Public Value Creation through Private Partnership: Lessons from Public Service Delivery in Karnataka, India

35 Pages Posted: 6 Aug 2012 Last revised: 4 Sep 2012

See all articles by Gopal Naik

Gopal Naik

Indian Institute of Management (IIMB), Bangalore - Department of Economics and Social Sciences

K. P. Basavarajappa

Indian Institute of Management (IIMB), Bangalore

Nageena Sultana

Indian Institute of Management (IIMB), Bangalore

Rashmi Prasanna

Indian Institute of Management (IIMB), Bangalore

Date Written: December 10, 2010

Abstract

The process of globalization coupled with continuous innovatrions in information and communication technology (ICT) has led to governments across the world experiencing increasing challenges to maintain a competitive economy, achieve technology convergence and effectively deliver public services (Burd and Currie, 2004). Having realized the benefits of the use of ICT through private sector offerings, citizens are demanding similar improvement in services provided by the government as well. There is recognition that improvements in efficiency and effectiveness in public service delivery could release limited public resources that could achieve Pareto efficient allocation and maximize social welfare (Burd and Currie, 2004).

These pressures coupled with rising fiscal constraints are forcing governments to seek cooperation from private players to partner in delivering public services. Public-Private Partnerships (PPPs) is one form of cooperation between the private sector and governments created to design and deliver public services operating under constraints such as weakness in enabling policy and regulatory framework or lack of capacity in public institutions (CII, 2007).

Private sector investments, knowledge and experience in the use of technology and customer interface capabilities are key attributes in countries like India. Thus PPPs have the potential of creating public value that neither of the two parties would be able to achieve alone (Kelly and Muers, 2003).

Suggested Citation

Naik, Gopal and Basavarajappa, K. P. and Sultana, Nageena and Prasanna, Rashmi, Public Value Creation through Private Partnership: Lessons from Public Service Delivery in Karnataka, India (December 10, 2010). IIM Bangalore Research Paper No. 315, Available at SSRN: https://ssrn.com/abstract=2124372 or http://dx.doi.org/10.2139/ssrn.2124372

Gopal Naik (Contact Author)

Indian Institute of Management (IIMB), Bangalore - Department of Economics and Social Sciences ( email )

Bannerghatta Road
Bangalore, Karnataka 560 076
India
2699-3194 (Phone)

K. P. Basavarajappa

Indian Institute of Management (IIMB), Bangalore ( email )

Bannerghatta Road
Bangalore, Karnataka 560076
India

Nageena Sultana

Indian Institute of Management (IIMB), Bangalore ( email )

Bannerghatta Road
Bangalore, Karnataka 560076
India

Rashmi Prasanna

Indian Institute of Management (IIMB), Bangalore ( email )

Bannerghatta Road
Bangalore, Karnataka 560076
India

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