The Beginnings of New Public Management (NPM)

While New Public Management (NPM) carries the word “New”, it is relatively not new. In fact, it is only the third wave of radical reforms for running the business of the modern state. It is only a modified quality-driven version of older reforms in public governance. Probably, the epithet "New" indicates that NPM is a transformation from the previous thoughts and that indeed, public governance is a history of administrative transformations right from the Egyptian and Greek Civilizations up until today.

The first wave of radical change took place in Britain with the implementation of civil service reforms during the second half of the nineteenth century. The second wave, which was dubbed as "progressivism" occurred in the United States during the second and third decades of the twentieth century. Progressivism is a political movement that represents the interests of ordinary people in their roles as taxpayers, consumers, employees, citizens, and parents.

The third wave of public governance transformation occurred toward or during the New Millennium. In the United Kingdom, Tony Blair’s agenda in the new millennium was “modernising” public services and delivering "Best Value,” particularly at local government level. Canada introduced PS 2000 (client-focused approach) in 1989. New Zealand has had a series of reform measures extending back to 1986. The Scandinavian countries have also embraced similar managerial reforms. In the US, Bill Clinton asserted that “the era of big government is over” referring to the reforms encompassed by their theme “reinventing government.” Together, these reforms and transformations make up the era of NPM.