The case studies in this guide have already provided numerous examples of values being aligned to produce positive outcomes for stakeholders. In the cases of Lesotho's National Referral Hospital and Singapore's Health Promotion Board, values were aligned to create effective structures that benefit both parties.
We have already discussed how PPPs can reduce friction between the public and private sectors to deliver efficiencies that create value. By aligning the interests of public- and private-sector partners, well-designed PPPs ensure that, rather than working across purposes, partners are incentivized to act in the best interests of the partnership. But this form of value creation is only one part of the story.
When we discuss PPPs, we generally refer to their strengths in reducing costs and internalizing positive externalities, but in addition to removing inefficiencies and ensuring effective cooperation between partners, value alignment can also create new value. In other words, more than simply getting a job done cheaply, PPPs can sometimes get it done better, creating value from scratch.
In the case of Lesotho's National Referral Hospital, for example, performance metrics not only created a sound economic structure for both partners, they led to better healthcare outcomes for patients. Those patients may be able to return to work, or require less care from family and friends, leading to years and possibly decades of increased productivity. In the case of Singapore's Health Promotion Board, Singaporeans who encounter exercise programs or healthier choices at hawker stands may avoid contracting a non-communicable disease in the first place. While it can be difficult to quantify this type of value creation-declining incidence of NCDs is a metric best measured on a long timeframe, and the relationship between a specific program and NCD incidence can be difficult to measure exactly-that doesn't make it any less real.