Efficiency Challenges in Public Administration: the Case of Georgia

Nana  Rusadze  [email protected]

Aza Iphshiradze  [email protected]

Ekaterina Zakaradze

 

Abstract

The problem of public management efficiency is still relevant, and its calculation is problematic and unresolved. For each object of public management, an efficiency approach, criteria and indicators should be established, on the basis of which a comprehensive assessment will be made. Most often, the efficiency of public management is considered in the context of the social and economic development of the state.

Approaches to efficiency are divided into two parts: general and specific, which use quantitative indicators and strive for process assessment (measurement).

The multitude of tasks facing public management, the diversity of management objects and levels determine the division of efficiency into types: economic, social, environmental, sectoral, regional and local governance/self-government.

The presented work discusses various approaches to measuring efficiency, analyzes one of the important and proven indicators - World Governance Indicators (WGI) for the countries of the South Caucasus. WGI is a system of indicators based on six components of governance, covers 200 countries and shows an assessment of the quality of governance in different countries, that is, it ranks countries.

The paper conducts a regression analysis of Georgia's Government Effectiveness in relation to GDP for the period 2006-2023. As a result of the analysis, a strong positive correlation was revealed between the named indicators. In this model, changes in government effectiveness explain approximately 55.2% of the variability in economic growth. This indicates that improving government effectiveness is associated with economic growth (there is a strong positive association between them).

Also, the issue of public administration effectiveness is studied in a regional context, according to the number of professional civil servants. In particular, some indicators related to effectiveness are calculated by region (the volume of state administration in GDP, the volume of state administration on average per civil servant, per capita, the number of civil servants per 1,000 population).

Keywords: Efficiency; Public administration; Indicator; Index; Region.