The PMCPMC Effect

Massive growth in public sector communications staff

Massive growth in the use of consultants

Massive growth in the use of PR advisors (or, worse, lobbyists as PR advisors)

Public entity advertising that benefits the entity more than the public


What is the common theme?

The common theme is that public entities and their leadership are harshly punished for blatant failure but face almost no sanction for obfuscation, blame shifting, or spending too much. This results in something called the PMCPMC (“Professional Managerial Class Protecting My Career”) effect. In short, the Professional Managerial Class that operates our public sector is incentivised to self-promote and self-perpetuate by pushing risk away and drawing good vibes in. And they’re able to get away with using consultants, PR advisors, communications staffs, and advertising to their own ends under the pretence of using them for public ends. And we know what happens when someone has both motive and means.


How does the PMCPMC effect work?

It works through three layers of reasoning. 

External Reasoning provides the ostensible public benefit of the spending on messaging and consulting. It serves to justify the spending publicly. 

Organisational Internal Reasoning provides the staff and leadership with a plausible realpolitik reason for the spending. It serves to justify it internally, overcoming any doubts or moral qualms the staff and leadership may have. 

Leadership Internal Reasoning is the foundation upon which the spending rests. Any failures in the shallower layers of reasoning are rendered moot. Whether consciously or subconsciously, depending on the capacity for self-deception of the individuals involved, it is this reasoning that compels the spending to grow and endlessly grow.


The three layers of reasoning explains why public entities pay to push away risk.

External Reasoning: "Our public sector entity delivers critical outcomes. We cannot fail, we cannot let New Zealand down. We use consulting firms to reduce the risk of failure by gaining access to top talent, leading practices, and proven methods."

Organisational Internal Reasoning: "The risk of failure wouldn’t be that high if we didn’t use consultants, but the cost of failure is high and the reward for spending less public money is low. We are directed to minimise risk, not cost, so we hire consultants."

Leadership Internal Reasoning: "I want a successful and highly paid career in public sector leadership. If we hire consultants and fail, I can blame them. If we hire consultants and succeed, I can take credit. And it’s not my money. If I can get away with spending someone else’s money to advance my career, I can and will."


The three layers of reasoning explains why public entities pay to build reputation.

External Reasoning: "Our public sector entity delivers critical outcomes. New Zealanders must be aware of what we do and have faith in us or we cannot succeed. We use PR firms to set the foundation for success."

Organisational Internal Reasoning: "Our reputation doesn’t matter that much since we’re a monopoly. However, we know that when the public is happy, the Minister is happy. And when the Minister is happy, we get budget. And when we get budget, we can do great things… and maybe afford even more PR. It’s the circle of life."

Leadership Internal Reasoning: "I want a successful and highly paid career in public sector leadership. If we can plausibly hire PR firms to protect and enhance the reputation of the organisation, they’re protecting and enhancing my reputation. If I can get away with spending someone else’s money to advance my career, I can and will."


Want to read more about the growth and entrenchment of the PMC?

This article focuses on the PMC acting either deliberately or sub-consciously in the interests of their careers and bank balances. Other authors suggest other drivers of their growth and persistence, complimentary rather than contradictory:

They’re doing it to feel good about themselves: An administrative revolution, Danyl Mclauchlan at The Spinoff

They’re doing it because they’re following Labour’s lead: Labour's Prescription Is Always More Wellington, TBR


By becoming a member, you'll instantly unlock access to 125 exclusive posts
1
Audio release
79
Images
1
Link
2
Livestreams
51
Writings
1
Video
By becoming a member, you'll instantly unlock access to 125 exclusive posts
1
Audio release
79
Images
1
Link
2
Livestreams
51
Writings
1
Video

The Blue Review

A reasonable centre-right perspective on NZ politics

The Blue Review

A reasonable centre-right perspective on NZ politics