Administrative evaluation and public sector reform: an analytic hierarchy process approach

The objective of this paper is to propose a rational approach to administrative evaluation, including one prospective way to delegate authorities from the public sector to alternative sectors in the process of public sector reform. Specifically, we show how to match projects of a local government with alternative sectors rationally by using the Analytic Hierarchy Process. The matching process consists of three steps: evaluating projects of a local government; characterizing alternative sectors; and deriving overall judgments. The results of this paper quantitatively clarify the evaluation of projects and the characteristic of sectors, and it is concluded that 35% of local government projects should be devolved from the public sector to alternative sectors.