Mind the context gap: a critical review of engagement within the public sector and an agenda for future research

Abstract

In this review paper, we critically examine the evidence base relating to engagement within the public sector given a wide range of public services have faced acute human resource challenges over recent years. Our review of 188 empirical studies reveals that much of the evidence focuses attention on individual and job level factors, such that specific public sector contextual contingencies have rarely been considered. Through identifying significant ‘context gaps’, we present a future research agenda addressing the following key areas: i) clarifying the relationship between engagement and public service motivation, ii) further contextualizing general engagement models, iii) exploring cultural, socio-political, and institutional factors in more depth, iv) encouraging a more critical perspective on engagement, v) understanding the variation in the experience of engagement across different public services/delivery models, and vi) connecting more strongly with practical concerns and initiatives within public organizations. In presenting this agenda, we highlight how engagement and HRM scholars can more strongly embed their research within a sectoral context.     

THE INFORMATION TECHNOLOGY REVOLUTION AND THE PUZZLING TRENDS IN TOBIN'S AVERAGE q*

The market value of U.S. corporations declined by 50% during 1973–74 and stagnated for the following 15 years. This abrupt decline in market valuations coincided with two technology shocks: (1) the start of the information technology revolution and (2) a sudden slowdown in productivity growth. I use general equilibrium theory to quantify the macroeconomic and asset price implications of these two shocks. The information technology revolution and the productivity slowdown make the theory consistent with the trends of key macroeconomic aggregates from the mid‐1970s to the 1990s, and can also account for most of the drop in market values.     

A nonparametric test of weak separability and consumer preferences

Two stochastic nonparametric procedures are developed to evaluate the significance of violations of weak separability. When the data have measurement error, we show that the necessary and sufficient weak separability conditions of Varian [Varian, H., 1983. Nonparametric tests of consumer behavior. Review of Economic Studies 50, 99–110] must also satisfy the Afriat inequalities. The tests detect weak separability with high probability for weakly separable data. In addition, the procedures correctly reject weak separability for both nonseparable and random utility simulated data sets. The tests also fail to reject weak separability for a monetary and consumption data set which suggests that measurement error may be the source of the observed violations.     

Corporate social responsibility and provision of trade credit

In this article, we identify and examine three different views of corporate social responsibility (CSR) and the relationship between CSR and firms’ provision of trade credit. The trust view of CSR argues that CSR and trade credit provision are related positively, because CSR, as a trust-enhancing device, complements the incomplete contract nature of trade credit. The CSR literature shows that CSR firms tend to have higher cash holdings. With this in mind, the precautionary motive view of CSR suggests that cash holdings serve as a hedge against trade credit risk, while, on the other hand, the substitution view of CSR predicts that cash hoarding discourages the provision of trade credit. Using a dataset of 20,591 firm-year observations from 1991 to 2015, we find strong evidence that supports both the trust and substitution views of CSR but not the precautionary view of CSR.     

Connected transactions and firm value: Evidence from China-affiliated companies

This paper investigates tunneling through related-party transactions (RPT) using a unique dataset of listed Chinese companies in Hong Kong. While prior findings suggest that investors do not seem to systematically discount tunneling firms, we find that firm value (Tobin's q and market-to-book value) is significantly lower for firms undertaking potentially expropriating transactions. In addition, cumulative abnormal returns (CAR) are lower for RPTs with disclosure exemptions and are negatively related to some RPT types. Our results suggest that firms tunnel using RPTs with disclosure exemptions and that disclosure requirements matter for RPTs. These RPTs could signal firms' corporate-governance quality, as investors substantially discount firms that undertake potentially expropriating transactions.     

Information but not consultation: exploring employee involvement in SMEs

Most research on employee involvement (EI) has focused on large or ‘mainstream’ organizations. By adopting those schemes which ‘appear’ to work well in larger organizations, smaller firms assume there will be enhanced employee commitment beyond formal contractual requirements. The main question in this paper is whether EI schemes designed by management will suffice under the 2004 Information and Consultation of Employees (ICE) Regulations. The paper focuses on SMEs which tend to favour informal and direct EI, and it remains unclear how these methods will be played out under the new regulatory environment. Evidence from four case studies is presented here and it suggests that the ICE Regulations impose new challenges for smaller firms given their tendency to provide information rather than consult with employees. It also appears organizational factors, workplace relations history and the way processes are implemented at enterprise level may be far more important than size itself.     

Relationship marketing: Back to basics?

Relationship marketing, however defined, has received considerable attention recently. To its advocates, relational exchange between buyer and seller represents a paradigm shift away from the traditional focus on individual transactional exchanges. Critics of relationship marketing argue that the concept is poorly defined and is merely a new way of describing what businesses have been doing for a long time.

This paper recognizes that the need to develop long‐term relationships between an organization and its customers is becoming greater. It is however questioned whether marketing educators are providing students with the abilities to take a mature approach to relationship marketing issues, in line with the changing nature of employers' business. Suggestions for introducing relationship marketing to the undergraduate syllabus are made at a number of levels, from an additional module for an introductory “principles of marketing course” to a multi‐disciplinary degree majoring in relationship marketing.     

Charitable organizations' storytelling influence on donors' emotions and intentions

The stories told by charitable organizations are typically designed to take the consumer through different emotional stages. This research probes the view that following exposure to the inciting incident or problem statement in the appeal for a particular charity, the consumer feels negative emotions. These feelings convert into anticipated positive emotions when the consumer is given the opportunity to help the person in need through a donation. Feedback that donors receive from the charitable organization will help to strengthen the emotional pay-off and enhances future donation intentions. The research utilizes an experimental design and data from 319 undergraduate students in a large U.S. university to confirm these hypotheses. Theoretical and managerial implications are then presented.