The Strategic Management of Functional Activities in Institutions of a Public Sector

Malvina Arimavičiūtė


In the article the author presents functional strategies like the lowest level of strategies’ hierarchy. Therefore, they play exceptional role in the implementation on institution objectives. The role of institution’s personnel department is stressed mostly: it has to adjust function of personnel management to strategic objectives of institution and implement everyday operations. There are five fields of personnel management identified in the article: personnel selection and employment, remuneration for work, evaluation, and personnel carrier planning. It is shown that creation of financial strategy depends on services’ alternatives (mutual agreement, contract services, subsidies or control). Exceptional attention is given to search of alternative financing sources, prediction and flexibility of resources, and paradoxes of their growth and autonomy. Marketing is treated as social and management process. The most important aspects of marketing strategic management are held to be perception of marketing goal, allocation of resources and marketing function formation. In the article there are reasons that stop innovations in public sector institutions described; the author pays the biggest attention to the problem of implementation of cost reducing innovations, proofs of innovations’ usefulness, their multi-usage, and innovations’ commercial and symbolic importance.


strategy; strategic management; functional activities; services; personnel; finance; marketing; innovations

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"Public Policy and Administration" ISSN online 2029-2872 / ISSN print 1648-2603