Abstract
In the current context of international economy crisis, the control of public expenditure appears to be now a diktat imposed by finance institutions, to ensure continued economic growth and, at least, maintain the levels of well-being achieved by individual nations. In these scenarios, the economic evaluation of public and private decisions, if equipped with collective importance, enters fully into the behavioral ethics of the policy makers and technocrats called upon to manage the public sector. In recent years, several approaches have been developed, in a business management perspective, for the study and innovation of Public Administration (PA). These frameworks of ideas, apart from some significant conceptual differences, have in common the goal of improving efficiency, effectiveness, economic and equitable decision-making and operations implemented by the various companies that make up the Public Administration.
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Notes
- 1.
- 2.
According to Luder (1994), the processes of public administration reform can be explained through the contingency sample model. According to this model, the changes are induced by the onset of external factors (reduction of financial resources) and structural factors (political will and ability for top management of the public).
- 3.
Good governance in the public sector, according to the document prepared by the World Bank in 1992, refers to the logic that should be followed for the proper management of public affairs. These approaches include: the need to equip themselves with systems of budgeting and control systems for the efficient management of human and financial resources, the introduction of standards and tools capable of empowering leadership on the efficiency and effectiveness of their work, the introduction and strengthening of accountability for the recovery of administrative action transparency in order to facilitate stakeholder monitoring.
- 4.
The bureaucratic logic, inspired by the principles of social structuralism and absolute rationality, aims to achieve the best, starting from the limits of restricted rationality, through the elimination of elements of subjectivity in individual behavior. The bureaucratic sample model theorizes some principles, briefly reported below, to be used in guiding complex organizations: the principle of specialization and division of labor; principle of scientific theory and experimental scientific city; principle of preventive standardization of tasks and duties; principle of impersonality; principle of hierarchy (Borgonovi 2002). Weber maintained (1961), that bureaucracy, although not characteristic of social organization of industrial capitalism and deep-rooted in other types of economies, found its full realization based on the principles of rationality and legality. Rational bureaucratic action ensured standardization and uniformity of State operation. Regardlessly, the universality of law regulated objectives, processes and outcomes.
- 5.
The examples cited are: the “Gore report” in the United States (a government that works better and costs less), the “Next Step Program” launched in the UK during the Margaret Thatcher government, the various national programs called “Financial Initiatives Management” (UK, Australia), the state reform started in New Zealand and the “Public Service 2000” initiative of Canada.
- 6.
- 7.
A paradigm can be considered as the set of values, beliefs and techniques shared by members of a particular community (Kuhn cited in Massey 1997). The NPM can be considered a new paradigm, having contributed to changes in values, beliefs and techniques with reference to the study of PA.
- 8.
- 9.
In this respect, please refer to Gruening (1998).
- 10.
Other reforms have interested PA in a systematic way in the past. It is important to mention the so called classic Public administration of the 20s of the last century, but you could go even further back in time citing the Napoleonic reforms.
- 11.
- 12.
- 13.
- 14.
- 15.
Traditionally, proponents of this approach have encouraged the application of the decision-making processes of public operators and methods developed from the studies of public policy, including those of cost-benefit analysis. The use of sophisticated techniques in order to reduce the uncertainty is characterized by a matrix rationalistic that the Quantitative/Analytic management shares with the Scientific Management. For more details see: Lynn (1996).
- 16.
The studies related to Liberation management, which have developed since the early nineties, revolve around the idea that the stiffness and the constraints of traditional bureaucracies, preventing public managers to express their potential, are the cause of generalized dysfunction that exists in public administration. The improvement cannot, therefore, avoid passing through the de-bureaucratization of the processes and the rationalization of organizational structures. To streamline public bureaucracies, proponents of Liberation propose management solutions like decentralization of the functions of budgeting and management of personnel, the simplification of procedures and outsourcing (Light 1997; Osborne and Gaebler 1992).
- 17.
For further reference on the subject, please refer to Gnecchi (2004).
- 18.
- 19.
Please refer to Lynn (1996).
- 20.
The classical theory of economics, that heralds Adam Smith as one of its greatest exponents, assumed that private interest could “guarantee” the fulfillment of the collective interest thanks to the doing of the forces involved in the market: the interaction of demand and supply would generate prices balance capable of satisfying the parties, thereby ensuring natural situations of equilibrium. Hence, the liberal economic policies, inspired by Smith, tend to promote the removal of any restriction to the free unfolding of market forces and to outline a substantially reductive role for the state. However, the liberal position has progressively proved itself not in line with reality.
- 21.
This statement is in perfect harmony with the statements of the corporate economic doctrine that defines corporate phenomenon as unitary and speculative to eventual classification.
- 22.
Already by end of the 40s of the last century Simon (1947), diffused a new theoretical approach to PA focused on the predominance of the managerial model based on objectives and means compared to the bureaucratic one based on rules and procedures.
- 23.
With reference to this last point, namely the reduction of bureaucratic constraints, it is seen above all the theories of Osborne and Gaebler (1992), that, just as it proved in practice, the route taken was that of the processes of deregulation and decentralization of operating systems, such issue will then be discussed in depth in the course of this work.
- 24.
It should be noted that the process of decentralization has had different degrees of intensity in different countries depending on the institutional context of reference. For example, Anessi Pessina and Cantù (2001: 70) identify three different ways to implement ways and degrees through which the processes of decentralization, devolution, federalism, vertical subsidiary.
- 25.
In fact, often, this separation of roles appears only as a formal as evidenced by the numerous news stories reported in our country and abroad.
- 26.
Also in this case, practice has often failed to comply with expectations of the theory, to consider the variable compensation as ancillary component of remuneration is not necessarily linked to the achievement of specific objectives.
- 27.
“Empirical studies into the factual reality of management are scarcer than the many theories” Kickert (1994a).
- 28.
- 29.
- 30.
Consistent with studies conducted according to the contingency theory model, are the organizational and environmental precondition determine, even in the presence of the same external stimuli to change, significant differences in the results obtained with the processes of change, so any innovation process should be preceded by an analysis of the context in order to avoid a mechanistic introduction of the not in line with new logical.
- 31.
The term decision analysis was coined in 1967 by Ronald A. Howard professor at Stanford University.
- 32.
For a close international examination, please refer to Kickert (1995b).
- 33.
The activity of public companies is aimed at citizens, not consumers or customers (Minogue et al. 1998). On the one hand, they expect efficient public services and taxation policies to reduce tax the burden, on the other hand, however, ask that their rights be protected, that their voice be heard, that their values and their preferences be respected.
- 34.
In particular for the analysis of the points of contact between NPM and PG refer to Hogwood (1995).
- 35.
Therefore, as for companies also PA is studied with a systemic perspective whose characteristics are: the system is open, as it presents continuous interchanges with the outside; dynamic, as it changes over time and space; complex, given that there are many elements and relationships that make it up; finalistic, as it has the ability to achieve a result; probabilistic, because its operation is subject to uncertainties and risks. Systemic studies in business economics reference, please refer to Amaduzzi (1969), Giannessi (1969), Bertini (1990).
- 36.
While the reforms inspired by the NPM movement focus on a number of necessary measures for the recovery of efficiency, at times so pushed as to seem too farfetched compared to the original mission of the institution, governance aims at effectiveness without humiliating public interests.
- 37.
“The logic of governance is more consistent with the pattern of organization/institution that emanates economic policies, produces services or regular economic activities of other parties” Borgonovi (2002: 41–42).
- 38.
For an in depth analysis on the meaning of the concepts of complexity, differentiation and dynamic public environment, please refer to Kickert (1994b).
- 39.
According to Kooiman and Van Vliet (1993) the characteristic of PG is to start from the analysis of the external environment in order to define the different policies within PA, namely PG reverses the logic of NPM to assign itself priority to inside measures and only later decide to look at the relationship between public and environment.
- 40.
In the process of change referred to, the public administrator from passive executor of administrative law becomes active subject in the production of rules. In other words, through the issuing of regulations to define the organizational procedures necessary to implement in the specific company reality where the general requirements laid down by the legislature operate, the director the is the interpreter of the provisions of law.
- 41.
- 42.
For a detailed analysis on the meanings given to the term governance in international references see Longo (2005: 16).
- 43.
Cfr. Rebora and Meneguzzo (1990).
- 44.
See also Kooiman (2003) according to whom, for every acting agent in the network, the rewards are potentially greater than contributions offered.
- 45.
Please refer to Meneguzzo (1995: 506).
- 46.
In accordance with the principles of consent, and the criteria of economic efficiency and functionality and of concrete technical, organizational, economic and social feasibility, i.e. taking into account “diversity of interests to adopt policies, guidelines and choices able to align interests toward mutually acceptable solutions” (Borgonovi 2002: 42).
- 47.
Further on in this work, the relationship between PA and the system of acting party who in various ways are involved in supplying health goods and services will be analyzed.
- 48.
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Scaletti, A. (2014). The Evolution of Decisional Logic in the Healthcare System. In: Evaluating Investments in Health Care Systems. SpringerBriefs in Health Care Management and Economics. Springer, Cham. https://doi.org/10.1007/978-3-319-02544-5_1
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