1 / 18

Elective Public Management – Week 5 Organizational Structures/PPP

Elective Public Management – Week 5 Organizational Structures/PPP. Prof. Dr. Andreas Bergmann Institut für Verwaltungs-Management andreas.bergmann@zhaw.ch. Preliminary note. Structures (follows Processes) follows Strategy Alfred Chandler, 1962 (later annotated by Jack Welch)

minty
Download Presentation

Elective Public Management – Week 5 Organizational Structures/PPP

An Image/Link below is provided (as is) to download presentation Download Policy: Content on the Website is provided to you AS IS for your information and personal use and may not be sold / licensed / shared on other websites without getting consent from its author. Content is provided to you AS IS for your information and personal use only. Download presentation by click this link. While downloading, if for some reason you are not able to download a presentation, the publisher may have deleted the file from their server. During download, if you can't get a presentation, the file might be deleted by the publisher.

E N D

Presentation Transcript


  1. Elective Public Management – Week 5Organizational Structures/PPP • Prof. Dr. Andreas Bergmann • Institut für Verwaltungs-Management • andreas.bergmann@zhaw.ch

  2. Preliminary note • Structures (follows Processes) follows Strategy • Alfred Chandler, 1962 (later annotated by Jack Welch) • … is equally valid in the Public Sector!

  3. Organizational Structures/PPP • Overview • Starting point: Legal Forms of the Public Sector • Traditional structure: division of labour according to Fayol/Weber • Influence of New Public Management and ICT • PPP as an additional structural option

  4. Starting Point: Legal forms • Legal forms determine the degree of autonomy • Administration unit • Department • Dependent agency (without an own legal identity) • Independent agency (with own legal identity) • Incorporated company under public law • Incorporated company (limited company, companionship, foundation) under private law • Incorporated company in private ownership org. auto- nomy of the entity

  5. Starting Point: Legal forms • Legal forms determine the influence of politics • Administration unit • Department • Dependent agency (without an own legal identity) • Independent agency (with own legal identity) • Incorporated company under public law • Incorporated company (limited company, companionship, foundation) under private law • Incorporated company in private ownership Influence of politics

  6. Traditional: division of labour • Top level structure • Divisional structure predominant • Ministries (of Education, Justice, …) • Department (of Finance, …) • Divisional Units (in smaller entities, such as local administrations, i.e. tax collection unit) • Structure often similar to Classification of Function of Government (COFOG, issued by UN/IMF) • Caution! The expression „function“ or „functional classification“ does NOT coincide with the „functional organizational structure“, as it is used in Organizational Theory!!!

  7. Traditional: division of labour • Functional Classification (~divisional structure) • COFOG = Classification of Functions of Goverment • 01 General Public Services • 02 Defence • 03 Public Order & Safety • 04 Economic Affairs • 05 Environmental Protection • 06 Housing & Community Amenities • 07 Health • 08 Recreation, culture & religion • 09 Education • 10 Social Protection

  8. Traditional: division of labour • Swiss Variant • 0 General Public Services • 1 Security • 2 Education • 3 Leisure & Culture • 4 Health • 5 Social Welfare • 6 Traffic • 7 Environment • 8 Economic policy • 9 Finance & Taxation

  9. Traditional: division of labour • Main issue: Shared services • May be substantial in larger administrations • Communication • Personnel • Finance • ICT • Typical area of conflict • Cost (economies of scale!) vs. Customization • Result: decentral solutions predominant

  10. Influence of NPM/ICT • Stances of NPM • Organizational structure reflecting products (services) • Product = smallest entity of delivery, which may be demanded by (external) customers • Grouping either- by groups of products; or- groups of customers • Outsourcing of shared services • Shared service centers

  11. Influence of NPM/ICT • Limitations by ICT • ICT is process oriented (rather than product oriented) • Heterogeneous products in public administrations require tailored processes and ICT • But: Identical support processes do not require tailored processes and ICT • Large ERP systems (SAP, Oracle) usually cover both • Heterogeneous ICT is major cost factor

  12. Influence of NPM/ICT • eGovernment • More than a webpage • Customer orientation: • E.g. „circumstancial“ approach (www.win.ch) • But: Integration of processes crucial • Data exchange • Web data in databases, responses into databases • Limitation: electronic signature

  13. Influence of NPM/ICT • Bottom line • External perspective • Introduction of product/market oriented structures • Citizen should no longer be required to know the structures • Internal perspective • Integration of processes

  14. PPP as an additional structural option • Preliminary definition of PPP • A PPP is an agreement between government and a private partner(s) (that may include the operators and financiers) according to which the private partner(s) delivers the service in such a manner that the service delivery objectives of government are aligned with the profit objectives of the private partner(s) and where the effectiveness of the alignment depends on a sufficient transfer of risk to the private partner(s).(OECD)

  15. PPP as an additional structural option Source: Bennett et.al.(2000) in Bult-Spiering-Dewulf (2006)

  16. PPP as an additional structural option • Service concessions Source: WORLDBANK, 2007

  17. PPP as an additional structural option • Structural effects • In many but not all cases: separate entity is created (or an existing one is appointed) • Special purpose entity • Concessionaire • In all cases: Responsibilities are shifted away from public administration

  18. References • Bolz, U. (2005) Public Private Partnerships in der Schweiz. • Bult-Spiering, M., Dewulf, G. (2006) Strategic issues in Public-Private Partnerships. An international perspective. • The World Bank (2007) Improving the management of concessions: Better reporting and a new process for deciding when to use a concession

More Related