Performance Measurement and Management Systems in Local Government Networks: Stimulating Resilience Through Dynamic Capabilities

Abstract

Local government networks often develop in unpredictable environments and, as a consequence, their abilities and resources have to be prepared for flexible responses, the so-called “dynamic capabilities”. One of the most desirable capacities they might reach is resilience, understood as the skill to cope with unpredicted dangers after they become real. This paper reviews literature and conceptual outcomes resulting from the analysis and contextualization of the Dynamic Capabilities (DCs) Theory, providing a contribution to an effective improvement of resilient governance for performance measurement and management systems (PMMS) within local government networks. The fusion of the concepts of resilience, governance, and DCs applied to PMMS offers both theoretical and practical implications. Regarding the theoretical implications, the presence of DCs in resilient inter-municipal governance might help sense, shape and seize opportunities, as well as enhance, combine and reconfigure assets, not only for the single local government but also for the whole community. Concerning the practical implications, the work suggests that DCs applied to resilient governance al-low and facilitate the overcoming of bureaucratic resistances typical of public sector organizations through the networking of local governments that pursue compatible objectives.