Associate Professor Amporn Tamronglak, Ph.D. Faculty of Political Science Thammasat University New Public Management (NPM)

New Public Administration (NPA) vs. New Public Management (NPM) Amporn Tamronglak ® 2 Faculty of Political Science, Thammasat University

What is New Public Administration (NPA)? Minnowbrook Conference I, 1968 : from 3E’s to normative theory of public administration  3E’s and social equity, responsiveness and representation Minnowbrook Conference II, 1988 Blacksburg Manifesto  Normative theory  Constitutional basis  Neo-institutionalism: Public Administration  Agential Leadership: second citizen  Active citizen  Authority and dialogue  Etc. Amporn Tamronglak ® 3 Faculty of Political Science, Thammasat University

New Public Management (NPM) Owen Hughes (1994, 2004) Christopher Pollitt Christopher Hood (1991) Gaebler and Osborne (1992) Jan –Erik Lane New Public Service by Denhardt and Denhardt Amporn Tamronglak ® 4 Faculty of Political Science, Thammasat University

Administration vs. Management Administration, Oxford Dictionary:-  An act of administering, “to manage the affairs of” or “to direct or superintend the execution, use or conduct of” Management:-  To conduct, to control the course of affairs by one’s own action, to take charge of (Oxford Dictionary)  The act or art of managing, the conducting or supervising of something as a business, especially the executive function of planning, organising, coordinating, directing, controlling and supervising any industrial or business project or activity with responsibility for results  Management comes form manus, meaning: to control by hand. Amporn Tamronglak ® 5 Faculty of Political Science, Thammasat University

Driving forces for change to NPM…1 I. Attack on the public sector: 3 points 1. The scale of the public sector, too large, consuming to manage scarce resources 2. The scope of government, too many activities, leading to private sector--privatization, such as contracting-out 3. The methods of government with bureaucracy, becoming a highly unpopular form of social organization, leading to market principle Amporn Tamronglak ® 6 Faculty of Political Science, Thammasat University

Driving forces for change to NPM…2 II. Change in economic theory in 1970s: 1. Public choice theory: the minimum role of government and maximum role of market forces 2. Principal/agent theory in private sector: the clear accountability of agent (manager) to principals (shareholders) by the contract Amporn Tamronglak ® 7 Faculty of Political Science, Thammasat University

Driving forces for change to NPM…3 Globalization Competitiveness Amporn Tamronglak ® 8 Faculty of Political Science, Thammasat University

NPM Management defined by Hughes as the achievement of results, while administration means following instructions (Hughes, 1994, p. 60) Function of general management by Allision (1982) 1. Strategy: setting objectives and priorities and create operational plans to achieve objectives 2. Managing internal components: organising and staffing, directing personnel, controlling performance 3. Managing external constitutencies (external unite, agencies from other branches or levels of government, interest groups, and private enterprises, the press and public Amporn Tamronglak ® 9 Faculty of Political Science, Thammasat University

Hood (1991): 7 points in NPM 1. Hands-on professional management 2. Implicit standards and measures fo performance 3. Emphasis on output controls 4. Disaggregation of units in the public sector 5. Greater competition 6. Private sector styles of management practices 7. Greater discipline and parsimony in resource use, cutting direct costs, raising labor discipline, limiting compliance costs to business:--doing more with less Amporn Tamronglak ® 10 Faculty of Political Science, Thammasat University

Hughes (1994): 4 kinds of changes 1. Focus on outputs 2. Changes to inputs: doing more with less, staff cuts, performance indicators with stress on economy and efficiency, short-term appointment, flexible budget, etc. 3. Reducing the scope of government: privatization, contracting-out, tendering competition 4. Relationships with politicians and the public: managers are now closer to the politicians, but the politicians have the final say. Amporn Tamronglak ® 11 Faculty of Political Science, Thammasat University

Criticisms on NPM 1. Problem of economic theory Citizens and clients, consumers: the differences between public and private 2. Problem with measurement of results in public sector 3. Neo-Taylorism 4. Politicization 5. Reduce accountability: at arm’s length/indirect accountability 6. Implementation problems in performance management 7. Unclear specification : no clear definition of NPM Amporn Tamronglak ® 12 Faculty of Political Science, Thammasat University

Thank you. Amporn Tamronglak ®