ABSTRACT

In order to understand the characteristics of the performance management system public institutions (PEPI), it is necessary to presuppose a multi-layered structure of performance management system on the levels of national management and individual public institutions. In this multi-layered structure, performance management for public institutions is principally governed by the Committee for the Management of Public Institutions. But in reality, the Ministry of Strategy and Finance (MOST) and other ministries are responsible for their own institutions. At the same time, the Evaluation Committee of Public Institutions (ECPI) and the board of directors of each institution have a substantial influence on performance management system for public institutions. In this study, we analyzed the present status and problems of performance management system at the levels of national management and individual public institutions by adopting the strategic performance management model proposed by BearingPoint (2004). This study suggests the following findings. First, it is necessary to fundamentally reform the performance evaluation system designed by the ECPI and MOST, which has abnormally strengthened the evaluation and compensation function. Second, the public officials should strengthen strategic linkage function through reviewing and periodically updating the performance plans. Finally, the current governance structure under the Act on the Management of Public Institutions needs to be fundamentally reformed. For example, an integrative management system could be established to facilitate the functions such as the resource distribution based on the monitoring and evaluation results.