Strategic management as an enabler of co-creation in public services

The current transformations in society, the economy and the public sector call for the development of more unified theoretical frameworks. This article takes the literature on strategic management as a theoretical entry angle and aims to better understand how the adoption of models of strategic management can enable processes of public value co-creation. Utilising the literature centred on the notion of ‘schools of thought’ in the strategic management of public services, the article discusses how co-creation as a mode of governance in public services can contribute to innovative public service solutions and value co-creation. The Welsh Water’s ‘Water Resilient Community’ – a project characterised by long-term strategic planning as well as by local innovation – is used to illustrate the argument. Four propositions on the drivers/enablers and key managerial issues for undertaking a strategic approach to co-creation as a mode of governance are offered to enhance future practice, research and theory.