Accounting‐related research in PPPs/PFIs: present contributions and future opportunities

Abstract

Purpose -The purpose of this paper is to review research investigating the implications of public private partnership (PPP) schemes for public investment, focusing on the role and effects of accounting as it relates to the assessment, management, control, reporting, accountability and policy direction of these arrangements. Based on this review, it aims to offer reflections on future directions for this research agenda. Design/methodology/approach -This paper derives five research themes adapted from the PPP research agenda outlined by Broadbent and Laughlin as a framework to guide a literature-based analysis and critique of the relevant PPP literature published up to December 2010. Findings -The review highlights the range of interesting contributions that extant accounting-related research has made to current knowledge about PPP policy and procedure. From this, concentrations of research effort are identified (its largely technical, critical, procurement-oriented and Anglo-centric focus), and opportunities for future research are proposed. With regard to the latter, the opportunities proffered have in common a need to question the nature and functioning of PPPs, consider the complexities of PPPs in action, and explore connections between research and practice. Originality/value -The main contributions this paper makes relate to understanding the "state of the art" of accounting-related PPP research, the progress this research agenda has made in line with Broadbent and Laughlin's agenda, as well as insights into fruitful directions future research could take.

The role(s) of accounting and performance measurement systems in contemporary public administration

“…The authors analyse the potential of a performance management regime in influencing the behaviour of actors in a hybrid model of public service delivery to achieve desirable or predetermined outcomes. In this context, management control systems have to fulfil various roles of assessment, monitoring, managing, reporting, accountability and policy direction (see Andon ) to reconcile the multiple, and sometimes also conflicting, interests of different players. The case study by Ahmad et al () not only highlights the shortcomings of operationalizing and incentivizing the achievement of contract objectives but also uncovers the significant challenge of balancing the tensions between different functions of control systems (i.e., monitoring and penalizing versus incentivizing functions).…”

A study of the operationalization of management controls in United Kingdom Private Finance Initiative contracts

“…As this RCSP is located within the UK's road sector, this may limit the extent to which the findings can be generalized. However, given the limited empirical evidence about the micro-level operational management and relationship practices for these hybrid organizations (Steijn et al 2011;Andon 2012;Chung 2016), our study provides new insights which could form the basis for further comparative case study research.…”

“…Case studies are supported when the empirical objective is to analyse the day‐to‐day functioning of accounting in contemporary organizations (Humphrey and Scapens ). Because of their contextual and dynamic nature, Andon () contends that the micro operations of PFI contracts should be researched using case study methodology. This study employs a qualitative case study methodology (Yin ) combining field‐based interviews with archival data.…”

“…Indeed, since the adoption of PFI, successive UK governments have supported performance-based unitary payments, including performance-related controls and incentives for risk management and achieving VFM (Her Majesty's Treasury [HMT] 2003[HMT] , 2007[HMT] , 2008[HMT] , 2012. However, little is known about the operational dynamics of this major public policy domain (Toms et al 2011;Andon 2012;Demirag et al 2012). Consequently, this research is important as MCS implementation is complex (Bevan and Hood 2006;Speklé and Verbeeten 2014).…”

Partnerships for heritage conservation: evidence from the archeological site of Herculaneum

“…3.2) we try to understand HCP by using the concepts and the terminology of the literature on PPPs (in particular Skelcher 2007;Hodge and Greve 2007;Bovaird 2004;Teisman and Klijn 2002;Klijn and Teisman 2000;Andon 2012;Laughlin 2003, 2005). We call this narrative 'the view from the outside' to underline the current distance between the professional literature on HCP and the more general debate on PPPs, this being a division that we hope to overcome through this study.…”