Public Policy and Administration
Foundations of Public Administration The environment of public policy and administration KEY FEATURES OF THE ENVIRONMENT OF GOVERNMENT Distrust of gov't. Increasing demand for services Decreased availability of resources Multiple, conflicting value systems Equity vs. Efficiency Overlapping, competitive jurisdictions and authorities Distrust of Government Approval ratings (extremely low) Excessive government salaries and pensions Government ethics Increasing Demand for Services “In loco parentis” belief in citizens “Revolution of rising expectations” Short attention span of the public Decreased availability of resources Tea - party/libertarian philosophies Shrinking tax bases Prop. 13 and other restrictions “Fund budgeting” requirements Multiple, conflicting value systems Social liberals and fiscal conservatives States’ rights/local control Religion in government The rise of dogmatism Public - regarding vs. private regarding Equity vs. Efficiency Government safety net vs scarce resources The fear of socialism Can efficient be fair to all? Overlapping, competitive jurisdictions and authorities Unfunded mandates Conflicts between states and the Fed. Local competition for tax revenues “NIMBY” syndrome How is government different from the private sector? Provides for the Public Good Profit motive (?) Public trust The Basics Theory of the U.S. government: Separation of Powers Federalism Separation of Powers Three branches of government: Executive Legislative Judicial Levels of government: Federal * State* Local Regional (U.S Constitution) Constitutional Beginnings Federalist Papers (Hamilton, Jay, Madison) Written 1787 and 1788 to persuade New York voters to ratify the proposed constitution. Consist of 85 essays outlining how this new government would operate and why this type of government was the best choice for the United States of America. Checks and Balances (shared power) Marbury vs. Madison (1803) – Judicial review Federalism Defined as a division of govt. power between a central (national) govt.
and local or regional (state) govts. Reasons for the division of powers: Additional means of control Way to unify the nation, strengthen central government while preserving state integrity Compromise to ensure ratification of the U.S. Constitution Kinds of Power Delegated or Enumerated – distributed among the three branches Concurrent – granted to Congress (eg. Levy taxes & borrow money) Reserved – powers of states Implied – “necessary and proper” powers inferred from the delegated powers Forms of Federalism “ Layer - Cake ” or Dual Federalism (19 th Century) – The federal govt . structure consists of two layers of equal importance, with the Supreme court preserving a neat boundary between them . “ Marble - Cake ” Federalism (20 th Century) – Federal and states are inter - dependent and overlap jurisdictions. Types of Marble - Cake Federalism Cooperative Federalism (1930's and 1940's ) Fed. Funding state & local administration of programs. Creative Federalism (1962 -1968, LBJ) Partnership among all three levels of govt. New Federalism (Nixon & Ford, 1969 - 1976; Reagan, 1981 -1988) Primary emphasis on state -centered activity. Advantages of Federalism A check on power Promotes competition among jurisdictions Flexibility Innovation Citizen participation A vital Congress Local autonomy Disadvantages of Federalism It's inefficient Lack of accountability It's obstructive Harmful spillover effects It can make for weak parties It can make for a parochial Congress Weakened nationalism DEVELOPMENT OF PUBLIC ADMINISTRATION Based on the concept of: BUREAUCRATIC ORGANIZATION Definition (from Max Weber): Org. has a set of rules . Org. has a division of labor . Org. has a hierarchy of command . Org. offers a career vocation . Org. keeps files and records . Functional Definition of Public Administration: It is cooperative effort in a public setting. Covers all three branches of govt. and their interrelationships. Has an important role in the formulation of public policy and is a part of the political process. Is different in significant ways from private administration. Is closely associated with numerous private groups and individuals in providing services to the community. DEVELOPMENT OF PUBLIC ADMINISTRATION IN THE UNITED STATES Stages of Development: Formalistic (1883 - 1937) Reactionary (1937 - 1960) New Public Admin. (1960 - 1980) Post New P.A. (1980 - present) FORMALISTIC PERIOD: Roots in: Good government movement Scientific Management (Fredrick Taylor, Henri Fayol) Good Government Movement Reaction to graft & corruption in post - civil war America (Tweed Ring) Ballot reform – “bedsheet ballot” Separate Politics from Administration Employ finance reforms (budgets) Create a professional public service (1883) The Father of Modern P.A. Woodrow Wilson: The Study of Administration (1887) Promotes idea of a professional public service Emphasizes administration free from politics Scientific Management Management should be based on logical principles Scientific method could find the one best way of carrying out any task Workers would accept rule by logic Peak years: 1900 -- 1930 Taylor’s Principles 1. Scientific research & analysis of work, its elements, standards, and rates 2. Scientific selection, training, and development of first - class workers 3. Intimate, friendly, and hearty cooperation for scientific work principles (anti - unionism) 4. Equal division of responsibility among managers in functional areas (not just over people) MAJOR THEORIES: Principles of Administration Papers on the Science of Administration by Luther Gulick and Lyndal Urwick (1937) 1. Individual should adapt to the org. 2. One top exec. and a unity of command. 3. Necessity for staff assistance A. Special staff - for information. B. General staff - deals with problems in communication, control, and carrying out orders. Papers on the Science of Administration (continued) 4. Workers should be assigned by: Purpose Process People Place 5. Authority should be delegated. 6. Responsibility and authority should match. 7. Span of control should be limited. 8. Distance between admin. levels should be minimized. Operational Elements: P.O.S.D.CO.R.B.(E.) P - Planning, O - Organizing, S - Staffing D - Directing, CO - Coordinating R - Reporting, B - Budgeting, (E - Evaluating) Added later by others The Brownlow Committee President’s Committee on Administrative Management (1937) Gulick’s attempt to apply Scientific Management to the Feds. Mixed results: Reorganization Act of 1939 (Indirectly) Hatch Acts of 1939 -- 40 Summary Beliefs: Politics could and should be separate from administration. Administration could and should be a science . The real problems of government were administrative. The objective of P.A. is to promote efficiency in government. THE REACTION PERIOD (1937 -- 60) The evolution of the social - scientific approach FOCI OF THE PERIOD: 1. Systems approach/social - scientific thinking 2. Analysis of decision making. 3. Communications. 4. Concern with process: normative rather than prescriptive. Social Scientific Thinking Use of the scientific method – observe and record process Extensive use of critical thinking Acceptance of the concept of equa - finality Multiple theorists pursuing different interests Systems approach Organizations are based on systems:
Input – Throughput -- Output Organizations contain a collection of inter - related sub - systems Changes in one sub - system will affect other systems Management must understand all systemic interactions Organizations interact with their environment Herbert Simon, Administrative Behavior , 1947 Attacked principles of unity of command , and span of control . Developed concept of satisficing . Def.: Process of finding a decision alternative that meets the decision maker's minimum standards of satisfaction. Leads to incremental decisions. Analysis of Decision Making Failed assumptions of rational decision making – Scientific Management Re - merging of politics and administration (product of Brownlow & Hoover Commissions) Focus on more pragmatic decisions Incentives Satisficing Chester Barnard, The Functions of the Executive , 1938 Promoted the idea of incentives . Three "zones of cooperative possibility:" 1. Zone of acceptance 2. Zone of rejection 3. Zone of indifference (key to use of incentives) Concern with process: normative rather than prescriptive Theory cannot dictate behavior Maslow’s hierarchy: Physiological needs Safety needs Social needs Ego needs Self -actualization Management must recognize worker needs Communications Employee activities must be negotiated Informal communication is a key element in organizations Information must travel in all directions in the organization Elton Mayo, Fritz Roethlisberger, William Dickson (1939) The Hawthorne Experiments Performed at Western Electric in Chicago Two parts: 1. Relay Test Room : Women, change in environmental lighting. 2. Bank Wiring Room : Men, production incentives. The Hawthorne Effect : Individual attention can interfere with an experiment. THE NEW PUBLIC ADMINISTRATION Taking government back to the people Key Features : Humanistic management Open systems theory Humanistic Management: KEY THEORISTS Douglas McGreagor THEORY X AND THEORY Y Theory X: Workers are lazy, selfish, need constant supervision. Theory Y: Workers share interests of the organization, are self -actualized. Makes use of decentralization, delegation, participation and consultative management. The Minnowbrook Conference key catalyst of the New P.A. Syracuse U., Sept, 1968. Client focus Postpositivism (not value neutral) More relevance to current issues Anti -hierarchical organizations ORGANIZATION DEVELOPMENT (O.D.) H. George Fredrickson : “Defining the New Public Administration” Move from concern with economy, efficiency, to concern with equity . Use of integrative processes rather than hierarchy More client -participation in program design & admin. "STREET - LEVEL BUREAUCRACY" Herbert Kaufman , Michael Lipsky Administrative decentralization to bring government closer to the people Provide greater responsiveness and accountability . Future Environment of Public Administration Warren Bennis Features of the the environment: Interdependence versus competition Turbulence and uncertainty Large -scale rather than small -scale enterprises Complex and multi -national rather than simple national enterprises OPEN SYSTEMS THEORY Inputs Throughputs Outputs Feedback Environment Creates a CYBERNETIC Organization Daniel Katz and Robert Kahn: Characteristics of an open system: Importation of energy Transformation of inputs Outputs Systems as cycles of events Negative entropy Information input, negative feedback, coding process Dynamic homeostasis Differentiation Equafinality POST - NEW PUBLIC ADMINISTRATION Return to Traditional Values Concerns: Scarce resources Higher service demands Limits on growth Return to rationalism Ethics Scarce Resources Weak economy (1970’s - 80’s) Anti - tax revolt (Prop. 13) Competition from private sector -- privatizing Shrinking government programs – doing more with less Higher Service Demands “Revolution of rising expectations” Demands for accountability Quality service delivery Limits on growth “NIMBY” syndrome Slow - growth and anti - growth movements Doing more with less Anti - ”Big Government” Return to Rationalism Focus on control Efficiency over equity Return to Theory X management Cutbacks/reductions - in - force Key Theories Peter Drucker : Management by Objectives Total Quality Management (TQM) Lawrence Peter : “The Peter Principle” William Ouchi : “Theory Z” -- key is consensus decision making Operations Research (O.R. – concepts from engineering) Administrative Efforts The Grace Commission (1984 -- Reagan) President’s Private Sector Survey on cost Control Clear push for scrapping many federal programs, expansion of private contracting The Volker Commission (1989) National Commission on the Public Service Addressed the “state” of the public service.
Major recommendations: Improve negative image of public service Address managerial issues (eg. Recruitment) High priority for education & training Increase pay and benefits Improve the work environment Reduce political hirings Increase access to job openings Reward executive excellence National Performance Review (1993) Clinton Administration reform effort Major reform areas: Cut red tape Put customers first Empower employees Cut back to basics The Winter Commission, 1993 Product of the “reinventing government” movement. Major recommendations : 1. More decentralization of the merit system 2. Less reliance on written tests 3. Rejection of the rule of three and other requirements that severely restrict management discretion in selecting from a pool of eligible applicants . Major Recommendations (cont’d.) 4. Less weight given to seniority and veteran preference 5. Fewer job classifications 6. Less cumbersome procedures for removing employees 7. More portable pensions (which would allow for govt .-to -govt . mobility) 8. More flexibility to offer financial incentives to exemplary performance by work teams Ethics in the Public Organization Historical Development: First code of ethics for public administrators adopted in 1924 by the International City Management Association. { Federal code of ethics passed by Congress in 1958. { First state code of ethics established in 1967. Historical Development (continued) The Ethics in Government Act of 1978 established the Office of Government Ethics. ASPA adopts the first code of ethics for professional public administrators. 1992: First attempt at a comprehensive set of ethical conduct standards for Federal Employees. The ASPA Code of Ethics: Bases for the principles of the Code: Public Interest : Key is effectively defining and understanding a concept that seems to be fluid and dynamic. Legal Interest : Broadly defined as the respect for laws and due process that are integral to PA. Bases for the principles of the Code: (continued) Personal Interests : Need to employ individuals with the highest personal integrity and sense of moral values. Organizational Interests : Tendency of organizations to protect their existence. Professional Interests : Defining the concept of public professionalism in an environment of competing values . Organization Theory Basic concepts and approaches Approaches to studying Organization Theory: Traditional : Pre -Weber, routine, by each individual organization. Scientific Management : Bureaucratic organization, Fredrick Taylor approach. Rational : Focus on POSDCORBE, key is efficiency. Human Relations : Key - impact of informal organizations (Hawthorne Experiments) Approaches to studying Organization Theory (continued): Behavioral : Organization as a social system. Decision making : Key - decision process (optimizing vs. satisficing) Ecological : Relates the organization to the environment. Types of Organization: Leader/follower, Cluster: Leaders at center, followers at periphery Examples: Napoleon, Hitler, most R&D groups, performing arts companies, military squads Types of Organization (continued): Mosaic Loosely connected assembly of sub - systems Examples: Holy Roman Empire, United Nations, HMOs, Colleges Types of Organization (continued): Pyramid Hierarchy Examples: U.S. Gov’t Depts., Unions, Banks, most bureaucracies Types of Organization (continued): Conglomerates (cluster of pyramids) Assembly of hierarchies united at summits Examples: G.M., the Pentagon, 1900 Trusts Types of Organization (continued): Organic Network Examples: Xerox, NASA, Volvo Future Organization Types: Task Force (Temporary Formal Organizations) Matrix Matrix Organization Characteristics of the New Nature of Organizations 1. Strong employee involvement 2. Organic in nature 3. Authority based on capability 4. Alliances 5. Teams 6. Flatter, decentralized organizations 7. Mindfulness of environments, changes, patterns and themes - develop "learning organizations" Personnel Administration/Human Resources Management Development, Functions and Issues Development in the U.S.: 1789 - 1828 Fitness of Character 1829 - 1882 Patronage, the "Spoils System" 1883 - pres. Fitness by merit (Civil Service) Major Evolutionary Acts The Pendleton Act ( 1883 ) Created Civil Service Commission Competitive exams Tenure Political neutrality in public service Civil Service Reform Act (1978) Civil Service Commission replaced by: Office of Personnel Management Merit systems Protection Board Fair Labor Relations Authority Senior Executive Service Established a true merit pay system/performance appraisals Established minority recruitment policies Enhanced cross -agency promotion training Functions of the Personnel Specialist: Classification Testing Selection Recruitment Training (Human relations) Major Issues: Salary and pay: comparability to the private sector. Employee testing. Exams (PACE) Drugs Civil Rights and Equal Employment Opportunity. Affirmative Action: goals, quotas Reverse Discrimination Comparable worth Major Issues (continued): Right to strike Taft - Hartley Act 1947 forbids federal strikes (Reagan and PATCO) Use of collective bargaining Impasse resolution (stages): Mediation (voluntary) Fact -finding (judicial) Arbitration (binding) LEADERSHIP Theories : Great Man : Heredity, background Environmental : Result of time, place, and circumstance Personal -Situational : Status, perceptions of group members Leadership Theories (continued) Interaction -Expectation : Norming function, leader best exemplifies characteristics of the group. Humanistic : Mutual self -actualization Exchange : Mutual reward and esteem. TYPES OF LEADERS: Authoritative Persuasive Democratic Intellectual Executive Representative Studying Leadership: THE OHIO STATE LEADERSHIP STUDIES Focus on two variables: Initiating Structure : Task assignment, establishing formal work relationship Consideration : Friendship, trust, respect between leader and staff Leadership Matrix: Initiating Structure High Low High 2 3 Low 1 4 Leadership Matrix High Low High Low Initiating Structure Consideration Leadership Effectiveness -24 -18 -12 -6 0 6 12 18 24 Communication: Making Decisions Initial Process: Agenda Setting : Systemic Agenda : Undefined problem, discussion agenda. Institutional Agenda : Formal problem, actions within institutions. Who is involved in the process: Analysts Decision makers Clientele Options for making the decision: Authoritative - Unilateral Consultative - Solicit opinions Delegation - Pass authority Group - Multimember, consensus APPROACHES TO DECISION MAKING Rational (Root) Process: Problem Determination Search/Analysis Testing/Decision Evaluation Characteristics: Iterative Comprehensive Objective Maximizing APPROACHES TO DECISION MAKING Incremental (Branch) Process: Select limited range of alternatives Select most useful option Move on to another range of new options Foreclose old options Characteristics: Incremental Non -comprehensive Limited to paired and successive comparisons Satisficing APPROACHES TO DECISION MAKING Mixed -scanning (two -camera approach) Process: Scan broad range of alternatives Select limited subset Focus analysis on subset Characteristics: Rationalistic Realistic Opportunistic Environmentally sensitive Decision making Continuum Rational Incremental Mixed Scanning More Economic More Political FINANCIAL ADMINISTRATION Budgeting and Finance in the Public Sector Basic Definitions: BUDGET : Proposal for expenditures drafted in advance of actual appropriations. BUDGETING PROCESS : All decisions affecting the outflow of money, both before and after the appropriations process. Basic Definitions: APPROPRIATIONS : Approval of a budget by a legislative body, including necessary authorizations. FISCAL YEAR : Any twelve - month period used for accounting purposes. Federal: Oct. 1 -Sept. 30 California: July 1 -June 30 DEVELOPMENT Prior to 1880s, little attention:
Pressure for reforms come from "Good Government Movement." Key reforms: 1. Line - item budgeting 2. Competitive bidding for contracts 3. Centralized purchasing 4. Standardized accounting DEVELOPMENT 1921 - passage of the Budget and Accounting Act (first federal executive budget) Seen as a mechanism to control spending. Used Line - Item format. DEVELOPMENT After WW II , the Hoover Commission suggested a "programatic emphasis" which resulted in the Performance Budget . Performance budgeting is concerned for what is received for the money. Little impact, quickly dropped. DEVELOPMENT During 1950s, return to line - item budget. Next reform in 1960s, LBJ borrowed from the Dept. of Defense the PPB budget: Planning, Programming Budgeting System DEVELOPMENT PLANNING PROGRAMMING BUDGETING SYSTEM (PPBS): Designed to provide full documentation of the purpose and assumptions of budgets. Very closely linked with MBO. At federal level, two components: Program Memorandum : Management document Program Fiscal Plan : Budget, by project Key assumption: NO BASE Nixon nixed before full implementation. DEVELOPMENT Next reform, 1976, Carter's ZERO - BASE BUDGET (ZBB) Designed to inject rationality into the budget process. No base, periodic complete program review. Key feature: Decision Packages . Reagan ripped it up on election. Back to Line - item. STATE BUDGETING Commonly called Revenue Budgeting four major items in any state budget: 1. Education (CA - 47%) 2. Health 3. Welfare (CA H&W - 26%) 4. Transportation (CA - 6%) STATE BUDGETING Complicating factors: 1. Uncontrollables 2. A multitude of funds 3. Federal grant programs 4. Constitutional limits 5. Indebtedness, Prop 13, etc. Revenue base: 1. Sales tax (CA 34%) 2. Income Tax (CA -42%) 3. Fed. Grants (10 -15%) The Governor is the most important actor in state budgeting due to the line -item veto. LOCAL BUDGETING Expenditure categories: 1. Public safety 2. Transportation 3. Welfare 4. Education Revenue bases: 1. Property tax 2. Non -property taxes A. Sales tax B. Income tax C. Transfer taxes 3. Grants -in -Aid LOCAL BUDGETING Complicating factors: Mismatch between functions and revenue raising powers Labor -intensive services Balanced budget requirements PUBLIC POLICY Definition: Purposive action on public issues by actors acting in public institutions to produce direction in government. APPROACHES: Process Focus on how policy is made. Can be rationalistic, or Disjointed incrementalism Elements: Environment (Forces) Political System (Institutions) Public Policy (Products) Linkages Among Policy Elements Environment Actors Institutions Public Policy APPROACHES: Product: Substantive policy issues, eg. Health, Transportation, Energy Focus on what policy is produced. Types of Public Policy from Theodore Lowi Forms are a product of the coercive power of government. Coercion can be: Remote or Immediate Direct or Indirect Lowi’s Policy Typology Direct Indirect Immediate Regulatory Redistributive Remote Distributive Constituent The Theory of Policy Analysis Key aspects: Functional -- problem orientation Interdisciplinary Multiple methods Decision -oriented Concern for human values Futures orientation The process of policy analysis is rational - analytic. The Process of Policy Analysis I.D. Recognize Structure Agendize Prob. State. Alt. Det. Alt. Test Decision Implement Monitor Evaluate Verification Feedback Iteration
