Which contract state?Four perspective on over-outsourcing for public services
By: Hood, Christopher
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ArticlePublisher: Oxford : Blackwell Publishers Limited, September 1997Australian Journal of Public Administration 56, 3, p. 120-131Abstract: Since the term 'contract state' was coined over 20 years ago, there has been much discussion about the scope and limits of outsourcing and contractorisation. But attempts to fix the limits of outsourceability, using approaches such as transaction - cost analysis, the identification of inherently state functions and business-strategy ideas of 'core competences' seem fated to be indeterminate. What counts as over-outsourcing or inappropriate contractorisation depends on what basic values animate 'the' contract state. The limits of outsourcing will be different according to wheter a state aims at 'steering', 'empowering', 'consumerism' or 'amoral' goals. Accordingly, a simple distinction between 'public bureaucracy state' and 'contract state' may be less important than analysis of different variants of the contract state
Since the term 'contract state' was coined over 20 years ago, there has been much discussion about the scope and limits of outsourcing and contractorisation. But attempts to fix the limits of outsourceability, using approaches such as transaction - cost analysis, the identification of inherently state functions and business-strategy ideas of 'core competences' seem fated to be indeterminate. What counts as over-outsourcing or inappropriate contractorisation depends on what basic values animate 'the' contract state. The limits of outsourcing will be different according to wheter a state aims at 'steering', 'empowering', 'consumerism' or 'amoral' goals. Accordingly, a simple distinction between 'public bureaucracy state' and 'contract state' may be less important than analysis of different variants of the contract state
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