There has been a signficant increase in public/private partnering project in recent years. However, the success of many of these projects have been hampered by a lack of harmonisation between the strategic management approach adopted by the two parties. The aim of this essay is to assess the challenges public organisations faced in adopting commercial strategy models.
It has been argued that critical to the success of
public/private projects (PPPs) is the need for harmonisation
of the management models that are adopted by the two
organisations (Diamond and Liddle 2005). However, although
efforts have been made by governments to achieve this
objective, evidence indicates that compatibility in this
area of the project still remains an issue for many
public/private partnerships. Recent debate regarding this
particular problem has been focused on establishing whether
it is possible to transfer commercial management strategy
models to the public sector (Walker and Boyne 2006).
Following an overview of strategic management theory, it is
an evaluation of this question that forms the foundation for