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Presenta(on:	
  Annual	
  Crawford	
  
PhD	
  Conference	
  
Lhawang	
  Ugyel	
  
PhD	
  Candidate	
  in	
  Public	
  Policy	
  	
  
Supervisors:	
  	
  
Janine	
  O’	
  Flynn	
  
Yusaku	
  Horiuchi	
  
Paul	
  Atkins	
  
Outline	
  of	
  Presenta(on	
  
•  Presenta(on	
  Topic	
  
•  Literature	
  Background	
  
•  Case	
  Study	
  
•  Administra(ve	
  Context	
  and	
  Culture	
  
•  Findings	
  and	
  Analysis	
  
•  Conclusion	
  
2	
  
Presenta(on	
  Topic	
  	
  
•  When	
  implemen(ng	
  public	
  sector	
  reforms	
  
based	
  on	
  best	
  prac(ces	
  it	
  is	
  important	
  to	
  
consider:	
  
– The	
  administra(ve	
  tradi(on	
  and	
  context	
  within	
  
which	
  reforms	
  are	
  applied	
  
– The	
  values	
  and	
  culture	
  that	
  are	
  associated	
  with	
  
the	
  reforms	
  
Literature	
  Background	
  
•  Spread	
  of	
  public	
  sector	
  reforms	
  
–  NPM	
  is	
  claimed	
  to	
  have	
  spread	
  with	
  an	
  ‘energy’	
  and	
  ‘simultaneity’	
  never	
  
experienced	
  before	
  (Jones	
  and	
  KeQl	
  2004:	
  463),	
  and	
  is	
  notable	
  for	
  its	
  magnitude,	
  
breadth	
  and	
  significance	
  (Halligan	
  2001)	
  
•  Countries	
  chose	
  a	
  combina(on	
  of	
  instruments	
  during	
  implementa(on	
  of	
  
reforms	
  
–  Different	
  needs,	
  poli(cal	
  pressures,	
  historical	
  tradi(ons	
  (Aberbach	
  and	
  
Christensen	
  2003:	
  504)	
  	
  
–  Differences	
  in	
  na(onal	
  reform	
  paths	
  and	
  reform	
  paQerns	
  (Hajnal	
  2005:	
  496)	
  
•  For	
  success,	
  important	
  to	
  consider	
  the	
  administra(ve	
  context	
  and	
  the	
  culture	
  
within	
  which	
  the	
  reforms	
  are	
  applied	
  
–  The	
  understanding	
  of	
  the	
  na(onal	
  cultural	
  variable	
  is	
  essen(al	
  to	
  get	
  an	
  
‘understanding	
  of	
  the	
  interplay	
  between	
  public	
  ins(tu(ons	
  and	
  the	
  social	
  context’	
  
as	
  na(onal	
  cultures	
  influence	
  the	
  ‘structure’	
  and	
  ‘performance’	
  of	
  public	
  
administra(on	
  (Andrews,	
  2008:	
  171-­‐172)	
  
–  It	
  also	
  gives	
  an	
  understanding	
  of	
  why	
  administra(ve	
  reforms	
  vary	
  in	
  nature	
  and	
  
follow	
  different	
  paths	
  (Capano	
  2003:	
  782)	
  
4	
  
Case	
  Study:	
  Why	
  Bhutan?	
  
•  Hybrid	
  Administra(ve	
  System	
  
•  Unique	
  Culture	
  
•  Rela(vely	
  under-­‐studied	
  country	
  	
  
•  Posi(on	
  Classifica(on	
  System	
  (PCS):	
  bundle	
  of	
  
public	
  sector	
  reforms	
  
Administra(ve	
  Context	
  and	
  Culture	
  
Administra(ve	
  Tradi(on	
  and	
  Context	
  	
  
Culture	
  and	
  Values	
  
•  Values	
  Survey	
  Module	
  developed	
  by	
  Geert	
  
Hofstede—5	
  dimensions	
  of	
  culture	
  
•  Methodology:	
  
– Bhutan:	
  271	
  civil	
  servants	
  from	
  17	
  agencies	
  
– Australia:	
  75	
  public	
  servants	
  from	
  27	
  agencies	
  
– “Anchored”	
  against	
  the	
  VSM2008	
  scores	
  to	
  get	
  the	
  
World	
  Average	
  
Findings	
  and	
  Analysis	
  
Overall	
  Percep(on	
  of	
  the	
  PCS	
  
•  Methodology:	
  	
  
–  Quan(ta(ve:	
  Stra(fied	
  random	
  sampling—728	
  surveys	
  sent,	
  271	
  surveys	
  
received	
  
–  Qualita(ve:	
  21	
  interviews	
  
•  Response	
  not	
  random:	
  
–  Pseudo	
  R-­‐Square	
  0.14	
  and	
  the	
  p-­‐value	
  of	
  the	
  chi-­‐square	
  <	
  .001—T-­‐test	
  of	
  the	
  
means	
  large	
  enough	
  to	
  reject	
  the	
  null	
  hypothesis	
  (p	
  value	
  is	
  <	
  .001).	
  	
  
•  Change	
  in	
  the	
  percep(on	
  towards	
  the	
  PCS	
  over	
  
the	
  years.	
  	
  
•  Also	
  indica(ve	
  of	
  the	
  poor	
  transi(on	
  
management	
  of	
  such	
  a	
  major	
  reform-­‐ini(a(ve:	
  
– PCS	
  was	
  perceived	
  by	
  officials	
  as	
  being	
  a	
  major	
  
reform	
  situated	
  ‘within	
  a	
  larger	
  social	
  context’	
  and	
  
one	
  that	
  required	
  people	
  to	
  ‘change	
  their	
  mindset’	
  
in	
  a	
  big	
  way.	
  
•  PCS	
  has	
  its	
  share	
  of	
  successes	
  as	
  well	
  as	
  failures	
  
Successes	
  
•  Recruitment,	
  Selec(on	
  and	
  Promo(on:	
  
–  Fits	
  with	
  the	
  TPA	
  characteris(cs	
  of	
  impar&ality	
  and	
  a	
  
bureaucra&c	
  characteriza&on.	
  	
  
–  Average	
  PDI	
  scores	
  for	
  Bhutan	
  reflects	
  the	
  emphasis	
  on	
  
manager’s	
  reliance	
  on	
  formal	
  rules	
  and	
  procedures	
  as	
  the	
  
guiding	
  principles.	
  	
  
•  Human	
  Resource	
  Development	
  (HRD):	
  
–  HRD	
  comprises	
  mostly	
  training	
  and	
  development	
  ac(vi(es	
  	
  
–  Approximately	
  70%	
  of	
  the	
  respondents	
  agreed	
  that	
  the	
  
PCS	
  provided	
  opportuni(es	
  to	
  upgrade	
  their	
  
qualifica(ons.	
  	
  
Mixed	
  Results	
  	
  
•  Classifica(on	
  of	
  Posi(ons	
  and	
  Occupa(onal	
  Groups:	
  
–  Successes:	
  
•  Matched	
  the	
  bureaucra&c	
  nature	
  of	
  the	
  public	
  administra(on	
  
system	
  in	
  Bhutan	
  	
  
•  Also	
  matched	
  the	
  presence	
  of	
  a	
  power	
  distance	
  culture	
  in	
  the	
  
system	
  where	
  work	
  places	
  have	
  taller	
  organiza(on	
  pyramids	
  and	
  
there	
  is	
  hierarchy	
  	
  
–  Failures:	
  
•  Inculca(on	
  of	
  professionalism	
  under	
  the	
  NPM	
  	
  
–  ‘There	
  is	
  a	
  lot	
  of	
  power	
  and	
  pomp	
  associated	
  with	
  being	
  a	
  secretary	
  to	
  the	
  
government	
  who	
  enjoys	
  a	
  lot	
  of	
  authority,	
  whereas	
  the	
  specialists	
  have	
  
none	
  of	
  these	
  benefits:	
  thus	
  people	
  do	
  not	
  opt	
  to	
  join	
  the	
  specialist	
  
category’.	
  	
  
•  Reflec(ve	
  of	
  Bhutan’s	
  low	
  scores	
  in	
  the	
  LTO	
  index	
  and	
  the	
  
importance	
  accorded	
  to	
  preserving	
  face	
  and	
  fulfilling	
  social	
  
obliga(ons.	
  
Unsuccessful	
  
•  Performance	
  Management	
  System:	
  
–  Clash	
  with	
  the	
  emphasis	
  of	
  the	
  Bhutanese	
  public	
  
administra(on	
  system	
  of	
  focusing	
  largely	
  on	
  inputs	
  and	
  
following	
  standard	
  opera&on	
  procedures,	
  which	
  are	
  the	
  
predominant	
  characteris(cs	
  of	
  TPA.	
  	
  
–  PMS	
  was	
  seen	
  as	
  promo&ng	
  the	
  values	
  of	
  individualism	
  
and	
  compe&&on,	
  as	
  one	
  interviewee	
  pointed	
  out,	
  ‘values	
  
that	
  most	
  Bhutanese	
  are	
  not	
  familiar	
  with’.	
  	
  
–  The	
  unfamiliar	
  values	
  of	
  individualism	
  made	
  it	
  difficult	
  for	
  
managers	
  during	
  evalua(on—cri(cized	
  by	
  their	
  staff	
  for	
  not	
  
being	
  compassionate	
  enough	
  (‘compassion	
  misplaced’).	
  	
  
Conclusion	
  
•  Findings	
  conform	
  to	
  studies	
  which	
  show	
  that	
  
successful	
  reforms	
  are	
  ‘culturally	
  sensi(ve’	
  and	
  
that	
  there	
  should	
  be	
  a	
  match	
  between	
  rules,	
  
iden((es	
  and	
  situa(ons	
  (Theonig	
  2003:	
  133).	
  
•  Varia(ons	
  exist	
  across	
  administra(ve	
  systems—
Inherent	
  	
  differences	
  in	
  culture	
  and	
  values	
  require	
  
the	
  recipient	
  countries	
  to	
  either:	
  	
  
–  Accept	
  or	
  adapt	
  the	
  new	
  culture	
  and	
  values	
  embedded	
  
with	
  the	
  reforms;	
  or	
  	
  
–  To	
  acknowledge	
  the	
  differences	
  and	
  change	
  the	
  
reforms	
  to	
  suit	
  the	
  local	
  context.	
  	
  
Thank	
  You!	
  

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Annual Crawford PhD Conference Public Sector Reforms

  • 1. Presenta(on:  Annual  Crawford   PhD  Conference   Lhawang  Ugyel   PhD  Candidate  in  Public  Policy     Supervisors:     Janine  O’  Flynn   Yusaku  Horiuchi   Paul  Atkins  
  • 2. Outline  of  Presenta(on   •  Presenta(on  Topic   •  Literature  Background   •  Case  Study   •  Administra(ve  Context  and  Culture   •  Findings  and  Analysis   •  Conclusion   2  
  • 3. Presenta(on  Topic     •  When  implemen(ng  public  sector  reforms   based  on  best  prac(ces  it  is  important  to   consider:   – The  administra(ve  tradi(on  and  context  within   which  reforms  are  applied   – The  values  and  culture  that  are  associated  with   the  reforms  
  • 4. Literature  Background   •  Spread  of  public  sector  reforms   –  NPM  is  claimed  to  have  spread  with  an  ‘energy’  and  ‘simultaneity’  never   experienced  before  (Jones  and  KeQl  2004:  463),  and  is  notable  for  its  magnitude,   breadth  and  significance  (Halligan  2001)   •  Countries  chose  a  combina(on  of  instruments  during  implementa(on  of   reforms   –  Different  needs,  poli(cal  pressures,  historical  tradi(ons  (Aberbach  and   Christensen  2003:  504)     –  Differences  in  na(onal  reform  paths  and  reform  paQerns  (Hajnal  2005:  496)   •  For  success,  important  to  consider  the  administra(ve  context  and  the  culture   within  which  the  reforms  are  applied   –  The  understanding  of  the  na(onal  cultural  variable  is  essen(al  to  get  an   ‘understanding  of  the  interplay  between  public  ins(tu(ons  and  the  social  context’   as  na(onal  cultures  influence  the  ‘structure’  and  ‘performance’  of  public   administra(on  (Andrews,  2008:  171-­‐172)   –  It  also  gives  an  understanding  of  why  administra(ve  reforms  vary  in  nature  and   follow  different  paths  (Capano  2003:  782)   4  
  • 5. Case  Study:  Why  Bhutan?   •  Hybrid  Administra(ve  System   •  Unique  Culture   •  Rela(vely  under-­‐studied  country     •  Posi(on  Classifica(on  System  (PCS):  bundle  of   public  sector  reforms  
  • 8. Culture  and  Values   •  Values  Survey  Module  developed  by  Geert   Hofstede—5  dimensions  of  culture   •  Methodology:   – Bhutan:  271  civil  servants  from  17  agencies   – Australia:  75  public  servants  from  27  agencies   – “Anchored”  against  the  VSM2008  scores  to  get  the   World  Average  
  • 9.
  • 11. Overall  Percep(on  of  the  PCS   •  Methodology:     –  Quan(ta(ve:  Stra(fied  random  sampling—728  surveys  sent,  271  surveys   received   –  Qualita(ve:  21  interviews   •  Response  not  random:   –  Pseudo  R-­‐Square  0.14  and  the  p-­‐value  of  the  chi-­‐square  <  .001—T-­‐test  of  the   means  large  enough  to  reject  the  null  hypothesis  (p  value  is  <  .001).    
  • 12. •  Change  in  the  percep(on  towards  the  PCS  over   the  years.     •  Also  indica(ve  of  the  poor  transi(on   management  of  such  a  major  reform-­‐ini(a(ve:   – PCS  was  perceived  by  officials  as  being  a  major   reform  situated  ‘within  a  larger  social  context’  and   one  that  required  people  to  ‘change  their  mindset’   in  a  big  way.   •  PCS  has  its  share  of  successes  as  well  as  failures  
  • 13.
  • 14. Successes   •  Recruitment,  Selec(on  and  Promo(on:   –  Fits  with  the  TPA  characteris(cs  of  impar&ality  and  a   bureaucra&c  characteriza&on.     –  Average  PDI  scores  for  Bhutan  reflects  the  emphasis  on   manager’s  reliance  on  formal  rules  and  procedures  as  the   guiding  principles.     •  Human  Resource  Development  (HRD):   –  HRD  comprises  mostly  training  and  development  ac(vi(es     –  Approximately  70%  of  the  respondents  agreed  that  the   PCS  provided  opportuni(es  to  upgrade  their   qualifica(ons.    
  • 15. Mixed  Results     •  Classifica(on  of  Posi(ons  and  Occupa(onal  Groups:   –  Successes:   •  Matched  the  bureaucra&c  nature  of  the  public  administra(on   system  in  Bhutan     •  Also  matched  the  presence  of  a  power  distance  culture  in  the   system  where  work  places  have  taller  organiza(on  pyramids  and   there  is  hierarchy     –  Failures:   •  Inculca(on  of  professionalism  under  the  NPM     –  ‘There  is  a  lot  of  power  and  pomp  associated  with  being  a  secretary  to  the   government  who  enjoys  a  lot  of  authority,  whereas  the  specialists  have   none  of  these  benefits:  thus  people  do  not  opt  to  join  the  specialist   category’.     •  Reflec(ve  of  Bhutan’s  low  scores  in  the  LTO  index  and  the   importance  accorded  to  preserving  face  and  fulfilling  social   obliga(ons.  
  • 16. Unsuccessful   •  Performance  Management  System:   –  Clash  with  the  emphasis  of  the  Bhutanese  public   administra(on  system  of  focusing  largely  on  inputs  and   following  standard  opera&on  procedures,  which  are  the   predominant  characteris(cs  of  TPA.     –  PMS  was  seen  as  promo&ng  the  values  of  individualism   and  compe&&on,  as  one  interviewee  pointed  out,  ‘values   that  most  Bhutanese  are  not  familiar  with’.     –  The  unfamiliar  values  of  individualism  made  it  difficult  for   managers  during  evalua(on—cri(cized  by  their  staff  for  not   being  compassionate  enough  (‘compassion  misplaced’).    
  • 17. Conclusion   •  Findings  conform  to  studies  which  show  that   successful  reforms  are  ‘culturally  sensi(ve’  and   that  there  should  be  a  match  between  rules,   iden((es  and  situa(ons  (Theonig  2003:  133).   •  Varia(ons  exist  across  administra(ve  systems— Inherent    differences  in  culture  and  values  require   the  recipient  countries  to  either:     –  Accept  or  adapt  the  new  culture  and  values  embedded   with  the  reforms;  or     –  To  acknowledge  the  differences  and  change  the   reforms  to  suit  the  local  context.