Strategic change,leadership and accounting: A triptych of organizational reform

Strategic change in public sector organizations has been well documented. This article suggests that public management research would benefit from a greater appreciation of how calculative practices are deeply imbricated with, and constitutive of, organizational life. In turn, the article argues that the field of interdisciplinary accounting has much to learn from public administration, especially in terms of leadership. The overarching argument is that understanding strategic change in public organizations can be enhanced by bringing together insights from the academic fields of public administration and interdisciplinary accounting. In this respect, organizational reform can be understood as a triptych, involving strategic change, leadership and accounting practices. We illustrate this thesis through a case study of strategic change in the world's largest public service broadcaster—the British Broadcasting Corporation (BBC). It is shown how, during the tenure of one organizational leader—John Birt—accounting became pivotal to his leadership.     

Public sector employees in a challenging work environment

Public sector employees are expected to perform well in a work environment that is characterized by a variety of challenges. This Symposium aims to shed light on how environmental changes impact the shared identity, attitudes and behaviour of public sector employees; how public sector employees take charge of continuous change and deal with challenges in their work environment; and how organizations can help employees to tackle such work‐related challenges. We identify four specific gaps in literature—some methodological and some more substantive in nature—and explain how this Symposium helps to address these gaps.     

Frontline Problem Solvers: The Structuring of Frontline Service Work

The purpose of this article is to contribute to the understanding of the role of frontline employees in organizing public service delivery. Combining inspiration from organizational institutionalism and social theory of practice, this study offers an integrative understanding of frontline agency in organizational dynamics during the institutionalization of a public sector reform. Findings are presented from an ethnographic field study of frontline employees' strategies of adopting new structures of service work during the institutionalization of a public reform. The study illustrates how frontline actions provide the basis for both stability and change in the structures through which frontline work is organized. The agency exerted by frontline employees in institutionalization of reforms may have both equilibrating effects as well as deepen the gaps between the public sector and the public served.     

Public service motivation and continuous organizational change: Taking charge behaviour at police services

Building change capabilities into public organizations is a challenge for strategic management. This study focuses on the micro‐level of extra‐role behaviours that contribute to continuous improvements in working procedures at the front‐end of organizations (i.e., taking charge behaviour; TCB). More particularly, we examine public service motivation (PSM) as a key variable mediating between perceived practices and TCB of street‐level bureaucrats. The analyses are based on survey data from a state police force in Germany (N = 1,165). Results confirm the role of PSM as full mediator, but this mediation is limited to the relationship between leadership behaviours and TCB, while perceived organizational characteristics—except for red tape—have direct positive impact on TCB.     

Structural reform histories and perceptions of organizational autonomy: Do senior managers perceive less strategic policy autonomy when faced with frequent and intense restructuring?

Through recurrent structural reform programmes governments are on a quest to design public organizations that will stand the test of their environment. One of the approaches to uncertain or sensitive issues has been to create various forms of (semi‐)autonomous organizations with substantial strategic discretion. However, while governments repeatedly experiment with designs, one might simultaneously expect that such interference through repeated structural change may limit the degree of strategic policy autonomy perceived by senior managers. More specifically, we propose that intense structural reforms may inadvertently reduce strategic policy autonomy perceptions through two mechanisms. First, intense sequences of structural reforms may lead to perceptions of relatively controlling political principals. Second, they may reduce an organization's ability to accrue resources beneficial to autonomy, such as a strong internal culture, network embeddedness and expertise. Results indicate that strategic policy autonomy perceptions will indeed be detrimentally affected for organizations that experience intense sequences of structural reform.     

Changes in Prosocial Motivation over Time: A Cross-Sector Analysis of Effects on Volunteering and Work Behavior

A gap in research on prosocial motivation is that very little is known about its change across time, let alone, how such changes affect employee behavior. Using multiple waves of panel data, covering a period of sixteen years, this article finds that prosocial motivation is mostly stable, and there are no broader socialization effects in the private and public sector. However, when prosocial motivation increases, it leads to increases in either work or volunteering behavior, suggesting that public employees may use alternative outlets to realize their motivation if such motivational capital cannot be linked to the mission of their organizations.     

Enhancing Employees’ Work Performance through Organizational Justice in the Context of Financial Crisis. A Study of the Greek Public Sector

In a period of economic crisis, the increasing pressure of sparse financial resources and the structural reforms in labor law are factors pushing and forcing managers of both public and private organizations to do more with less. The current study explores how employees’ performance in the public sector is affected by perceptions of organizational justice in terms of resource allocation (e.g., benefits and compensation). The responses received from a sample of 490 employees working for public organizations in Greece indicated that work performance is significantly and positively related not only to employees’ satisfaction with pay, but also to employees’ perceptions of distributive and procedural justice.     

Finding a mission in bureaucracies: How authentic leadership and red tape interact

Finding a mission is important for employees to perform well in public service jobs. Research has demonstrated that leadership can facilitate mission valence among followers, but if and how leadership unfolds this effect in the presence of excessive bureaucracy (i.e., red tape) is unclear. This interaction is particularly interesting in the case of authentic leadership (i.e., a positive leadership style based on self-awareness, consistent behaviors, and transparent relations with followers), as red tape may either neutralize or enhance the association of authentic leadership with mission valence. We test these rivalry hypotheses in a sample from a two-wave survey among public employees in Germany. Results provide support for the neutralization hypothesis, as the relationship between authentic leadership and mission valence strengthens at lower levels of red tape. HR practitioners are thus challenged to reduce red tape and to make public organizations authentic places, where leaders can develop authenticity through self-awareness.     

Distributed leadership and performance-related employee outcomes in public sector organizations

Distributed leadership is the sharing of leadership tasks between managers and employees. This article demonstrates how a distributed leadership perspective adds to the public administration literature by including an important sensitivity to planned and nonplanned leadership. We propose a theoretical model that explains the impact of distributed leadership on employee outcomes which have a direct or indirect impact on organizational performance in public organizations contingent on alignment with individual leadership capacity and organizational goals. Our empirical analysis in the Danish hospital sector shows initial support for the expected relationships between distributed leadership and performance-related employee outcomes such as job satisfaction and innovative behavior. This indicates that the distributed leadership perspective holds the potential to strengthen service delivery in complex public service organizations while there is weaker support for the notion that the positive impact of distributed leadership depends on individual leadership capacity and their support for organizational goals.     

A Two-Pronged Approach? Combined Leadership Styles and Innovative Behavior

This article examines the relationship between transformational, transactional, and empowering leadership and the innovative behavior of public sector employees. Instead of investigating their association individually, this article focuses on the interaction between different types of leadership. The analysis is based on a survey from one of Denmark’s largest hospitals (n = 1,647). The main result is that empowering leadership, which focuses on employee capacity, moderates the association between transformational leadership, which is directed at motivation, and innovative behavior. The findings emphasize the importance of not only focusing on a single leadership style but also understanding how they work in combination.     

HYBRIDS AND PROFESSIONAL COMMUNITIES: COMPARING UK REFORMS IN HEALTHCARE,BROADCASTING AND POSTAL SERVICES

Many countries use state‐owned, for‐profit, and third sector organizations to provide public services, generating ‘hybrid’ organizational forms. This article examines how the hybridization of organizations in the public sector is influenced by interaction between regulatory change and professional communities. It presents qualitative data on three areas of the UK public sector that have undergone marketization: healthcare, broadcasting, and postal services. Implementation of market‐based reform in public sector organizations is shaped by sector‐specific differences in professional communities, as these groups interact with reform processes. Sectoral differences in communities include their power to influence reform, their persistence despite reform, and their alignment with the direction of change or innovation. Equally, the dynamics of professional communities can be affected by reform. Policymakers need to take account of the ways that implementation of hybrid forms interacts with professional communities, including risk of disrupting existing relationships based on communities that contribute to learning.     

The Public Sector Reform Movement: Mapping the Global Policy Network

Public sector reform in both developed and developing countries has now become a routine matter of public policy—reform is almost continuous, if not always successful. While the role of international transfer agents such as the World Bank and the Organization for Economic Cooperation and Development (OECD) in promoting reforms has often been noted, there has been no comprehensive mapping of the global network on public sector reform. This article makes a first attempt to map the close to 100 organizations that make up a loose global network around public administration and governance. It then provides a brief history of the evolution of the network, and the key events that encouraged a substantial degree of coherence among its members. It examines the practices and tools that are specific to this global public policy network, and concludes with some observations on policy transfer models. The article shows that in trying to understand the dynamics of public administration reform, we need to pay greater attention to this network, its members, and its influence over national policy priorities.     

Ethics, values and behaviours: comparison of three case studies examining the paucity of leadership in government

Three societies with similar initiatives for public service re-configuration and reform – the UK, Canada and Australia – are examined to highlight the many-faceted issues of public service ethics and the different approaches these governments have taken to re-building public trust and enhancing public service ethics in times of rapid change. These efforts for re-building an ethical public service are scrutinized according to four criteria for effectively leading change. Changes of public service values are also analysed as well as their implications for public servants.
Effectively, applied leadership is identified as the pillar of ethical practice – emphasizing the need for quality leadership development through on-the-job experience. Although legislation and codification are seen as necessary for building an ethical infrastructure that can help employees out of encountered dilemmas, the way forward is seen as nurturing an environment of trust and vigilance in which ethics are promoted through exemplary behaviour of leaders and employees alike.     

Power and transformational and transactional leadership in public and private organizations

Ten public and 35 private organizations located in Central New York State participated in a university- sponsored research project to study the effects of organizational characteristics upon types of leadership (transformational/transactional) and power demonstrated by supervisors. Public sector organizations in which managers had low control over rewards were compared to private sector organizations in which managers had high control over rewards.

Followers perceived public sector supervisors as more inspirational by their followers and they used more active management-by-exception behavior than those in private organizations. Private sector supervisors had more reward, legitimate and coercive power than supervisors in public sector organizations.     

High Performance Expectations: Concept and Causes

Employees contribute more when they are aware of their leaders’ high performance expectations (HPE), but how can leaders successfully convey HPE? Here it is argued that both transformational and transactional leadership behaviors involve goal-setting, which can affect employee-perceived HPE. Using a leadership training field experiment with 3,730 employees nested in 471 organizations, the findings support that training in transformational, transactional and combination leadership training significantly increased employees’ HPE relative to a control group. Furthermore, transformational leadership and pecuniary rewards seem to be important mechanisms. This implies that public leaders can affect HPE through leadership and thus potentially organizational performance.     

Governance traditions and narratives of public sector reform in contemporary France

This article explores the basic traditions of governance in contemporary France and the narratives of public sector reform associated with them. It should be stressed right from the outset that this article does not aim to describe the set of public sector reforms that have been implemented in France in the last ten years or so. Instead, the aim is to demonstrate the similarities and differences between the narratives of the left and the right with regard to these reforms and to show how these narratives help to explain the types of reform that have been enacted. The basic argument is that there is a certain commonality to both the left and the right with regard to their narratives of public sector reform. At the same time, though, there are differences of emphasis both within each tradition and between the two main traditions themselves. Except where indicated, all translations are the author's own.     

New Public Management in Austria: Local Variation on a Global Theme?

This article tracks public sector reform in Austria with a focus on the influence of New Public Management (NPM) both as label and as specific set of reform ideas. We analyse to what degree current reforms have been influenced and shaped by this widely acclaimed international trend. In this empirical study we combine the different data sources of media coverage, reform documents and public sector executive survey to cover different levels of analysis. Although the reforms include NPM-features, we see no evidence so far for an archetype change in the Austrian public sector.     

Stability not change: Improving frontline employee motivation through organizational reform is harder than it looks

As evidence mounts about the positive effects of autonomous motivation such as public service motivation, there is a growing case for public organizations to design reforms to better support public employees’ inherent desire to help others. But how feasible is this in reality? Most experimental evidence on autonomous motivation stems from interventions at the individual level, possibly exaggerating what government reforms can achieve in reality. We present a longitudinal study that analyses a three-year trial in Danish hospitals in which incentives and autonomy were changed to encourage autonomous motivation. This set-up offers a rare opportunity to observe the potential malleability of intrinsic, public service, user and external motivation. The results show little observable change in motivation due to the reform. We explore the practical difficulties of translating evidence about motivation into reforms given implementation challenges, contextual factors and a recognition that motivation might be less malleable than implied by research.     

Civil Service Reform in Ethiopia: Issues,Lessons, and Future Directions

This article provides an in-depth review of the successes and challenges of public sector reform efforts in Ethiopia with a view to help other developing countries, particularly African countries, learn from Ethiopia's experiences in this regard so that they can improve the content of and approach to their public sector reforms. It also identifies the gaps in the existing literature and puts forward implications for further research in the area. The public sector reform program of Ethiopia has shown successes particularly in the areas of service delivery to citizens. However, the reform program is entangled with challenges such as lack of accountability and transparency on the part of implementing institutions, inadequate material and moral incentive to employees thus crippling the capacity to manage the implementation process, and participation from the side of different stakeholders.     

Leadership Climate in the Public Sector: Feelings Matter Too!

Abstract

Although there is substantial empirical evidence supporting the important role of leadership in organizational contexts, there is limited empirical evidence that focuses on the distinction between how employees feel about senior leaders and what they think about senior leaders. This is particularly true in the public-sector environment. In this paper, a model is tested that identifies key consequences of affectively and cognitively based perceptions of public-sector senior leadership. Data collected from a large public-sector organization were examined to identify the correlates of affectively and cognitively weighted perceptions of leadership. A series of regression analyses was conducted to identify more clearly the extent to which affectively and cognitively based perceptions of leadership influenced affective commitment, attitudes to change, intention to turnover, and extra-role performance. The results suggest that both affectively and cognitively based perceptions of leadership influenced organizational commitment and cynicism toward change. Extra-role behavior was influenced by the affective dimension alone, and intention to turnover was influenced by the cognitive dimension alone. The results also showed a significant interaction between the affective and cognitive dimensions in predicting intention to turnover. In general terms, the findings will prove helpful to human resource practitioners interested in diagnosing and managing the transformational leadership climate in public-sector organizations.