Good

Governance
Lecture 3
TRP514 DR LIM
Content
• Urban Management versus Urban
Governance
• Definitions of Good Governance
• Principles of Good Governance
• Worldwide Governance Indicators
• Discussion
What is the Difference
between Urban
Management and
Urban Governance?
 Urban Management Vs Urban Governance
Management
• Act of managing – those in charge of running
business
• Management in business and human
organisation activity – getting people
together to accomplish desired
goals/objectives.
• Often related to administration – process or
practice of managing
• Example – a city manager – an official
appointed as administrative manager of a
city, in council. Or local officials serving in this
position are sometimes referred to as the
chief administration officer (CAO) in some
municipalities
Governance
• Assistance, indicating only that governance is
a synonym for government
• The ac or process of governing, specifically
authoritative direction and control.
• Specifically focuses on the effectiveness of the
executive branch of government.
• Broader notion than government
• Involves interaction between formal
institution an civil society
• Refer to a process whereby elements in
society wield power, authority and influence
and enact policies and decisions concerning
public life and social upliftment.
How UNDP defines Governance?

• The UNDP defines governance as ‘the system of values, policies and

institutions by which a society manages its economic, political and
social affairs through interactions within and among the state, civil
society and private sector (UNDP, 2011b, p287).

• In contrast 'government' is more narrowly defined as ‘the formal and

institutional processes which operate at the level of the nation state
to maintain public order and facilitate collective action’ (Stoker, 1998).
How World Bank Defines Governance?
Internal
Accountability
relationships may be
a) the judiciary’s or
parliament’s check on
the executive (the
president and Government
cabinet), or
b) monitoring and audits Accountability
within the
government by
ministers or senior
officials on bureacrats.
External
Accountability is by
the people –
either
External a) on politicians
The Accountability The through elections or
public debate, or
People
Internal b) on through feedback
mechanisms (such as
report cards) or
c) choices of competing
service providers
Inclusiveness means that all the people, not
just some of them, have the opportunity to
participate in the governance process and to hold
government accountable
(*governance is not inclusive if some, say women,
cannot vote or if only a small elite decide on laws)

Inclusiveness also means that governments

treat all citizens equally, without exclusion or
discrimination, whether in the application of the
rule of law or in the access to key public social
services
(*governance is not inclusive if either policy or
bureaucratic behavior effectively excludes, say,
minorities from public education)
Note: MENA – Middle East and North Africa
What is Good
Governance?
https://www.youtube.com/watch?v=tHEx1Yv7rPs
Who coined the concept of Good Governance?
• The World Bank introduced the
concept in its 1992 report entitled
"Governance and Development".
• According to the document, good
governance is an essential complement
to sound economic policies and is
central to creating and sustaining an
environment which fosters strong and
equitable development.
What is the concept of good governance?
• The World Bank has defined ‘good
governance’ as ‘the manner in which
power is exercised in the management of
a country’s economic and social
resources for development’
• Good governance means that processes
and institutions produce results that
meet the needs of society while making
the best use of resources at their
disposal.
• The concept of efficiency in the context
of good governance also covers the
sustainable use of natural resources and
the protection of the environment.
What are the
Principles of
Good
Governance?
https://www.youtube.com/watch?v=3RmKW87_KAo
 Principles of Good Governance
• Accountability – accountable on every decision
made.
• Efficiency & Effectiveness – processes and
institutions produce results that meet the needs of
society.
• Consensus oriented – mediation of the different
interest in society to reach a broad consensus in
society.
• Transparency – decision are done in a manner that
follow rules and regulations.
• Responsive – institutions and processes try to serve
all stakeholders with reasonable timeframe.
• Equitable and Inclusive – all group to have
opportunity to improve or maintain their well-being
• Rule of Law – fair legal framework that are enforced
impartially.
• Participatory – key cornerstone of good governance.
 • The WGI feature six aggregate
governance indicators for over 200
countries and territories over the
period 1996–2022:
• Voice and Accountability
• Political Stability and Absence of
Violence/Terrorism
• Government Effectiveness
• Regulatory Quality
• Rule of Law
• Control of Corruption
https://www.govindicators.org/
 WGI – Cases

Malaysia UK Indonesia
https://www.govindicators.org/interactive-data-access
 WGI – Cases

Malaysia UK Indonesia
https://www.govindicators.org/interactive-data-access
 Discussion - Good Governance
• Easily understood, widely accepted criteria
(rule of law, government effectiveness, etc)
• Draw on work of expert institutions tracking
specific fields, political risk, investor attitudes
• Aggregation helps improve reliability (wider
sample of opinions)
• Encourage countries to focus resources on
problem areas, draws public attention
• Encourage countries to learn from each
other
• More valuable when available over time https://pdf4pro.com/cdn/good-governance-and-its-
benefits-on-economic-development-442998.pdf
 Discussion - Good Governance
• This political struggle is evident in the
‘good governance’ framework proposed
by World Bank (1992), with a long list of
targets that includes 114 strategies and
are often criticized as difficult for
governments to decide on and
implement (Grindle 2004).
• Further to ‘good governance’, Grindle
(2004, 2007) extended the discussion to
the principle of ‘good enough
governance’, the main idea of which is
to prioritize development strategies
based on the specific cultural context of
change and queries on intervention
content.