Measuring the Performance of Public-Private Partnerships

Abstract

The shift from government to governance and the increasing reliance on public-private partnerships are well documented, but there is less clarity regarding how to measure the performance of these new arrangements. Performance measures based on traditional governmental forms, such as centralized planning and regulation, are relatively straightforward. In collaborative governance, however, the wide range of policy tools for enabling and encouraging public-private partnerships—such as grants, contracts, and technical assistance—requires more nuance in distinguishing outputs from outcomes. Choosing appropriate output and outcome measures is necessary if public-private partnerships are to be held accountable for performance. Drawing on evidence regarding inconsistent use of performance measures from the Performance Assessment Rating Tool (PART), a classification system is presented for defining outputs and outcomes for different types of programs. PART data are used to demonstrate the need for a consistent classification scheme and to illustrate program-based categories of output and outcome measures for both direct government provision and public-private partnerships. The purpose is to aid practitioners participating in, and academics studying, public-private partnerships and performance management systems.