The reform of New Public Management and the creation of public values: compatible processes? An empirical analysis of public water utilities

Abstract

How compatible are the reform of New Public Management (NPM) reforms and the creation of public values in practice? This issue is addressed in the light of the reforms of two public water utilities. Building on Moore’s (1995) strategic triangle, we have analysed the process of value creation associated with measures inspired by NPM. These reforms were first intended to secure financial resources. Certain public values were subsequently created, either under the influence of a leader, or through formalized NPM management tools. Under certain conditions, the implementation of an NPM reform thus proves compatible with the introduction of processes that sustain public values. However, an undemocratic context necessarily limits these processes. Points for practitioners This article encourages public managers to think about the values they uphold when implementing a public policy and the terms and conditions of this implementation. The water sector in developing countries, reformed in line with the principles of NPM, offers two distinct illustrations. The cases of the NWSC in Uganda and of the PPWSA in Cambodia allow the question to be studied in contexts where the public service mission entails strong societal challenges that cannot be reduced to efficiency alone.