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This paper suggests avenues for strengthening the governance and management of the Japanese Government Pension Investment Fund (GPIF), the largest single pool of pension assets in the world. The GPIF earned its name in 2006 as part of a major governance reform that aimed at increasing the transparency and autonomy of the fund. While much improved, the new governance structure still falls short of international best practices and in some aspects does not meet some of the basic criteria contained in OECD recommendations, in particular the OECD Guidelines for Pension Fund Governance.
This paper outlines options for new reporting guidelines for national communications from Annex I and non-Annex I countries, both for “full” national communications and biennial “updates”. These reports can facilitate the sharing of information between Parties and may be used to assess the implementation of actions and progress towards the Convention’s objectives. There are significant gaps in the current climate reporting framework. These gaps are particularly marked for non-Annex I countries in terms of GHG emissions and trends, mitigation and adaptation actions. There are also gaps in terms of the effect of mitigation actions and support provided and received for climate-related activities, including for technology transfer and capacity building.

This paper suggests that: (i) national communications be produced more frequently while their focus is streamlined; (ii) reporting guidelines be revised to improve transparency about mitigation commitments/actions/targets that countries have indicated to the international community as well as other obligations taken under the UNFCCC and subsequently; (iii) standard reporting formats be used for more of the information in national communications; (iv) a flexible reporting framework be established for non-Annex I countries, where the information in (and possibly timing of) national reports is “tiered” according to national circumstances; (v) an increased emphasis be placed on reporting of “key” issues; (vi) information routinely provided on adaptation measures and policies be formalised; (vii) reporting on “support” be increased and its structure improved; and (viii) in reports from non-Annex I countries, the provision of information that is already routinely provided be formalised.

The organisation and management of EC development co-operation is embedded within the broader, and more political, external relations framework. Current reforms include more strategic and streamlined approaches, reorganisation in headquarters, and "deconcentration" of implementation authority to the field. These reforms are more sharply defining the vision, responsibilities, and processes of European aid institutions. It will be a challenge to ensure that these organisational and management reforms are increasingly results-oriented. The transition to this new form of management culture has only begun and will require a longer-term political commitment from European leadership to be successful. To implement this more strategic and developmentally oriented mandate also requires more human resources.

French
  • 22 Oct 2021
  • Jesper Johnsøn, Lech Marcinkowski, Dawid Sześciło
  • Pages: 74

Good governance of public agencies requires the application of a set of regulatory and managerial tools to find the right balance between autonomy of agencies and adequate oversight from portfolio ministries and other actors. This paper provides insights from EU and OECD good practices, with a detailed analysis of EU acquis requirements for national regulatory agencies. New empirical evidence shows that public administrations in the Western Balkans and European Neighbourhood area lack clear policies and regulations for agency governance and misinterpret the EU acquis. This leads to a proliferation of agencies, duplication of functions and waste of public resources, a lack of accountability to portfolio ministries and generally a governance vacuum. Implementation of government policy is blocked and democratic accountability generally undermined. Finally, recommendations for better organisation of public administration are provided, based on the empirical analysis and lessons learned from SIGMA's engagement in such reforms.

Sweden is undergoing a major reform of its public employment service (PES) Arbetsförmedlingen, shifting its main role from providing in-house services towards monitoring of providers and working with different stakeholders in guiding and implementing labour market policies. At the same time, the PES is undergoing a significant restructuring, resulting in a downscaling of physical presence across the country and an increased digitalisation of services. To support this reform and services to jobseekers across urban and rural settings, this report a describes the main features of the Swedish labour market and employment system and analyses the challenges of the reform from a local perspective. In light of international examples, it outlines policy options for contracting services to ensure coverage in all places and for all jobseekers, managing the balance between physical and digital services, and coordinating services at the local level.

Organisational change encompasses production processes (quality management, lean production, business re-engineering), management approaches (teamwork, training, flexible work and compensation) and external relations (outsourcing, customer relations, networking). Performance improvements from organisational investments are greatest when production, management and consumer approaches are combined, and when these bundled practices are implemented in conjunction with information and communications technologies (ICT). One explanation for the “productivity” may be that organizational change is key to realising benefits from ICT, while ICT is essential to implementing organisational change, necessitating combined investments to raise productivity growth. The proportion of OECD firms that introduced organisational changes rose significantly in the 1990s and the incidence of organizational change has been highest in service sectors. Larger firms, particularly those exposed to international ...

This paper investigates different varieties of so called organised decentralisation of collective bargaining in Germany, the Netherlands and Denmark. Organised decentralisation occurs within the framework of sector agreements, which explicitly allow determination of terms and conditions at company level, and often set certain (minimum) level standards as well as procedure that have to be respected. German decentralisation is based on its dual-channel system and extensive use of opening clauses, which make workplace derogation from sector-level agreements possible. Dutch decentralisation is based on the dual-channel system and on framework agreements that allow company level bargaining as long as minimum stipulations are observed. Finally, Denmark combines a single-channel system with framework agreements setting minimum levels. Germany stands out as the least organised of the three. Opening and derogation clauses mean that terms and conditions in multi-employer agreements can be undercut. Vertical control over these derogations has suffered from the dual-channel representation in which works councils have a new role. The Netherlands exhibit some, very limited, elements of disorganisation and stable bargaining coverage. Decentralisation has mainly happened through framework agreements setting minimum levels or through the organised transfer of competencies to works councils. The Danish system leaves a lot of scope for local bargaining, the minimum levels are generally observed and bargaining coverage has not suffered. Based on these findings, we draw the conclusion that organised decentralisation requires articulation that preserves a regulatory function of multi-employer agreements. Preservation of multi-employer agreements in turn requires high bargaining coverage.

The establishment of central public procurement policy making and implementing bodies constitutes a major contribution to the successful development and favourable overall position of the public procurement system in a country. To make the public procurement system work at all levels, a set of functions needs to be performed at the central or regional level. SIGMA Brief 26 analyses these key central public procurement functions and the existing structural models in the European Union Member States. The Brief also gives an overview of the potential assets and shortcomings of functions carried out by central public procurement structures.
The main purpose of the paper is to provide orientations based on a comparative approach to policy makers on drafting legislation on the organisation and functioning of the state administration. It is therefore written in a practice oriented way, although it nevertheless attempts to draw some generalisation.
French
This paper has been prepared by the Sigma Programme following a request of the Government Office of the Czech Republic. The OECD has worked extensively during the last few years on issues relating to the organisational dimension of the national administration and, in particular, on the phenomenon of "agencification" and its impact on governance structures. It has already produced a significant number of analyses1, including a comprehensive comparative publication on Distributed Public Governance (2002)2. Sigma has also published on the topic in the framework of public expenditure management and with reference to transition countries.
This OECD work was prompted by the problems caused by the increasing administrative-functional deconcentration within its member countries. The main questions posed were along the lines of: Does departmentalisation (keeping the whole responsibility within a ministry) ensure better control and efficient management of administrative and other public services or, on the contrary, does agencification (in the sense of setting up separate bodies) result in better management and de-politicisation?
This paper reviews the current academic thinking on knowledge transfer channels between universities and private industry, from a human resource perspective. It also offers a general framework for “re-organising” the literature, so as to identify gaps in the understanding of organisational behavior and human resource management for university-industry knowledge transfer. The review highlights that knowledge transfer channels with highest “relational intensity” are also most valued by industry, and that most knowledge transfer channels are not currently institutionalized or formalized. It concludes that knowledge transfer between universities and industry is characterized by important management challenges, which require an understanding of the extent and nature of individuals’ involvement. However, the existing literature emphasises the outcomes rather than processes of knowledge transfer. Future research looking at knowledge transfer processes at the individual and organizational level of analysis would provide valuable information for better policy-making.
Fragile states contributed 18 million migrants and 8 million refugees in 2000. More than 20% of these migrants and more than half of the refugees settle in other fragile states. Thus, migration is likely to be both a consequence and a possible cause of conflict and fragility. This paper asks why people from fragile states would want to move to another fragile state. Is it simply a question of jumping out of the frying pan into the fire – that migrants from fragile states have no other options than to settle in another fragile state? To investigate this question I analyse a new set of global data on the sources and destinations of migrants. This analysis generates genuinely new research for INCAF, and reveals that economic factors, such as the pull of higher incomes in destination countries, are important. The paper concludes by discussing how migration from fragile states in search of higher incomes and greater wellbeing is an important development strategy that should be supported. The research suggests that a new concept of development may be needed which looks beyond national borders to the countries where the migrants end up. This will require policies to ensure public acceptability in the host countries, however, such as bilateral agreements, temporary status for immigrants and restricting immigration to specific jobs or perhaps regions.

In this paper the forecasting performance of popular leading indicators for the German business cycle is investigated. Survey based indicators (ifo business climate, ZEW index of economic sentiment) and composite leading indicators (Handelsblatt, Frankfurter Allgemeine Zeitung, Commerzbank) are considered. The analysis points to a significant relationship of the indicators to the business cycle within the sample period, as measured by the direction of causality. But, their out-of-sample forecasts do not improve the autoregressive benchmark. This result may be caused by structural breaks in the out-of-sample period. As combinations of forecasts tend to be more robust against such shifts, pooled forecasts are constructed using different methods of aggregation, including linear combinations of forecasts and common factor models. In contrast to the single indicator approach, the combined indicator forecasts are able to beat the benchmark at each forecasting horizon. Therefore, the analysis points to the usefulness of pooling information in order to get more reliable forecasts.

This report analyses the experience of ten OECD countries in the design and implementation of quantitative indicators used to assess the outcomes of environmental enforcement authorities’ efforts to ensure compliance with pollution prevention and control regulations. To respond to the growing demand for results-oriented work methods and the need for performance management and accountability at the time of severe budget constraints, more and more environmental enforcement authorities are working to develop indicators to characterise improvements in behaviour of the regulated community (intermediate outcomes) or environmental conditions (final outcomes) stemming from their activities. The report considers six types of intermediate and final outcome performance measures, including compliance rates and indicators of improved environmental management practices and reduced risk. Based on the OECD criteria for the evaluation of environmental indicators – measurability, analytical soundness and policy relevance – the paper identifies key challenges for developing and using specific categories of compliance assurance outcome indicators and suggests several ways to improve their effectiveness. The review of a “toolbox” of existing outcome indicators and the analysis of their respective strengths and weaknesses suggests that it is not possible to identify a “best practice” approach or a universal optimal set of indicators. The functionality of individual outcome measures ultimately depends on their purpose (e.g. internal performance assessment or external accountability) and suitability for joint analysis with the enforcement authority’s resource (input) and activity (output) indicators. The report identifies several issues for further analysis.

Over the last two decades, the focus of public sector budgeting and management in most OECD Member countries has changed from inputs towards outputs. While important elements of an input-based management approach remain, many managers are now more often judged by how their programmes perform rather than by how well they adhere to administrative controls and procedures, or how successful they are in obtaining resources for their programme. The jury is still out as to the details of actual gains and losses connected to this change, but generally it is the view of central budgeting and management institutions that this change in focus has enhanced the quality of management and increased programme effectiveness and efficiency.

This paper discusses the uses of outcomes in public sector management in New Zealand. It begins by describing the overall public management system within which government departments operate, and how outcomes are used within this system. It then outlines some work that is underway to improve the focus on outcomes, and the way that outcomes are used within the system. The remainder of the paper is a series of case studies of innovative uses of outcomes in the New Zealand state sector.

In 1998, the Government of the United Kingdom conducted a Comprehensive Spending Review which examined the resources allocated to each area of spending, and for the first time decided on and published the service improvements and reforms required in return for the resources allocated to departments’ expenditure programmes. These requirements were set out in Public Service Agreements (PSAs) for every central government department published in December 1998.  Each PSA sets out the aim and objectives of each department as well as performance targets, including measures of operations and outcomes. The government’s second spending review in 2000 resulted in revised PSAs, and excluded those expenditure programmes for which the Scottish Parliament and the Welsh Assembly have executive responsibility following the devolved constitutional arrangements.

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