The Entrepreneurial Public Servant: Unlocking Employee Potential Through Recognition and Inclusion

Abstract

Can public sector employees act as entrepreneurs and help solve some of the world’s most pressing problems? Amid crises such as COVID-19, rising inflation, and climate disasters, governments worldwide are facing credibility and legitimacy crises, and the need for innovation and entrepreneurship in the public sector has never been more critical. To understand how to make public servants more entrepreneurial, this study explores the relationship between human resource management (HRM) practices, person-environment fit theory, and attitudes toward public sector entrepreneurship. Based on data from the 2019 Australian Public Service census survey ( n = 92,128), this study finds the practices of promoting employee recognition and inclusion exhibit the strongest effects on entrepreneurial attitudes of public servants, via person-job and person-organization fit respectively. However, practices such as performance appraisal and trainings show irrelevant effects. Overall, this article suggests that public managers should instill a culture of inclusion, innovation, and participation within their organizations to unleash the entrepreneurial public servant, while they need to rethink their performance appraisal systems to serve better the purpose of improving employees fit with their tasks.