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Market orientation and public service performance: New public management gone mad?

By: Walker, Richard M. et al.
Material type: materialTypeLabelArticlePublisher: 2011Description: p.707-717.Subject(s): Public administration In: Public Administration ReviewSummary: The backbone of theory of the market-based approach New Public Management is that market orientation improves public service performance. In this article, market orientation is operationalized through the dominant theoretical framework in the business literature: competitor orientation, customer orientation, and interfunctional coordination. Market orientation is examined from the wantage point of three stakeholder groups in English local government: citizens, public servants, and the central government's agent, the Audit Commission. Findings show that market orientation works best for enhancing citizen satisfaction with local services, but its impacts on the performance judgments of local managers or the Audit Commission are negligible. The conclusion discusses important implications of these findings for research, policy, and practice. - Reproduced.
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Articles Articles Indian Institute of Public Administration
Volume no: 71, Issue no: 5 Available AR93869

The backbone of theory of the market-based approach New Public Management is that market orientation improves public service performance. In this article, market orientation is operationalized through the dominant theoretical framework in the business literature: competitor orientation, customer orientation, and interfunctional coordination. Market orientation is examined from the wantage point of three stakeholder groups in English local government: citizens, public servants, and the central government's agent, the Audit Commission. Findings show that market orientation works best for enhancing citizen satisfaction with local services, but its impacts on the performance judgments of local managers or the Audit Commission are negligible. The conclusion discusses important implications of these findings for research, policy, and practice. - Reproduced.

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