Rightsizing and Restructuring: Do They Improve Productivity Performance in the Public Sector?

This P-Talk shares the findings of an APO study on restructuring and rightsizing strategies in public sector reform to improve productivity performance. Analyzing seven APO member cases, the APO report Strategic Approaches in Rightsizing and Restructuring Initiatives in the Public Sector (2025) identifies how governments balance efficiency gains with institutional capacity preservation. Findings reveal that successful restructuring requires strategic alignment of government size, functional scope, and administrative capabilities. The proposed framework for rightsizing maintains core public service delivery while incorporating digital transformation and performance management for long-term productivity enhancement. Chief expert Professor Myung Jae Moon from Yonsei University, the Republic of Korea, explains the findings of the research.

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