I became aware of the Institute of Policy Studies working paper The Future State in an unusual way.
One of the authors, Stephanie Pride, tweeted about its release, and encouraged me to read it and give feedback when I retweeted that announcement. I felt that was impressively proactive so here’s my thoughts on the report and the issues it covers.
The report is intended “to identify the longer-term issues that would affect New Zealand in the future” and in particular “to identify the big public policy issues for the next two decades that cut across organisational and other boundaries and determine the ability of the public management system to respond to these issues.”
It has some interesting graphs and figures, such as the one below combining measures from the World Bank and the Bertelsmann management index.
The authors comment that “However critical New Zealanders may be about the state of their state, the country is consistently seen internationally as among a small group of top performers.” (p. 32)

I was intrigued by this aside, in light of a prevailing view that public sector mergers are some kind of magic bullet:
Interestingly, most of the countries with high-performing governments shown in Figure 4 have a relatively ‘fragmented’ public sector with large numbers of organisations. Whether this is a correlation or causation is beyond the remit of this paper. (p. 28)
Similarly, given some of the claims made in recent times, I was also struck by how flat these lines are:
As to the main business of the report, it sets out some of the main challenges the public sector is likely to face and some broad ideas of how it will need to evolve to cope. It sets out the main challenges as (p. 37)
- affordability;
- complicated problems involving many players;
- a more diverse and differentiated population; and
- a world of faster, less-predictable change.
New Zealand’s public management model for formulating and implementing policies is a product of a simpler era, a mechanistic and thermostat-like system for specifying and monitoring outputs and outcomes. Although this approach may have been appropriate for its time, it is best suited to ‘stable contexts, predictable tasks and a government-centric approach’ (Bourgon, 2009b: 11). (p. ix)
I have to say I’m a bit cautious about the way ‘future studies’ analyses of this sort seem to suggest that we’re entering a whole new chapter of human history, where all the old nostrums fall away. There’s a lot of interesting facts and examples given about emerging trends, but I’m wary about the risk of over-recognising novelty and understating points of continuity.
For instance, the report cites a study about Generation Y which claims they see things differently in the workplace: ‘contribution counts for more than credentials’ and ‘power comes from sharing information, not hoarding it’. This reminded me of a section in Jon Johansson’s book (covered in an earlier post) where he was making a case for how distinctive the mindset of Generation X is, and the studies he was citing were over ten years old — when Gen X was in its early 20s and going through its Slacker and Singles phase. Would those finding still hold true today? By the same token, would studies of the Baby Boomer mindset done in the 1960s and 2000s say the same thing?
In other words, to what extent are we looking at life-cycle effects and seeing cohort effects?
In response to the new challenges, the authors see a need for a new style of working:
Many of the policy outcomes that will be front of mind for government (eg,reducing obesity and responding to frailty in an increasingly aged population) cannot be achieved with the provision of public services alone, but require the active contribution of citizens and businesses (co-production). This requires the public sector to develop more trusting relationships so it can better understand how different groups experience the world. (p. 38)
It’s an interesting diagnosis if not entirely new. Labour’s Grant Robertson was making some similar points in a blog post as early as 2007, and he in turn was drawing from a report the UK thinktank Demos did from the PSA. Nevertheless, the IPS report does a useful job of pulling together a lot of work and evidence on this strand of thinking.
Let me, then, finish by adding in two provocations.
Firstly, the idea of ‘co-production’ does spur me to wonder: can the public service get amongst the general public and work with them in an open and honest way — while still being politically-neutral?
Political-neutrality requires (or at least has tended to assume) that public servants will deliver, and stick to, the policy rationales favoured by their political masters when speaking publicly. Their ‘free and frank’ advice is provided for the politicians’ benefit, not the general public’s — you can’t have the departmental chief executive openly disagreeing with the Minister on a course of action. Yet this creates a two-facedness in public servants’ dealing with the publicly that could seem increasingly jarring in this ‘age of authenticity’.
I’ve always been more partial to the professional civil service of the Westminster model than to the alternating political leadership of governmental departments that you find in the US approach. But maybe the latter, where there is genuine commonality of purpose between politician and mandarin, is more suited to the task of co-production with the public.
My second provocation is around organisational form. All around us we see claims that the large corporate behemoths of the mid-20th century are no longer the driving force of the economy, and that lean start-ups are where the action is. Why then do we assume that the large government departments of the 20th century are the right organisational form for the public sector?
There is a significant literature tracking emerging patterns in work internationally, which detects a growing trend away from long periods spent embedded within an organisation and towards a more ‘portfolio-based’ approach to a career, particularly amongst the strata of workers often described as ‘knowledge workers’.
Could it be that recognising and embracing these developments might help us attract some of the brightest and most innovative young minds to public service (if not necessarily ‘the public service’)?
I’d be interested in your views on these ideas, along with your own thoughts about what the ‘future state’ will, or should, look like.
Tags: co-production, future studies, Gen X, Gen Y, Institute of Policy Studies, public sector, Stephanie Pride

[...] at the most excellent Policy Progress, David Choat has had a look at the latest publication from the Institute of Policy Studies entitled [...]
This is a link from a post by Grant Robertson on the Labour MPs blog Red Alert, drawing people’s attention to this post (thanks Grant!) and adding his own thoughts on the Future State — go and have a read!
I’m intrigued by your suggestion that a more American-style public service might be more suited to the task of co-production – could you expand on that a bit? Without having given this much thought, I would have thought that a more politicised public service could improve the potential for co-production with those citizens who supported the current Government, but not necessarily the wider public….
Interesting point. I wonder if that’s a problem in US — I haven’t heard of it being so, but that doesn’t necessarily mean it isn’t.
My suggestion centred on the idea of ‘authenticity’ which seems to be integral to a lot of social media style communication and seemed to me to be hard to reconcile with the stance of ‘political neutrality’ (at least on contentious issues). That’s about all I’ve got at this stage, but I might return to this idea again in the future.
Bob Jones told me that politicians don’t make decisions- Sir Peter Tapsell said Bob was wrong suggesting politicians don’t have the training, skill and time to think through the varying & many issues in their care- but that was what officials were for- brief and advise the minister.
From the public’s point of view, politicians are managers of our interests-and not just be there for some signing event of ritual significance, performed on a special occasion when they play the ceremonial minister.
After 30 years at the coalface business and government I have concluded serial idiots in government power is a direct result of the immunity laws that allows them to hold a fiduciary role but be a complete bumbling idiot without any consequences. No other fiduciary can get away with that.
Here, in Australia bad political policy has totally wasted at least $20b in overpriced school buildings and the government’s insulation scheme which has caused at least 120 house fires, and four deaths. A few years back it was US$1.4b for Sea Sprite helicopters and software that was never going to work.
To catch up on lost money, instead of addressing decision making weaknesses, they simply think up a new tax of which the latest is a super tax on the mining sector. It has been thought we are powerless to stop idiots in power who get to torture us with poor decision making and endless demands for more and more taxes to pay for their unhealthy diet of stupid decision making. In looking at this democracy failure I realised we need to remove the immunity laws politicians and judges hide failure behind. And we could actually do that by getting a few votes at your local political party branches which would then bind the politicians to change the law.
If politicians want the top job in deciding our countries fate, I guess it only stands to reason that only an idiot would need immunity to protect his skills.
If we expose politicians/judges and those in the decison making roles within government to fiduciary breach liabilities, the question is, will outcomes improve? I think so, what about you David.
I can empathise with your exasperation, Christopher, but I’m inclined to think that that might have some unintended consequences.
David,
I’m pleased to see your scepticisim around identifying “a new era” of the way we need to do the business of the state. Unless I see compelling evidence to the contrary I will remain unconvinced by such assertions.
I think I can bring myself to accept that current practices bring us so far down the path and more innovative processes are needed to take us further, to “close the gaps” if you will. But I’d be very hesitent to then leap to the conclusion that we thus had to unpick all the state sector practises in place that keep us as joined up as we are – ie that in making further progress we don’t unpick the stiching…
I too favour the Westminster system with neutral public servants. I’d hate to see it threatened.
Personally, I think we struggle to make the system ‘work’ in our heads when we approach it, as you do in this post (and I’m not saying this is wrong, just different), from the bottom up. My conception is that our state sector management arrangements are created top down. We start with a Minister, and then a CE and go from there. All very well and good – it serves it’s purpose, but for integrated customer centric solutions not a good starting place.
Similarly, I think ‘we’ assume larger ministries etc are the answer because they look easier to control from a CAB point of view. IMHO the Ministry of Health is in dire need of breaking up, but try sellling that one…
I’d love to see an explicit move to smaller agencies, with attendent Ministers, all reporting through an overarching Ministry and Senior Cabinet Minister to a smaller Cabinet, with a similar sized (or even slightly larger, wider Ministry – in the Aussie sense of the word). So: More Ministers, less of them in CAB, More niche Agencies/Delivery mechanisms, less of them trying to oversee the overall work programme.
So I think I’m saying that in order to answer your provocations and indeed those implicit in the IPS paper we need to consider how changes are likely to effect the wider issue of Cabinet governance and democratic control, not just service delivery at the customer/citizen end.
That’s a really important point that you make — in places the IPS paper, like a lot of the public administration literature, seems to treat the pubic servants as the central actors, with the politicians (read: elected representatives of the people) seeming like a frustrating distraction that just complicates the picture. I agree that any vision of the Future State needs to have those elected representatives as the starting point.