The main aim of this assignment is to bring better understanding regarding the strategic management, new public management and digital strategy. The role of the strategic management on the new public management and digital strategy will be discussed under this report.
Strategic management
Strategic management is considered as the constant planning, analysing and monitoring of all process of the organization that is required for the company to accomplish the desired goals and objectives. It is the process that includes the formulation of the effective aims and initiatives which is taken the top management of the company on the basis of the consideration of resources. The strategic management process contains the six-step process that includes planning, execution and evaluation. It helps to recognize the mission and vision of the company that entail the external analysis and internal analysis.
New Public Management is referred as an approach in order to run the public service organizations that are used in government as well as public service institutions along with agencies, at both sub-national and national levels. It is the structure that lean and highlight decentralized structures. It has divisional structures and contact-like relationships and market type mechanisms. It has been found that NPM approach is considered as the radical development to public service delivery with the help of the development in the information technology.
A digital strategy is outline of strategic management and can be considered as the business answer to a question related to the digital, often best addressed as the component of an overall business strategy (Dai, 2018). The public sector is huge sector and the digital strategy of the government is pushing towards the public sector for the purpose of making an effective digital future. The strategy should continuously develop to fulfil the objectives of the company (Tang, 2017). Digital strategy appearances for processes to use technology to change activity, and consequently business, on the other hand IT strategy aims to change technology in separation from the rest of the business.
Strategic planning has become a quite routine and general practice at all kinds of public sectors. It has become the major part of the huge practice of strategic management that connects planning as well as implementation. It has been found that the strategic planning can be followed by the organizations and to places extending from local to national and to transnational. Strategic management systems are effectively applicable to the government organizations as regardless of the feature of the specific business, managers should focus on the decision making approach on all level of functions (Donate & de Pablo, 2015). The public sectors have adopted the strategic management decisions approach as it helps them to outline an effective function for running the operation. There are some public organizations such as police, fire departments, hospitals and the military often use relatively better formal strategic planning and execution systems. The system of public organization of Sweden is converting toward sensibly comprehensive formal systems. There are number of organizations related to the public sector that use less comprehensive, less formal and move towards decentralized systems (Hislop, Bosua & Helms, 2018). These systems are focused on number of goals and concerns that rely on the decision making process in which politics has significant role that control something other than different outcomes.
In the context of similarities between strategic management and New Public Management, it has been found that there are number of various views on New Public Management but NPM is considered as the departure from the classical public administration paradigm. Strategic management helps in making planning regarding E-government; it is besides possible for the company to make differentiation between three structural prospects of the legalistic administrative culture. When outlining an e-government strategy, it is necessary to have a specific attention which should be paid to the governance structures. The value of strategic management and new public management are similar in the context of the development of the e-government strategies (Kearney, 2018). These values make sure that both the level of central and decentre are integrated in the context of the decisions making process to use the benefits of each level.
In the context of the difference, it has been found that there is a difference between centralism where number of political as well as administrative control is focused in one centre. Along with that there is a difference in employment in public sector and that is why the management of human resources is different from each other. The difference comprises in employment the extent to which employees of the public sector are component of a specially trained. There is a lot of difference between the values of SM and NPM; there are some policies which are decided on the national level, and rest at EU level (Joyce, 2015).
It has been found that the public sector do their understanding of how to relate Strategic Management that need to become fairly centralized, absorbed on short-term measurements and focused on effective matters. NPM becomes a vital contextual factor to consider at the time of implementing in the public sector. Furthermore, the appearance of new SM models in public sectors has vital results for necessary work practices, knowledge and skills bases of ongoing public managers, as they are gradually more being asked to react as strategic along with the operational managers (Bouckaert, Peters & Verhoest, 2016). SM helps in e-government organization as to elaborate differential organizational performance and in the mission SM has improved concepts and theories that chiefly investigate the environment, and look at management for the purpose of developing ideas and methodological advances that pursue and endeavour to forecast management practice alteration.
There is logic of digital strategy that categorized digital capital and design moves which put impact on the strategic management. E-government is managerial expansion in public administration that takes benefit of information and communication technology in grouping with organizational modify and new capabilities (Henfridsson & Lind, 2014). There are some steps in strategic management such as identifying the current mission, goals and strategies, doing an external analysis, doing an internal analysis, devising strategies, applying strategies and assessing results. The impact of digital strategy focuses on utilizing the technology for the purpose of improving the performance of the business, whether that describes developing the latest products and regenerating current processes.
It focuses the direction a company will carry to make new competitive advantages with technology; along with the tactics it would utilize to attain these changes (de Reuver, Sørensen & Basole, 2018). This generally entails amendments to business models, as new technology develops it possible for generate companies to give service that were not previously possible. Technology has developed with business to develop into something more than hardware as well as software. It has been found that the digital technology becomes more invasive and organizations move ahead in the journey of digital transformation and business strategy will be the similar thing (Scott & Robbins, 2010).
There are some factors that evaluate e-government as the next phase in the rationalization and improvement of the public sector. The development towards the adoption of e-government shows a continuance of last public sector development, but majorly entails the substantially amplified role for ICT. There are many studies that have recognized the importance of NPM reform initiatives. Along with that it has been found in the context of e-government that it emphasizes the transformation of service-based processes and citizen-centric service delivery in the form of e-government components. NPM has huge importance in conceptual foundations for the improvement of e-government NPM that can also be seen as developing of aspects or components.
The government has become advanced due to involvement of the digital technology as number of online courses and facilities are available which can be accessed by public in an easiest way. The digitisation of public services also calls for new developments to address the delivery and production of welfare services (Bason, 2018). For instance, instead of treating individual processes as separate aspects that can be focused outside any framework, evaluating the relation of the value chain to provide public services offers a model for developing strategic alignments.
Conclusion
From the above discussion, it can be concluded that the role of the strategic management in the public sector organization keeps huge importance. The similarities between strategic management and new public management have been focused under this assignment.
References
Bason, C. (2018). Leading public sector innovation: Co-creating for a better society. Policy Press.
Bouckaert, G., Peters, B. G., & Verhoest, K. (2016). Coordination of public sector organizations. Basingstoke, UK: Palgrave Macmillan.
Dai, X. (2018). The digital revolution and governance. Routledge.
de Reuver, M., Sørensen, C., & Basole, R. C. (2018). The digital platform: a research agenda. Journal of Information Technology, 33(2), 124-135.
Donate, M. J., & de Pablo, J. D. S. (2015). The role of knowledge-oriented leadership in knowledge management practices and innovation. Journal of Business Research, 68(2), 360-370.
Henfridsson, O., & Lind, M. (2014). Information systems strategizing, organizational sub-communities, and the emergence of a sustainability strategy. The Journal of Strategic Information Systems, 23(1), 11-28.
Hislop, D., Bosua, R., & Helms, R. (2018). Knowledge management in organizations: A critical introduction. Oxford University Press.
Joyce, P. (2015). Strategic management in the public sector. Routledge.
Kearney, R. (2018). Public sector performance: management, motivation, and measurement. Routledge.
Scott, M., & Robbins, G. (2010). Understanding E-Government Implementation from an NPM Strategic Reform Perspective. CAIS, 27, 26.
Tang, H. (2017). A Study of the Effect of Knowledge Management on Organizational Culture and Organizational Effectiveness in Medicine and Health Sciences. E-urasia Journal of Mathematics, Science & Technology Education, 13(6), 1831-1845.
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