Published: 

Thu, 04 May 2017

Public Management Has a traditional public service ethos been

undermined by public management reforms, introducing more
private sector values?

The development of the traditional model of administration owes much to the

administrative tradition of Germany and the articulation of the principles of
bureaucracy by Max Weber. The development of modern bureaucracies made
possible the industrial revolution and the breakthrough of modern economies.

The traditional model rests on the nature of bureaucracy, expressed by Weber. He

emphasised control from top to bottom in the form of a ‘monocratic hierarchy’.

Pfiffner (2004) states that Weber’s view of the monocratic hierarchy was a,“system
of control in which policy is set at the top and carried out through a series of
offices, with each manager and worker reporting to one superior and held to
account by that person. The bureaucratic system is based on a set of rules and
regulations flowing from public law: the system of control is rational and legal. The
role of the bureaucrat is strictly subordinate to the political superior”.

The traditional model of public administration, which pre-dominated for most of

the twentieth century, has changed since the mid 1980s, to a flexible, market based
form of public management. This is not simply a matter of reform or a minor
change in management style, but a change in the role of government in society,
and this relationship between government and citizenry.

Hughes (2003:17) characterises the traditional model as,“an administration under

the formal control of the political leadership, based on a strictly hierarchical model
of bureaucracy, staffed by permanent, neutral and anonymous officials, motivated
only by the public interest, serving any governing party equally and not
contributing to policy but merely administering those policies decided by
politicians”.

Peters (2001) provides the major characteristics of the traditional model:

1. An apolitical civil service

2. Hierarchy and rules
3. Permanence and stability
4. An institutional civil service
5. International regulation
 6. Equality

The practices and theories of the traditional model are seen to be no longer
relevant to the needs of a rapidly changing society. The traditional model has been
the most successful theory of management as well as being the longest standing in
the public sector, however due to the issue raised above as well as critics seeing the
classical model as inefficient, outmoded and old, it is now being replaced.

Several of the fundamental principles of traditional public administration have been

challenged by the new paradigm. The principles being:

 Bureaucracy
 “One best way” of working – procedures are set out in manuals for
administration to follow
 Bureaucratic delivery
 Belief among administrators in the politics/administration dichotomy
 Service to the public, provided selflessly
 “Special kind of activity” – required professional bureaucracy/neutral and
anonymous/employed for life
 Administrative tasks involved

The above traditional principles have however been challenged. Bureaucracy,

however powerful it may be, does not necessarily work in all circumstances.
Sometimes, it may result in negative consequences. According to Hughes (2003:32)
it became apparent in the 1970s and 80s that this type of government
management was inadequate. He states that, “bureaucracy may be ideal for control
but not necessarily for management. It allows for certainty but is usually slow in
moving. Work may be standardised, but at the cost of innovation”.

Bureaucracy has also been said to “encourage administrators to be risk-averse

rather than risk taking, and to waste scarce resources instead of using them
efficiently”. (Hughes 2003:34)

According to Kamenka (1989:88), pre modern bureaucracies were, “personal,

traditional, diffuse, ascriptive and particularistic” whereas modern bureaucracies
became, “impersonal, rational, specific, achievement orientated and universalistic”.

It was assumed by the traditional model of public administration that there was
“one best way” of administering. The “one best way” principle has also been
challenged as trying to find this, can lead to rigidity in operation. Government are
now therefore adopting flexible management systems pioneered by the private
sector.

A bureaucratic delivery is not the only way to provide public goods and services.
Hughes (2003:2) states that, “governments can also operate indirectly through
subsidies, regulation or contracts”.

In reality, political and administrative matters have been intertwined, which has
resulted in implications on management structures. Better mechanisms of
accountability are demanded for by the public, where once the bureaucracy
operated separately from the society.

Those public servants who are genuinely motivated by public interest have been
criticised in that they are, “political players in their own right”. It has also been
assumed by Hughes (2003:2) that, “they are working for their own advancement
and that of their agency, instead of being pure and selfless”.

Unusual employment conditions are now much weaker in the public services, due
to changes that have occurred in the private sector where “jobs for life are rare”.

In the public sector, the tasks involved are now considered more managerial. They
involve taking responsibility for actions and results, not just simply following
instructions.

The above seven traditional principles provides the traditional model of public
administration which in turn ensures an effective and well run public service. There
have been problems with this traditional model and therefore a paradigm shift has
occurred.

In most advanced countries, a new model of public sector management emerged

by the beginning of the 1980s. The new model also emerged in many developing
countries.

To begin with, the new model has several names:

 Managerialism according to Pollitt (1993)

 New Public Management – Hood (1991)
 Market Based Public Administration – Ian and Rosenbloom (1992)
 Post Bureaucratic Government – Osbourne and Gaebler (1992)
New Public Management (NPM) established by Hood, is the most widely used in
literature.

The Public Management Committee (PUMA) at the Organisation for Economic

Cooperation and Development (OECD) took a leading role in the public
management reform process.

The OECD in 1998 argued that, “improving efficiency and effectiveness of the
public sector itself, involves a major cultural shift as the old management paradigm,
which was largely process and rules driven, is replaced by a new paradigm which
attempts to combine modern management practices with the logic of economics,
while still retaining the core public service values”. (OECD, 1998:5)

The above provides a summary of the managerial reform process.

Behn (2001:30) tells us that the new public management paradigm is, “a direct
response to the inadequacies of traditional public administration, particularly to the
inadequacies of public bureaucracies”.

What is public management reform?

Public management reform is defined by Pollitt and Bouckaert (2004:6) as,

“Potentially a means to multiple ends….these include making savings in public
expenditure, improving the quality of public services, making the operations of
government more efficient and increasing the chances that the policies chosen and
implemented will be effective”.

Pollitt and Bouckaert (2004:8) go on to tell us that, “public management reform

consists of deliberate changes to the structures and processes of public sector
organisations with the objective of getting them to run better”.

Structural changes can include the splitting or merging of organisations in the

public sector. An example of process change given by Pollitt and Bouckaert
(2004:8) can be the, “introduction of new budgeting procedures that encourage
public servants to be more cost-conscious and/or to monitor more closely the
results their expenditure generates.

Hood (1995:1) tells us that, “The rise of the new public management is seen as an
alternative to the tradition of public accountability embodied in progressive public
administration ideas….. From different assumptions, the accountability paradigm of
progressive public administration put heavy stress on two basic management
doctrines. To keep the public sector sharply distinct from the private sector was
one, in terms of ethos, continuity, people, business methods….”

How far the public sector should be distinct from the private sector has been seen
as an issue, in terms of its organisation and methods of accountability. How far the
public sector should be separated from the private sector in relation to handling
business and staff is also an issue.

The pandemic of public management reforms have swept across much of the
OECD world. A concern raised however, is that for developed countries, the public
management reforms may by suitable, but are they appropriate in countries still
being developed? Certain styles of management started in the Western world will
not necessarily work in different settings, as there are restrictions in lesser
developed countries.

What are the reasons for change?

One reason for change is due to economic and fiscal pressures on Governments,
notably seen in developing countries of Africa and Asia in the 70s/80s. These
pressures have been caused by huge deficits within the public sector as well as
external trade imbalances and growing indebt ness, seen mainly in the developing
countries.

This has been seen as a major driver for the reconstruction of the public sector, as
well as rethinking and reshaping the role of government. Methods to control these
fiscal pressures and deficits and to restructure the public sector have included
privatisation, downsizing and contracting out gained prominence.

1. Attack on the public sector

2. Attacks on the public sector occurred in the early 1980s on its size and
capability. The size was argued over, in that the public sector was too large
and therefore consumed many resources. This was then followed by cuts to
Government spending.

The old public administration was seen to be slow and driven by rules rather
than performance. It was also seen to be unresponsive to its users. The
inefficiency and ineffectiveness in the delivery of public service has led to the
search for alternatives.

In response to criticisms, many formerly governmental activities were

returned to the private sector. While privatisation was contentious in the UK
 during the 1980s, it has since become widely accepted. In some countries,
any service which could be provided by the private sector was likely to be
turned over to private providers.

3. Changes in economic theory

4. Impact of change in the private sector – globalisation as an economic force
5. Another pressure has been the spread of global markets. Competition has
been forcing the public sector to reshape itself in most countries in order to
keep up with emerging global economies and modern I.T. These factors
have led to changing conventional ideas about the public sector. A concern
with national competitiveness leads fairly naturally to a need for reform to
the public sector.

A further imperative for public sector change has been the rapid change in
the private sector and the realisation that the management and efficiency of
the public sector affects the private economy and national competitiveness.

6. Changes in technology
7. The role of the public sector in OECD nations has undergone a reassessment
since the mid 1970s. Questions about government have been raised, such as
should some of the provision of goods and services be handed over to the
private sector? As well as whether the government should regulate and
subsides to the extent it currently does?

The public sector however, affects the whole society as well as the economy.
Private businesses for example would not work without a legal framework
that enforces contracts. Decisions made in the private sector are affected by
taxes, standards, regulations and employment conditions. Finally, the public
sector is also a purchaser of services and goods from the private sector.

One of the crucial roles the public sector has to play is to determine ‘real living
standards’ which for most people, depends on government services such as:

 Quality of schools
 Hospitals
 Community care
 The environment
 Public transport
 Law and order
 Town planning
 Welfare services
There was an extensive debate in the 1980s about privatising public enterprises,
starting in the UK.

Conclusion

Since the late 1980s, due to the culmination of a reform process that has occurred
in many countries, it has been argued that public management has replaced the
traditional model of administration.

Farnham (1999:252) spoke of the relation to the Blair Government in the UK, saying
that, “New Labour thus appears to be building on the New Right legacy and has no
wish to return to former systems of traditional public administration or high public
spending”.

Reform therefore continued in most countries after it had started, even when
government were elected from either Left or Right.

There have therefore been two separate changes according to Hughes (2003:15). A
trend towards the ‘marketization’ of the public sector has been the first, in order to
shift public activities to the private sector. The second is a trend away from
bureaucracy as an organising principle within the public sector.

The two changes are in some ways linked, in that “the main reason for the
marketization is the presumed failure of bureaucracy and the provision by markets
is the main avenue pursued as an alternative to bureaucracy”. (Hughes 2003:15)

The new paradigm governing the management of the public sector has emerged,
one that moves the public sector away from administration towards management.
The earlier, rigidly bureaucratic model of administration is now discredited both
theoretically and practically.

The aim of improvement is the reason for reform, however it could be argued that
the capability of management has deteriorated as a result of change and reform.
Ethics, accountability, the theoretical basis of the new model and larger questions
concerning the role and organisation of the public services have all raised
questions that need to be addressed.

Financial, structure and planning techniques have been the main focus of
improvement, however the core of the reforms has been to move the public
services from servicing a welfare state to a public service with a primary objective
being the fostering of a globally competitive economy. (Nolan, 2003:185)
The corporatisation of the public sector has been seen as a replacement of
democratic government values with those of managerialism and market discipline,
as well as a replacement of its principles.

It has been made clear throughout the literature that the traditional model of
administration is outdated and has now been replaced by a new model of public
management.

Hughes (2003:256) tell us of the critics views on the public management reforms, in
that they are seen as an attack on democracy, an ideological movement, and finally
that all they have achieved is a derogation of morale within the public services
where change has already been tried.

Due to the traditional model of administration having many weaknesses, many

have argued that the model no longer deserved to be the model describing and
prescribing the relationship between governments, the public services and the
public.

We have highlighted many changes as a result of the public sector reform process,
such as cut backs in expenditure, a drive for efficiency and various forms of
privatisation.

Instead of there being reforms to the public sector, new public management
represents a transformation of the public sector and its relationship with
government and society.

The main reason for the fall of the traditional model of administration is basically
because it no longer worked and this was widely perceived. Some of the basic
beliefs of the model were challenged by the government who realised failure first.
Hughes (2003:51) tells us that government,

“began to hire people trained in management rather than administrators as well as

borrowing management techniques from the private sector”

The dividing line between the activities of the two sectors began to be pushed
aside, and once change began, the characteristics of the traditional model of
administration started to disappear completely.

Bibliography
 Behn, R.D (2001) Rethinking Democratic Accountability, Brooking Institution
Press. Washington DC
 Farnham, D (1999) ‘Human Resources Management and Employment
Relations, in Horton, S and Farnham, D (eds) Public Management in Britain,
Macmillian, London
 Hicks, U.K (1958) Public Finance, James Nesbit. Walwyn
 Hood, C (1991) A public management for all seasons? Public Administration
 Hood, C (1995) The New Public Management in the 1980s: Variations on a
theme, Elsevier Science Ltd. Great Britain
 Hughes, O.E (2003) Public Management and Administration: An introduction,
Palgrave Macmillan. Hampshire
 Kamenka, E (1989) Bureaucracy, Basil Blackwell. Oxford
 Larbi, G.A (2003) United Nations Research Institute for Social Development,
Discussion Paper 112
 Nolan, B.C (2001) Public Sector Reform, Palgrave. Hampshire
 OECD (1998) Public Management Reform and Economic and Social
Development, PUMA. Paris: OECD
 Peters, B.G (2001) The future of governing, “2nd ed, Lawrence, KS: University
Press of Kansas
 Pollitt, C and Bouckaert, G (2004) Public Management Reform: a comparative
analysis, Oxford University Press. Oxford
 www.gunston.gmu.edu : Pfeiffer, J.P (2004) Traditional Public Administration
versus the New Public Management: Accountability versus Efficiency. George
Mason University
Publicado: jueves, 04 mayo 2017
Gestión pública ¿Se ha socavado un espíritu de servicio público tradicional por las reformas de la
administración pública, introduciendo más valores del sector privado?
El desarrollo del modelo tradicional de administración se debe en gran medida a la tradición administrativa de
Alemania y la articulación de los principios de la burocracia de Max Weber. El desarrollo de las burocracias
modernas hizo posible la revolución industrial y el avance de las economías modernas.
El modelo tradicional se basa en la naturaleza de la burocracia, expresada por Weber. Hizo hincapié en el
control de arriba a abajo en forma de "jerarquía monocrática".