Leadership, culture and performance: the case of the New Zealand public sector.

Abstract

Using comparative structural equation modelling, the present study attempts to test hypothesised relationships between manifestations of leadership, culture type and effectiveness in the public sector. Two consecutive national leadership surveys were conducted to investigate organisational factors that are relevant to the pressing management issues present in the uncertain and turbulent environment of today's public sector. Measured constructs include organisational culture, climate for innovation, individual transformational leadership, team transformational leadership, and team and organisational outcomes. Support was found for the indirect and direct effects of transformational leadership on outcomes through its influence on culture and climate for innovation. Implications for leader development and for the development of productive cultures are considered.