Abstract
This study explores risk management issues in local government-owned enterprises in accordance with the third wave of governance, organization and management logics of Public Administration: the Public Value (PV) approach. However, the coexistence between the emerging PV approach and the more traditional and consolidated ones is often difficult, also because of the resistance of shareholders who may not consider the management of system-level risks as a priority mission for their company. For this reason, we have analyzed the strengths and weaknesses of the Traditional Approach and the New Public Management approach in the public sector management.
This is a preview of subscription content, log in via an institution to check access.
Access this chapter
Tax calculation will be finalised at checkout
Purchases are for personal use only
References
Abdullah, S. F., Yusof, M. M., & Jambari, D. I. (2016). Risk management model for information systems planning in public sector. Jurnal Pengurusan, 48. Retrieved from https://www.scopus.com/inward/record.uri?eid=2-s2.0-85009288353&partnerID=40&md5=eef98bbac45ea9ed42d6598a9a1deb7d.
Abernethy, M. A., & Chua, W. F. (1996). A field study of control system “redesign”: The impact of institutional processes on strategic choice. Contemporary Accounting Research, 13(2), 569–606.
Ackermann, C., & Marx, B. (2016). Internal audit risk management in metropolitan municipalities. Risk Governance and Control: Financial Markets and Institutions, 6(3), 45–51. https://doi.org/10.22495/rcgv6i3art7.
Ameyaw, E. E., & Chan, A. P. (2015). Risk ranking and analysis in PPP water supply infrastructure projects. Facilities, 33(7–8), 428–453. https://doi.org/10.1108/F-12-2013-0091.
Ammons, D. N., & Canada, B. B. (2000). Tracking performance in local government risk management—A catalog of performance measures. Public Entity Risk Institute. Fairfax: Chapel Hill.
Andersson, T., & Liff, R. (2012). Does patient-centred care mean risk aversion and risk ignoring? Unintended consequences of NPM reforms. International Journal of Public Sector Management, 25(4), 260–271. https://doi.org/10.1108/09513551211244098.
Asenova, D., Bailey, S. J., & McCann, C. (2013). Managing the social risks of public spending cuts in Scotland. York: Joseph Rowntree Foundation. Retrieved from http://www.jrf.org.uk/sites/files/jrf/public-spending-cuts-scotland-full.pdf.
Asenova, D., Bailey, S. J., & McCann, C. (2015). Public sector risk managers and spending cuts: Mitigating risks. Journal of Risk Research, 18(5), 552–565. https://doi.org/10.1080/13669877.2014.910683.
Attig, N., Cleary, S., El Ghoul, S., & Guedhami, O. (2013). Institutional investment horizons and the cost of equity capital. Financial Management, 42(2), 441–477. https://doi.org/10.1111/j.1755-053X.2012.01221.x.
Bannerman, P. L. (2008). Risk and risk management in software projects: A reassessment. Journal of Systems and Software, 81(12), 2118–2133. https://doi.org/10.1016/j.jss.2008.03.059.
Benabou, R., & Tirole, J. (2010). Individual and corporate social responsibility. Economica, 77(305), 1–19. https://doi.org/10.1111/j.1468-0335.2009.00843.x.
Boehm, B. (1991). Software risk management: Principles and practices. IEEE Software, 8, 32–41. https://doi.org/10.1109/52.62930.
Bosco, B. (2016). Old and new factors affecting corruption in Europe: Evidence from panel data. Economic Analysis and Policy, 51, 66–85. https://doi.org/10.1016/j.eap.2016.06.002.
Boubaker, S., Lakhal, F., & Nekhili, M. (2011). The determinants of web-based corporate reporting in France. Managerial Auditing Journal, 27(2), 126–155. https://doi.org/10.1108/02686901211189835.
Boycko, M., Shleifer, A., & Vishny, R. W. (1996). A theory of privatisation. The Economic Journal, 106(435), 309–319. https://doi.org/10.2307/2235248.
Bruton, G. D., Peng, M. W., Ahlstrom, D., Stan, C., & Xu, K. (2015). State-owned enterprises around the WORLD as hybrid organizations. Academy of Management Perspectives, 29(1), 92–114. https://doi.org/10.5465/amp.2013.0069.
Bryman, B., & Bell, E. (2011). Business research methods (3rd ed.). Oxford: Oxford University Press.
Bryson, J. M., Crosby, B. C., & Bloomberg, L. (2014). Public value governance: Moving beyond traditional public administration and the new public management. Public Administration Review, 74, 445–456. https://doi.org/10.1111/puar.12238.
Bui, H. T., Baruch, Y., Chau, V. S., & He, H. W. (2016). Team learning: The missing construct from a cross-cultural examination of higher education. Asia Pacific Journal of Management, 33(1), 29–51.
Collier, P. M., & Woods, M. (2011). A comparison of the local authority adoption of risk management in England and Australia. Australian Accounting Review, 21(2), 111–123.
Cooper, T. (2012). Exploring strategic risk in communities: Evidence from a Canadian province. Journal of Enterprising Communities, 6(4), 350–368. https://doi.org/10.1108/17506201211272788.
Córdoba-Pachón, J. R., Garde-Sánchez, R., & Rodríguez-Bolívar, M. P. (2014). A systemic view of corporate social responsibility (CSR) in state-owned enterprises (SOEs). Knowledge and Process Management, 21(3), 206–219. https://doi.org/10.1002/kpm.1453.
Denhardt, J. V., & Denhardt, R. B. (2003). The new public service: Serving, not steering (3rd ed.). Armonk, NY: M. E. Sharpe.
Denhardt, J. V., & Denhardt, R. B. (2015). The new public service revisited. Public Administration Review, 75(5), 664–672.
der Wal, Z., Nabatchi, T., & de Graaf, G. (2015). From galaxies to universe: A cross-disciplinary review and analysis of public values publications from 1969 to 2012. The American Review of Public Administration, 45(1), 13–28. https://doi.org/10.1177/0275074013488822.
de Souza Briggs, X. (2008). Democracy as problem solving. Cambridge, MA: MIT Press.
de Zwaan, L., Stewart, J., & Subramaniam, N. (2011). Internal audit involvement in enterprise risk management. Managerial Auditing Journal, 26(7), 586–604. https://doi.org/10.1108/02686901111151323.
Eccles, R. G., Ioannou, I., & Serafeim, G. (2014). The impact of corporate sustainability on organizational processes and performance. Management Science, 60(11), 2835–2857. https://doi.org/10.1287/mnsc.2014.1984.
Eisenhardt, K. M. (1989). Building theories from case study research. Academy of Management Review, 14(4), 532–550.
Esmark, A. (2017). Maybe it is time to rediscover technocracy? An old framework for a new analysis of administrative reforms in the governance era. Journal of Public Administration Research and Theory, 27(3), 501–516. https://doi.org/10.1093/jopart/muw059.
European Commission. (2014). Report from the commission to the council and the European Parliament. EU anti-corruption report. Retrieved from https://ec.europa.eu/home-affairs/sites/homeaffairs/files/e-library/documents/policies/organized-crime-and-human-trafficking/corruption/docs/acr_2014_en.pdf.
Fletcher, K. C., & Abbas, A. E. (2018). A value measure for public-sector enterprise risk management: A TSA case study. Risk Analysis, 38(5), 991–1008. https://doi.org/10.1111/risa.12932.
Fone, M., & Young, P. C. (2000). Managing risk in public organizations. New York: Palgrave Macmillan.
Freeman, R. E. (1984). Strategic management: A stakeholder approach (Vol. 1). Boston: Pitman. https://doi.org/10.2139/ssrn.263511.
Gajewski, J. F., & Li, L. (2015). Can Internet-based disclosure reduce information asymmetry? Advances in Accounting, 31(1), 115–124. https://doi.org/10.1016/j.adiac.2015.03.013.
Gibbs, G. R. (2007). Thematic coding and categorizing. In G. R. Gibbs (Ed.), Analyzing qualitative data (pp. 38–56). London: Sage.
Gillham, B. (2005). Research interviewing: The range of techniques. A practical guide. New York: McGraw-Hill Education.
Halachmi, A. (2003). Governance and risk management: The challenge of accountability, transparency and social responsibility. International Review of Public Administration, 8(1), 67–76. https://doi.org/10.1080/12294659.2003.10805018.
Hinna, A., Gnan, L., & Monteduro, F. (2016). Governance and performance in public and non-profit organizations. Bingley, UK: Emerald Group Publishing. Retrieved from http://www.worldcat.org/title/governance-and-performance-in-public-and-non-profit-organizations/oclc/949930469.
Hinna, A., Scarozza, D., & Rotundi, F. (2018). Implementing risk management in the Italian public sector: Hybridization between old and new practices. International Journal of Public Administration, 41(2), 110–128. https://doi.org/10.1080/01900692.2016.1255959.
Holzmann, R., & Jørgensen, S. (2001). Social risk management: A new conceptual framework for social protection, and beyond. International Tax and Public Finance, 8(4), 529–556. https://doi.org/10.1023/A:1011247814590.
Hood, J., & Smith, T. (2013). Perceptions of quantifiable benefits of local authority risk management. International Journal of Public Sector Management, 26(4), 309–319. https://doi.org/10.1108/IJPSM-01-2012-0016.
Janesick, V. J. (1994). The dance of qualitative research design: Metaphor, methodolatry, and meaning. In N. K. Denzin & Y. S. Lincoln (Eds.), Handbook of qualitative research (pp. 209–219). Thousand Oaks, CA: Sage.
Johnson, J. L., Daily, C. M., & Ellstrand, A. E. (1996). Boards of directors: A review and research agenda. Journal of Management, 22(3), 409–438. https://doi.org/10.1177/014920639602200303.
Jones, L. P. (2009). Public enterprise in less-developed countries. Cambridge: Cambridge Books.
Jørgensen, T. B., & Bozeman, B. (2002). Public values lost? Comparing cases on contracting out from Denmark and the United States. Public Management Review, 4(1), 63–81. https://doi.org/10.1080/14616670110101681.
Jørgensen, T. B., & Bozeman, B. (2007). Public values: An inventory. Administration & Society, 39(3), 354–381. https://doi.org/10.1177/0095399707300703.
Ke, Y., Wang, S., & Chan, A. P. C. (2010). Risk allocation in public-private partnership infrastructure projects: Comparative study. Journal of Infrastructure Systems, 16(4), 343–351. https://doi.org/10.1061/(ASCE)IS.1943-555X.0000030.
Kettl, D. F. (2002). The transformation of governance: Public administration for twenty-first century America. Baltimore, MD: Johns Hopkins University Press.
Koppell, J. G. S. (2007). Political control for China’s state-owned enterprises: Lessons from America’s experience with hybrid organizations. Governance, 20(2), 255–278. https://doi.org/10.1111/j.1468-0491.2007.00356.x.
Krishnamurti, C., Shams, S., & Velayutham, E. (2018). Corporate social responsibility and corruption risk: A global perspective. Journal of Contemporary Accounting and Economics, 14(1), 1–21. https://doi.org/10.1016/j.jcae.2018.02.002.
Krueger, A. O. (1974). The political economy of the rent-seeking. American Economic Review, 64(3), 291–303. https://doi.org/10.2307/1808883.
Lambsdorff, G., & Johann. (2005). Consequences and causes of corruption: What do we know from a cross-section of countries? Passauer Diskussionspapiere, Volkswirtschaftliche Reihe. Retrieved from https://ideas.repec.org/p/zbw/upadvr/v3405.html.
Lapsley, I. (2009). New public management: The cruellest invention of the human spirit? Abacus, 45(1), 1–21. https://doi.org/10.1111/j.1467-6281.2009.00275.x.
Locke, R., Leach, C., Kitsell, F., & Griffith, J. (2011). The impact on the workload of the ward manager with the introduction of administrative assistants. Journal of Nursing Management, 19(2), 177–185.
Mauro, P. (1995). Corruption and growth. The Quarterly Journal of Economics, 110(3), 681–712. https://doi.org/10.2307/2946696.
McCrae, M., & Balthazor, L. (2000). Integrating risk management into corporate governance: The Turnbull guidance. Risk Management, 2(3), 35–45.
Mercer, D., Leschine, T., Drew, C. H., Griffith, W., & Nyerges, T. (2005). Public agencies and environmental risk: Organizing knowledge in a democratic context. Journal of Knowledge Management, 9(2), 129–147. https://doi.org/10.1108/13673270510590272.
Miller, P., Kurunmäki, L., & O’Leary, T. (2008). Accounting, hybrids and the management of risk. Accounting, Organizations and Society, 33(7–8), 942–967. https://doi.org/10.1016/j.aos.2007.02.005.
Moore, M. H. (1995). Creating public value: Strategic management in government. In Classics of public administration (pp. 549–561). Cambridge, MA: Harvard University Press. Retrieved from http://www.hup.harvard.edu/catalog.php?isbn=9780674175587.
Moss, D. A. (2004). When all else fails: Government as the ultimate risk manager. Cambridge, MA: Harvard University Press. Retrieved from http://www.hup.harvard.edu/catalog.php?isbn=9780674016095.
Mulgan, R. (2000). “Accountability”: An ever-expanding concept? Public Administration, 78(3), 555–573. https://doi.org/10.1111/1467-9299.00218.
Murphy, K. M., Shleifer, A., & Vishny, R. W. (1991). The allocation of talent: Implications for growth. The Quarterly Journal of Economics, 106(2), 503–530. https://doi.org/10.2307/2937945.
Nisar, T. M. (2007). Risk management in public-private partnership contracts. Public Organization Review, 7(1), 1–19. https://doi.org/10.1007/s11115-006-0020-1.
OECD. (2014). Boosting integrity and fighting corruption. Paris: OECD Publishing.
Osborne, S. P. (2010). The new public governance? Emerging perspectives on the theory and practice of public governance. New York: Routledge. Retrieved from https://books.google.it/books/about/The_New_Public_Governance.html?id=YFgp5LXDC-IC&redir_esc=y.
Otley, D., & Berry, T. (1998). Case study research in management accounting and control. Accounting Education, 7, 105–128.
Oulasvirta, L., & Anttiroiko, A.-V. (2017). Adoption of comprehensive risk management in local government. Local Government Studies, 43(3), 451–474. https://doi.org/10.1080/03003930.2017.1294071.
Parker, L. D. (2012). Qualitative management accounting research: Assessing deliverables and relevance. Critical Perspectives on Accounting, 23(1), 54–70.
Pollitt, C., & Bouckaert, G. (2011). Public management reform: A comparative analysis—New public management, governance, and the neo-Weberian state. Oxford: Oxford University Press.
Raz, T., & Hillson, D. (2005). A comparative review of risk management standards. Risk Management, 7(4), 53–66. https://doi.org/10.1057/palgrave.rm.8240227.
Rhineberger, G. M., Hartmann, D. J., & Van Valey, T. L. (2005). Triangulated research designs—A justification? Journal of Applied Sociology, 22(1), 56–66. https://doi.org/10.1177/19367244052200106.
Romzek, B. S., LeRoux, K., & Blackmar, J. M. (2012). A preliminary theory of informal accountability among network organizational actors. Public Administration Review, 72(3), 442–453. https://doi.org/10.1111/j.1540-6210.2011.02547.x.
Roper, J., & Schoenberger-Orgad, M. (2011). State-owned enterprises: Issues of accountability and legitimacy. Management Communication Quarterly, 25(4), 693–709. https://doi.org/10.1177/0893318911415598.
Salvato, C., & Corbetta, G. (2013). Transitional leadership of advisors as a facilitator of successors’ leadership construction. Family Business Review, 26(3), 235–255.
Sapienza, P. (2004). The effects of government ownership on bank lending. Journal of Financial Economics, 72(2), 357–384. https://doi.org/10.1016/j.jfineco.2002.10.002.
Silver, H. (1995). Social exclusion and social solidarity: Three paradigms. Hilary International Labour Review, 1336(5). Retrieved from https://heinonline.org/HOL/Page?handle=hein.journals/intlr133&div=51&g_sent=1&casa_token=&collection=journals.
Silverman, D. (2013). Doing qualitative research: A practical handbook. London: Sage.
Stake, R. E. (2013). Multiple case study analysis. New York: Guilford Press.
Strauss, A., & Corbin, J. (1990). Basics of qualitative research. Newbury Park, CA: Sage.
Sun, W., & Cui, K. (2014). Linking corporate social responsibility to firm default risk. European Management Journal, 32(2), 275–287. https://doi.org/10.1016/j.emj.2013.04.003.
Thompson, F., & Rizova, P. (2015). Understanding and creating public value: Business is the engine, government the flywheel (and also the regulator). Public Management Review, 17(4), 565–586. https://doi.org/10.1080/14719037.2013.841982.
Vincent, J. (1996). Managing risk in public services: A review of the international literature. International Journal of Public Sector Management, 9(2), 57–64.
Wong, S. C. Y. (2004). Improving corporate governance in SOEs: An integrated approach. Corporate Governance International, 7(2), 11.
Woods, M. (2011). Risk management in organizations: An integrated case study approach. New York: Routledge. https://doi.org/10.4324/9780203815922.
Yin, R. K. (2017). Case study research and applications: Design and methods. Thousand Oaks, CA: Sage.
Zahra, S. A., & Pearce, J. A. (1989). Boards of directors and corporate financial performance: A review and integrative model. Journal of Management, 15(2), 291–334. https://doi.org/10.1177/014920638901500208.
Zardari, S. (2009). Software risk management. In Proceedings—2009 International Conference on Information Management and Engineering, ICIME 2009 (pp. 375–379). IEEE. https://doi.org/10.1109/ICIME.2009.138.
Zif, J. (1981). Managerial strategic behavior in state-owned enterprises—Business and political orientations. Management Science, 27(11), 1326–1339. https://doi.org/10.1287/mnsc.27.11.1326.
Author information
Authors and Affiliations
Corresponding author
Editor information
Editors and Affiliations
Rights and permissions
Copyright information
© 2019 The Author(s)
About this chapter
Cite this chapter
De Bernardi, P., Ricciardi, F., Forliano, C., Sorano, E. (2019). How Pioneering Managers Strive to Integrate Social Risk Management in Government Debt Collection. In: De Vincentiis, P., Culasso, F., Cerrato, S.A. (eds) The Future of Risk Management, Volume I. Palgrave Macmillan, Cham. https://doi.org/10.1007/978-3-030-14548-4_12
Download citation
DOI: https://doi.org/10.1007/978-3-030-14548-4_12
Published:
Publisher Name: Palgrave Macmillan, Cham
Print ISBN: 978-3-030-14547-7
Online ISBN: 978-3-030-14548-4
eBook Packages: Economics and FinanceEconomics and Finance (R0)