2. What is “New Public Management‟? What are the advantages and disadvantages of this trend for the delivery of human services? What are its implications for non-government welfare organisations?

2095 words 9 pages
The early 1980s and 1990s saw the emergence of New Public Management (NPM) theory of running public organizations. This concept originated from the UK and USA during the times of Margaret Thatcher and Ronald Regan. It has since been implemented in other OECD countries like Canada and New Zealand. In Australia NPM was introduced by the Hawke-Keating Governments (1983-96) and extended by the Howard Government (1996-2007). The governments of the time, increasingly under political pressure to cut down expenditure and administration costs turned to the public sector for ideas and hence the birth of the NPM (Gruening, 2001). This paper seeks to define NPM and list its advantages and disadvantages in the delivery of human services. The …show more content…
It appears as if people are currently being screened out of services rather than being screened in. Limits have also been put in place regarding how many times people can access a service for example one can only receive food vouchers (an emergency family service) 3 times a year, live in a specified area with proof of residence which screen out the homeless (Uniting Care Wesley website). This may not be enough for many people who are going hungry, but again reducing costs is the main focus. The introduction of NPM marked the departure of Australia from a welfare state to a post welfare state where welfare is no longer universal to all citizens but for a selected few (Jamrozik 2009). An example is the Australian Health System. Even though health provision is universal through Medicare, there is a gap between private and public health services. The rich can get services much quicker than the poor who only depend on Medicare. Jamrozik (2009) argues that complex surgery may be immediately available in the private sector while those on Medicare can wait for up to 3 years.

Outsourcing is risky because poorly managed contracts can result in cost overruns, wasted resources and impaired performance (Romzek and Johnston (2002) in Paulsen, 2006). This goes against the NPM main goal of cost cutting. Also, privatization promotes inequality among the public because it involves

Related

  • What Is the Evidence of Welfare State Retrenchment ?
    1457 words | 6 pages
  • What Is Your Evaluation of the Effectiveness of the U.S. Health Care System in the Context of Delivery, Finance, Management, and/or Sustainability? What Are the Issues That Prompted a Need for Health Care Reform?
    873 words | 4 pages
  • With Reference to a Service Organisation of Your Choice, Critically Evaluate How the Following Approaches to Service Marketing Management – Namely, Process Improvement, Human Aspects and Managing Resource Capacity Can
    3324 words | 14 pages
  • What Management Is
    3790 words | 16 pages
  • Political and Economic Trends in Human Service Delivery
    1318 words | 6 pages
  • What Is Management
    2210 words | 9 pages
  • Luxury Brands: What Are They Doing About Social Responsibility?
    2482 words | 10 pages
  • What Is Franchising?
    7575 words | 31 pages
  • What Are the Advantages & Disadvantages of Australia’s Defamation Law as It Applies to the Media Industry?
    3848 words | 16 pages
  • What Is Welfare Fraud and Who’s Paying the Price?
    1440 words | 6 pages