalese Context : After 1990 Reforms 1991- Administrative Reform Commission, ARC 2001- Governance Reform Program, GRP 2006- Vision Paper for Civil Service, VPCS 2008- Administrative Reforms and Restructuring Commission, ARRC 2013- High Level Administrative Reform Committee, HLARC 2015- Administrative Reform Implementation Report More Focus on Service Delivery

NPM and Public Service Delivery Nepalese Context : Civil Service Act/Rules, Good Governance Act Result Orientation Provision of Performance Incentive Fund Performance Contract Service Contract / Outsourcing of Manual Services Performance Contract and Accountability to Contractual Jobs. Use of Citizens Charter

NPM and Public Service Delivery… Nepalese Context : Reform ideas related to NPM and Service Delivery Review the role of the state and privatization, Reducing the number of employyes and right sizing bureaucracy, Delegation of administrative power and authority, Procedural simplifications, Performance based managment and Result Orientation Use of citizens charter in public contact organizations Making public institution accountable to the people. Public Service Delivery through Integrated Service Centers

NPM and Public Service Delivery… Critics of NPM and Its Approaches As a Whole More fragmentations/agencifications, More focuses on privatization of Public Services, Lack of coordination among Autonomous Agencies, More focuses on competition and mechanistic, Non-recognition of the best efforts of employees, Less focus on public service values and states Roles,

NPM and Public Service Delivery Post NPM Approach: 2000 onward In addition to NPM approach, following issues have also been emerged. Issue of good governance Issue of strong coordination among state mechanisms Issue of social equity and inclusion in governance Whole of government, holistic approach of governance Issue of State led Service Delivery emerged

To be Continue in the Next Session Break: 15 Minute To be Continue in the Next Session

NPM and Public Service Delivery… Observing Critics of NPM, New Principles of Public Service Delivery Emerged, The New Public Service Delivery: Serving Rather than Steering Robert B. Denhardt and Janet Vinzant Denhardt, 2000 Serve rather than steer, Primary role of public servant is to serve/help citizens Meet their interest/needs 2. The public interest is the aim, not the by-product To build collective notion of public interest Creation of shared responsibility 3. Think strategically, act democratically Public needs can be achieved effectively and responsibly Through collective efforts and collaborative process

NPM and Public Service Delivery… Principles of New Public Service Delivery… 4. Serve citizens, not customer Not to just respond demand of citizens as customer Also build relationship of trust and collaboration with citizens 5. Accountability is not simple Public servants should be more attentive than market They should also be attentive to constitutional, legal, professional and community values 6. Value people, not just productivity Public organization likely to succeed in long run Through collaboration and shared leaderships respecting people 7. Value citizens and public service above entrepreneurship Public interests is better advanced through meaningful contribution to the society rather than acting as entrepreneur managers

NPM and Public Service Delivery… Points for the Discussions and Arguments for the Nepalese Context, To what extent rules and procedures matter in service delivery in the Nepalese context ? Is NPM oriented public service delivery based on market orientation fits for all kind of public institutions ? To what extent behavior and values of individual public employees matters in service delivery ? To what extent Citizens Charter is followed where it is placed ? What contradicts with its spirit ? How public officials can best serve people and deliver public services ?

NPM and Public Service Delivery To what extent managerial autonomy is given to the public officials to perform their roles in service delivery ? Are procedural simplifications made in order to deliver public service to the people ? To what extent citizens first approach of service delivery applied in work place in the Nepalese context. ? To what extent we can move forward beyond rules, procedures, and process while delivering public services ? What are the main barrier/obstacles to apply NPM based service delivery ? Are the Principles of New Public Service Delivery workable to apply in the Nepalese context .

NPM and Public Service Delivery Based on Observation, Following are Considered the Major Factors Affecting Application of NPM Approaches and Public Service Delivery. Political Factor Bureaucratic Factor Resource Factor Regulative/Monitoring Institutional Factor For the NPM led reforms and delivery, which factor/s mater's more ? And why ? For the New Public Service Delivery Principles, which factors mater's more ? And why ?

Recap and Conclusion Traditional Public Administration was charged for being more process oriented and reluctant to respond public needs. Its process orientation still matters. NPM originated focusing on private sector's management style to respond public needs as customer, is criticized for more mechanistic and less people centric approach. Principles of New Public Service focus on the people first approach of service delivery. However, are considered highly philosophical than real life situation of service delivery. Considering pros and cons of all these approaches of public service delivery, Holistic or integrated approach where the government of the day and place (federal context) should play lead role in coordinating and monitoring service rendering units to make public service delivery more effective applying Citizens Charter with its core spirit.

Quires and Discussion

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