The Impact of Customer Orientation on Government Employee Performance

ABSTRACT

This article explores the impact of “customer service” orientation on government employee performance. Although public organizations have been encouraged to become customer-centered organizations, concerns exist about the application of such market orientations to the management of government organizations. This article joins in the customer orientation debate by exploring the impact of customer orientation on employee motivation and performance. Using quantitative and qualitative analysis of data from civilian employees at a Department of Defense installation, this study explores the impact of customer orientation on employee performance and motivation, across time and work roles.

Consistent with previous research that suggests that customer orientation is positively associated with public and private employee performance and work attitudes, the results of this study suggest that customer service orientation has a strong positive impact on employee performance and motivation. Employee customer orientation provides a connection to the organization's goals consistent with employees' affective and normative values of public service, and feedback necessarily to improve service delivery. The impact of formal management systems may be enhanced by their ability to strengthen an employee's customer orientation. Ultimately, however, efforts to create a more “market”-based orientation focused on institutional customers who purchase services may have limited impact, or even a deleterious effect on, employee performance and motivation, unless also accompanied by formal linkages to service beneficiaries.     

Politicization,Bureaucratic Legalism,and Innovative Attitudes in the Public Sector

Previous studies have identified institutional, organizational, and individual factors that promote innovation in public organizations. Yet they have overlooked how the type of public administration—and the type of administrators—is associated with innovative attitudes. Using two large, unique comparative data sets on public bureaucracies and public managers, this article examines how bureaucratic politicization and legalistic features are associated with senior public managers’ attitudes toward innovation in 19 European countries. Results of multilevel analysis indicate that the bureaucratic politicization of an administration and the law background of public managers matter. Public managers working in politicized administrations and those whose education includes a law degree exhibit lower pro-innovation attitudes (i.e., receptiveness to new ideas and creative solutions and change orientation).     

Collaborative Innovation: A Viable Alternative to Market Competition and Organizational Entrepreneurship

There are growing pressures for the public sector to be more innovative but considerable disagreement about how to achieve it. This article uses institutional and organizational analysis to compare three major public innovation strategies. The article confronts the myth that the market‐driven private sector is more innovative than the public sector by showing that both sectors have a number of drivers of as well as barriers to innovation, some of which are similar, while others are sector specific. The article then systematically analyzes three strategies for innovation: New Public Management, which emphasizes market competition; the neo‐Weberian state, which emphasizes organizational entrepreneurship; and collaborative governance, which emphasizes multiactor engagement across organizations in the private, public, and nonprofit sectors. The authors conclude that the choice of strategies for enhancing public innovation is contingent rather than absolute. Some contingencies for each strategy are outlined.     

Collaborative Innovation,New Technologies,and Work Redesign

Stakeholders agree on the need to promote innovation in work organization in public services. This article deploys the concept of collaborative innovation to discuss employees' and managers' experiences of a major technology‐driven work redesign project within National Health Service pharmacy services in Scotland. The authors draw on extant literature on New Public Management (NPM) and collaborative approaches to innovation to frame more than 40 in‐depth interviews with managers and employees. They find that key components of collaborative innovation—related to joint problem‐solving, interdisciplinary working, and mutual learning—were important to the success of the redesign project and had positive impacts on job quality for some employees. The authors argue that researchers and policy makers should look beyond NPM‐driven models that have dominated some areas of the public innovation literature to consider the potential added value of collaborative innovation to improving both work and service delivery in the public sector.     

How Leadership and Public Service Motivation Enhance Innovative Behavior

Prior research has linked the innovative behavior of public sector employees to desirable outcomes such as improved efficiency and higher public service quality. However, questions regarding the drivers of innovative behavior among employees have received limited attention. This article employs psychological empowerment theory to examine the underlying processes by which entrepreneurial leadership and public service motivation (PSM) shape innovative behavior among civil servants. Based on three‐wave data from 281 Chinese civil servants and their 59 department heads, entrepreneurial leadership is found to positively influence subordinates' innovative behavior by enhancing two dimensions of psychological empowerment: meaning and impact. Additionally, PSM was found to influence subordinates' innovative behavior by enhancing the dimensions of meaning and competence. These findings suggest that to facilitate innovative behavior among employees, public organizations should consider introducing training that encourages leaders to serve as entrepreneurial role models and recruit employees with high levels of PSM.     

Looking a Gift Horse in the Mouth: Challenges in Managing Philanthropic Support for Public Services

Collaborations between nonprofit and public sector organizations have become an increasingly important phenomenon in state and local public service delivery since the publication of the Winter Commission report in 1993 . This article focuses on one of the less studied types of public–nonprofit collaborations, those in which philanthropic support from nonprofit organizations supplements the resources and activities of public agencies. Drawing on the case of “nonprofit‐as‐supplement collaborations” that support park services in New York City, this article documents the benefits and drawbacks associated with such collaborations. While they can provide increased resources and encourage management innovations, they also can lead to inequities in the availability and quality of services, the preponderance of particularistic goals over the broader public interest, and the politicization of previously bureaucratic decision making. The authors offer two strategies for public managers to realize more effectively the benefits yet mitigate the shortcomings of these collaborations.     

Consumer well‐being through engagement and innovation in higher education: A conceptual model and research propositions

With globalization and the marketization of higher education, the relationship between higher education institutions (HEIs) and students is becoming more complex. As the cost of higher education increases, the expectations of students have not only changed dramatically but, combined with heightened competition in the market, it is clear that the balance of power has moved towards the students. Operating across this new landscape, HEIs are facing a different set of opportunities and challenges. In order to survive, differentiation through service innovation is imperative to achieving success in attracting and retaining students. While this has been voiced by a number of authors, until now, there is a paucity of empirical research examining the impact of service innovation in higher education on individual customer outcomes. This paper explores the links between service innovation and well‐being and the mediating roles of perceived service quality and customer engagement within the higher education context. The research is timely as previous studies have not taken into consideration the mediating roles of customer engagement between service innovation and customer well‐being. Yet, unless customers are engaged and participating in the service innovation process, or satisfied with the service innovation, the innovation may not lead to the desired customer outcomes. HEIs cannot afford to ignore the expectations of their primary customers (students). Hence, this conceptual paper seeks to develop a conceptual model of how service innovation leads to student/consumer well‐being and the mechanism through which perceived service quality and customer engagements affects this process.     

Managerial Networking in Nonprofit Organizations: The Impact of Networking on Organizational and Advocacy Effectiveness

Public management scholars are interested in the ways that public managers can improve the performance of their organizations and, by extension, public service outcomes. However, public sector outcomes are increasingly being produced by nonprofit organizations. Nonprofits have encountered increased pressures to improve effectiveness in recent years, both from their funding entities and from the public. A growing body of public management research has shown that managerial networking can pay dividends for organizational effectiveness, yet no studies to date have considered the effects of managerial networking on nonprofit effectiveness. This is the first study to apply the basic elements of Meier and O'Toole's model to the nonprofit sector. Using survey data from a random sample of 314 nonprofit human service organizations in 16 U.S. states, the authors explore the frequency of various networking relationships on organizational and advocacy effectiveness. The findings reveal that political networking increases advocacy effectiveness and community networking increases organizational effectiveness.     

Voluntary Regulations and Innovation: The Case of ISO 14001

Governments enact environmental regulations to compel firms to internalize pollution externalities. Critics contend that regulations encourage technological lock‐ins and stifle innovation. Challenging this view, the Porter‐Linde hypothesis suggests that appropriately designed regulations can spur innovation because (1) pollution reflects resource waste; (2) regulations focus firms’ attention on waste; and (3) with regulation‐induced focus, firms are incentivized to innovate to reduce waste. This article explores the regulation–innovation linkage in the context of voluntary regulations. The authors focus on ISO 14001, the most widely adopted voluntary environmental program in the world. Examining a panel of 79 countries for the period 1996–2009, they find that country‐level ISO 14001 participation is a significant predictor of a country's environmental patent applications, a standard proxy for innovation activity. The policy implication is that public managers should consider voluntary regulation's second‐order effects on innovation, beyond their first‐order effects on pollution and regulatory compliance.     

Entrepreneurship among Nonprofit Arts Organizations: Substituting between Wage and Flexible Labor

Nonprofit entrepreneurship is largely viewed through the lens of commercialization, overshadowing other ways that entrepreneurship manifests within the sector. One such way involves nonprofits' tendency to meet workforce needs by substituting flexible for wage labor, which may be especially attractive to arts organizations given the proclivity of workers in this sector to be self-employed. The authors examine the use of flexible versus wage labor by nonprofit arts organizations, relying on panel data to account for changes in organizational size over time. The results provide evidence of a substitution effect, in which the use of wage labor by arts organizations declines in response to greater reliance on flexible labor. The findings suggest that nonprofit arts organizations are innovative employers, responding to changes in their resource environments by adjusting their mix of wage and flexible labor while also providing outlets for freelance arts workers to pursue their chosen line of work.     

Pressure,Legitimacy, and Innovative Behavior by Public Organizations

According to New Public Management (NPM) doctrines, public organizations involved in service delivery and policy implementation will be induced to innovative behavior if they have enough managerial autonomy and simultaneously are subjected to managerial pressure, such as result control by government or competition of other providers. This NPM pressure‐response model is tested by using survey data on 84 Flemish public organizations. These tests provide evidence for the assumed effect of NPM‐like pressure on the innovative behavior of public organizations. However, the empirical model shows more complex relationships as is assumed by NPM doctrine. These complex relationships are corroborated and explained by making reference to a multiple‐case study of four Flemish public organizations. An expanded political/administrative pressure‐response model, referring to legitimacy as a motivational force, is suggested in order to explain innovative behavior by public organizations. This model may help to understand the preconditions for spontaneous adaptation of public organizations.     

Market Orientation and Public Service Performance: New Public Management Gone Mad?

The backbone of theory of the market‐based approach New Public Management is that market orientation improves public service performance. In this article, market orientation is operationalized through the dominant theoretical framework in the business literature: competitor orientation, customer orientation, and interfunctional coordination. Market orientation is examined from the vantage point of three stakeholder groups in English local government: citizens, public servants, and the central government’s agent, the Audit Commission. Findings show that market orientation works best for enhancing citizen satisfaction with local services, but its impacts on the performance judgments of local managers or the Audit Commission are negligible. The conclusion discusses important implications of these findings for research, policy, and practice.     

Perceptions of Public and Private Performance: Evidence from a Survey Experiment

Media, politicians, and reform proponents frequently assert that public sector organizations are inefficient and burdened by administrative procedures. But are negative stereotypes of the public sector reflected in people's perceptions of public service provision? Given the methodological challenges of isolating the perception of publicness from other factors related to public organizations, little is known about whether public organizations have a negative image. The authors use a survey experimental design to isolate the effect of publicness on perceptions of the performance of hospitals. The results suggest that public sector organizations have a negative image on productivity‐related aspects of performance but not on normative aspects of performance. As this article is a randomized experiment, it provides strong evidence regarding the causal nature of the relationship between publicness and perceptions of performance. Implications for researchers aiming to understand these mechanisms and for public managers concerned about the image of their organization are discussed.     

A Review of: “Corruption by Design: Building Clean Government in Mainland China and Hong Kong by Melanie Manion”

ABSTRACT

The impact of privatization on public service quality is an enduring issue in public policy and management. Advocates of privatization suggest that market forces prompt private firms to provide better quality services, while opponents point towards the potential for quality to be traded off against profits. Drawing on incomplete contract and capability theories, we explore a more nuanced possibility: that private providers of public services perform better on dimensions of public service quality that are easier to measure and monitor, and vice versa. Using panel data on service quality in prisons in England and Wales in the period 1998 to 2012, we find that privately managed prisons do perform better on dimensions of quality, such as confinement conditions and prisoner activity, which are more easily measured, whereas public prisons perform better on dimensions of quality, such as levels of order and prisoner safety, which are less easily measured and managed.     

THE TASMANIAN PUBLIC SERVICE AND THE FUTURE

Abstract: State governments in Australia have been regarded essentially as service deliverers, with the result that the specialist heads of public organizations, although technically competent, have rarely questioned the need for their activities. Nor does the argument that such questioning is the responsibility of the politician take account of the inertia of the existing system; an analysis of the activities which the Tasmanian government has undertaken over the past six years—including those of statutory authorities—shows a fair degree of stability. Thus we should consider building into the State's existing organizational arrangements some means of evaluating existing programs and new proposals. Such policy analysis should widen the narrow focus of the advice currently offered by public servants. Although there have been some moves in this direction in Tasmania (particularly in the Premier's Department), it has not been reflected in the structures of the public service generally. A survey of 22 government departments showed that only eight had officers concerned with evaluatory planning, and only three departments were engaged in innovative and initiatory planning. Other directions in which Tasmania's public organizations could move with benefit include an increase in lateral recruitment; breaking down the rigidity of the promotion appeals and classification systems; introducing flexible management and budgeting procedures throughout the service as a whole; and continually reviewing the structure and functions of public organizations. The questions that have been raised by recent inquiries into State and Federal government administration, namely coordination, efficiency, economy, effectiveness, decentralization and participation, have not stressed sufficiently the key issue for the public services of the 1980s, which is the nature of the relationship between the politician, the public service and the community.     

More Similarities or More Differences? Comparing Public and Nonprofit Managers’ Job Motivations

Existing research on career motivations tends to focus either on the difference between private and public organizations or on the difference between nonprofit and for‐profit firms. Although commonalities exist, the literature suggests that there also are many differences in what motivates public and nonprofit employees. Employing data from the National Administrative Studies Project III, this research examines how seven motivational aspects correlate with the choice between public and nonprofit employment. The authors find that managers who value advancement opportunities, a pension and retirement plan, and the ability to serve the public in their jobs are more likely to accept a job in the public sector, whereas managers who value family‐friendly policies and increased responsibility are more likely to accept a position in the nonprofit sector. Participation in volunteering is positively associated with nonprofit employment. The authors suggest a possible link between volunteering and the unique nonprofit motivation that is differentiated from public service motivation.     

Marching to Different Drummers? The Performance Effects of Alignment between Political and Managerial Perceptions of Performance Management

The relationship between politicians and bureaucrats is central to the administration of modern democratic societies, yet it often is neglected in studies of the performance of public organizations. In this article, the authors examine the performance effects of alignment between politicians’ and senior managers’ perceptions of one of the more pervasive public management reforms over recent decades: performance management. Evidence from a panel of English local governments supports the hypothesis that alignment of views between politicians and senior managers on performance management is associated with better organizational performance. Furthermore, this relationship is strengthened in organizations that display higher levels of role flexibility by managers and greater trust between politicians and managers.     

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.     

Strategies of Influence: How Interest Organizations React to Changes in Parliamentary Influence and Activity1

Research has shown that interest organizations seeking influence on public decision making pay increasing attention to parliamentary actors. No distinction has, however, been made between attempts to affect law-making directly and attempts to gain influence on other parliamentary activities such as agenda setting and control of bureaucracy. Drawing on data about organizational approaches to the Danish parliament, this article demonstrates that interest organizations’ influence strategies in relation to different parliamentary activities show dissimilar patterns. Strategies in regard to law-making fluctuate with the strength of parliament vis-à-vis the government, while strategies concerned with more general parliamentary activities depend more on the level of these activities and secondarily on increases in parliamentary resources. The analysis thus confirms that organizations react to changes in the political role of parliament, but takes the understanding of this a step further by emphasizing that changes in direct parliamentary influence on law-making and in more general parliamentary activities affect different aspects of organizations’ influence strategies.     

技术创新资源对技术创新绩效影响的实证研究

本文从创新资源的角度分析了我国52个国家高新区研发经费投入和人员素质水平对技术创新绩效的影响。基于2005-2007年三年的面板数据,我们发现,研发经费投入对高新区技术创新绩效具有正效应,而人员素质水平对其具有负向影响;同时研发经费投入和人员素质水平会交互影响技术创新绩效。