Leading public service organizations: how to obtain high employee self-efficacy and organizational performance

Christian Bøtcher Jacobsen and Lotte Bøgh Andersen

Public Management Review, 2017, vol. 19, issue 2, 253-273

Abstract: Concerns are sometimes raised that transactional leadership harms public organizations’ performance because demands thwart employees’ self-efficacy. However, the opposite may be argued – conditional rewards strengthen feelings of competence because they provide positive feedback on performance. We study ninety-two high school principals’ reported use of contingent rewards and sanctions and self-efficacy among their 1,932 teachers. The results indicate that contingent rewards strengthen self-efficacy, and that sanctions are not negatively related with self-efficacy or performance. Furthermore, the teachers’ self-efficacy can be linked positively to organizational performance. This suggests that rewards can be an important tool for managers in the public sector.

Date: 2017
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DOI: 10.1080/14719037.2016.1153705

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