Traditional scholarship has seen the enjoyment of a considerable measure of corporate autonomy as a sine qua non for successful local public enterprise operation, and there can be little doubt that capricious political or administrative interventions ...
Traditional scholarship has seen the enjoyment of a considerable measure of corporate autonomy as a sine qua non for successful local public enterprise operation, and there can be little doubt that capricious political or administrative interventions in matters of managerial detail have been ruinous for many local public enterprise. Nevertheless there have been still widespread political and administrative interventions in the local public enterprise operation.
One of such typical examples is the absence of autonomous and responsible management system due to the fact that government and ruling party officials were parachuted into presidents and executive positions of many local public enterprises. Second, it is very difficulty for many local public enterprises to manage themselves independently and effectively because bureaucratic control- oriented mechanism prevent innovative management by local public enterprises. Third, local public enterprises could not maintain high performances due to the management system of the excessive regulation and control.
The most important thing for local public enterprise to obtain high managerial performances is the security of autonomous and responsible management system. In fact we can not never expect the innovation and efficiency of local public enterprise without managerial autonomy.
The purpose of this theses is to recommend useful policy proposals for the reform of institutional arrangements to hinder autonomous management of local public enterprises. For this we analyse the relevant laws and ordinances including the Act of Local Public Enterprise.