Abstract
A Study on the Determinants and use of Korea's Program Assessment Ratings Tool
: with an Emphasis on Relationship between Performance and Budget of Culture and Arts Policy
Jang, Hye Yoon
Department of Public Administration
Schoo...
Abstract
A Study on the Determinants and use of Korea's Program Assessment Ratings Tool
: with an Emphasis on Relationship between Performance and Budget of Culture and Arts Policy
Jang, Hye Yoon
Department of Public Administration
School of Graduate Studies, Korea University
With government reform based on New Public Management(NPM), management paradigm changed from the existing input-oriented management to outcome-oriented management. This raised interests on performance management of public sector and introduced performance budgeting system linking performance and budget. This trend can be seen among OECD members. Especially, United State of America prepared the ground for Performance Budge System by establishing Government Performance and Results Act(GPRA) in 1993. Since founding GPRA, Program Assessment Rating Tool(PART) was introduced to build up the association of performance and budget in 2004. That is, GPRA can not only promote specific goal setting by constructing legal system for performance management but also lay Performance Budget System basis by reflecting evaluation result in budget to strengthen application of performance information.
On the basis on this, Korea begun financial performance goal management system and financial performance management was fully implemented in 2003. Performance Assessment Rating Tool(K-PART) came in to evaluate budgetary program and reflect in budget since 2005. That is, K-PART was introduced to use performance information for budget process.
After the system establishment, various studies to verify the association between K-PART scores and budget have been done. However, studies focused on policy characteristic were insufficient. It is specially worth noting in that several policy sectors have consequentially conflicting aspects with performance management system. Thus, this thesis attempt to focus on culture and art policy area which tends to deepen more than performance management difficulty shown in public sector. This study has largely two aims as follows: First is to analyze influence factor of evaluation result concentrating on policy characteristic. For this, main characteristics of culture and art policy are classified into production, enjoyment and preservation policy based on invisibility of performance and long timescale of achieving performance. And also it investigates how policy characteristic influences on evaluation result in various aspects by scoring the characteristic of culture and art policy. Second is to investigate how association between evaluation result and budget realized in practice and also it aims to implement analysis centering around policy characteristic.
Upon investigation on advanced studies, influence factors are divided into evaluative factor and external factor. Specifically, evaluative factor is measured performance indicator in the rate of result index and used in analysis by selecting performance achievement on business. And external factors are considered to be political factor(government administration project, unified government), business factor(business type, period, scale) and characteristics of culture and art policy, etc. To analyze association between evaluation result and budget, the following factors are used: evaluation result, incrementalism, political factor(election operation, government administration project), business factor(business scale, period), financial factor(GDP percentage change), characteristics of culture and art policy(invisibility of performance and long timescale of achieving performance), etc.
According to analysis result, evaluation result shows the mixed influence of evaluative factor and external factor. Especially, policy characteristic can make evaluation result lower. Because of political factor influence, it is shown that the higher characteristics of culture and art policy, the higher evaluation result. This indicates that external factor can intervene rather than evaluation result based on business performance is introduced in policy areas which has difficulty managing performance. In aspect of analysis on association between evaluation result and budget, it shows that evaluation result is not reflected in budget and this means lack of reliability on evaluation result. That is, the reliability gets lower because evaluation result doesn’t represent the business performance. Consequentially, evaluation result is not utilized in budgetary decision process.
To summarize, this study has significance to determine that policy characteristic influences on evaluation result and the utilization of evaluation result is lacking in some policy areas. In other words, the implication in this study is that aiming at difficult field managing performance can raise the applicability in similar policy areas.
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