Managing trust and relationships in PPPs: some Australian experiences

Governments in Australia increasingly rely on private sector service providers to improve efficiency in public service delivery and have entered into a range of business partnerships with those providers. This article considers the effectiveness of public-private partnership models used in delivering public services and suggests that some partnership initiatives have increased efficiency at the micro management level but have not been able to establish trust. The concept of public value, too, has not been used as a useful way of setting out public service goals. Other models have focused more on community participation in policy formulation and in building trust among the clients and the providers and these may point the way to the future of such initiatives. These tentative conclusions rest on an examination of two cases where partnerships have affected operating and management practices, Job Network and Best Value in Victorian Local Government.