background key elements of the finnish system critical success factors development strategy –2012

19.04.23Ari Holopainen 1MINISTRY OF FINANCE

TOWARDS PROFESSIONAL MANAGEMENT IN CENTRAL GOVERNMENT IN FINLAND

Expert meeting October 6, 2003PUMA/OECDMinisterial Adviser Ari Holopainen

BACKGROUND KEY ELEMENTS OF THE FINNISH

SYSTEM CRITICAL SUCCESS FACTORS DEVELOPMENT STRATEGY –2012

VISION TARGETS STRATEGIC PROPOSALS

KEY ROLES AND COMPETENCIES OF SCSs

LESSONS LEARNED/DISCUSSION


BACKGROUND

FINNISH GOVERNMENT ADMINISTRATION

13 ministries and a large network of relatively independent agencies

The Finnish civil service comprises of 100 000 civil servants + 20 000 employees (5 % at Ministry level)

Number of senior civil servants is approx. 200

Fundamental changes during 90’s: results-based management system new budgetary system decentralised HRM personnel reductions mainly through

reorganisation


BACKGROUND

EVALUATION

Deliberate, consensual and relatively unhurried approach to reform, high degree of continuity

Diversification, differences between state agencies

Managers have been developed systematically, but the impact has been uneven and insufficient

Need for performance targets for individual civil servants

PERSONNEL POLICY LINE 2001-

The State Employer’s targets: basis of clear values competitiveness as an employer new management climate

Proposal for a strategy for management development -2012


KEY ELEMENTS OF THE FINNISH SYSTEM

No separate cadre of the senior civil service, only some special regulations: establishing, transferring, abolishing

public offices termination of a civil service

relationship recruitment/dismissal

No cadre of political appointees (exc.) Open/position system

permanent or fixed term appointments through open recruitment

formal appointments by the President of the Republic or the Council of State, otherwise selection is decentralised

no career system State Employer’s Office/Ministry of

Finance the State’s general employer policy the State’s joint personnel policy training courses for senior civil

servants, senior civil service pay determination


CRITICAL SUCCESS FACTORS

Productivity: using the given resources as efficiently as possible

Recruitment of skilled managers and preparation of future managers

Adapting management to a networked information society

Leadership: “Management climate must have a clear

emphasis on trust-based interaction, cooperation and skills in human relations”

The need for renewal


DEVELOPMENT STRATEGY – 2012

VISION

‘Professional management guarantees the productivity, well-being and constant renewal of government operating units. Systematic development of management ensures the availability of future leaders and their commitment to a common management culture.’

TARGETS

1. Professional and systematic development of managers.

2. Effective, versatile use of management resources.

3. Managers are management professionals. 4. Managers who retain their working

capacity throughout their careers.5. Development of common management

competences and culture for central government.

6. Management duties in central government that are attractive and make the State a competitive employer.


DEVELOPMENT STRATEGY – 2012

STRATECIG PROPOSALS

1. SCS duties should be for a fixed term. 2. Personal management contracts should be

drawn up for all top managers in central government.

3. Management should be developed on the basis of a common model.

4. The efficiency and leadership of managers should be assessed on the basis of a common framework.

5. The development, use and mobility of common managers resources should be improved.

6. Management in central government should be enhanced with joint development services.


LESSONS LEARNED/DISCUSSION

Management development must be linked to Government’s programme

Need to increase political resources (e.g. idea of new political state secretaries) - clear distinction between political leaders and professional managers

Tensions between the new managerial and the old legal administrative culture

Need to attract all the best candidates vs. the principle of administrative transparency

How to bring career elements to an open system

The role of SCSs: experts or professional managers SCSs between politicians and citizens

(role in media) How to maintain the unity of the civil

service? Decentralisation or recentralisation? Gradual change or a big bang?


BASIC ROLES AND KEY COMPETENCIES OF SENIOR CIVIL SERVANTS (draft)

background key elements of the finnish system critical success factors development strategy –2012

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