Public Private Partnership for Improved Service Delivery in Ghana: A Case Study of the Dvla and Vito S-Class Services Partnership.

Abstract

In order to ensure continuous and optimum output of the public sector, Public-Private Partnerships (PPPs) have become an acceptable mechanism that seeks to provide the needed support and boost to the public sector. The study sought to understand the origins, processes, and outcome of a public-private partnership (PPP) established between the Driver and Licensing Vehicle Authority (a public agency) and VITO S-Class Services (a private business entity) to undertake the testing and inspection of vehicles to determine roadworthy vehicles in Ghana. The study adopted the qualitative research design approach and relied on interviews, focus group discussions, observations, and analysis of official documents as well as secondary materials to achieve the research objective. The rational choice institutional theory is used in the interpretation of the findings of the study. The findings showed that the DVLA-VITO partnership takes the form of contracting-out although traces of franchising and strategic partnering can also be found in the partnership. It is not always easy to clearly classify the nature of public-private partnerships. The study also found positive outcomes from the partnership including improvement in services rendered to clients, reduction in the workload of the DVLA leading to a reduction in corrupt activities undertaken by middlemen (called ‗Goro boys‘), the generation of revenue by the private agency for the DVLA, and the generation of profit by VITO S-Class Services from the partnership. The key challenges that affect the smooth implementation of the partnership include late reimbursement of profit to the private entity, delays in contract negotiation, inter-organizational cultural differences, and the absence of a comprehensive legal framework to regulate the negotiation and implementation of PPPs