New Public Management stands for 1. shift from conventional public policy to cost effectiveness 2. cluster rather than pyramids of organization in structural frameworks 3. flexible and adaptive opera- tional systems 4. rigid planning and conven- tional bureaucratic hierarchy Select the correct answer using the code given below.

New Public Management (NPM) represents a paradigm shift in public administration, moving away from traditional, rigid bureaucratic hierarchies toward market-oriented efficiency. It emphasizes a shift from conventional public policy to cost-effectiveness and professional management. Structurally, NPM advocates for decentralization and the use of flexible, adaptive operational systems rather than rigid pyramidal organizations. This approach promotes 'clusters' or networks of decentralized control to enhance responsiveness. Key principles include performance-based management, treating citizens as customers, and adopting private-sector techniques to improve service delivery. Conversely, rigid planning and conventional bureaucratic hierarchies (Statement 4) are the very models NPM seeks to replace. Therefore, statements 1, 2, and 3 correctly characterize NPM, while statement 4 describes the traditional Weberian bureaucracy it reforms.