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Performance Management in the Public Sector

Performance Management in the Public Sector. Approaches and Impacts in European Local Governments. Questions. How is Performance Management implemented in European Local Governments (England, France, Germany)? What are the effects of different variants of Institutionalization?.

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Performance Management in the Public Sector

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  1. Performance Management in the Public Sector Approaches and Impacts in European Local Governments Stephan Grohs Ruhr-Uni Bochum

  2. Questions • How is Performance Management implemented in European Local Governments (England, France, Germany)? • What are the effects of different variants of Institutionalization? Stephan Grohs Ruhr-Uni Bochum

  3. Research Background • HBS-project „Ten Years of the „New Steering Model“: Evaluation of Local Government Reform“ (2004-2006) • DFG-project „European Local Systems under Change“ (2007-2009) with Jörg Bogumil, Sabine Kuhlmann, Falk Ebinger, Renate Reiter at the universities of Bochum and Potsdam Stephan Grohs Ruhr-Uni Bochum

  4. Structure of Presentation • Performance Management and the NPM • The Implementation of Performance Mangement in three countries (E,F,G) • Effects on the Local Level • Conclusions Stephan Grohs Ruhr-Uni Bochum

  5. A New Wave? „The movement has been striking because of the number of nations that have taken up the reform agenda in such a short time and because of how similar their basic strategies have been“ (Kettl 2000:1) Diagnoses: • Extensification • Intensification • Externalisation But: Big Differences between States and Administrative Levels Stephan Grohs Ruhr-Uni Bochum

  6. Performance Management (PM): The Promise Performance Management for… • Improvement • Efficency and Savings • Accountability • Protection • Learning and Self-Improvement Stephan Grohs Ruhr-Uni Bochum

  7. Variants of Perf. Measurements • External vs. Internal • Measured units • Measured levels • Measured dimensions • Problems of measurability, multidimensionality and comparability • Transparency • Unintended consequences Stephan Grohs Ruhr-Uni Bochum

  8. European Local Governments –Traditional Profiles Stephan Grohs Ruhr-Uni Bochum

  9. Reform Experiences since the 80s Stephan Grohs Ruhr-Uni Bochum

  10. England: Externally imposed Perf. Management • Replacement of CCT durch Best Value (BV, 1999) and the Comprehensive Performance Assessment (CPA, 2002) • BV = indicator based supervision of local performance and output quality • Binding for all local councils • Annual review of Performance Indicators • Requirement for LGs to develop „BV-Performance Plans • Periodical evaluation of local services Stephan Grohs Ruhr-Uni Bochum

  11. Stephan Grohs Ruhr-Uni Bochum

  12. France: Pragmatism from „bottom up“ • „Communes innovatrices“ as triggers of reform (bottom up) • Performance and Quality control for outsourced services (délegation) • State level as follower (LOLF): global budgeting, performance evaluation (top down) • Spread of Quality and performance Management • (N=82 Städte>5.000 EW) • Performance reports (tableaux de bord; 30%); Städte über 20.000 EW: 50% • Cost accounting (comptabilité analytique; 55%) • Professional Controlling (15%) • contratualisation (contrats d‘objectifs) Stephan Grohs Ruhr-Uni Bochum

  13. Germany: Performance Management by Blueprint: NSM • New Steering Model (NSM as a blueprint of reform • Bottom-up-Movement • Discursive Hegemony: 82,4 % NSM-oriented municipalities (over 10.000 Inhabitants) • But large implementation gap Stephan Grohs Ruhr-Uni Bochum

  14. Stephan Grohs Ruhr-Uni Bochum (n=870)

  15. Comparison of PM-systems Stephan Grohs Ruhr-Uni Bochum

  16. Effects: England Stephan Grohs Ruhr-Uni Bochum

  17. Stephan Grohs Ruhr-Uni Bochum

  18. Effects: France Stephan Grohs Ruhr-Uni Bochum

  19. Effects: Germany Stephan Grohs Ruhr-Uni Bochum

  20. Stephan Grohs Ruhr-Uni Bochum

  21. Conclusions • Strong (at least disursive) impulse for installation of procedures of self-evaluation and monitoring with the possibility of organizational learning • Gains in transparency for decision-makers which could foster accountability • In the case of „voluntary systems“ in F and G the implementation remains heterogenous and incomparable • The use of information for „evidence-based“ decision-making remains low in highly standardized systems • Costs for conception, implementation and standard operation of PM remain high • Transparency deficits in continental Europe remain • Political decision makers show little interest in making data transparent Stephan Grohs Ruhr-Uni Bochum

  22. Perspectives • Growing importance of PM due to fiscal pressures and interventions from the state level • Growing self-interest of decision-makers for evidence-based policy-making (accountability)? • Quality management as a part of „consumer democracy“ (Sweden) • Fostering the use of performance data for steering? • Reduction in the number of indicators • Orientation on real steering needs • Abdication of generalist approaches Stephan Grohs Ruhr-Uni Bochum

  23. Thank you for your attention! Stephan Grohs Ruhr-Uni Bochum

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