Question: Should Government be Run Like a Business?
One of the most generally accepted ‘truisms’ in the field of public administration is that government should be “run like a business.” Over the last 100 years or so, various initiatives have been advocated to make public agencies more accountable, efficient, and customer-friendly by modeling themselves on private sector companies. Begin by discussing the contributions of important authors who advocate business administration principles as a viable model for the public sector. Although older literature (Wilson, Taylor, etc.) should be briefly cited, it is expected that you will emphasize those writing in the tradition of the New Public Management (NPM). What is their case for “running government like a business?” Be sure to discuss specific tools and techniques borrowed from the corporate world. Then, summarize the arguments of influential critics who believe that few, if any, approaches are directly transferable from business to the public sector. For these authors, what unique factors about the delivery of public services make the application of business management techniques inappropriate and even counter-productive? After studying the arguments, what elements of business management theory do you think are legitimately transferable to the public sector (if any), and what elements simply don’t apply? Explain.
