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Public Management and Administration - Owen E.hughes

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156 <strong>Public</strong> <strong>Management</strong> <strong>and</strong> <strong>Administration</strong><br />

It is now realized that the personnel function – more often termed the human<br />

resource management (HRM) function – needs to be actively managed.<br />

Farnham argues there are five key features of contemporary human resource<br />

management <strong>and</strong> employment relations emerging in the public services<br />

(1999, p. 127):<br />

First, the personnel function is attempting to become more strategic than administrative<br />

in its tasks, but within resource constraints structured by the state. Second, management<br />

styles are tending to shift towards more rationalist, performance-driven ones, away from<br />

paternalist, pluralist ones. Third, employment practices are becoming more flexible <strong>and</strong><br />

less st<strong>and</strong>ardized than in the past. Fourth, employment relations are becoming ‘dualist’,<br />

with most non-managerial staff continuing to have their pay <strong>and</strong> conditions determined<br />

through collective bargaining, whilst public managers are increasingly working under<br />

personal contracts of employment. Fifth, the state is moving away from being a ‘classical’<br />

model employer. In its place, it appears to be depending increasingly on HRM ideas<br />

<strong>and</strong> practices taken from leading-edge private organizations, whilst adapting them to the<br />

particular contingencies of the public services.<br />

The organization’s overall strategy <strong>and</strong> even its very survival is linked to the<br />

competency of key staff. What is often termed strategic human resource management<br />

in government seeks to integrate strategy with staffing <strong>and</strong> links in<br />

other areas such as industrial relations, recruitment, training, incentives <strong>and</strong><br />

performance evaluation.<br />

Davis argues that a contract state might turn out being similar to the traditional<br />

model of public administration, containing a small elite of core officials<br />

(1997). This might be so, but there is no particular need for this small core to<br />

be long-term employees or to even have much knowledge of their department’s<br />

area of expertise. The actual administration might be better if there were a core,<br />

but the changes are so widespread that it would be hard to identify who should<br />

be in the privileged core. The elite model proposed by Northcote–Trevelyan or<br />

Weber may return, but seems unlikely in the short or medium term. More likely<br />

is that the public service will become like a management consultancy firm.<br />

Some consultants may have a long career in the same place, but this is unusual.<br />

More likely is rapid change <strong>and</strong> short-term positions in the public service.<br />

Perhaps there will be a floating population of policy advisers: sometimes in the<br />

bureaucracy; sometimes advising politicians; sometimes working as consultants<br />

for one of the big accounting or consulting firms. Permanency <strong>and</strong> a career<br />

may be seen as archaic <strong>and</strong> not characteristic of many public service staff who<br />

will transfer more readily in <strong>and</strong> out of the sector instead of being lifetime<br />

employees.<br />

The task for public managers is more complex <strong>and</strong> challenging than it once<br />

was. A managerial public service may be more interesting for public servants<br />

than was the traditional model. As Caiden argues (1996, pp. 30–1):<br />

Few would want to return to the passive bureaucracy of the past, its conservatism, adherence<br />

to the strict letter of the law, reluctance to depart from precedent, undue weight

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