Hollowing out' the local state: compulsory competitive tendering and the restructuring of British public sector services (original) (raw)
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Human Resource Management Journal, 1993
Compulsory competitive tendering (CCT) is an important instrument in the process of change currently sweeping through local government. It is expected to generate changes in the organisation and management of local authority services by exposing them to competitive pressure. The legislation, and its attendant discourses, encourage an organisational model based upon particular private sector experiences.
DergiPark (Istanbul University), 2001
The New Public Management (NPM) may be seen as a set of managerial techniques used by administration for the prevention of fragmentation during the adoption of new public service delivery system. NPM attempts to change the structure, system, staff and culture of a public organisation. Therefore, when NPM is introduced, it should be examined from the context of these four aspects of public organisation. This discussion of NPM will be illuminated through a case study of the introduction of compulsory competitive tendering (CCT) in local governments in the United Kingdom. It concludes that CCT has had a profound impact on local government in attempting to replace the traditional model of local authority. It has brought a number of substantial changes to local governments.
Competitive tendering in local government: a review of theory and evidence
Public Administration, 1998
The introduction of compulsory competitive tendering in UK local government reflected conventional public choice theories of bureaucracy. These theories suggest that competition for service contracts will lead to lower expenditure and higher efficiency. Extensions and criticisms of the classical public choice model yield very different conclusions. First, the problems of bureaucratic supply are less severe than originally assumed, and secondly competition may itself generate new problems such as transaction costs, erosion of trust between principals and agents, and rent seeking. The impact of competition on spending and efficiency is therefore indeterminate, and must be established empirically. However, studies which evaluate the effects of competitive tendering in local government are few in number, cover a limited range of services, and are methodologically flawed. Therefore neither the initial imposition of competitive tendering by the Conservatives, nor its planned abolition by Labour, can be traced to a solid foundation of theoretical or empirical support. Theoretical and methodological problems that need to be resolved by further empirical studies are identified.
Competitive Tendering: Lessons from the Public Sector
Business Strategy Review, 1992
The introduction of at first voluntary and then compulsory competitive tendering have ushered in a decade of change in the provision of public services. In this paper, the authors examine just how radical that change has been. Utilising data from local authorities the authors find that, in refuse collection at least, competitive tendering has reduced costs by forcing improvements in labour productivity. But, in comparing the relative efficiencies of the large majority of in house tender winners with the comparatively smaller set of private contractors awarded tenders, the authors conclude that scope for greater cost reductions remain.
Compulsory competitive tendering in local government: the first round
Public Administration, 1991
This article presents the results of a survey of the initial impact of compulsory competitive tendering (cm) under the Local Government Act 1988. After an outline of the provisions of the legislation and the mechanisms for their implementation the outcome of the first round of CCT is described. While most services have been retained in the public sector, a number of authorities have chosen to use private contractors. Differences in the patterns between different types of authority are examined. Finally, the paper considers the prospects for subsequent phases of CCT.