Introduction
According to Fukuyuma (2004), the act of state-building is a very fragile concept. In this respect, the state-building affair must be conducted in a manner that creates stable institutions. Although the essentials of state-building are learned from some of the developed countries, the same can be applied to less-developed countries. It is common knowledge that less-developed countries are sometimes referred to as failed states. This can be evidenced by a lack of proper governance, unstable institutions, and lack of economic strength. In some instances, political influence in less-develop countries is highly influenced by other forces from developed countries. Such has always created instability and conflicts among states. Therefore, the following essentials must be considered while increasing the institutional capacity of a developing country.
Good governance
Less-developed countries are widely known for their poor governance. In this respect, the aspect of good governance is one of the essentials in strengthening the capacity of public institutions (Fukuyuma, 2004). Example of such institutions includes the judicial system and courts. When a country is governed through the rule of law, citizens can avoid acts of corruption and anarchy. Another institution that can be strengthened to support good governance is an anti-corruption agency. When such institutions are given authority to prosecute corrupt individuals, a country gives confidence to citizens who want the protection of their properties. From this perspective, creating a public institution that protects individual rights to property ownership is critical. It is important to note that good governance through public institutions is essential in creating investor confidence in developing countries.
Economic stability depends highly on governance (United Nations, 2009). A country suffering from poor governance cannot respond to acts of corruption and economic problems. This is the reason why some countries are run by economic cartels that benefit from a lack of stable and authoritative public institutions.
New public management
Public institutions require to be managed in a manner that brings profits and funds to the government. The concept of new public management is used by countries that want to reform the public sector (Fukuyuma, 2004). This new concept uses competitive-based techniques to ensure that productivity within public institutions is harnessed. This means that the country can utilize market-oriented management concepts. For example, the concept of the performance contract is introduced into the public sector. This means that individuals and officeholders are held accountable for their office performance. A developing country can introduce limited-term contracts to public institutions to ensure that only competent and productive individuals work in public institutions. Such tactics have been used before in countries like New Zealand and the United Kingdom (United Nations, 2009). Moreover, the new public management initiative should establish a public institution to evaluate the performance of other institutions. Such will entail the creation of performance metrics to regulate activities and policies in public institutions.
Decentralization
Less-developed countries have been susceptible to locating resources inefficiently (United Nations, 2009). In most cases, governments in developing countries use a centralized control system when allocating resources. This leaves only a few individuals with influence overuse of resources. This is a dangerous trend that is insensitive to citizens’ demands and needs. Decentralization strategy is an adequate means to ensure that people in the lowest levels of governance are involved in resource allocation and decision making. Decentralization offers people control over issues that affect them at any given level. Decentralization provides checks and balances on how state resources are used.
References
Fukuyuma, F. (2004). State building: governance and world order in the twenty first century. Ithaca, NY: Cornell University Press.
Unite Nations. (2009). The least developed countries report 2009: The state and development governance: Overview. Blue Ridge Summit, PA: United Nations Publications.