Chapter 4. THEORIES OF POLICY FLOWS: IMPLEMENTATION AND
4.5. Decentralization in Policy Implementation Processes
Decentralization has recently become one of the most important agendas in the developing countries where plans and polices are implemented through various actors and institutions at different levels of government. It is expected that the decentralization approach would bring better results as power is shared by the different levels so that various actors can implement policy effectively and efficiently. It is not only a question about sharing power but policy implementation together with decentralization also gives implementers responsibility to execute policy. In addition it provides an opportunity for local level planners and decision- makers to adopt suitable policies that can be implemented practically on the ground. Decentralization therefore helps to develop the capacity and skills of local level actors to formulate and implement policies.
Decentralization involves power sharing in order to facilitate effectiveness and efficiency in government. There are various definitions of the concept. Rondinelli and Nellis (1986, p.5) define decentralization from the administrative and political science point of view. To them it refers to:
the transfer of responsibility for planning, management, and the raising and allocation of resources from the central government and its agencies to field units of government agencies, subordinate units or levels of government, semi-autonomous public authorities or corporations, area-wide, regional or functional authorities, or non- governmental private or voluntary organization.
Very much in line with this according to Okidi and Guloba decentralization refers to “…the transfer of planning, decision making and administrative authority from the central to local government” (2006, p.1). Decentralization implies that the central government transfers responsibility and functions to local level. Some suggest that decentralization may lead to a fragmented central authority, create space for more inter-governmental competition, and put in place checks and balances. This may make government more responsive and efficient (Bardhan, 2002) but may also create problems. Rondinelli, McCullough and Johnson also see decentralization “as a situation in which public goods and services are provided primarily through revealed preferences of individuals by market mechanisms” (1989, p.59). The benefit is that the public has greater choice and preferences of public goods. This can be related to public choice theory and the public policy approaches. The success of decentralization lies in the characteristics of users, financial transfer and accountability and also choice of organization.
Rondinelli and Cheema (1983) developed a model for studying the impact of decentralization on the policy implementation process in Asia with a perspective on
CHAPTER 4: THEORIES OF POLICY FLOWS: IMPLEMENTATION AND DECENTRALIZATION
rural development capacity. They tabled assumptions on how different variables play a critical role at the local level for the effective implementation of policy in a decentralized system. Four variables are taken into consideration in the model (Op. cit., pp.27-29):
(i) Environmental conditions – the implementation of decentralization
policy may depend on the policies that come from specific or complex socioeconomic and political environment. The pattern of inter- governmental relationships, characteristics of implementing agencies, and amounts and types of resources available may be the determining factors. “A nation’s political structure, its dominant ideology, and the process through which its policies are formulated all influence pace and direction of implementation” (p.27). More specifically, success in policy implementation could occur through understanding the characteristics of local power structures, social and cultural settings and the people involved in policy-making and administration.
(ii) Inter-governmental relationships – Coordination or close linkages are
required for successful policy implementation at various levels of government organizations – national, regional and local level and also non-governmental organizations who may “…successfully link implementing agencies with others into mutually supporting networks seems essential to achieving policy goals” (p.29).
(iii) Resources for policy and program implementation – resources such as
adequate finance, administrative and technical support are essential components for an effective decentralization processes. It also depends on the degree to which the implementing agencies have control over funding, their budgetary allocation, and availability.
(iv) Characteristics of implementing agencies–apart from the other factors
mentioned above, this is one of the determining factors for the success of a decentralized implementation. The skills and capacity of technical, managerial and political staff and their coordination and linkages with other sub-levels will yield strong decentralization. Not only is linking the private and voluntary organizations with government organizations at all levels to carry out the policy implementation is crucial but also the quality of leadership, acceptance and commitment of staff in the agencies to policy objectives is vital in decentralization process. Generally, developing countries are characterised by unified, centralized and regulatory government. The national government authorities’ view centralized economic planning, intervention and control as the best developmental path. There are also other reasons for the central control mechanism. The political leaders gain
positions and power in which they may reward loyal political followers. They may also have better control over wages, prices, tariffs, food subsidies, and regulation over import and export which is considered one of the important parameters for strong political systems. However, there is a rationale for ‘why’ decentralization benefits development. Rondinelli (Op. cit., pp.154-185) suggests five reasons that explain why developing countries need decentralization in planning and administration:
(i) Many developing countries noticed that central planning and management has certain deficiencies as they recorded disappointing results in development. The outcomes indicate that central planning seemed not to fulfil the needs of local people. Decentralization was therefore preferred as the way to overcome these problems.
(ii) The focus of development policies changed some decades ago in many countries from maximizing economic growth to equitable distribution of development in order to reduce disparities in income and wealth between rural and urban areas and also among the regions. One way to enhance equitable growth policies was to redefine the development programs involving local administrators and local people. This was done so that planning addressed the local needs and conditions.
(iii)Decentralized development planning was found to be more efficient. As a result of this the capacity-building of local administrators and organizations was considered as important. This helped in enhancing efficient service delivery especially in rural and remote areas.
(iv)The crises and problems persistent in many developing countries under centralized governments and bureaucracies have triggered the search for alternative ways for development. This is done with the aim of solving local level problems adequately.
(v) However, decentralization had already been considered in some countries through their political objectives or planning processes with the aim that local people could attain self-reliance, participate in local development and become accountable.
4.5.1. FORMS OF DECENTRALIZATION
Four forms of decentralization can be identified. Rondinelli (1983, p.189) reviews nine cases of decentralization in Asia and found out that all four forms were present but rarely in their pure form. The common forms observed are either a mixture of deconcentration and delegation or devolution and deconcentration. The following are the four forms of decentralization (Ibid):
CHAPTER 4: THEORIES OF POLICY FLOWS: IMPLEMENTATION AND DECENTRALIZATION
(i) Deconcentration – is the transfer of functions or authority or shifting of
workloads in hierarchical order from central government to ministries to field officers at the local level. It is rather a shifting of central government responsibility to the local administrative units which are part of the whole administration.
(ii) Delegation – is the transfer of functions to regional or functional
development authorities, parastatal organizations, special project implementation units (government autonomous agencies) which are under central government units.
(iii) Devolution – involves transfer of functions or decision-making authority
to legally incorporated local governments, such as states, provinces, dzongkhags or municipalities.
(iv) Transfer to non-government institutions – this is the shifting of
responsibilities from the public to private sector or quasi-public organizations which are not part of government.
Rondinelli (Op. cit., p.198) conducted a study on how the implementation of decentralization in various developing countries like Thailand, Pakistan, Sri Lanka, Indonesia, Philippines, and Nepal was done. He looked at the effectiveness of decentralization in development planning and administration and found out that there are certain factors which influence the implementation of decentralization. These are:
(i) The strength of central political and administrative support – the
commitment of the political leaders to share functions, ability and willingness of bureaucracies to support and carry out the activities; capacity of field officers and their coordination with other organizations to perform activities were found to be the key factors for the success of decentralization.
(ii) Behaviour, attitudinal and cultural influences – this factor is
considered crucial for the effective implementation of decentralization. The quality of local leadership, the attitude of rural people toward government, suitability of development and policies must take certain decisive factors such as the traditional, cultural and customs at the local level into consideration.
(iii) Organizational factors – it also depends on organizational clarity,
conciseness, and simplicity of structures and procedures. There should be opportunity or a forum where the implementers or local officers can
interact with high-ranking bureaucrats. The integration of various components of decentralized programs may influence its outcome. (iv) The adequacy and appropriateness of local financial, human and
physical resources – successful decentralization relies on the
availability of adequate financial resources, skilled personnel and physical infrastructure at the local level. Invariably the adequacy of financial resources and the ability to allocate these finances effectively is considered one of the crucial factors.
Decentralization has become part of government planning and administrative processes in most of the developing countries today with various characteristics and problems. Despite socio-economic and political challenges, developing countries have experienced that decentralization is an adequate approach that brings about development at the local level by fulfilling the needs of the particular society or area. It has also helped to enhance and empower local people to exercise their rights to basic development and also become part of national policy-making and implementation. Decentralization may not provide all the solutions to development needs but it serves the purpose of ‘dividing and ruling’ and also helps to achieve equitable socio-economic development within large and small economies.
In this way decentralization can be considered as a vertical policy which may either supplement or be complimentary or in some cases even become a hindrance for policy implementation in comparison with other vital policy flows such as education policies.