Controlling opportunism in partnerships: a process view
International Journal of Public Sector Management
ISSN: 0951-3558
Article publication date: 15 September 2020
Issue publication date: 4 November 2020
Abstract
Purpose
Controlling partner opportunism in public-private partnership (PPP) requires effective adaptation of governance mechanisms over life-cycle. This paper proposes a process framework of effective governance adaptation for controlling partner opportunism in case of PPP.
Design/methodology/approach
Using in-depth interview data and extensive secondary data, a comparative case analysis of governance adaptation for controlling partner opportunism in two provinces in the “National Health Insurance Program” in India was conducted. The study uses contextual analysis and critical incident technique to identify the opportunistic behaviors and use processing tracing to map the adaptation of governance mechanisms for effective control of partner opportunism.
Findings
The paper makes several propositions and proposes a three-stage framework for effective governance adaptation for controlling partner opportunism. The study proposes that governance adaptation begins with the iterative process of discovering governance needs, followed by the dynamic interaction between governance mechanisms shaping the adaptation process. The process ends with two-dimensional alignment–alignment of partner's goal and alignment of governance mix with governance needs resulting in effective governance.
Research limitations/implications
The paper contributes to the existing debates on governance mix and its effectiveness in PPP by proposing two-dimensional alignment for optimal governance adaptation leading to effective PPP governance.
Originality/value
Existing research presents contradictory findings about the effectiveness of governance mechanisms to control partner opportunism. The proposed process-view of governance adaptations tries to address this conundrum to some extent.
Keywords
Acknowledgements
The authors are thankful to Thomas L. Huber, ESSEC Bussiness School and Frabrice Lumineau, Purdue University for their comments on an earlier draft of the paper. The authors are also thankful to the two anonymous reviewers for their constructive comments.
Citation
Maurya, D. and Srivastava, A.K. (2020), "Controlling opportunism in partnerships: a process view", International Journal of Public Sector Management, Vol. 33 No. 6/7, pp. 751-769. https://doi.org/10.1108/IJPSM-02-2020-0062
Publisher
:Emerald Publishing Limited
Copyright © 2020, Emerald Publishing Limited