Public Sector Reform revisited in the context of Globalisation



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Public Sector Reform revisited in the context of Globalisation United Nations Department of Economic and Social Affairs Division for Public Economics and Public Administration 4/6/01 1

Secretary-General Kofi Annan Statement to General Assembly, 21st Century Action Plan, 3rd April 2000 If one word encapsulates the changes we are living through, it is Globalisation We live in a world that is interconnected as never before... 4/6/01 2

Globalisation is driven by information technology telecommunications and economic liberalisation Globalisation & its impact It has the potential to transform the traditional ways in which organisations and people operate, co-operate and interface Faster growth Higher living standards New opportunities 4/6/01 3

Globalisation & its impact... Opportunities are far from being equally distributed ❿ a dramatic rise in poverty ❿ a rise in organised crime and corruption ❿ a deteriorating global environment We can no longer ignore this growing disparity and widening gap between the rich and poor, the powerful and the weak, the skilled and the unskilled, the networked and the isolated... 4/6/01 4

Globalisation Challenges & Opportunities Globalisation is an extraordinarily powerful force offering both unique opportunities and challenges for nations and people and the challenge is clear, if we are to capture the promises of globalisation while managing its adverse effects, we must learn to govern better, and we must learn how better to govern together 4/6/01 5

World Trends in Public Sector Reform Country profiles on civil service reform are grouped and presented as follows, Anglo - Saxon Countries (Australia, Canada, New Zealand, UK and U.S.A) The European Union Eastern and Central Europe Latin America Africa Asia 4/6/01 6

Anglo - Saxon Countries (Australia, Canada, New Zealand, UK and U.S.A) Motivation for reform - Rising costs of Government and the Public Service - Increasing Tax Burden and Erosion of confidence in the Government Principal exponents of the New Public Management movement 4/6/01 7

Characteristics of New Public Management Putting the People first accent on results service to the public delegation of authority greater attention to cost and the quest for efficiency adoption of private sector practices, such as contracting out and merit pay 4/6/01 8

The European Union A Model of Regional Integration and Cooperation Models Latin America An Opening to Civil Society Eastern and Central Europe A Transition Model with four major phases, - Transformation - Consolidation - Modernisation - Adaptation of Public Sector Reform Around the World Africa Reform-in-progress with mixed results 4/6/01 9

The Asian Experience Due to a long Tradition of a Strong State administration and a popular view of the State as having a major responsibility for socio-economic development, there is less mental resistance to State intervention Importance of the family and community, respect for authority and consensual decision making are distinct values rooted in the Asian culture Recognises the importance of public sector reform but rightfully questions adopting all aspects of foreign public management models 4/6/01 10

Existing Concerns The Asian Experience growing influence of religion and traditional values in politics and administration political factors and corruption embedded in the management of public sector human deprivation in parts of Asia There are important political, social and legal dimensions distinctive and specific to Asia. Asian governments must thus craft their own solutions for good governance and an effective public administration 4/6/01 11

Globalisation Capacity - Building involves in the age of Inter - connectivity 4/6/01 12

Impact of Globalisation on Spread of global markets Public Sector Reform Experience of fiscal deficits and the need to control budget deficits Growth of multi-lateral institutions and partnership Democratisation process 4/6/01 13

Public Sector Reform involves... Capacity - Building alters the structures, methods, process and operations of public administration, making new demands on public servants 1) Re-engineering the institution-building process Emergence of new triangular relationship between the State, the private sector and the individual, together with the rise of an active civil society. 2) Human Resource Management Public servants, to meet these new demands at all levels, are challenged to develop a new configuration of competencies, skills, attitudes and values 4/6/01 14

Redesigning the structure of government Impact of Globalisation Plethora of new institutions Pressure for more participation in decisionmaking Resulting structure of institutions de-bureaucratisation decentralisation democratisation Transformation of institutions from, closed, rules-bound, formalistic to responsive, flexible, permeable administrations Strategies for institutional-response must be fundamentally based upon, democracy consolidation rule of law, and a participatory approach 4/6/01 15

Human Resources Development Impact of Globalisation shift from traditional bureaucratic to managerial model demanding new human resource capacities in the public service Civil Service Reform Transformation of personnel management processes; recruitment, career development and succession planning Pay reform Continuous learning and adequate training To build a framework able to attract, retain, develop and motivate personnel of the appropriate calibre for service to the government and to the country Public Servant of the 21st Century ~ integrity, professionalism and a respect for diversity ~ 4/6/01 16

The Knowledge-based Administration ~ A Revolution in Management ~ Information Technology as, a Tool for Policy-making and for the Delivery of Public Sector services Performance indicators for Benchmarking and Best practices Cutting across all above is the issue of efficiency and effectiveness 4/6/01 17

Capacity - Building Age of Globalisation A Means to an End, Not an End in itself 4/6/01 18

Public Sector Reform demands a holistic approach... A Change of Mindset to move away from the sense of inevitability of globalisation with a limited role for the State. A Clear Response that includes both institutionbuilding and human-resource strengthening in the pubic sector. An Appropriate Response as there is no one size fits all solution. 4/6/01 19

The UN Role in Public Sector Reform Policy advisory services Establish appropriate mechanisms and communication channels to facilitate international, national, and non-governmental exchange of public sector reform experiences 4/6/01 20

Vision of Public Administration in the 21st century Strengthen The Institution and Empower The People Vision, openness to change, receptivity to new ideas, and also sensitivity to pressing human needs and political awareness are essential to face the challenges in the 21st century, as such personal integrity coupled with leadership and managerial skills in the public sector will have to be strengthened 4/6/01 21

Vision of Public Administration in the 21st century 4/6/01 22