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Performance Improvement in Public Organizations, How to Leverage ICT Investments

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Author Info
Olli Martikainen
Jussi Autere
Markku Nurmela
Abstract

ABSTRACT : The research analyses effective ways and means of improving the performance of public sector organizations. Etlatieto and TietoEnator have organized the study on the basis of interviews of key public sector managers in four Nordic countries. Special attention was paid to methods employing information and communications technologies (ICT). The first main result is contained in the conclusion, that performance objectives and methods of improving the public sector productivity are not similar to those in private industries. The justification for several public sector services and organizations comes from providing public goods like rule of law, collective security and social justice or putting limits to opportunistic behaviour. The second main result of the study lies in the assessment, that in public sector the services are often not codifiable. The user of the services assesses their quality based on the expectations and experiences. The third main result is that public sector organizations have underlying structures that make performance improvements more difficult than in private sector. In the private sector, all organizational levels usually get benefits from productivity improvements, but in the public sector incentive structures are not common to all actors. Based on the three basic results obtained the analysis suggests methods that can be used in pursuing higher performance in public sector.

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Paper provided by The Research Institute of the Finnish Economy in its series Discussion Papers with number 1022.

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Length: 38 pages
Date of creation: 02 Jun 2006
Date of revision:
Handle: RePEc:rif:dpaper:1022

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Related research
Keywords: government performance; ICT diffusion; performance improvement;

Other versions of this item:

Find related papers by JEL classification:
H11 - Public Economics - - Structure and Scope of Government - - - Structure and Scope of Government
O33 - Economic Development, Technological Change, and Growth - - Technological Change - - - Technological Change: Choices and Consequences; Diffusion Processes
O38 - Economic Development, Technological Change, and Growth - - Technological Change - - - Government Policy
L30 - Industrial Organization - - Nonprofit Organizations and Public Enterprise - - - General

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References listed on IDEAS
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
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    Other versions:
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    Other versions:
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