In this paper we explore audits and scandals, two phenomenon that are closely associated with transparency in a public sector context. On the one hand, auditing techniques are often defended on the grounds of transparency... [ view full abstract ]
In this paper we explore audits and scandals, two phenomenon that are closely associated with transparency in a public sector context. On the one hand, auditing techniques are often defended on the grounds of transparency (Strathern 2000; Ek 2012) based on a taken for granted link to accountability (Fox et al 2010; Hood 2014). Audit seeks to promote good behavior within organizations, but also make visible – and prevent – maladministration. Scandals can, on the other hand be described as processes where maladministration are made public, and where legitimacy is lost (Zapata, 2004; 2006; 2007). A common response to allocate blame and avoid future scandals, is to impose additional audit. However, despite the conceptual close association between audit (as a means of making visible) and scandals (as processes where maladministration are made public) little is known about how these features are linked to each other in practice, and how it relates to common ideas about transparency.
In this paper we describe and analyze how notions of scandals shape the organization of (performance) audit processes. Since scandals by definition take place in the media (Zapata, 2004; 2006; 2007; Thompson, 2000) the analysis also reveals the role and significance of the media in the context of performance audits. The media is conceived of as having an important role in audits as a link between audit authorities and the citizens, and the effects of audit is often described as depending on how different actors outside the audited organizations respond to negative stories (Fox et al 2010; Justesen & Skaerbaek 2010; Ek 2012; Hood 2014).
Empirically we are guided by two questions: What notions of scandals are present in the audit processes and how do these notions affect the auditing activities? The paper draws on fieldwork within the field of performance audits within the welfare sector at a local (municipal) level. Interviews, observations and text studies were conducted during 2002-2013 with a focus on the audited organizations: how they made sense of the audit process which they were part of, and the handling of the audit activities. The interview material comprises 60 interviews with auditors, middle level managers, low level managers, politicians, administrators, teachers etc. Observations were conducted on seven full days. The written material comprises of of audit reports, letters, presentation material, press releases, action plans, schedules and suchlike.
We base our analysis on the concept institutional logics (Alford & Friedland 1985; 1991; Thornton & Ocasio 2014) that describes contradictory practices and beliefs inherent within institutions. The main finding is that the main notion of scandals that are present in audit processes are the fear of having the audit result in the media for the wrong reason. These notions are strongly present in the audit processes and as such constrain the audit, changing the focus from the promotion of good governance to the hindering or hiding of maladministration.
