GOVERNANCE AND

PUBLIC POLICY
Chapter: 1 Basic concept of Governance
1. Contents of Basic concept of
governance
 Origin of Governance
 Definition
 Difference between Government and Governance
 Three ideal types of Governance i-e Hierarchical,
Market and Network Governance/ Governance Styles
 Hybrid Forms of Governance
 Models of Management and Management skills i-e
Traditional Public Administration, New public
management and New public service
2.Contents Of Good Governance

 Definition of Good Governance

 Need for Good Governance
 Concept of Good Governance
 Characteristics of Good Governance
 Failure of Good Governance
 Reasons for failure of Good governance
 Diagnostic tools against Poor/ Bad Governance & their effects
 Six broad Dimensions of Good Governance/World wide
Governance Indicators (WGI)
 WGI data sources
3. Role of Citizens In Governance
 Introduction
 Good Governance
 Citizen Participation
 Citizen Engagement
 Citizen Partnership
 Citizen Centered Governance
 1.Basic concept of Governance
 Definition
• The way government gets its job done.
• The process of governing.
• The process which includes all actors involved in influencing the decision
–making process.
 Origin
 Governance derived from Greek verb “Kubernao” meaning to steer.
 First attested by Plato.
 The word Governance was also traced by Charles Plummer in his book
“The Governance Of England” published in 1885
 Term governance was recently used in 1990s by economists and political
scientists.
 This term was later on widely used by UN, IMF, World bank
Governance & Government

 Difference Between Governance & Government.

Government
A formal body invested with
Authority to make decisions.
Governance
A process which includes all
actors involved in decision
making process and is centered
on relevant governing body.
Types/ styles of Governance
Styles of Governance i-e Three styles
The processes of decision making and their implementation
1. Hierarchical Governance
2. Market Governance
3. Network Governance
1. Hierarchical Governance

 Non- Participatory
 Monocentric- one power centre that controls main decisions.
 Instrumental approach through hierarchical structure.
 Top-down decision making
 Strict internal & external accountability procedures.
 Emphasis on project management rather than process management.
 Strong preference for legal measures.
 Inflexible structure.
 Organogram with lines of responsibility.
 A task can be decomposed into smaller smaller independent parts.
 Hierarchical structure follows Max weber’s theory of bureaucracy.
Max Weber Theory of Bureaucracy Based on Hierarchical
Governance.

 Max weber was a German Sociologist.

 He developed ideal type of democracy.
 He became a role model for public administration in 1950s &1960s.
1. Max weber Main points
 Bureaucracy is legal rational Authority
 Bureaucracy is based upon rules
 Bureaucracy is continuous
 Bureaucracy is Hierarchy
 Bureaucracy is based upon Division of labour or division of work
 Bureaucracy is run on written rules.
 Political neutrality
 Specialization
Two Main parts
 Technically = Emphasis on principles of organization, rules regulations,structure
 Politically =Form of govt with offially either acting as rulersthemselves or
coexisting with elected representatives
Max Weber Theory of Bureaucracy Based on Hierarchical
Governance- A critical Analysis.

 Criticism of Max Weber

• No focus on behavior, relations,morals,motivation
• Machine theory
• Discretional powers to bureaucrats
• No focus on individual rights and liberties
• Rigid
• Only focus on Rules
• No relation with public
• Centralisation
• Concept is alien to developing societies.
• Replaced the European Arbitarary authoritarianism and Nepotism
2. Market Governance.

 NPM in 1980s encouraged the market governance.

 NPM was for incorporating the best principles of private
sector in public sector.
 Market governance through NPM is hybrid organization
3. Network Governance

 Network society developed in 1990.

 It was realized that more parties should be involved in policy
preparation and decision making.
 Classical Hierarchical model was replaced with multi-actor & multi
level policy making with network model.
 Less control & less command and more open processes improved
the effectiveness of Govt institutes
 IT revolution also encouraged the importance of networks in social
life
 It was alternative of horizontal coordination.
 Govt invites citizens in policy making.
 Early 2000s public sector reforms including devolution
Forms of Network Governance

 Participatory Governance.
 Culture Governance
 Community Governance.
 Deliberative Governance.
 Reflexive Governance.
 Adaptive Governance.
Comparison of 3 Styles of Governance
Comparison of 3 Styles of Governance
Models of Management and Management skills i-e Traditional Public
Administration, New public management and New public service

 Traditional Public Administration

 administering under the formal control of political
leadership,
 based on a strictly hierarchical model of bureaucracy,
 staffed by permanent, neutral and anonymous officials,
 motivated by the public interest,
 serving any government part equally,
 and not contributing to policy but merely administer
those policies decided by the politicians
New public Management-NPM

 New Public Management – NPM

 Key elements include various forms of decentralizing management
within public services (e.g., the creation of autonomous agencies and
devolution of budgets and financial control), increasing use of markets
and competition in the provision of public services (e.g., contracting
out and other market-type mechanisms), and increasing emphasis on
performance, outputs and customer orientation.
 NPM is characterized by its emphasis on reduction and deregulation of
bureaucracy,
 employing market mechanisms or semi-market entities to conduct government
action, devolution of responsibility downward and outward in organizations,
 energizing the workforce to think in entrepreneurial terms.
 includes an emphasis on private sector management techniques, hands-on-
professional management and performance measurement.
NPM
 New approach in the traditional public administration for enhancing
efficiency, productivity, improved service delivery, and accountability.
 NPM advocates offloading and down-sizing, or rightsizing, public private
partnership, competition and reliance on market forces.
 NPM is more oriented towards outcomes and efficiency through better
management of public budget.
 NPM is characterized by its emphasis on reduction and deregulation of
bureaucracy.
NPM
 Decentralization
 Downsizing and Restructuring the Government Machinery:
 Information and Communication Technologies and e-governance:
 Contracting-out and Outsourcing: a means for public service
delivery through sources other than public bureaucracy:
 De-bureaucratization:
 Privatization
 Deregulation:
New Public Service-NPS

 1. Serve Citizens, Not Customers: The public interest is the result of a

dialogue about shared values rather than the aggregation of individual self-
interests. Therefore, public servants do not merely respond to the demands
of “customers,” but rather focus on building relationships of trust and
collaboration with and among citizens.
 2. Seek the Public Interest: Public administrators must contribute to
building a collective, shared notion of the public interest. The goal is not
to find quick solutions driven by individual choices. Rather, it is the
creation of shared interests and shared responsibility.
 3. Value Citizenship over Entrepreneurship: The public interest is better
advanced by public servants and citizens committed to making meaningful
contributions to society than by entrepreneurial managers acting as if
public money were their own.
New Public Service-NPS

 Think Strategically, Act Democratically: Policies and programs meeting

public needs can be most effectively and responsibly achieved through
collective efforts and collaborative processes.
 5. Recognize that Accountability Isn’t Simple: Public servants should be
attentive to more than the market; they should also attend to statutory and
constitutional law, community values, political norms, professional standards,
and citizen interests.
 6. Serve Rather than Steer: It is increasingly important for public servants to
use shared, value-based leadership in helping citizens articulate and meet their
shared interests rather than attempting to control or steer society in new
directions.
 7. Value People, Not Just Productivity: Public organizations and the networks
in which they participate are more likely to be successful in the long run if they
are operated through processes of collaboration and shared leadership based on
respect for all people.
2.Contents Of Good Governance

 Definition of Good Governance

 Need for Good Governance
 Concept Of Good Governance
 Characteristics of Good Governance
Component Description
1. Participation  Men & women
 Vunerables be considered
 Freedom of expression & Association

2. Rule of Law  Fair & l;egal framework

 Full protection of human rights
 Impartial enforcement of law
 Independence of judiciary
 Incorruptible police force

3. Transparency  Decisions as per rules

 Free availibility of information
 Enough information is available

4. Responsiveness  Serve all stakeholders within reasonable time

5. Consensus oriented  By understanding all aspects of society

6. Equity and Inclusiveness  All stake holders

 Vulnerables have opportunities to improve

7. Effectiveness & Efficiency  Results in minimum time & resources

8. Accountability  Private & public institutions

Reasons for Failure of Good Governance

 Inadequate organizational capacity

 Lack of Reliability
 Accountablity, selective , discriminatory, too little or too
late
 Breakdown of transparency
 Lack of participation
Diagnostic tools against Poor/ Bad Governance & their effects

 Free & Independent media

 Promotion of regular elections at national & local level
 Security for development
 Policy coherence
 Prevention of internal conflicts
 Choosing the right goals for right purpose
 Proper Financial accountability
 Poverty reduction strategy
 Structural variables
 Six broad Dimensions of Good Governance/World wide Governance
Indicators (WGI)

1. Voice & accountability

2. Political stability & absence of violence
3. Government Effectiveness
4. Regulatory Quality
5. Rule of Law
6. Control of corrution
 WGI data sources

 Surveys
 Commercial business information
 Non Governmental organizations
 Public sector organization , Global institutions report
3. Role of Citizens In Governance

 Introduction
 The citizens play very important in the governing process.
 Good Governance
 Good governance requires sound public sector management
 Citizen Participation
 Involvement of citizens in wide range of policy making activities.
 Citizen Engagement
 Involvement of citizens in decision making through institutional arrangemnts.
 The key elements of citizen engagements are Information, consultation and
participation

 Citizen Partnership
 Citizen Centered Governance