NPM Reform and the Legacy of Developmental State in KOREA Han, Chonghee (The Korea Institute of Public Administration, South Korea) 1. The Research Question Can Kim Dae Jung administration use the concepts of the NPM to actually lead to successful administrative reforms? 2. The Thesis The usefulness of NPM reforms in the government is slight at best 3. The Argument In explaining the limited applicability of the NPM reforms in the Korean government an emphasis should be on the legacy of the developmental state within the bureaucratic elite 4. An Overview on The Developmental and The Liberal State State Developmental Liberal Nature of the State Paternalistic, Sacred Competitive, Secular State-Society Relations State Dominance Society (Market) Dominance Interest Emphasis State-led Economic Development (Collectivism) Market-driven Economic Development (Individual Liberty) Role of the State in Market Guide (Protection, Support) Referee (Fair Competition) Power Orientation in Bureaucracy Centralized with Powerful Pilot Agency Decentralized without Powerful Pilot Agency 5. Summary of Reform Effects Reform Official Results 20% Retrenchment of Staff 8 SOEs Privatized Increase the Size of Powerful Ministries Keep indirect influence 23 Agencies Changed Legal Status Exclude Powerful Agencies Keep Controlling Power 129 Positions Opened Exclude Key Positions Only 15% more Civilians Recruited Reorgarnization Executive Agency Open Position Bureaucrasts’ Response * Source : Reorganized from Im(2003), Table 3,P.96. 6. For Successful Administration Reforms 1) To build Managerial capacity and confidence 2) To engage the Public in businesslike practices in government 3) To construct robust market