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Implementing through Markets

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Applying an Implementation Lens
Balanced Scorecard as a Strategy for Performance Improvement
Building Coalitions
Bureaucratic Politics, Organizational Design and Decision-Making
Cognitive Biases
Defining Policy Problems and Policy Making Under Pressure
Developing Networks for Improvement
Efficiency, Effectiveness, and Instrument Choice
Financing and Fundraising in the Third Sector
Implementation and Policy
Implementation and Policy
Implementation and Risk
Implementation and the Budget Context
Implementation Environment
Implementing through Markets
Implementing with Partners
Improving Organizational Performance Through Competition
Learning as a Performance Strategy
Leveraging Diversity
Managing a Global Team
Managing Conflict
Managing Partnerships: Multi-Party Arrangements
Managing Risk: The “New” Way Forward in Managing?
Mission and Strategy
Models of Policy Making
Modernization of Public Sector Organizations
Multi-Level Governance
Network Assessment and Analysis
Operations and Marketing Strategy
Organizational Alignment
Organizational Behaviour
Organizational Culture
Organizational Performance and Management Reform
Organizing for Collaboration and Partnership
Organizing for Performance
Overview of Recent Trends in Public Administration
Performance Information as a Management Tool
Policy Analysis and Contemporary Governance
Policy Design and Instrument Choice
Policy Evaluation
Public Services in the Age of Restraint - new public service delivery models and the quest to do better with less
Public-Private Partnerships
Recent Trends from Comparative Public Administration
Rules vs. Discretion
The Crisis of “Governability” (1970s) and its Effects
The Meaning of Strategy in Public Management
The Role of Leadership in Strategy and Implementation
The Role of the Board and Strategic Governance in Third Sector Organizations
The Shift to Public Governance
Theories of Human Motivation and Decision Making: Rational Choice
Working in Teams


 A Teaching Topic in Strategy and Implementation

Implementing Through Markets

This topic deals with different strategies that governments use to augment their capacity and share risk by entering into partnerships with private sector organizations to achieve public goals. Students learn different reasons that governments may choose to implement through markets, and also learn about the challenges associated with achieving public objectives in this manner. Students are asked to consider how governments can work to ensure that public value is achieved through these partnerships, and that the loss of direct government control is balanced by efficiency gains and service improvements.

Core Concepts associated with this Topic: Alternative Service Delivery; Deregulation; Privatization; Voucher.

Topic Learning Outcome: Upon mastering this topic, students will be able to clearly articulate the possible benefits and risks to governments that are created by partnering with private sector entities to deliver policy and achieve public goals. Students will be able to apply these general lessons to specific case-studies, and will be able to recognize the possible advantages and disadvantages of a market-based implementation approach in specific situations. Students consider the implications for policy effectiveness, democratic accountability, and public finances.

Recommended Readings

Toronto PPG1007H Putting Policy Into Action: Strategic Implementation of Public Objectives

Blockliger, H. (2008). "Market mechanisms in public service provision". OECD Economics Department Working Paper, , 47.

Donahue, J. D., & Zeckhauser, R. J. (2006). Pp. 496-522. In M. Moran, M. Rein & R. E. Goodwin (Eds.), The oxford handbook of public policy (pp. 496-522). New York: Oxford University Press.

Eggers, W., & Dovey, T. (2006). “Closing the infrastructure gap." In W. Eggers, & R. Campbell (Eds.), States of transition: Tackling Government’s toughest policy and management challenges (pp. 245-75) Deloitte.

Government of Ontario. (2004). Building a Better Tomorrow: An infrastructure planning, financing and procurement framework for ontario’s public sector. http://www/

Government of Ontario. Renew Ontario: Progress Report.

Kamarck, E. (2002). Ch. 10 "The End of Government as We Know It." In J. Donahue, & J. Nye (Eds.), Market-based governance (pp. 227-59). Washington, DC.: Brookings Institution.

Kettl, D. F. (2001). Ch. 16 "Managing Indirect Government." In L. M. Salamon (Ed.), The Tools of Government (pp. 490-508).

OECD Directorate for Education. (2005). Chapter 5, "The Use of Market-Type Mechanisms to Provide Government Services." In Modernizing Government: The Way Forward.

Reason Foundation. (2006). Transforming Government Through Privatization. 

 Sample Assessment Questions:

1.) One set of risks associated with implementing through markets stems from a loss of direct government control over program delivery. In a short one-page response, explain the nature of these risks. Use examples if they can help illustrate your point.

2.)  Governments often choose to implement through markets in an effort to achieve efficiency gains and service improvements. Please describe two examples of  market-based implementation strategies that were at least partially successful in these respects.

Page created by Ben Eisen and Sean Goertzen on March 24, 2015


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