Professional Documents
Culture Documents
REFERENCES
Linked references are available on JSTOR for this article:
https://www.jstor.org/stable/3381044?seq=1&cid=pdf-
reference#references_tab_contents
You may need to log in to JSTOR to access the linked references.
JSTOR is a not-for-profit service that helps scholars, researchers, and students discover, use, and build upon a wide
range of content in a trusted digital archive. We use information technology and tools to increase productivity and
facilitate new forms of scholarship. For more information about JSTOR, please contact support@jstor.org.
Your use of the JSTOR archive indicates your acceptance of the Terms & Conditions of Use, available at
https://about.jstor.org/terms
Taylor & Francis, Ltd. is collaborating with JSTOR to digitize, preserve and extend access to
Public Productivity & Management Review
PUBLIC PRODUCTIVITY & MANAGEMENT REVIEW, vol. XVII, no. 1, Fall 1993 ( Jossey-Bass Publishers 1
The sense that we are confronting a new order is widely shared. Historically,
institutions competed principally on the basis of efficiency and prices. Eco-
nomic success, for instance, was measured by the ability to mass produce: to
fight for greater market share by manufacturing higher volumes of goods and
services with the same or fewer resources, thereby reducing costs and increas-
ing availability and access for a growing share of the population. The primary
operational values were efficiency and economy.
In the modern era competitiveness is based not only on efficiency and
economy, but also on the ability of institutions to deliver quality, variety,
customization, convenience, and timeliness (A. P. Carnevale, 1991). These
latter criteria maybe considered as subdimensions of "effectiveness," which,
along with efficiency, constitute the broader idea of productivity. Moreover,
these standards demand greater competencies, especially from front-line
employees.
The emergence of new performance standards represents a profound
shift in the way organizational performance isjudged. The efficiency standard
characteristic of the old economy, for instance, was "production-centered."
Today, new performance criteria shift the emphasis from the provision of ac-
cess to goods and services to an additional set of outcomes that occur in the
process of consuming the particular good or service. For example, in the pub-
lic sector it is no longer enough to guarantee access to a fixed number of years
of standardized schooling. Instead, the emphasis has shifted to providing
quality education, including a variety of choices customized to meet indi-
vidual and local needs, and delivered conveniently through state-of-the-art
methods and technologies. Moreover, public education institutions are being
asked to do all this with no appreciable increase in cost.
Performance Standards
Efficiency The ability to produce higher volume with the same or fewer
resources.
Quality Matching products or services to a human need with a consistent
conformance to standards.
Variety Providing choices to suit diverse tastes and needs.
Customization Tailoring goods and services to individual clientele.
Convenience Developing user-friendly products and services and delivering them
with high levels of customer satisfaction.
Timeliness Delivering innovations to customers, making continuous
improvement, and developing new applications quickly.
Skills
New performance standards require broader and deeper skills, especially for
nonsupervisory employees. Quality is a case in point. In order to meet quality
standards, everyone needs a solid grounding in the three R's and substantial
occupational preparation. But the basics are not enough anymore. Everyone
knows people with sound preparation in the basics who do shoddy work. Ul-
timately, quality requires the ability to take responsibility for more than one's
job assignment or work effort. Quality requires the ability to take responsibil-
ity for the final product or service. At a minimum, the ability to take respon-
sibility requires a set of self-management skills including self-esteem,
motivation, and goal setting. Taking responsibility for final products and
services also requires individuals to know how to influence others and to
work effectively in groups and with clients. This means that employees need
skills in influencing others, interpersonal relationships, negotiation, team-
work, organizational effectiveness, leadership, and communication (A. P.
Camevale, Gainer, and Meltzer, 1990).
Competitive standards other than quality require new skills as well. The
ability to handle variety, to customize, and to provide timely responses re-
quires adaptable employees who can learn, problem solve, and think cre-
atively. The ability to provide convenience for consumers requires the full
range of self-management, communication, adaptability, and interpersonal
skills. (See Figure 2.)
The new skill set is required for all workers-not only for those in the
upper echelons, but for those down the line where continuous improvements
in meeting new standards are essential as products are made, services deliv-
ered, and customers served.
Executives and managers also need a new mix of competencies to deal
with the changing world of work. The recently issued Report of the Task Force
on Executive and Management Development (1990), written by the U.S. Office
of Personnel Management (OPM), lists several. Among those that directly
address environmental change, organizational and sector interdependencies,
and human capital development requirements of the new economy are: (1)
the ability to work in climates of remarkable uncertainty and change; (2) the
ability to use a wide range of skills; (3) the ability to form partnersh
with participative management, and to engage in peer collaboration; (4) hav-
ing a sensitivity to changing technology; (5) possessing knowledge of organi-
zational roles and the work environment; (6) exhibiting brokerage and
negotiation skills in working with other organizations; and (7) being sup-
portive of staff development (U.S. Office of Personnel Management, 1990,
pp. 2-3).
The emerging workplace is increasingly appreciated as a learning envi-
ronment where high performance depends on fully utilizing the skills of ev-
eryone. What is required are both "lower-level learning," which means
learning to repeat past behaviors and detecting and correcting errors within a
given system of previously established rules, and "higher-level learning,"
which involves the capacity to understand when central norms, frames of ref-
erence, and basic assumptions need to be changed (Fiol and Lyles, 1985). It is
the difference between "single loop" and "double loop" learning (Argyris and
Schon, 1978). Line workers are given greater "scope of action" (D. G.
Carnevale, 1992a) in such systems and the role of managers is not just to give
orders but to manage the learning process. Managers are pivotal in the design
of work processes and training for formal and informal skill acquisition. They
also serve as listening posts and important conduits in the accumulation of
new organizational learning that is captured at the point of production or ser-
vice delivery, and in interaction with customers.
Few public institutions at the federal, state, or local level have made hu-
man capital development a high priority in their own organizations. While
there are encouraging changes currently underway, recently published data
estimate, for example, that the federal government spends about 0.8 percent
of total payroll on training as compared with progressive firms that spend
considerably more on their human assets. Nationwide private employers ex-
pend more than 1 percent of payroll on training. Individual employers expend
much more. Motorola expends almost 3 percent of its total payroll on train-
ing. IBM and Federal Express spend almost twice that amount. In France and
Australia employers have to invest at least 1 percent of payroll on training or
pay the residual as a tax to a national training fund.
Public agencies in the United States have been criticized for not having
strategic plans for training and development and linking such designs to long-
term organizational goals (National Commission on the Public Service,
1989). In general, it is fair to say that, in the recent past, government at all lev-
els has been helping the corporate sector address its human capital needs
while ignoring its own (Katz, 1990; McGregor, 1990). This is not the result of
a lack of strategic vision nor ignorance of the truth that human capital devel-
opment matters. Rather, there is a persistent set of paradoxes and obstacles
evident in the public domain that frustrate upgrading the skills of public
employees. While many qualify as the "usual suspects," they are no less
challenging.
Conclusion
The driving force for change in private sector performance arose from the
competitiveness challenge. The need for change arises in the public sector
because citizens are increasingly likely to insist upon similar performance
standards in both government and business. The quality of life of the nation
References
Argyris, C., and Schon, D. A. Organizational Learning. Reading, Mass.: Addison-Wesley, 1978.
Balk, W., Olshfski, D., Epstein, P., and Holzer, M. "Perspectives on Productivity. " Public Produc-
tivity and Management Review, 1991,15, 265-279.
Baumol, W. J., Blackman, S. A., and Wolfe, E. N. Productivity andAmericanLeadership: The View.
Cambridge, Mass.: MIT Press, 1989.
Berger, S. "The U.S. Textile Industry: Challenges and Opportunities." In The WorkingPapers ofthe
MITCommission onIndustrial Productivity. (Vol. 2) Cambridge, Mass.: MIT Press, 1989.
Blackburn,J. Time-Based Competition. TheNextBattleground inAmerica. Homewood, Ill.: Business
One, 1991.
Carnevale, A. P. America and the New Economy: How Competitive Standards Are Radically Chang-
ingAmerican Workplaces. San Francisco:Jossey-Bass, 1991.
Carnevale, A. P., Gainer, L. J., and Meltzer, A. S. Workplace Basics: The Skills Employers Want.
Washington, D.C.: American Society for Training and Development and U.S. Department of
Labor Employment and Labor Administration, 1990.
Carnevale, D. G. "The Learning SupportModel: Personnel PolicyBeyond the Traditional Model."
American Review of PublicAdministration, 1992a, 22,423-435.
Carnevale, D. G. "Trust in the Public Sector: Individual and Organizational Determinants." Ad-
ministration and Society, 1992b, 23, 471-494.
Celis, W., III. "More Schools Being Run by Local Panels." New York Times,June 30, 1991.
Choate, P., with Linger,J. K. The High-Flex Society: ShapingAmerica's Economic Future
Knopf, 1986.
Clark, K., andFujimoto, T. "The Power of Product Integrity." HarvardBusiness Review, 1990,68,
107-118.
Denison, E. Accounting for United States Economic Growth 1929-1969. Washington, D.C.:
Brookings Institution, 1974.
Dilulio, J., Kelman, S., Foreman, C. H., Jr., Katzmann, R. A., and Nivola, P. S. "Public Adminis-
tration ofJames Q. Wilson: A Symposium on Bureaucracy." PublicAdministration Review, 1991,
51,193-201.
Downs, G. W., and Larkey, P. D. The Searchfor Government Efficiency: From Hubris to He
Philadelphia: Temple University Press, 1986.
Fiol, C. M., and Lyles, M. A. "Organizational Learning." Academy of ManagementReview, 1985, 10,
803-813.
Flynn, P. Facilitating Technological Change: The Human Resource Challenge. New York: Balling
1989.
Garvin, D. Managing Quality. New York: Free Press, 1988.
Goldhar,J., andJelinek, M. "Plan for Economies of Scope." Harvard Business Review, 1983,61,
141-148.
Heilemann,J. "Government Agencies Are a Haven for the Mediocre Because They Don't Try t
Anybody Better." Washington Monthly, Dec. 1990.
Holzer, M., and Rabin,J. "Public Service: Problems, Professionalism, and Policy Recommenda-
tions." Public Productivity Review, 1987,43,3-13.
Hout, T. M., and Stalk, G.,Jr. CompetingAgainst Time: How Time-Based Competition Is Reshaping
Global Markets. New York: Free Press, 1990.
Hudson Institute. Civil Service 2000. Prepared for the U.S. Office of Personnel Management Ca-
reer Entry Group. Indianapolis, Ind.: Hudson Institute, 1988.
Hummel, R. P. "Behind Quality Management: What Workers and a Few Philosophers Have Al-
ways Known and How ItAddsUp to Quality." Organizational Dynamics, 1987,16,71-78.
Hyde, A. C. "The Proverbs of Total Quality Management: Recharting the Path to Quality Improve-
mentin the Public Sector." Public Productivity and Management Review,1992,16,25-37.
Katz, D., Gutek, B. A., Kahn, R. L., and Barton, E. Bureaucratic Encounters: A Pilot Study in the
Evaluation of Government Services. Ann Arbor: Survey Research Center, Institute for Social Re-
search, University of Michigan, 1975.
Katz,J. L. "Help Wanted." Governing, 1990,68-72.
Kee,J., andBlack, R. "Is Excellencein the Public Sector Possible?" PublicProductivi4yReview, 1985,
9,25-34.
Lawler, E. E., III. High-Involvement Management: Participative Strategies forImproving Organiza
tional Management. San Francisco:Jossey-Bass, 1986.
LeBoeuf, M. J. How To Win Customers and Keep Themfor Life. New York: Putnam, 1987.
Likert, R. New Patterns of Management. New York: McGraw-Hill, 1961.
McGregor, E. B. "The Public Sector Human Resource Puzzle: Strategic Management of a Strate-
gic Resource." PublicAdministration Review, 1990,48,941-951.
Mintzberg, H. "Organization Design, Fashion or Fit?" Harvard Business Review, 1981, 59. Cited
in Kreitner, R., and Kinicki, A., Organizational Behavior. (2nd ed.) Homewood, Ill.: Irwin, 1992.
National Commission on the Public Service. LeadershipforAmerica: Rebuilding the Public Service.
Washington, D.C.: National Commission on the Public Sector, 1989.
Noyelle, T. "Skill Needs in the Service Sector: The Role of Firm-Based Training." Testimony Given
Before thejoint Economic Committee, Hearings on Crisis in the Workplace: Mismatch ofJobs
and Skills, U.S. Congress, Oct.31, 1989.
Office of Technology Assessment, U.S. Congress. Technology and theAmerican Economic Transi-
tion: Choicesfor the Future. (OTA-TET-283) Washington, D.C.: U.S. Government Printing Of-
fice, 1988.