New Public Management refers to as a new approach in Public Administration that employs knowledge and experience in the traditional management to render the public services more efficient and effective (Vigoda, 2003). These reforms have been diversely named as managerialism (Pollitt, 1993), market-based public administration, entrepreneurial government (Osborne & Gaebler, 1993) and new public management (Hood, 1991).
(Pollitt, 1995) identifies eight characteristics of new public management it includes: cost cutting; cutting budgets and havign more transparency while allocating resources; agencification of traditional bureaucratic organizations; delivery of public services is replaced by their purchase; setting up the market and quasi-market systems; decentralization in public sector organziations; emphasizing performance related targets, indicators and output objectives; introducing term contracts, performance-related pay and local determination of pay and conditions; accentuate on service delivery, standard setting and customer responsiveness.
New Public Management (NPM) is a management philosophy and has been adopted by many governments since 1980’s. New Public Management is a broad and complex term that demonstrates public sector reforms around the world for about more than three decades in history. Proponents of NPM believe that it has been espoused by many dependent and independent states as it is market oriented and hence, have more focus on efficiency and