Sammendrag:

This paper deals with the use of the market and the mechanisms in the market in the public sector, and compulsory competitive tendering and outsourcing as a strategic instrument in the ongoing transformation of the Defence sector. The Norwegian Defence has issued directions and routines through its concept of Private Public Partnership (PPP), and a concept and method of outsourcing of activities in the Norwegian Defence.

The intention of the PPP is to achieve increased focus to the strategic areas, improvement of the quality in the core business and a real cost reduction.

The paper’s main purpose has been to answer if the Norwegian Defence use of compulsory competitive tendering and outsourcing can be described as a success.

The analysis has been bisected. The first part discusses the Norwegian Defence theoretical approach to the use of compulsory competitive tendering and outsourcing, while the second part looks into to what extent the Norwegian Defence has been able to realize its own concepts. The first part of the analysis shows that the Norwegian Defence has a good theoretical approach. The primary message is to use the mechanisms of the market to increase the efficiency of own activities. The method makes the conditions favourable for that the organisation will be ensured in a comprehensive and systematic fashion, and that the primary objectives are achieved.

The second part of the analysis shows that the Norwegian Defence in total can describe their processes as thought-through, worked-through and well documented in their use of outsourcing. The extent of this policy instrument has so far been limited and preliminary estimates imply that the effects of the outsourcing are pointing in the right direction.

It is therefore this paper’s main conclusion that the Norwegian Defence’s use of compulsory competitive tendering and outsourcing can be described as a success, but that this policy instrument can and must be further developed.