Dynamic Governance: Embedding Culture, Capabilities And Change In Singapore (English Version) Embedding Culture, Capabilities and Change in Singapore

In a world of uncertainty and change, current achievements are no guarantee for future survival. Even if the initial chosen set of principles, policies and practices are good, static efficiency and governance would eventually lead to stagnation and decay. No amount of careful planning can assure a government of continual relevance and effectiveness if there is no capacity for learning, innovation and change in the face of ever new challenges in a volatile and unpredictable global environment. This book provides an in-depth look at dynamic governance, the key to success in a world of rapid, increasing globalization and unrelenting technological advancements. If bureaucratic public institutions can evolve and embed the culture and capabilities that enable continuous learning and change, their contributions to a country s socio-economic progress and prosperity would be enormous. The lessons from their efforts in institutionalizing culture, capabilities and change could provide meaningful and valuable insights for transforming organizations in other contexts. Foreword......Page 8 Preface......Page 10 Acknowledgments......Page 14 About the Authors......Page 18 List of Cases......Page 20 1 Framework for Dynamic Governance: Institutionalizing Culture, Capabilities and Change......Page 22 1.1 Need for Dynamism in Government......Page 23 1.2 Concept and Importance of Dynamic Governance2......Page 27 1.3 Study of Public Sector Governance in Singapore......Page 29 1.4 Framework for Dynamic Governance: Culture +Capabilities Change......Page 32 1.4.1 The Elements of Dynamic Governance......Page 33 1.4.2 The Systemic Interactions of a Dynamic Governance System......Page 37 1.4.3 How Systemic Interactions Affect Change: The Example of Education Policy......Page 40 1.5 Culture as a Foundation for Dynamic Governance......Page 45 1.6 Dynamic Governance Capabilities: Thinking Ahead, Thinking Again, Thinking Across......Page 50 1.6.1 Thinking Ahead......Page 51 1.6.2 Thinking Again......Page 56 1.6.3 Thinking Across......Page 61 1.6.4 Example of How the Three Capabilities Work Interactively......Page 65 1.7 Synopsis of the Rest of the Chapters in the Book......Page 67 2 Conceptual Foundations: Governance, Institutions and Capabilities......Page 70 2.1 Governance and Governments......Page 71 2.2 Institutions......Page 79 2.3 Dynamic Governance and Institutional Culture......Page 83 2.4 Organizational Capabilities: Knowledge and Skills to Perform Activities to Achieve Intended Results......Page 87 2.4.1 Routines: Standard Processes for Operational Activities......Page 90 2.4.2 Resources: Tangible and Intangible Assets for Executing Strategies......Page 92 2.4.3 Dynamic Capabilities: Capacity to Change Routines and Resources......Page 94 2.4.4 Routines, Resources and Resilience: An Integrated Framework of Organizational Capabilities......Page 97 2.4.5 Creating and Sustaining Dynamic Capabilities......Page 102 3 Context for Development: Establishing Imperatives for Governance......Page 106 3.1 Context and Constraints that De.ned Governance in Singapore: 1965–1985......Page 107 3.1.1 Building the Economy......Page 110 3.1.2 Managing Population Growth and the Labor Market......Page 114 3.1.3 Building the Physical Infrastructure......Page 123 3.1.4 Building the Social Infrastructure......Page 124 3.1.5 Building up Security and Defense Capability......Page 128 3.2 Impact on the Development of Public Sector Governance......Page 129 3.3.1 Changes in Economic Context: 1986–1997......Page 134 3.3.2 Changes in Economic Context: 1997–2006......Page 138 3.3.3 Changes in Social and Political Contexts......Page 146 3.3.4 Changes in Security Context......Page 153 3.4 The Post 1986 Period: Challenges for the Public Sector......Page 154 3.5 Perception of Position: Impact of History and Geography......Page 161 3.6 Purpose: Philosophy and Imperatives of Governance......Page 163 4 Cultural Foundations: Inculcating Principles of Governance......Page 166 4.1 Understanding Culture......Page 167 4.2 Values and Beliefs that Shaped a Nation......Page 170 4.2.1 Honesty and Integrity......Page 172 4.2.3 Results Orientation, not Ideology......Page 175 4.2.5 Domestic Stability: Balancing Interests in a Multi-Racial Society......Page 176 4.3 Principles: De.ning and Establishing Good Governance......Page 177 4.3.1 Establishing and Reinforcing the Principle of Incorruptibility......Page 178 4.3.2 Establishing a Culture of Meritocracy......Page 181 4.3.3 Rationality, Pragmatism and A Strong Results Orientation......Page 187 4.3.4 Applying the Discipline of Economic Incentives and Markets......Page 191 4.4 Public Sector Governance Principles in a Political Context......Page 198 4.5 Socialization and the Transmission of Culture and Values......Page 202 4.6 Implications and Challenges of Singapore’s Governance Culture......Page 206 5 Policy Execution: Developing and Implementing Paths......Page 210 5.1 The Political Context of Policy Execution......Page 212 5.2.1 The Discipline of Policy Execution......Page 217 5.2.2 The Dynamics of Policy Execution......Page 219 5.3 Identifying Issues for Policy Attention and Review......Page 221 5.3.1 Reacting to External Crisis or Policy Consequences......Page 223 5.3.2 Identifying Improvement Opportunities......Page 226 5.3.3 Surfacing Issues from Consideration of Future Scenarios......Page 229 5.3.4 Identifying and Sponsoring Strategic Issues......Page 230 5.3.5 Learning from Leadership Exposure to Different Views and Practices......Page 231 5.3.6 An Example of Policy Initiation and Review: The Liberalization of Telecommunications Services......Page 232 5.4 Influencing Policy Design and Development......Page 235 5.4.1 Setting Standards for Policy Analysis and Design......Page 237 5.4.2 Recommending Courses of Action through Staff Analysis and Papers......Page 238 5.4.3 Studying Policy Options through Inter-agency Project Teams......Page 240 5.4.4 Engaging External Advisers and Experts......Page 241 5.4.5 Forming Review Committees and Conducting Public Consultation......Page 242 5.4.6 The Holistic Approach to Policy Design: The Example of Water Management and Security......Page 245 5.5 Implementing Policy Decisions......Page 247 5.5.1 Selecting Key Leaders......Page 249 5.5.2 Structuring an Appropriate Organization......Page 250 5.5.3 Planning Major Strategies and Resources Needed......Page 252 5.5.5 Monitoring Progress and Gathering Feedback......Page 253 5.5.6 An Example of Policy Implementation: Awarding Contracts for the Integrated Resorts......Page 254 5.6.1 Major Phases of Policy Development and Change......Page 258 5.6.2 Transforming the Public Service......Page 259 6 Policy Adaptation: Embedding Learning and Adjusting Paths......Page 264 6.1 Adaptive Paths and Learning for Emerging Issues in a Dynamic Institution......Page 265 6.1.1 Changes in the Environment Prompt or Induce Rethinking and Review of Paths......Page 266 6.1.2 Cultural Values and Founding Imprints In.uence and May Constrain Path Changes......Page 267 6.1.3 Path Adaptability and Innovation is Predicated on Capable People with Ideas and Judgment, and Con.dent Enough to Challenge the Status Quo as well as Learn from Others......Page 268 6.1.4 Understanding the Unique Factors that Underlie the Social, Economic, Political, and Security Context In.uences the Team in Selecting What Ideas to Adopt and How Ideas May Be Adapted......Page 269 6.1.5 Learning and Adaptive Capabilities Enable Dynamic Leadership in the Implementation of Paths that Create Dynamic Institutions......Page 270 6.2 Economic Growth Strategy......Page 272 6.2.1 Changes in Economic Strategy: Diversifying the Sources of Growth......Page 275 6.2.2 Changes in Economic Policy Making Process......Page 279 6.2.3 Lessons Learnt from the Paths of Economic Development......Page 280 6.3 Development of the Biomedical Sciences Cluster......Page 283 6.3.1 Building the New Infrastructure......Page 284 6.3.2 Implementing a New Approach to Development......Page 286 6.3.3 Lessons Learnt from the Development of the Biomedical Sciences Cluster......Page 288 6.4 Public Transportation and Car Ownership Policy......Page 291 6.4.1 Managing Usage: Road Congestion Pricing......Page 293 6.4.2 Electronic Road Pricing: Harnessing Technology for Real Time Congestion Pricing......Page 296 6.4.3 Quotas for Car Ownership and the Certificate of Entitlement......Page 297 6.4.4 Catering to Part-Time Car Users: The Weekend Car Scheme......Page 301 6.4.5 Lessons Learnt from the Experimentation and Innovation in Road Transportation......Page 302 6.5 Central Provident Fund (CPF)32......Page 307 6.5.1 Expansion into Housing and Health Care......Page 308 6.5.2 CPF as a Macro-Economic Tool......Page 309 6.5.3 Lessons Learnt from the CPF’s Evolutionary Path......Page 310 6.6.1 Introducing Co-payment for Health Care Services......Page 313 6.6.2 Differentiating Health Care Services through a Tiered System......Page 315 6.6.3 Providing Information and Introducing Competition in Service Delivery......Page 316 6.6.4 Going beyond Inpatient Treatment to Structured Disease Management......Page 317 6.6.5 Exploring Emerging Health Care Policy Issues......Page 318 6.6.6 Patterns of Learning and Policy Adaptation in Health Care......Page 319 6.7.1 A New Perspective of an Old Issue......Page 322 6.7.2 Searching for Ideas and Learning by Discovery......Page 324 6.7.3 Evaluating Practices and Adapting them to the Local Context......Page 327 6.7.4 Adaptation Process for An Emerging Issue......Page 330 7.1 Framework for Managing People for Dynamic Governance......Page 338 7.2 The Public Sector People Management Philosophy......Page 341 7.3 Evolution of Public Sector Personnel Management System......Page 343 7.3.1 Centralization of People Management Functions before 1995......Page 346 7.3.2 Devolution of People Management Functions in 1995......Page 350 7.4 The Public Sector Leadership: The Administrative Service......Page 352 7.4.1 Generating a Pool of Potential Leaders through Scholarships......Page 355 7.4.2 Selecting Potential Public Sector Leaders......Page 358 7.4.3 Developing Public Sector Leaders: Assessing Potential......Page 371 7.4.4 Developing Talent: Training Staff and Investing in Milestone Programs......Page 376 7.4.5 Developing Leaders through Job Postings and Rotations......Page 381 7.5 Talent Retention: The Public Sector Compensation System......Page 383 7.6 Retaining Public Sector Leaders: Benchmarking Salaries......Page 386 7.7 Balancing Retention and Renewal: Managing Leadership Tenure......Page 395 7.8.1 Dynamic Governance Requires a Strategic View of People and Leadership, and a Holistic Approach to Their Development......Page 397 7.8.2 Manage People Development as a long-Term Investment......Page 398 7.8.3 The People Management System Must Be Based on Performance and Potential......Page 399 7.8.4 People Issues are the Most Complex and Complicated, Requiring Constant Innovation rather than One-Time Clean Solutions......Page 400 7.8.5 Leadership Should Be Selected on the Basis of Values, Performance and Potential with Freedom for Diversity of Leadership Personalities and Their Expressions......Page 402 8 Process Innovation: Creating Agile Structures and Systems......Page 404 8.1 Anticipating the Future — Reframing Leadership Perception......Page 408 8.1.1 Creating Scenarios that Challenge Assumptions......Page 409 8.1.2 Crafting Strategies for the Future......Page 412 8.2 Allocating Financial Resources: Renewing Organizational Activities......Page 415 8.2.1 Establishing Budget Limits......Page 420 8.2.2 Maximizing Discretion......Page 422 8.2.3 Accounting for Full Costs......Page 424 8.2.4 Seeking Value in Financial Expenditure......Page 426 8.3 Applying Systemic Discipline: Redesigning Structural Linkages......Page 429 8.3.1 Systems for Expanding Capacity: People and Financial Processes......Page 431 8.3.2 Systems for Enabling Focus and Integration: From Vertical to Horizontal Structures......Page 432 8.3.3 Systems for Engaging Change: The PS21 Framework......Page 437 8.3.4 Systems for Enhancing Integrated Service: Many Agencies, One Government......Page 441 8.4.1 Creating Dynamic Capabilities in Processes Goes Beyond Creating Change Processes......Page 449 8.4.2 Sustaining Change Requires Integrating Change Capabilities into Operational and Management Processes......Page 450 8.4.3 Creating Change Capabilities in Processes Requires Strategic Intent, Deliberate Redesign, and Continuous Learning......Page 451 9 Sustaining Dynamic Governance: Lessons and Challenges......Page 454 9.1 Perspectives of Policy Insiders: Public Sector Leaders and Ministers......Page 456 9.2 Risks and Challenges for the Public Service in Singapore......Page 468 9.2.1 Dealing with the Risks of Success: Blind Spots and Intellectual Elitism......Page 470 9.2.2 Challenging Accepted Assumptions, Beliefs and Principles......Page 473 9.2.3 Lack of Diversity in the Talent Pool......Page 477 9.2.4 Lack of Degrees of Separation from Political Leaders......Page 479 9.3.1 Good Governance is Dynamic, but Not Without Weaknesses......Page 481 9.3.2 Effective Political and Public Sector Leadership are Both Needed for Good Governance......Page 482 9.3.3 Continual Learning and Effective Execution are the Key Drivers for Dynamism......Page 484 9.3.4 Dynamism is not Merely about Speed in Problem- Solving; Even More Important is the Speed in Perceiving and Capturing New Opportunities......Page 486 9.3.5 Dynamism is the Result of Building a Holistic Governance System with a Strong Cultural Foundation of Values and Principles, and an Adaptable Structure of Critical Institutional Capabilities......Page 487 9.3.6 Dynamic Governance Capabilities are Created by Able People, Stimulated by Agile Processes and Expressed in Adaptive Policies......Page 488 9.3.7 Public Institutions Played a Crucial Role in Effective Dynamic Governance by Designing and Implementing Policies to Achieve Results......Page 490 9.3.8 The Cumulative Effects of Systemic Improvements were Substantial, Even If Individual Policy Changes were only Incremental......Page 492 9.4 Applying the Lessons Beyond the Singapore Public Service......Page 493 Names Index......Page 500 Subject Index......Page 502 Glossary of Acronyms......Page 524 This Book Provides An In-depth Look At Dynamic Governance, The Key To Success In A World Of Rapid, Increasing Globalization And Unrelenting Technological Advancements. If Bureaucratic Public Institutions Can Evolve And Embed The Culture And Capabilities That Enable Continuous Learning And Change, Their Contributions To A Country's Socio-economic Progress And Prosperity Would Be Enormous. The Lessons From Their Efforts In Institutionalizing Culture, Capabilities And Change Could Provide Meaningful And Valuable Insights For Transforming Organizations In Other Contexts. Framework For Dynamic Governance -- Institutionalizing Culture, Capabilities And Change -- Conceptual Foundations : Understanding Governance, Institutions And Capabilities -- Context For Development -- Establishing Imperatives For Governance -- Cultural Foundations : Inculcating Principles Of Governance -- Policy Execution : Developing And Implementing Paths -- Policy Adaptation : Embedding Learning And Adjusting Paths -- People Development : Recruiting, Renewing And Retaining Leaders -- Process Innovation : Creating Agile Structures And Systems -- Sustaining Dynamic Governance : Challenges, Lessons And Applications. Boon Siong Neo, Geraldine Chen. Includes Bibliographical References And Indexes.