Shrouded costs of government: The political economy of state and local public pensions

Why do public-sector workers receive so much of their compensation in the formof pensions and other benefits? This paper presents a political economy model inwhich politicians compete for taxpayers' and government employees' votes by promising compensation packages, but some voters cannot evaluate every aspect of promisedcompensation. If pension packages are "shrouded", so that public-sector workers better understand their value than ordinary taxpayers, then compensation will be highlyback-loaded. In equilibrium, the welfare of public-sector workers could be improved,holding total public-sector costs constant, if they received higher wages and lowerpensions. Centralizing pension determination has two offsetting effects on generosity:more state-level media attention helps taxpayers better understand pension costs, andthat reduces pension generosity; but a larger share of public-sector workers will votewithin the jurisdiction, which increases pension generosity. A short discussion of pensions in two decentralized states (California and Pennsylvania) and two centralizedstates (Massachusetts and Ohio) suggests that centralization appears to have modestlyreduced pensions, but, as the model suggests, this is unlikely to be universal.

Prevalence of overweight and underweight in public and private schools in the Seychelles.

Abstract Objective. We compared the prevalence of body weight categories between public and private schools in the Seychelles, a rapidly developing small island state in the African region. Methods. In 2004-2006, weight and height were measured and self-reported information on physical activity collected in children of three selected grades in all schools in the country. Overweight, obesity and thinness were defined according to standard criteria. Results. Based on 8 462 students (377 in private schools), the prevalence of overweight (including obesity) was markedly higher in private than public schools (boys: 37% [95% CI: 31-44] vs. 15% [14-16]; girls: 33% [26-41] vs. 20% [19-22]). The prevalence of thinness grade 1 was lower in private than public schools (boys: 9% [5-13] vs. 20% [19-21]; girls: 13% [8-18] vs. 19% [18-20]). Students in private schools reported more physical activity at leisure time while students in public schools reported larger weekly walking time. Conclusions. Our findings suggest that school type may be a useful indicator for assessing the association between socio-economic status and overweight in children, and that overweight affects wealthy children more often than others in developing countries.

Buying behavior of public organizations and its influence on export partner governance

Public organizations form a significant part of any economy, yet their buying behavior has received very little attention. Operating with complex public sector is further complicated when sales and marketing activities are done by foreign export partners. This thesis explores the buying behavior of public organizations and how partnership governance is influenced by it. The theoretical part focuses on two subjects. Firstly the strictly regulated purchase process, rigid decision making and other special characteristics of public organizations are examined. Secondly the thesis examines partnership governance forms and how coordination is arranged in the relationships. The empirical part investigates the subjects of public organization buying behavior and partnership governance using a case study of a Finnish SME and their two export partners. The findings suggest high degree of uniformity between public organizations enables the use of unilateral governance forms. By creating mutual dependence through training the possibility of adopting a purely bilateral governance form exists as well.

Taloushallinnon palvelukeskuksen perustaminen julkiselle sektorille ja sen haasteet

Tutkielman tarkoituksena oli selvittää taloushallinnon palvelukeskuksen perustamista julkiselle sektorille sekä suunnitteluvaiheen ja toiminnan alkuvaiheen mahdollisia kriittisiä seikkoja. Tavoitteena oli selvittää, kuinka ne voidaan minimoida, jotta hankkeesta tulee onnistunut. Lisäksi tutkielmassa käytiin läpi seikkoja, jotka ovat johtaneet palvelukeskuksien perustamiseen, palvelukeskuksille asetettuja tavoitteita sekä lyhyesti palvelukeskuksen ja sen asiakkaiden välistä palvelusopimusta. Tutkielma toteutettiin laadullisena tutkimuksena keräämällä aineistoa julkisella sektorilla toimivista taloushallinnon palvelukeskuksista. Sen lisäksi suoritettiin haastatteluita kunnallisessa palvelukeskuksessa sekä sen asiakasorganisaatiossa. Tulokset osoittivat, että palvelukeskuksen perustamiseen ja toiminnan alkuvaiheeseen liittyvät riskit ovat julkisen sektorin palvelukeskuksissa pitkälti samoja. Tutkimus osoittaa, että minimoidakseen riskit, tulee palvelukeskuksen perustamiseen käyttää riittävästi aikaa, jotta haasteellisimmat seikat ehditään huomioimaan sekä arvioimaan lisäresurssien tarve oikein.

Public-Private Partnerships: Managing organizational change for acquiring value creative capabilities

The objective of the dissertation is to examine organizational responses of public actors to customer requirements which drive the transformation of value networks and promote public-private partnership in the electricity distribution industry and elderly care sectors. The research bridges the concept of offering to value networks where capabilities can be acquired for novel product concepts. The research contributes to recent literature, re-examining theories on interactions of customer requirements and supply management. A critical realist case study approach is applied to this abductive the research which directs to describe causalities in the analyzed phenomena. The presented evidence is based on three sources, which are in-depth interviews, archival analysis and the Delphi method. Service provision requires awareness on technology and functionalities of offering. Moreover, service provision includes interactions of multiple partners, which suggests the importance of the co-operative orientation of actors. According to the findings,portfolio management has a key role when intelligent solutions are implemented in public service provision because its concepts involve a variety of resources from multiple suppliers. However, emergent networks are not functional if they lack leaders who have access to the customer interface, have power to steer networks and a capability to build offerings. Public procurement policies were recognized to focus on a narrow scope in which price is a key factor in decisions. In the future, the public sector has to implement technology strategies and portfolio management, which mean longterm platform development and commitment to partnerships. On the other hand, the service providers should also be more aware of offerings into which their products will be integrated in the future. This requires making the customer’s voice in product development and co-operation in order to increase the interconnectivity of products.

Toimintolaskennan hyödyt ja erityispiirteet Espoon kaupungin konsernipalveluissa

Tutkimuksen tavoitteena on kartoittaa, kuinka toimintolaskenta toimii Es-poon kaupungin konsernipalveluissa. Tarkoituksena on selvittää, mitä eri-tyispiirteitä julkishallinnon organisaatiossa on sekä mitä hyötyjä toiminto-laskennalla on saavutettu ja millaisia ongelmia sen parissa on kohdattu. Tutkielman teoreettinen viitekehys koostuu julkaisuista, jotka käsittelevät toimintolaskentaa sekä yksityisen sektorin että julkisen sektorin näkökul-masta. Tutkielman empiirinen osa koostuu havainnoinnista sekä avain-henkilöiden haastatteluista. Tutkimuksen tulokset osoittavat, että toiminto-laskennan todellista merkitystä ei ole täysin ymmärretty konsernipalveluis-sa. Tästä johtuen sen hyödyntäminen on ollut suhteellisen suppeaa siihen nähden, mitä mahdollisuuksia se voisi tarjota oikein ymmärrettynä. Näin ollen myös menetelmän käytöstä saadut hyödyt ovat jääneet potentiaalisia hyötyjä vähäisemmiksi. Hyötyjen osuus on kuitenkin suurempi kuin havait-tujen ongelmien osuus. Toimintolaskentaa on käytetty konsernipalveluissa apuvälineenä lähinnä palvelujen kustannusperusteisten hintojen laskemi-sessa. Tutkimuksen perusteella laskennan luotettavuus yleiskustannusten kohdistamisessa voidaan kyseenalaistaa.

Uuteen organisaatioon rakennettavan kustannuslaskentajärjestelmän sertifioiminen valtionhallinnossa: Case Maanmittauslaitos

Työn lähtökohtana oli tieto siitä, että Valtiontalouden tarkastusvirasto (VTV) on lähtenyt tarjoamaan kustannuslaskentajärjestelmien sertifiointeja valtion virastoille ja laitoksille. Ensimmäisenä tavoitteena oli selvittää, mitä kustannuslaskentajärjestelmien sertifioiminen valtionhallinnossa tarkoittaa. Työn toisena tavoitteena oli selvittää, miten Maanmittauslaitoksen kustannuslaskenta muuttuu vuoden 2014 vaihteessa tapahtuvan organisaatiouudistuksen johdosta, ja miten ja milloin tämä uusi kustannuslaskentajärjestelmä voidaan sertifioida. Diplomityö toteutettiin tapaustutkimuksena ja empiirinen aineisto kerättiin kvalitatiivisin menetelmin tekemällä organisaation sisäisiä ja ulkoisia haastatteluja. Maanmittauslaitoksen lisäksi haastateltavat osapuolet olivat VTV, Ernst & Young, sertifiointiprosessin lähes läpikäyneen Riista- ja kalatalouden tutkimuslaitoksen entinen ja nykyinen talouspäällikkö, Maa- ja metsätalousministeriö ja Valtiokonttori. Haastatteluiden lisäksi valtion virastoilta ja laitoksilta kysyttiin ovatko he kuulleet VTV:n tarjoamasta sertifiointipalvelusta ja ovatko he kiinnostuneita tästä kyseisestä palvelusta. Työn tuloksista käy ilmi, että VTV:n palvelu etenee samalla tavalla kuin mikä tahansa muu sertifiointiprosessi. VTV:n palvelu eroaa kuitenkin jonkin verran sertifioinnin perusrakenteesta, koska kustannuslaskentajärjestelmien tapauksessa ei ole laadittu yleisiä standardeja kustannuslaskennalle. Tämän vuoksi perusrakenteessa ei ole ollenkaan standardin omistajaa. Standardin omistajan paikalle sijoittuvat laki valtion talousarviosta ja asetus valtion talousarviosta. Maanmittauslaitoksen kustannuslaskenta muuttuu organisaatiouudistuksen myötä odotettua enemmän. Uuden organisaatiorakenteen vuoksi kustannuksia ei tarvitse vyöryttää toimintayksiköille, tulosyksiköille ja vastuualueille. Kustannukset vyörytetään jatkossa vain tuotteille ja projekteille. Maanmittauslaitoksen kannattaa sertifioida uusi kustannuslaskentajärjestelmänsä vuonna 2014, vaikka seuraavien vuosien aikana on tiedossa uusia muutoksia sekä organisaatioon, että tietojärjestelmiin. Ennen varsinaista tarkastusta Maanmittauslaitoksen kustannuslaskentajärjestelmä kuvattiin uudelleen.

Finnish game developers’ perception on public and private funding sources: a survey analysis

The aim of this study is to find out how game companies perceive the three traditional funding sources and how well their opinions and needs are reflected on the choices they make. To accomplish this, 20 game companies were questioned about multiple topics with the help of Tekes and Neogames. The results of this study show that game developers clearly differentiate the three major funding sources and the public sector ends up being the most significant source of external funding. This study also points out that most game companies are indeed facing issues in acquiring funding as well as various other resources.

Critical success factors for improving societal effectiveness of transport sector's R&D

This study investigates societal effectiveness of transport sector’s Research & Development (R&D) operations. In this study effectiveness refers to organization’s capability to produce the intended and desired impacts through its operations. The aim of this study is to identify the motives for evaluating societal effectiveness and recognize the critical success factors for improving effectiveness. The theoretical framework focuses first in the policy context of effectiveness evaluation in public sector and secondly the framework introduces the concept and process of effectiveness evaluation. The empirical part is carried out as a case study, which investigates societal effectiveness of Finnish Transport Agency’s (FTA’s) R&D. The aim is to recognize FTA’s critical success factors for improving R&D operations’ societal effectiveness. Based on these factors, the organization is able to define indicators for measuring effectiveness in the future operations. In this study societal effectiveness is investigated from R&D purchasers’ and R&D end- users’ points of views according to Purchaser-Provider-model. The results indicate that societal effectiveness evaluation is important part of R&D operations, but the implementation of the evaluation as part of daily operations is challenging. Because of limited resources, the organization is forced to strong priorization and therefore R&D tasks are secondary after the operational tasks. Based on the results the critical success factors can be recognized as resources and priorization, clear strategy and objectives, internal communications, cooperation between public and private sector and R&D implementation and dissemination.

Evaluating the wage differential between public and private sectors in Brazil

This paper uses a rotating panel of households to analyze wage differentials between public and private sectors in Brazil. Focusing on the transition of individuals between jobs available in the public and private sectors and controlling for individual time invariant characteristics, we find evidence of small wage differentials in favor of the public sector.

The role of public export promotion in Finland Industry view of public export promotion in Southwest Finland

The role of the public export promotion in Finland needed more research. The part of the public sector export promotion in the overall export is significant. In an ever more global world not only the companies but also the counties compete against each other and the governments have an interest to boost their economy as much as they are able to. Every industrialized country has export promotion services in some form or another. In the 21st century the tendency has been the bundling of the services and this has also been done in Finland with Team Finland. The role and the efficiency of the services provided deserve more research. The research question of this study is: What is the role of the public export promotion services in Finland? The question is researched primary by expert interviews conducted for this study. The situation in Southwest Finland is studied from the viewpoint of the companies of the region by conducting a survey aimed to the successfully internationalized companies of the region and asking them on their views on the impact and role of public export services in their internationalization. The theory base is formed out of various export promotion studies, studies monitoring the effects of the promotion and theories of the internationalization process of companies. The primary material for the study are the three expert interviews conducted and the answers to the survey conducted. The research method in the first part is a constructive qualitative research. The research approach in the second part, where the views of the companies in Southwest Finland are studied, is quantitative. The study findings from the expert interviews: the aligning of the public export promotion done in Finland to the previous research and the addition of the role of the public sector in classical frameworks. The study findings from the survey: the utilizing of the public export promotion services is heavily delayed and the internationalizing companies start to utilize the services very late in their internationalization process, the average being 10,3 years from the beginning of the internationalization. Another central finding from the survey is that the successfully internationalized companies see the public export promotion services generally as highly beneficial but in the light of the answers the effect on their own company is not as significant. Concluding can be stated that the public export promotion is seen as beneficial, but the monitoring of the efficiency is complicated in the case of services. Getting the companies to start utilizing the services earlier in their internationalization needs attention from the service providers. By communicating the achieved results and benefits better to the potential users of the services the internationalization process of the companies could be accelerated

Partnership, politics and public administration: a case study of the Ontario Ministry of Natural Resources

Efforts to reform the public sector reflect the social, political and economic environment within which government must function. The recent demands by the public for more consensual decision-making, as well as more efficient, effective and responsive public service, have resulted in a number of reform initiatives, including an emphasis on partnership development. The purpose of this thesis is to examine partnership arrangements within the public sector. Specifically, the thesis will assess the value of partnerships and their impact on government by examining six partnership arrangements involving the Ontario Ministry of Natural Resources (OMNR). The OMNR, having recently been awarded the 1992 Institute of Public Administration of Canada Award for Innovative Management, on the theme of partnership development, is being lauded as an example for other government agencies considering similar alliances. The thesis begins by introducing the concept and practice of partnership within the public sector in general and the OMNR specifically. Descriptive analysis of six OMNR partnerships is provided and a number of criteria are used to determine the success of each of these arrangements. Special attention is paid to the political implications of partnerships and to those attributes which appear to contribute to the successful establishment and iii maintenance of partnership arrangements. The conclusion is drawn that partnerships provide the government with an opportunity to address public demands for greater involvement in decision-making while accommodating government's limited financial resources. However, few truly collaborative partnerships exist within the public sector. There are also significant political implications associated with partnerships which must be dealt with both at the political and bureaucratic levels of government. Lastly, it is argued that while partnerships within the OMNR are experiencing some difficulties, they constitute a genuine attempt to broaden the base of decision-making and to incorporate the concerns of stakeholders into resource management.

The Efficiency of Collective Bargaining in Public Schools.

This paper develops a bargaining model of wage and employment determination for the public sector. the solution to the model generates structural wage and employment equations that are estimated using data from New York State teacher-school district collective bargaining agreements.

Le financement public de l’enseignement supérieur et ses impacts au Pérou : une analyse longitudinale (1993 – 2003)

Cette recherche porte sur le financement public de l’enseignement supérieur au Pérou et ses impacts dans une perspective longitudinale couvant la période 1993-2003. Cette période est importante parce qu’elle a été témoin, dans ce pays, de changements majeurs aux plans du financement public et de la configuration du système d’enseignement supérieur. La recherche consiste principalement dans des analyses secondaires de données pertinentes publiées par des organismes nationaux et internationaux. Les analyses sont structurées à partir d’un schéma d’inputs et outputs. On considère comme inputs les ressources financières et les ressources humaines, lesquelles comprennent les professeurs et les étudiants, et comme outputs les taux de diplomation (efficacité interne) et la demande de diplômés par le marché du travail (efficacité externe). La théorie de la dépendance de ressources sert de cadre pour interpréter les rapports entre le financement public et ses incidences sur les réponses institutionnels et ses conséquences. Dans la période retenue, le financement du secteur public a décru de 32% en raison d’un désengagement progressif de l’État. Une conséquence majeure de la diminution du financement public a été la croissance rapide du secteur privé de l’enseignement supérieur. En effet, alors qu’en 1993 il y avait 24 institutions privées d’enseignement supérieur, il y en avait, en 2003, 46 institutions. La baisse du financement public et la croissance du secteur privé d’enseignement supérieur ont eu des incidences sur la sélectivité des étudiants, sur le statut des professeurs, sur l’implication des universités en recherche et sur les taux de diplomation. Le taux de sélectivité dans le secteur public a augmenté entre 1993 et 2003, alors que ce taux a diminué, dans la même période, dans le secteur privé. Ainsi, le secteur public répond à la diminution du financement en restreignant l’accès à l’enseignement supérieur. Le secteur privé, par contre, diminue sa sélectivité compensant ainsi l’augmentation de la sélectivité dans le secteur public et, par le fait même, augmente sa part de marché. Également, tant dans le secteur public que dans le secteur privé, les professeurs sont engagés principalement sur une base temporaire, ce qui se traduit, particulièrement dans le secteur privé, dans un moindre engagement institutionnel. Enfin, les universités publiques et privées du Pérou font peu de recherche, car elles favorisent, pour balancer leurs budgets, la consultation et les contrats au détriment de la recherche fondamentale. Paradoxalement, alors que, dans le secteur privé, les taux de sélectivité des étudiants diminuent, leurs taux de diplomation augmentent plus que dans le secteur public. Enfin, les formations avec plus d’étudiants inscrits, tant dans le secteur public que privé, sont les moins coûteuses en infrastructure et équipements. Dès lors, la pertinence de la production universitaire devient problématique. Cette recherche révèle que les organisations universitaires, face à un environnement où les ressources financières deviennent de plus en plus rares, développent des stratégies de survie qui peuvent avoir des incidences sur la qualité et la pertinence de l’enseignement supérieur.