As public service organisations face ongoing financial pressures, the need to deliver next-generation public service management at a lower cost has become a priority. Managing demographic changes and responding to rising citizen expectations mean that public service organisations are seeking innovative and reliable ideas to improve programmes. One approach is to develop new ways of working with service providers to effectively reduce costs and risk and also add value to the public service management arena.
Value-based arrangements help to share risk, reduce upfront investment and actively encourage service providers to become more focused, results-oriented stakeholders. In short, value-based arrangements offer organisations around the world, who are involved with public service management, an opportunity to reinvent the way they do business.