Shortened version of the title: Managerial efficiency and environmental factorsThe impact of environmental factors on the measurement of managerial efficiency in the Italian waste management sector.
Framework and empirical evidence.The public and private sectors are different in terms of ownership, funding and control. The degree of publicness influences the decision-making processes, strategies, and actions, thus severely impacting performance levels. This study contributes to the existing literature on managerial efficiency environmental factors by proposing a framework and methodology for estimating the influence of the "publicness effect." A new method is tested, relying on the combined integration of three different DEA models in the Italian waste management sector. Results show that the "publicness effect" accounts for 33.87% of managerial efficiency for public companies and 11.6% for mixed ones.Keywords: efficiency, publicness effect, DEA, waste management, environmental factor
IntroductionThe New Public Management reforms introduced a new market approach to public sector management, favouring the externalisation of public services through different governance forms of governance: private corporations, outsourcing, public-private partnerships, and privatisation (Doherty & Horne, 2002;Torres & Pina, 2002; DexiaCrediop, 2004;Reichard, 2007; Keune et al., 2008). In particular, the goal of externalisation is to improve performance in the provision of public services, increase service quality and lower costs. In order to meet these expectations and goals, it becomes critically important for each partner to define which type of governance form should be involved (Broadbent et al., 2003; Rosenau, 2000;Noto & Bianchi, 2015). The externalisation process led by the recent spending review trends is pushing governments to enhance efficiency while using the best optimization level for resources compared to the public services provided (Levine, 1978;Pandey, 2010). Consequently, the need to deliver and demonstrate value for money in public services will continue to be reinforced (Van Dooren et al., 2010) and well-managed performance measurement systems are critical for accurately and systematically demonstrating operational accountability in governmental organizations (Bianchi & Rivenbark, 2014).Several scholars have focused their studies on externalisation and on how private sector involvement in public services has led to the creation of new mixed forms of organization, which has made a clear difference in terms of performance. Noticeably, the most common dimension of organizational performance, as highlighted by empirical studies, is efficiency, while the ownership structure (public, private and mixed publicprivate) of the public service provider offers the governance variable.In order to add hands-on value to theories, it is necessary to have a deep understanding of public, private, and mixed organizations and to allow for the key characteristics of public services. Some authors find that the differences between t...