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Beyond Privatization and Service Integration: Organizational Models for Service Delivery

With the renewed interest in domestic and welfare policies, the design of social services delivery systems is likely to take on greater importance in policy-making and planning circles. Two movements-one toward service integration and another toward privatization-currently dominate the debate over the redesign of human services delivery systems. An understanding of these movements suggests that there may be a number of organizational designs that could be developed to address the need for greater efficiency, effectiveness, and responsiveness that both these movements have identified. These models, however, are likely to be generated from a limited number of organizational design elements. The intersection of three basic designs or dichotomies are explored: public/private, loosely coupled/tightly coupled, and competitive/noncompetitive. The potential advantages and disadvantages of the models that result are explored, and the ideas of "voice" and "exit," transaction costs, and the principles of federalism are used to assess these models in light of contemporary social services tasks.