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The poor performance of public agricultural extension systems in developing countries engendered interest in pluralistic concepts of extension involving a variety of service providers. Within the reform agenda, modalities relying on private‐sector providers were perceived as a path to improvement. This paper aims to assess the potential and limitations of such modalities.

The paper discusses the conceptual underpinnings of these extension approaches, highlights theoretical and practical challenges inherent in their design, and provides an assessment of several performance‐based case studies described in the formal and informal literature.

Many of the modalities reviewed entail partnerships between the public sector, farmers' organizations or communities, and private‐sector providers. The paper concludes that while private‐sector participation can overcome some of the deficiencies of public extension systems, there are also challenges that have been faced, including misuse of public funds, insufficient accountability to farmers, inequitable provision of service, inadequate quality, and limited coverage of the wide range of farmers' needs.

The review suggests that private‐sector involvement in extension is no panacea. Extension systems need not be uniform, and will require different providers for different clienteles, with public providers and funding focusing more on smaller‐scale and less commercial farmers. The public sector may need to provide some regulatory oversight of private‐sector extension activities, particularly when public funding is involved.

The paper draws conclusions from a diverse range of experiences, some of which are recent, and provides comparative insights. It may be of interest to development scholars and practitioners.

The purpose of this paper is to compare home care workers' views of their employment conditions by provider type – private for-profit vs public and non-profit – using the case study of Ireland.

An online survey was distributed to care workers (n = 350) employed by private for-profit, public and non-profit home care providers in Ireland. Returned questionnaires were analysed statistically in R using chi-squared tests to systematically compare key aspects of employment conditions.

Analysis shows that conditions are perceived to be significantly worse for those employed by private for-profit providers (and to a lesser extent non-profit organisations) compared to the public provider. There are wide disparities between public and private sector conditions in terms of contracts, pensions, unsocial hours pay and travel time allowances. The main area of convergence is in relation to employer support, where although the public sector performed better, the difference between the three provider types is smaller.

Relatively little research compares working conditions in private for-profit providers vs public and non-profit providers in Ireland and other countries. The findings can be understood in the context of marketisation reforms and may partly be explained by a lack of regulation in Ireland's home care sector and low unionisation rates amongst care workers employed by private for-profit providers.

Recent years have witnessed significant increases in the number of undergraduate students entering UK higher education. This increase is a result of the removal of the sector-wide cap on student numbers in England and Wales, along with a growth in overseas students attracted by the reputation of UK universities and the weakening of the value of Sterling. Adopting a corporate real estate perspective, the aim of this paper is to understand how the UK student residence market is structured and financed, and to identify the motivations that are driving the strategies adopted by the universities, private sector providers and investors in this market. In doing so, this research seeks to test the appropriateness of the Gibler and Lindholm (2012) model of corporate real estate strategy in the UK higher education sector.

Data was gathered from a survey of UK university secretaries, combined with interviews of private sector providers, bank lenders and the analysis of secondary data on investment flows into purpose built residential accommodation (PBSA).

UK university real estate strategy is mainly one of outsourcing student accommodation to reduce costs as well as employing modern purpose-built student housing as a marketing tool and brand enhancer. This strategy is also used as a risk mitigatory tool enabling universities to adjust to changing student demands. Revisions to the Gibler and Lindholm (2012) model are proposed to reflect the reality of the real estate strategy adopted by the universities. Private sector providers view the sector favourably and are set to be the main providers of new supply over the next decade, entering into strong partnerships with the universities. While there is evidence of some oversupply of bed spaces in certain cities, well-located developments are viewed as an attractive lending opportunity. Since 2013 there has been significant growth in institutional investment into UK student accommodation, albeit sentiment is currently tempered by political uncertainty.

The role of PBSA designed to meet modern student requirements is playing a critical role not only in attracting, recruiting and retaining students but also enhancing the overall higher education experience promoting student welfare and well-being.

The corporate real estate strategy adopted by the UK higher education sector is an under researched area. This paper focuses on the strategy surrounding student accommodation provision and reports on the findings of an extensive survey of the key players in this sector. The results are of value to all stakeholders including government and regulators, at a time when higher education is facing substantial challenges. The evidence of a growing partnership between universities and the private sector is viewed as a logical solution, both for the present and the foreseeable future.

The learning outcomes of this paper are as follows: to understand the characteristics of a natural monopoly such as telecommunications sector and impact of “network externality”; to understand the role of a regulator in maintaining a balance between competition and consolidation of telecom sector; to understand the importance of first-mover advantage in telecom sector and coping mechanism of late entrants; to understand different pricing mechanisms of “natural monopolies” that can be adopted to remain profitable; to understand social cost of price floor in telecommunications sector.

Indian telecom sector is going through a downturn where most of the private sector telecom service providers have reported huge losses, failed to pay adjusted gross revenue (AGR) dues and reported decline in average revenue per user over a period of 3–4 years. Fierce competition in the sector leads to rock bottom calling and data charges. Bharti Airtel benefitted for being the first mover in terms of market share but with entry of JIO in 2016, the service providers have entered a price war. As a result, service providers have requested Mr. R.S. Sharma, Chairman of Telecom Regulatory Authority of India (TRAI) to come up with a floor on calling charges and requested the government for a bailout package. Currently, Mr. R.S. Sharma, Chairman TRAI is facing a dilemma whether to regulate and come up with a floor on calling and data charges or leave the sector for market correction. Mr. Sharma can also recommend to amend the definition of AGR. Telecommunications sector exhibit the characteristics of a natural monopoly where there is a need of a regulator to introduce “competition for the sector” and “competition in the sector.” In India, TRAI is the regulatory body responsible for introducing “competition for the sector” by auction and “competition in the sector” by deregulating calling and data charges, maintaining at least three private and one public service provider, decreasing “switching cost” of the customers, etc. The case deals with the issues of why there is a need of a regulator in natural monopolies, how different chairmen of TRAI have successfully introduced competition “for” and “in” the sector, and how Indian telecom sector went through a downturn? What should TRAI do to maintain competition in the sector?

The case deals with the issue of managing telecommunications sector (a natural monopoly) by a regulator in the context of India. The regulator had successfully introduced “competition in the sector” and “competition for the sector.” This led to sharp increase in subscriber base and decrease in calling and data charges. Presently, fierce competition in the sector has left the service providers cash crunched. The case deals with the dilemma faced by the chairman of the regulatory body in India on whether the regulator should come up with a price floor or market correction. Study level: MBA, Executive MBA.

Teaching Notes are available for educators only.

CSS 10: Public sector management.

This study examines unexplored horizontal accountability types between public, private and third sector actors within a hybrid organization. The case organization was applying a novel alliance model to generate service paths for heterogeneous clientele consuming cultural, educational, health and social services. It was first to do so in Finland.

This research is on a case study that used documents and interviews to examine the design of the horizontal accountability. The descriptive analysis focused on identifying what type of formal accountability system was designed (i.e. who is the account holder, and who is accountable and for what and why).

An imbalanced accountability system was identified because accountability obligations were unevenly distributed between public, private and third sector actors. The private sector was the most accountable for performance, and the third sector (i.e. voluntary sector) was the least accountable. As account holders, the public, private and third sector actors were judging their conduct as account providers. This created a biased horizontal accountability system. The hybrid's accountability system was dynamic because the contracts made to establish the hybrid included opportunities to change horizontal accountability if future changes to the external environment affect too drastically the potential to achieve the hybrid's goals.

Three new concepts are proposed for studying dysfunctional accountability systems: dynamic, biased and horizontally imbalanced accountability.

The purpose of this paper is to probe experiences of entrepreneurs in the social and health care service provision.

Information was collected regarding entrepreneurs’ views on the factors affecting the collaboration between public and private sectors. A sample of social and health care entrepreneurs was interviewed using open-ended questions. The interviews were transcribed and analysed using inductive content analysis.

Three main categories of factors affecting the success of partnership were identified: the nature of partnership, business aspects and tension builders.

The research was undertaken in rural Finland and the sample consisted 13 entrepreneurs. The results must be considered as observations with more generalised conclusions.

The results of this study support municipalities in their social and health care service strategy work and especially in consideration of how to also facilitate a fruitful public-private partnership (PPP)-framework, which will largely depend on mutual understanding and consensus.

The reform of the social and health care system has raised intensive public debate throughout Europe. Key issues include the reorganising of social and health care processes as well as PPPs in provision of services. This study observes the views and experiences of private entrepreneurs and points out where some potential problems and solutions of social and health care PPPs are.

The purpose of this paper is to improve the understanding of the evolution of marketization in the public sector as a process of institutional change.

The paper is based on a study of marketization and gradual changes in the involvement of private contractors (as providers of maintenance services) in the municipal road and park sectors in Denmark over the past 30 years. The study draws theoretically on historical institutionalism as an interpretive framework and empirically on findings from earlier research, register data from municipal accounts as well as new survey data.

Marketization within the road and park sectors has historically taken place through gradual changes, in particular by processes of layering and displacement, which has added up to substantial transformations in both sectors. Transformations relate to the levels of private sector involvement, the purpose of using private contractors, the extent of competition and the design of contractual arrangements. The road sector has been a frontrunner in this marketization process, while the park sector increasingly has been “catching up.”

The paper contributes to the understanding of the historical development and differential pathways of marketization within the public sector. In particular, the study highlights how pathways of gradual change, spurred by the influx of long-term policy pressures, over time can lead to substantial institutional transformations.

The central lesson to be learned from studying the case is to understand the challenges and constraints posed by contextual conditions in designing contracts in public–private partnerships (PPP) for financing and delivering health care in emerging economies such as India.

Perverse incentives, along with contextual conditions, led to extensive opportunistic behaviors among involved agencies, limiting the effectiveness of otherwise highly regarded innovative design of the program.

India’s “Rashtriya Swasthya Bima Yojana” or National Health Insurance Program, launched in 2007 provided free health insurance coverage to protect millions of low-income families from getting pushed into poverty due to catastrophic health-care expenditure. The program was implemented through a PPP using standardized contracts between multiple stakeholders from the public and private sector – insurance companies, hospitals, intermediaries, the provincial and federal government.

Teaching Notes are available for educators only.

CSS: 10 Public Sector Management.

As entrepreneurship and market mechanisms are increasingly seen as a central part of public sector reforms to health and education, this chapter examines the entrepreneurial behaviour of public service providers in rural areas of the United Kingdom. Specific questions to be addressed include: How do rural providers (GPs, hospitals, schools) respond to the ‘market’ for provision of public services in rural areas? What are the constraints in acting entrepreneurially in these rural ‘markets’?

This chapter draws on a review of the literature and an empirical study of health care providers and schools with an emphasis on provision in rural areas and non-metropolitan urban areas. The results are based on 130 interviews with public, private and not-for-profit sector providers, and commissioners in health and education. Providers interviewed include schools, primary health care providers (General practitioners) and hospitals.

The challenges facing rural provision are examined. In terms of income generation providers reported the difficulties in having the critical mass required to keep services viable. There was particular attention to finding ways of diversifying income sources to increase turnover. Providers for rural areas are also having to find ways of coping with increased costs compared to urban providers, with limited account taken by the commissioners/buyers of services. The constraints related to introducing entrepreneurial behaviour to individuals who are resistant to risk taking and innovation based on market forces are also examined.

The work is based on a qualitative survey of a number of sectors. Further larger sample work is required to explore the propositions identified in more detail. The policy context has also been changing, with a need to identify how changes in government have affected the nature of entrepreneurship in public services.

The chapter provides policy implications and insights for providers of rural public services. There is a need to encourage diversity of income sources and to encourage collaboration between providers. There is also a need to identify where entrepreneurs in the public, private and social enterprise sectors are unwilling to deliver.

The chapter identifies key theoretical issues related to the role of enterprise in delivering public services. Further insights are provided regarding the role of rurality on both enterprise behaviour and public service delivery.

The purpose of this paper is to provide insights into the workings of the internal specifier/provider arrangement, a new organizational form that is not required by government mandate but has become common place in the Australian public sector.

The case study empirics take place in a large local government water authority. Data were collected from face‐to‐face interviews with 26 managers using a semi‐structured interview schedule and from internal and public documents relating to the case.

The following five “so what” lessons are identified: private sector co‐ordination and management mechanisms such as transfer pricing can be relied upon to help reduce the ambiguity surrounding the specifier/provider model; the providers are likely to be more anxious about the introduction of the model because poorly perceived performance may result in outsourcing; to improve the ability of the organization for co‐ordinating activities the model requires clearly defined specifier and provider roles and tasks; the service level agreement is an important communication device for clarifying roles and expectations; and increasing the number of sub‐divisions complicates the ability of the organization to access suitable human resources and to communicate effectively with their employees and minimize employee stress.

The findings of this paper are likely to be useful for other organizations faced with similar pressures as to deal with those pressures require new and innovative ways of working.

This paper contributes to our understanding of the new organizational forms emerging in the public sector and the issues surrounding their implementation. The main contribution of this paper is a discussion of the lessons that were learned from the employees in the case organization in their attempt to change the organization from its traditional bureaucratic operational procedures to cost center structures using the internal specifier/provider model.