NPM (New Public Management) Theory

New Public Management (NPM) is a governance approach that applies private sector practices to public services to increase efficiency and responsiveness. It emphasizes results, performance measurement, and customer focus, encouraging government agencies to operate more like businesses. NPM promotes decentralization, competition, and accountability, aiming to improve service quality while reducing costs. This approach seeks to make public organizations more flexible and innovative by adopting techniques such as performance targets, contracting out services, and emphasizing managerial autonomy. Overall, NPM strives to deliver better public services through market-driven principles within government structures.