In this post, notes of Unit 3 (Contemporary Theoretical Perspectives – @ New Public Management, New Public Service) from DSC– 4 (Perspectives on Public Administration) are given which is helpful for the students doing graduation this year.

 

New Public Management (NPM)

 

Overview:

New Public Management (NPM) started in the late 1970’s and 1980’s as a way to fix problems in traditional public administration. It is based on ideas from free-market economics and aims to make government management more like businesses, focusing on efficiency, accountability, and customer satisfaction.

 

Key Characteristics:

1. Decentralization: Giving more power to lower levels of public agencies.
2. Marketization: Using competition and privatization in public services to be more efficient.
3. Performance Measurement: Setting clear goals and standards to check how well the government is doing.
4. Cost-efficiency: Reducing public sector spending and cutting waste.
5. Customer Orientation: Treating citizens like customers and focusing on service quality.
6. Private Sector Techniques: Using business practices like planning and performance-based pay in government.
7. Accountability and Transparency: Making public officials responsible for their results.

 

Criticism of NPM:

– Too much focus on market ideas can ignore public needs and fairness.

– Emphasizing efficiency might overlook democratic values and social justice.

– More outsourcing can lessen accountability and public control.

 

Examples:

Countries like the UK under Margaret Thatcher and New Zealand in the 1980’s adopted NPM, privatizing state-owned businesses and decentralizing government work.

 

New Public Service (NPS)

 

Overview:

New Public Service (NPS) was developed in the 1990’s as a response to both traditional public administration and NPM. It focuses on democratic governance, citizen involvement, and serving the public rather than seeing them as customers.

 

Key Principles of  New Public Service:

1. Serve, not steer: Public managers should serve the public and help make decisions together, not control outcomes.
2. Public interest over self-interest: Governments should aim to meet public needs with community involvement.
3. Democratic governance: Encouraging active citizen participation and cooperation between government and community groups.
4. Citizen engagement: Empowering citizens to take part in decisions about their communities.
5. Accountability through collaboration: Emphasizing public accountability through openness and teamwork, not just performance measures.
6. People over productivity: While efficiency is important, the focus is on fairness, justice, and community service.

 

Criticism of NPS:

– NPS may find it hard to deal with budget limits and performance management, which NPM handles well.

– Applying NPS ideas can be tough in rigid government systems.

 

Examples:

NPS ideas have been used in local governments where community involvement, participatory budgeting, and working together with citizens are key.

 

Comparison between New Public Management and New Public Service

Aspect	New Public Management (NPM)	New Public Service (NPS)
Philosophy	Efficiency, market-based mechanisms, customer-oriented	Democratic governance, civic engagement, public service
Role of Government	Steerer of society, using managerial tools and competition	Facilitator of dialogue, serving citizens’ collective needsFacilitator of dialogue, serving citizens’ collective needs
Citizens	Seen as customers who receive services	Seen as active participants in governance
Accountability	Through performance metrics and results	Through collaboration, transparency, and participation
Values	Efficiency, cost-effectiveness, responsiveness	Fairness, social justice, citizen empowerment
Key Techniques	Privatization, outsourcing, performance management	Citizen engagement, participatory governance

 

Conclusion:

NPM aims to improve efficiency and productivity in government by using business methods, while NPS seeks to restore values like fairness, equity, and citizen involvement. Both offer different views on how to enhance public administration, with NPM focusing on management and NPS emphasizing democratic governance.