What are the principles and elements of new public management? Principles of New public Management include EFFICIENCY, MARKET-BASED, and EFFECTIVENESS, these are common features of this paradigm. Elements of new public management are the core ethos and ideologies which define this element in the field of administration and management. New public management and its common Elements of new public management, aim to improve the efficiency and effectiveness of organizations. New public management has not been a mere idea, but a paradigm shift from the traditional methods of administration to market-based orientation for government-owned institutions.
Osborn, Christopher Hood, and Gaebler, reputable founding fathers of the New public management approach, emphasized the need of reinventing government structures in their book. Government institutions had greatly focused on Bureaucratic features back in the day, hence being too slow and rigid to operate effectively.
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The government only emphasized building formal organizations and managing government through rules, hierarchy, recruitment of merit, and division of labor. But new public management introduces advanced strategic management and reforms opposite to modern traditional methods of public administration. It has become evident especially on the importance of New public management (NPM) in the public service and how it helps transform structures from traditional public administration. Organizations have significantly improved after implementing these principles of New public Management below.
Elements of New Public Managements
New public management has been just reforms but adjustments to the private sector. Proposes more flexibility in the way government organizations operate and execute their services. Despite being criticized for promoting profit-based motive in public service, its aim is to provide services to people and not make money operate based on these elements of new public management. 10 features of new public management in public administration
1. Administrators play the role of managers
Management has a role at the upper level of the organization in new public management. Administrators work and perform the duties of managers throughout the organization. Not only do they carry out implementation and control but also ensure desired results get archived. Management’s relationship with an organization, plays an important role in new public management and the goals of the organization. Organizations realized, that for things to work there is need for NPM because it introduces an important aspect of management, therefore improving the quality of services and quick delivery.
2. Organizational Flexibility
New public management helps in Creating more flexibility and improves organizational dynamics. Elevates the arrangements and way of doing things within the organization by focusing on measuring results and outputs. Work gets measured through targets and results as opposed to people just being available for work.
3. Promotes Efficiency
New public management emphasizes the need to promote efficiency in public services. This is to archive competitive advantage because government institutions now compete with the private sector. To foster this ideology, new public management practices common in 3E’s economy involves being familiar with the environment, efficiency, and lastly effectiveness.
4. Market Based Approach
The government under new public management is advised to take on actions that form market-oriented models, in order to attain competitive advantage and improve efficiency. Public administration through the old traditional models has been too bureaucratic, but the market-based approach introduces complexity and flexibility to the government.
According to the new public management, Government plays an important role in service delivery, therefore all the activities should be adequate and appropriate. People at a lower level of management must be given an opportunity to strategize, implement and monitor policies until an expected goal gets archived through decentralizing the roles, duties, and responsibilities of managers.
6. Result Oriented
New public management promotes result-oriented methods and processes by measuring outputs. Organization structures get divided to enhance productivity and introduction of contracts in the public sector to help foster quality and expected behavior from employees. Each individual becomes responsible for results, hence people work not towards archiving organizational goals but job responsibilities.
7. Measures Outputs
This theory of new public management transforms the framework of the organization to focus on outputs and not inputs. Organizations, tend to learn how to improve through delivery, a measure of outputs, and customer feedback. Employees given duties become responsible for ensuring implementation., improvement and monitoring.
New public management promotes responsiveness of any administration. Encourages managers to make sound decisions that should chnage internal and external processes of public administration. Organizations need to be more responsive to the needs that arise from social, economical, and other aspects of society including the political and technological environment. Read on how Swot analysis can be implemented by modern organizations to evaluate its weakness and strength. In today’s economy, it’s of great importance to evaluate the corporate philosophy of environmental organizations.
9. Improves Bureaucracy
A new public management approach improves Bureaucratic structures. Does not focus on bureaucratic processes and culture but brings in aspects of efficiency, effectiveness, and complexity to shift the old culture of organizations to new modern methods.
10. Quality Service Delivery
Finally, New Public Management (NPM) is an improved scheme of public administration, which improves quality service delivery. It’s an upgrade to the old methods, processes, and structures which elevates ways of doing business for government institutions, public administration and management. Through comparisons made with reference to the private sector, government organizations produce more improved products and services with the adoption of new public management (NPM)