Articles | Open Access |

Designing Performance-Based Promotion Models for Hybrid Public–Private Institutions: A Policy and Systems Proposition

Abstract

Hybrid public–private institutions face unique challenges in designing promotion systems that balance public accountability with private-sector efficiency. This paper proposes a comprehensive performance-based promotion model grounded in New Public Management (NPM) theory and empirical evidence from state-owned enterprises and transitional economies. Drawing on systematic analysis of scholarly sources, we develop an integrated framework comprising five core components: competency-based assessment, multi-dimensional performance evaluation rubrics, evidence-based promotion thresholds, compensation harmonization mechanisms, and robust governance structures. The model addresses institutional tensions inherent in hybrid organizations by combining goal-based appraisal, verification committees, and transparent scorecard approaches. Implementation guidance emphasizes contextual adaptation, capacity building, and embedding practices within organizational routines. Simulation scenarios demonstrate the model's applicability across diverse institutional contexts. This proposition advances theoretical understanding of performance management in hybrid settings while offering practical tools for policymakers and HR practitioners navigating the complexities of public-private institutional reform.

Keywords

Performance-based promotion, hybrid institutions, state-owned enterprises, New Public Management, competency frameworks, public sector reform

References

Baugher, D., Varanelli, A., & Hall, J. (1994). Ten years of experience with a performance-based promotional selection and career development system within state government. Public Personnel Management, 23(4), 551-573. https://doi.org/10.1177/009102609402300403

Bennell, P. (1994). Improving the performance of the public sector in LDCs: New approaches to human resource planning and management.

Burns, J. P., & Zhiren, Z. (2010). Performance management in the government of the People's Republic of China: Accountability and control in the implementation of public policy.

Chuantao, J., & Jing, J. (2010). Human resource management in state-owned enterprises based on ES strategy. https://doi.org/10.3969/j.issn.1008-391x.2010.05.010

Dzimbiri, L. B. (2010). Experiences in new public management in Africa: The case of performance management systems in Botswana. Africa Development, 35(4), 43-58. https://doi.org/10.4314/AD.V33I4.57339

Fa-sheng. (2005). Analysis and solutions of human resources management in state owned enterprises. https://doi.org/10.3969/j.issn.1009-5438.2005.06.025

Grinberg, R., Akhunov, R., Volodin, A., Gubarev, R., & Dzyuba, E. (2018). Performance-based pay – a new (mixed) payment scheme for Russian civil servants. Economic and Social Changes: Facts, Trends, Forecast, 6(60), 182-199. https://doi.org/10.15838/ESC.2018.6.60.10

Guang-ming. (2008). Problems and countermeasures of human resources management in state-owned enterprises. Storage, Transportation & Preservation of Commodities.

Hassard, J., Morris, J., & Sheehan, J. (2007). The 'third way': The future of work and organization in a 'corporatized' Chinese economy.

Jurkiewicz, C. L., & Bradley, D. B. (2002). Making privatization work: Utilizing a scorecard model of human resource strategy. Public Organization Review, 2(3), 283-300. https://doi.org/10.1023/A:1020670214630

Koonmee, K. (2012). Implementing the performance management system in the Thai public sector.

Lewis, P. (n.d.). New China–old ways? A case study of the prospects for implementing human resource management practices in a Chinese state‐owned enterprise.

Miller, F., & Wang, J. (2016). Evaluating the effectiveness of government mandated performance management systems: A field experiment (SSRN Working Paper). https://doi.org/10.2139/SSRN.2823158

Naveed, S., Salman, Y., & Jadoon, M. Z. I. (2017). Inside state enterprises: Symbolic compliance to modern HRM as a response to contradictory institutional logics.

Newcomer, K. E., & Caudle, S. L. (2011). Public performance management systems: Embedding practices for improved success. Public Performance & Management Review, 35(1), 108-132. https://doi.org/10.2753/PMR1530-9576350106

Nguyen, Q. N. (2016). Institutional influence on HRM practices in equitised state owned enterprises in Vietnam [Doctoral dissertation, University of Wollongong].

Oh, S. S., & Lewis, G. B. (2013). Performance ratings and career advancement in the US federal civil service. Public Management Review, 15(5), 740-761. https://doi.org/10.1080/14719037.2012.725756

Pham, L. (2018). Impact of applying human resource management practices on equitized state-owned enterprises' financial performance.

Ramabrahmam, I., & Mishra, A. (2017). Redesigning performance appraisal systems in superior civil service: Are we ready for competency framework?

Shaw, R. P. (1999). New trends in public sector management in health: Applications in developed and developing countries.

Sitalaksmi, S., & Zhu, Y. (2010). The transformation of human resource management in Indonesian state-owned enterprises since the Asian crisis. Asia Pacific Business Review, 16(1-2), 37-57. https://doi.org/10.1080/13602380902853705

Sutton, P. (2008). Public sector reform in the Commonwealth Caribbean: A review of recent experiences.

Szalai, A. (2007). The introduction of the performance appraisal system in the Hungarian central government.

Vu, T. A., Plimmer, G., Berman, E. M., & Sabharwal, M. (2019). Managing employee performance in transition economies: A study of Vietnamese public organisations. Public Administration and Development, 39(2), 85-95. https://doi.org/10.1002/PAD.1850

Zhang, D. (2015). The state-owned enterprise human resources work. https://doi.org/10.3969/j.issn.1671-3974.2015.01.018

Zhao, S., & Chen, W. (2011). Human resource management and employment relations in state-owned enterprises.

Zhu, Y., Warner, M., & Zhao, W. (2011). Economic reform, ownership change and human resource management in formerly state-owned enterprises in the People's Republic of China: A case-study approach. Human Systems Management, 30(4), 229-243. https://doi.org/10.3233/HSM-2011-0737

Article Statistics

Downloads

Download data is not yet available.

Copyright License

Download Citations

How to Cite

Elikwu, D. O. (2025). Designing Performance-Based Promotion Models for Hybrid Public–Private Institutions: A Policy and Systems Proposition. International Interdisciplinary Business Economics Advancement Journal, 6(11), 26-46. https://www.iibajournal.org/index.php/iibeaj/article/view/88