Organizational Capital: A Resource for Changing and Performing in Public Administrations

Abstract

The aim of this study was to deepen our knowledge about the role played by organizational capital (OC) among public administration (PA) agencies. A questionnaire was administered to a gender-balanced convenience sample of 270 workers of Italian PAs. First, confirmatory factor analysis was performed in order to examine the measurement model. Second, a SEM model was performed, confirming that OC was both directly and indirectly positively related to performance, through the mediation of innovation. OC was also positively related to innovation through the mediation of clarity about change. Overall, the results supported the hypothesized model, providing initial evidence on the pivotal role OC plays, and especially for PA agencies, on organizational innovation and performance. The limits and practical implications of these results are discussed.