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2008 | Performance Measurement in Public Organisations: the Theory and the Practice of the Health Care Sector | 75--91
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Outsourcing as a Tool of Effectiveness Enhancement in Modern Public Management Sector - Two Examples from the Health Care Field

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In the last two decades fundamental changes that are transforming societies all over the world can be observed. These changes incorporate not only the expansion of a global economy, but also the fast development and widespread adoption of information technology. The public sector is being transformed as well, leading to the emergence of what has been called the New Public Management (Schedler, Proeller, 2002). However, this is not a simple recipe, but rather a process to find an equilibrium between law and public interest in order to attain economic efficiency, enhance effectiveness, and promote private sector partnership in public governance. New Public Management concept highlights orientation of the public sector on entrepreneur, managerial, and economic actions at the same time eliminating the emphasis of admistrative interactions (Gregory, 2001). What is necessary here is the adaptation of modern management techniques by using experience from private sector concerning functioning on the market (e.g. benchmarking) and usage of "good practice", i.e. applying such solutions that have already brought positive and measurable effects to other organisations (Schedler, Proeller, 2002). Besides, public administration should offer the society certain goods or services, but if it is not essential for the organisation to offer them itself - a chance for outsourcing emerges. (fragment of text)
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