Mission(s) impossible? Configuring values in the governance of state-owned enterprises

Abstract

Purpose – The purpose of this paper is to contribute to theory of hybrid organizations, with particular regard to state-owned enterprises (SOEs) and their ability to contribute to sustaining value pluralism in the public sector. Design/methodology/approach – The paper offers a qualitative case concerning ongoing performance management reforms in the corporate governance of SOEs in Sweden, which is analyzed using theory on valuation and evaluation. Findings – It is found that the number of non-financial values is reduced with reference to categorization. Attempts are made to change the perception of the potential value conflict at hand between financial and non-financial missions by adding a number of neutralizing “meta values” such as transparency and efficiency to the performance language in use. There is a risk of mission drift as a clear hierarchization of values, prioritizing financial values, is created and sustained in “investment teams.” Processes, standards and dialogues are all dominated by an economic logic despite formal aspirations to balance the values at stake. The few remaining non-financial values are translated into economic language aiming for a commensuration of the performance of the different missions. In addition, the ambition of the public policy assignment may be further reduced by de-coupling. Originality/value – The paper suggests a novel approach to hybrid organizations in general and SOEs in particular when exploring how the values underlying complex missions are configured in “value work” performed by government officials in Swedish government offices. Such analyses of value work in the micro-practice of hybrids offer a more fine-grained understanding of organizational dilemmas that are commonly acknowledged, but more seldom explained in empirical detail.

Editorial

“…direct 'customers', the government and the broader public) (Thomasson, 2009;Alexius and Cisneros-Örnberg, 2015). The tensions and confusion over these different goals imposes a cognitive burden on boards and managers that requires reconciliation (Argento et al, 2016).…”

Managing the Complexity through New Forms of Financial Reporting: A Multiple Case Study on Italian Public Museums

“…Ultimately, the governing bodies of museums must be able to have a clear and comprehensive accounting report of the activity carried out, and the results achieved with the overall resources acquired, which is indispensable for formulating a reliable judgment on their commitment and demonstrated capacities (Alexius and Örnberg 2015). At the same time, with an effective external communication strategy, stakeholders can be encouraged to participate in future actions in which they have already expressed an interest, and in which they may be prepared to invest (Low and Cowton 2004).…”

Strategic Objectives for State‐owned Enterprises as a Means to Mitigate Political Interference: An Empirical Analysis of Two Swiss State‐owned Enterprises

“…This ambiguity has led to various studies on the governance of SOEs. These studies focus on different aspects of SOE governance, such as mixed ownership (Bruton ), regulatory and governance challenges (Koppell ; Christensen ) and internal processes, such as board composition and value configuration (Alexius and Cisneros Örnberg ; van Thiel ). Based on the insights of these strands of literature, the more practice‐oriented branch of literature known as public corporate governance evolved (Grossi et al.…”