Only When We Agree! How Value Congruence Moderates the Impact of Goal‐Oriented Leadership on Public Service Motivation

Questions of how and when managers can motivate the workforce of public organizations are fundamental for scholars and practitioners alike. A dominant assertion is that goal‐oriented leadership strategies, such as transformational leadership, foster public service motivation (PSM). However, existing studies rely on designs that are vulnerable to endogeneity and rarely investigate the scope conditions of the leadership‐PSM relationship. Combining a field experiment with 364 managers and surveys of their 3,470 employees, the authors show that transformational leadership and transactional leadership, when induced experimentally, do not have the claimed positive effect on PSM. In fact, the results indicate that goal‐oriented leadership can have demotivating effects when employee and organizational values are incongruent. Public managers should therefore carefully assess existing levels of value (in)congruence before implementing goal‐oriented leadership strategies, and—in case of value conflicts—seek to align perceptions of the desirable among members of the organization.     

Does Perceived Societal Impact Moderate the Effect of Transformational Leadership on Value Congruence? Evidence from a Field Experiment

Transformational leadership, it is argued, aligns employees' values with those of their organization. Empirical research has found a positive relationship between transformational leadership and value congruence. Yet studies rely predominantly on cross‐sectional research designs that limit causal conclusions and have not uncovered the potential contextual conditions of this argument. This article argues that transformational leadership positively affects value congruence in public service organizations, but only when employees see that their jobs impact the well‐being of other people and society. To test the relationship between transformational leadership and value congruence and the moderating effect of perceived societal impact, the article combines a field experiment on 79 managers of public service organizations and a balanced survey panel of their 583 employees. Consistent with the expectation, results indicate heterogeneous treatment effects, implying that employees' perceived societal impact is important to consider when transformational leaders strive to align the values of individual employees and the organization.     

Testing the Influence of Autocratic Leadership,Democratic Leadership,and Public Service Motivation on Citizen Ratings of An Agency Head’s Performance

Abstract

Research is lacking concerning the impact of leadership styles on citizen attitudes toward the performance of government leaders. To address this gap, an online experimental survey was conducted to determine the effect of leadership styles on respondents’ perceptions regarding a fictitious superintendent’s performance in a school district. The results demonstrate that democratic leadership practices enhanced the performance reviews of the superintendent, while autocratic leadership practices decreased them. Respondents’ level of public service motivation (PSM) was also found to have a positive effect on the superintendent’s performance ratings. Furthermore, democratic leadership style moderated the relationship between PSM and the performance ratings assigned by respondents. In particular, individuals with high PSM rated the performance of democratic leaders higher as compared to individuals with low PSM. However, autocratic leadership was not found to moderate the relationship between PSM and the superintendent’s performance. These results are thoroughly discussed in the paper.     

Public Service Motivation (PSM) and Support for Citizen Participation: A Test of Perry and Vandenabeele’s Reformulation of PSM Theory

This article examines how public service motivation (PSM) relates to public managers’ attitudes toward citizen participation. Perry and Vandenabeele suggest that PSM effects are moderated and/or mediated by self‐regulation and by the salience of an activity to self‐identity. Using data from Phase IV of the National Administrative Studies Project, latent model results suggest a direct, positive relationship between PSM and citizen participation evaluation. The relationship is not mediated by value congruence but rather is moderated by the perceived importance of the organization’s citizen participation efforts. The moderating effect has three interpretations: (1) PSM has a stronger relationship to evaluation as citizen participation becomes more important in the agency; (2) at low and medium PSM levels, the greater the importance of citizen participation, the lower its evaluation; or (3) at high PSM levels, the greater the importance of citizen participation, the higher its evaluation. This suggests that PSM is more germane for activities such as citizen participation, invoking relevant values as perceived organizational commitment increases.     

Pulling the Levers: Transformational Leadership,Public Service Motivation,and Mission Valence

This article contributes to our understanding of public service motivation and leadership by investigating ways in which organizational leaders can reinforce and even augment the potential effects of public service motivation on employees’ attraction to the organization’s mission (mission valence). The results contribute to two research questions. First, the findings provide new evidence on the sources of public service motivation. The authors find that transformational leadership is an organizational factor associated with higher public service motivation. Second, the article examines the relationship between transformational leadership and mission valence. The authors find that transformational leadership has an important indirect effect on mission valence through its influence on clarifying organizational goals and fostering public service motivation.     

Establishing A Mission-Based Culture: Analyzing the Relation Between Intra-Organizational Socialization Agents,Mission Valence,Public Service Motivation,Goal Clarity and Work Impact

ABSTRACT

This study contributes to our understanding of how organizations can craft a mission-based culture by examining the relationship between mission valence, PSM, goal clarity, and work impact. More specifically, the study assesses how value-laden communication with multiple intra-organizational socialization referents is related with the cited variables. The developed hypotheses are tested using structural equation modelling and a sample of 585 non-managerial employees employed by a public welfare organization. The findings confirm the claim that position in an organizational hierarchy is not likely to influence the analyzed relationships. The magnitude of the relationships, however, diverges. In contrast to previous research, the study results indicate that, in the case of lower-level employees, PSM is the most powerful predictor of mission valence. Furthermore, the results indicate that exposure to organizational values via interaction with internal socialization agents is positively related with their perceived importance. The results thus not only confirm the relevance of incorporating the institutional setting when analyzing mission valence, but also provide further proof for an institutional theory of PSM by highlighting that different organizational socialization agents could play a distinctive role in crafting PSM and a mission-based culture.     

Efficiency,Incentives, and Transformational Leadership: Understanding Collaboration Preferences in the Public Sector

In the public sector, participant attitudes are an important determinant of the success of inter-organizational collaboration initiatives. In this study, a model of employee willingness to collaborate is proposed in which the influence of transformational leadership is determined in part by the performance orientation of the organizational context in which it is enacted. The theoretical model is tested empirically using survey data collected from public employees in South Korea and regression-based Monte Carlo simulation. The analysis suggests that the effect of transformational leadership is amplified by an organization’s emphasis on internal efficiency and its use of performance-based incentives, factors that themselves have independent positive and negative effects, respectively, on attitudes about collaboration. This study links transformational leadership to an increasingly necessary process in the public sector and highlights its context-dependent influence. Implications of the findings are discussed, including the notion that the efficacy of tactics adopted to support inter-organizational collaboration may be a function of their consistency with the realities of established organizational policies and processes.     

Information Handling Challenges in Complex Systems

ABSTRACT:

Even when leaders exhibit desirable leadership styles, the effectiveness of their behaviors on organizational outcomes may be influenced by the structural distance between them and their followers. Nonetheless, previous empirical research on the relationships between leadership styles and outcomes has largely ignored the role of leader distance in public administration. Using panel data drawn from the US federal government, this study explores how transformational and transactional leadership styles affect employee turnover behavior and how span of control as a proxy for leader distance moderates those relationships. The statistical results indicate that transformational leadership is negatively related to turnover behavior, whereas transactional leadership is positively related to turnover behavior. Further analysis shows that span of control significantly moderates the relationships between the two leadership styles and employee turnover behavior such that organizations benefit more from transformational leaders with a broad span of control than from those with a narrow span of control. Conversely, transactional leaders with a narrow span of control are better at reducing turnover than those with a broad span of control. The implications and contributions of these results for public administration are discussed.     

Examining the Nature and Significance of Leadership in Government Organizations

Though the mainstream organizational literature has advanced in the last 20 years with the integration of transformational and distributed leadership theories, as well as genuine attempts at comprehensive models, the public sector literature has lagged, especially in utilizing large‐scale empirical studies. This study takes advantage of a very large government data set to test the utility of one of the best known theories, the “full range” leadership theory of Bernard Bass. It addresses three important research questions: How inclusive is Bass’s operational definition of leadership? How much of an impact do Bass’s leadership competencies have on follower satisfaction? Finally, how important is transformational leadership compared to transactional leadership in government settings? The results indicate that Bass’s broad definition of leadership comes quite close to capturing what federal employees perceive to be effective leadership. The relationship between good leadership in an organization and follower satisfaction is also presented as an important outcome in the federal government. Finally, both transactional and transformational leadership are perceived as important in the federal government, although transformational leadership is considered slightly more important even after shifting one important factor, individualized consideration, back to the transactional model.     

The Leader–Follower Dyad: The Link Between Leader and Follower Perceptions of Transformational Leadership and Its Impact on Job Satisfaction and Organizational Performance

This study seeks to establish and test the relationships between both leaders’ and followers’ perceptions of leaders’ transformational leadership behavior and its relationship with job satisfaction and organizational performance. We aim to represent the managerial and psychosocial outcomes in the leader–follower dyad. The study also determines the relative contribution of the two constructs of the leader–follower dyad and their relationship with organizational performance. Since both leaders and followers estimated the leaders’ transformational leadership behavior, two models were tested: first, a leader-perception model examining the relationships among transformational leadership, job satisfaction, and organizational performance using data on transformational leadership from the leaders’ perspective; and second, a follower-perception model examining the relationships among the same three constructs using transformational leadership estimates from the followers. We then explore the corresponding parameters in the two models to determine if there are significant differences in the relationships among the constructs, thereby determining the impact of leader vs. follower perceptions. Structural equation modelling based on a sample of 372 leader–follower matched responses identified how transformational leadership has a significant, positive relationship with employee job satisfaction and organizational performance. Although the relationship between transformational leadership and organizational performance was similar in the two models, in the follower-perception model the effect was almost entirely mediated by employee job satisfaction, whereas there were both mediated and direct effect in the leader-perception model.     

Does leadership lessen turnover? The moderated mediation effect of leader–member exchange and perspective taking on public servants

Drawing on motivated information processing theory and social exchange theory, this research investigates the mediating effects of leader–member exchange and moderating impact of perspective taking in the relationship among transformational leadership and turnover intentions of public servants. Using a sample of 385 respondents from different public sectors across Pakistan, we found a negative association of transformational leadership with the turnover intentions, which is further mediated by leader–member exchange. Moreover, perspective taking moderated this mediating relationship. The present research has theoretical and practical implications. In addition, we have discussed some future directions.     

Influence of leadership style on job satisfaction of NGO employee: The mediating role of psychological empowerment

The objective of this investigation is to analyze the impact of leadership styles on frontline employee psychological empowerment, and thereby, improving the job satisfaction level of employees. A questionnaire‐based survey was conducted in nongovernmental organization (NGO) functioning in two major cities (Islamabad and Peshawar) of Pakistan, analyzing a total sample size of 319. Structural equation modeling results revealed that transformational leadership style has a significant association with job satisfaction, and the effect is partially mediated by the psychological empowerment. Conversely, findings showed that the relationship between transactional leadership and psychological empowerment was insignificant. Though, there existed a direct positive relationship between transactional leadership and job satisfaction. This research makes an important contribution in the area of leadership, which can be useful for NGOs to recognize the importance of leadership and encourage psychological empowerment of frontline employees. The findings also provide significant implications for organizations to understand better the importance of leadership, which will be helpful to enhance organizational success.     

Employee Perceived Effect of Leadership Training: Comparing Public and Private Organizations

This study reports on the effectiveness of a year-long field experiment involving training in transformational and transactional leadership in the public and private sectors. Using before and after training assessments by employees of several hundred Danish leaders, the analysis shows that transformational leadership training is associated with increases in behaviors linked to both transformational leadership and the use of verbal rewards, but only for public sector organizations. There is no impact in private sector organizations. Transactional leadership training appears to be equally effective in stimulating the use of pecuniary rewards in both public and private organizations.     

Is There a Nonprofit Advantage? Examining the Impact of Institutional Context on Individual–Organizational Value Congruence

This article addresses an important question: do nonprofit organizations have an advantage over public organizations in fostering individual–organizational value congruence? The authors argue that nonprofit organizations do have an advantage. This is because institutional differences between the two sectors become manifest through nonprofit status and the extent of external control, which influences the organization and the individual. External control and sector status (nonprofit versus public) determine the extent of centralization, organizational goal ambiguity, and work autonomy. In turn, these three organizational characteristics shape individual–organizational value congruence. Although the results provide support for the nonprofit advantage thesis, it is worth noting that organizational effects on individual–organizational value congruence are more powerful. Indeed, the results suggest that managerial and organizational actions, compared with sector status, are more likely to influence individual–organizational value congruence.     

Transformational Leadership and Public Service Motivation: Driving Individual and Organizational Performance

Despite growing evidence about prosocial motivations and their effects on employee behavior, how can new public service motivation research translate into more effective management practices—which, so far, regrettably remain underdeveloped? Increasingly, public service motivation studies have moved from understanding what motivates public servants to exploring how public service motives influence performance. Similarly, greater attention is now paid to the practices of transformational leadership. Drawing on concepts from transformational leadership, this essay explores how managers can harness the positive aspects of public service motivation to enhance employee and organizational performance and outlines strategies that can help managers incorporate public service motivation values across management systems.     

Public Service Motivation and Interpersonal Citizenship Behavior in Public Organizations: Testing a Preliminary Model

ABSTRACT

A good deal of research has demonstrated how public service motivation (PSM) facilitates desirable organizational attitudes and behaviors such as job satisfaction, organizational commitment, and work effort. Other research has demonstrated that PSM predicts higher levels of social capital and altruistic behavior in society. Between these two strands of PSM research, there is a gap in knowledge about whether PSM matters to citizenship behavior internal to the organization. This article tests the direct and indirect relationship between individual levels of PSM and interpersonal citizenship behavior using a structural equation model. We also account for the effect of organizational environment by incorporating a measure of co-worker support. We find that PSM has a direct and positive effect on interpersonal citizenship behavior in public organizations, even when accounting for the significant role of co-worker support.     

Transformational Leadership and Organizational Processes: Influencing Public Performance

Leaders are essential actors in public performance improvement and organizational change. However, a key question has not been adequately addressed in prior literature on the topic: how do leadership processes make a difference? Using data on New York City public schools, this article explores the organizational mechanisms by which a specific form of principal's leadership—transformational leadership—influences objective organizational outcomes as measured by standardized test scores. The empirical results indicate that a principal's transformational leadership style affects student test scores through the mediating effects of purposeful performance information use and stakeholder engagement.     

Public Service Motivation and Attraction to Public Versus Private Sector Employment: Academic Field of Study as Moderator?

ABSTRACT

Despite extensive public service motivation (PSM) research, our knowledge of PSM's influence on individuals’ sector employment preferences is limited. Few studies examine this relationship by suitable research designs, and the empirical findings are mixed. Using a sample of 718 Danish students of economics, political science, and law, this article tests (1) the relationship between PSM and attraction to public versus private sector employment and (2) the moderating effect on this relationship of students’ academic field of study. Overall, results underscore the multidimensionality of the PSM construct, as the PSM dimension of “public interest” is positively associated with attraction to public sector employment and negatively associated with attraction to private sector employment, while the PSM dimension of “compassion” is unrelated to both. Importantly, however, moderation analyses reveal notable correlation differences across students’ academic fields. Implications of these findings are discussed in the context of prior and future research.     

Motivated to Adapt? The Role of Public Service Motivation as Employees Face Organizational Change

Researchers concerned with organizational change have consistently emphasized the role that the work environment plays in employee acceptance of change. Underexamined in the public management literature, however, is the role that employee values, particularly public service motivation (PSM), may play in employee acceptance of change. Some scholars have noted a positive correlation between employee PSM and organizational change efforts; this article extends this work by attempting to isolate the mechanisms that explain this relationship. Using data from a survey of employees in a city undergoing a reorganization and reduction in workforce, the authors find that only employees who scored high on a single dimension of PSM—self‐sacrifice—were more likely than others to support organizational change. Rather than support changes for their potential to improve public service, this finding suggests that employees with higher PSM may simply be less likely to resist changes that might disadvantage them personally.     

Comparing Public and Private Managers' Leadership Styles: Understanding the Role of Job Context

ABSTRACT

Comparing public and private managers is a major subject in the public management literature, but there have been only a few empirical studies of the differences in their respective leadership styles. Traditionally, leadership style is explained by the characteristics of the manager, the employees, and their job. This study explains leadership by the manager's job context: the degree of job complexity, role clarity, and job autonomy. We argue that differences in job context explain the use of different leadership styles in the public and private sector. To clearly specify the importance of sector, the study investigates direct, mediating, and moderating effects. Based on a survey of Danish public and private managers with 949 respondents, this article shows that job context variables vary significantly between public and private sector managers. The article provides some explanations for why public managers use more participative leadership, while private ones use more directive leadership.