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PIPFA Journal                                                                        Article



        ed in to effective and improved public  further  whereas sanctions/penalties  These additional  3E’s reflects non-fi-
        service delivery? Organization may  create threat for slow/under perform- nancial  consideration  in  any
        develop  performance  management  ers to step up and improve  their  substance and can be helpful in
        system according to their prime goals  performance.                    optimal decision making in public-sec-
        but their ultimate achievement  is   3E’s or 6E’s of  Performance      tor matters.
        common i.e. improved public service   Management                       •  Equity:  May  be  defined  as  the
        delivery.  Performance Management                                         quality of being fair and impartial. A
        system can be implemented as public   Efficient performance of public sector   legitimate effort to execute the plan
        sector originations as a uniform policy   activities are always directed  by the   and avoid  discrimination  and
        and at micro level within public origi-  commencement of major transforma-  dishonesty, particularly  in relation
        nations.  A basic outline  of perfor-  tions/reforms in the public domain. In   to the environment. This enhance
        mance management  systems is        contracts to the private  sector, the   the procedural  fairness, equal
        explained hereunder.                evaluation  of  performance   and     access   and   commitment    of
        Initially, Policy makers need to define   efficiency in the public administration   resources  to all  the segments of
        performance    measurement      by  institutions/public-sector  organiza-  society, consistency in service
        performing research internally  and   tions are decade behind.Classically,   delivery  and  investigate  the
        externally  to know each and every   Private sector performance can be    grounds of disparities
        procedure. It is very significant to find   assessed through various universally   •  Environment:   An   eco-friendly
        success factor(s) of the organization   accepted performance  measurement   attitude towards goods and servic-
        and set performance  measurement    tools & techniques  based on profit   es, laws, guidelines  and  policies
        benchmarks/standards. It is very hard   generations. Public sector institutions   that claim limited, nominal,  or no
        to  find comparable  origination(s)  in   are labeled  as not-for-profit .There-  damage upon ecosystems or the
        public sector for  benchmarking  of   fore, profit criteria cannot be pragmat-  environment.
        processes but this issue can be solved   ic  as  performance indicator to  public   •  Ethics: May be defined in general
        by involving all important stakeholder,   sector entities. In the case of public   as ethicalvalues  that govern  a
        regulators etc.  and always keep a   sector institutions, an alternate system   person's behavior or the conduct-
        room for improvement and flexibility.   of performance evaluation must exist   ing of an activity.  Ethics play a
                                            which cater all important indicators of
        Secondly, Key performance Indicators   performance.                       significant  role  in management  of
        (KPI’s)  must   be   selected   on                                        individuals  through ethics rule
        S.M.A.R.T criteria and directly corre-  It is a prevalent opinion that most of   books and private sector compa-
        lated with benchmarks/standards.A   the public-sector institutions activities   nies through corporate govern-
        minimum performance baseline must   are not designed to grasp any income   ance rules. Public sector organiza-
        be set for individuals/departments and   or surplus. This judgement is impreci-  tions are custodian of public
        all KPI’s must be communicated to all   seas public sector  institution are not   money; therefore, ethical  conduct
        stakeholders effectively.  There shall   profit making by their design.  These   is vital for  each matter.  Work
        be no ambiguity and contradiction with   organizations  may be under certain   enthusiasm, problem  solving and
        government rules & regulations.  A   circumstances, create profit, in term of   peaceful working environment can
        careful research  must be done  to   economic activity in broader aspect.   be created through constructive
        avoid any clash within the department   Public sector Financial  Management   and  positive  ethical  environment.
        or outside the circle.              can be understood as a part of perfor-  Ethical code of conduct is essen-
                                            mance management system ensuring
        Next step i.e.  target setting is very   effective, economical  and  efficient   tially  developed  to deal  with  the
        important and key stage is perfor-  utilization of public resources. It  can   fundamentally inconsistent area of
        mance management. Policy makers     be further  extended to  efficient and   human behavior  such as faithful-
        must provide  appropriate  managerial   quality management of the organiza-  ness to  law,  non-disclosure  of
        control and tools to managers. Targets   tion.                            facts,  relations  between employ-
        must be specific, attainable, measura-                                    ers, companies. Ethical codes are
        ble, acceptable  and rewarding  and      INPUTS  OUTPUTS    RESULTS       also dealt with matters of health,
        have adequate  linkages  to overall   Economy   Effectivenes  Efficeincy  safety, and solving various type of
        policy  of the originations  and  prime   by Less  by targeted  by sensible  conflicts within and outside organi-
        focus of these.                      Spending    spending   Spending      zation. Consequently, a tunnel
        There shall be no system in this world  In public  finance management,  the   vision  approach  i.e. economical
        can work  effectively  without  having  basic principle  of “3E’s” can be   aspect may not appropriate meas-
        appropriate  mechanism  of rewards  extended  to “6E’s”, i.e. Equity, Envi-  ure to assess the performance
        and/or  sanctions  scheme. Reward  is  ronment and Ethics to broadened the   management public administration
        the motivational factor to  improve  concept of performance management.   or public sector organization activi
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