Understanding the Role of Public Management and Organizational Stability in an Uncertain Environment: Evidence from Korean Public Corporations

Abstract

Theoretical discussions have emphasized the role of public management, and evidence from various contexts across the globe supports the positive link between public management and organizational outcomes. However, previous research has lacked a comprehensive approach to testing the management–performance link. Furthermore, less is known about the management–performance link in the Asian context. Using a formal model of public management, the present study examines the impacts of Moore's management strategies—managing upward, downward, and outward—on organizational performance. This study also investigates the moderating effect of procedural stability on the negative relationship between environmental uncertainty and organizational performance. Analyses of Korean public corporations partially confirmed the positive impacts of public management on the performance of Korean public corporations. Furthermore, a moderating effect of procedural stability was confirmed. Future studies are expected to comprehensively test the management–performance link.

A New Era and New Concepts in the Study of Race in Public Administration

“…The next article in this issue's line-up transitions from the focus on front-line bureaucrats toward the role of public management on sustainability and resilience under conditions of environmental uncertainty. Ryu and Kim (2022) examine the impacts of managing upward, downward, and outward on organizational performance. They further investigate the moderating effect of procedural stability on the negative relationship between environmental uncertainty and organizational performance in the context of Korean public corporations.…”

Top executives’ discretion and organizational performance: Analysis of quasi-governmental organizations in Korean government

“…We controlled organizational characteristics—procedural stability, red tape, financial publicness, organizational size and age, type of quasi-governmental organizations, and industrial type. Procedural stability refers to the level of stability of work procedures, positively correlated with organizational performance (Ryu and Kim, 2022). The variable was developed combining three KPSOS questions about whether to have the formal documents of work schedules, goals, and work descriptions.…”

Meet all changes with constancy: The dynamic adaptation process of county governments in China

“…The multiplicity, complexity, and dynamism of a public organization's task environment will influence its external networking, organizational structure and process, management strategy, innovation possibilities, output, and performance (e.g., Andrews, 2009; Andrews & Boyne, 2014; Boyne & Meier, 2009; Walker et al, 2015). Meanwhile, in a turbulent task environment, the structure and capacity of a public organization, as well as the management and buffering strategies adopted by its managers, will affect its adaptation capacity and performance (e.g., Barbera et al, 2021; Cristofoli et al, 2022; George et al, 2019; Lund & Andersen, 2022; Meier & O'Toole, 2008, 2009; O'Toole & Meier, 2010; Rho & Han, 2021; Ryu & Christensen, 2019; Ryu & Kim, 2021; van den Bekerom et al, 2016).…”

“…For public sectors, bureaucratic stability and environmental adaptability have inherent tension. The rationality, stability, and certainty of bureaucracy make up the foundation of the modern administrative system (O'Toole & Meier, 2003; Ryu & Christensen, 2019; Ryu & Kim, 2021; Terry, 2003). Even facing the shock of a turbulent task, institutional and structural elements play a fundamental role in a public organization's adaptation (Trondal, 2022).…”

“…For public sectors, bureaucratic stability and environmental adaptability have inherent tension. The rationality, stability, and certainty of bureaucracy make up the foundation of the modern administrative system (O'Toole & Meier, 2003;Ryu & Christensen, 2019;Ryu & Kim, 2021;Terry, 2003).…”