Efficiency, Incentives, and Transformational Leadership: Understanding Collaboration Preferences in the Public Sector



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Empirical analysis 
Linear regression 
Descriptive statistics and zero order correlations (available in the 
Appendix

were calculated for the dependent, independent, and control variables of this 
286
CAMPBELL 


study. Mean values of the main variables of interest range from 3.02 
(performance-based incentives) to 3.75 (willingness to collaborate). As 
hypothesized, both transformational leadership and efficiency orientation 
intensity are positively correlated with the dependent variable. Use of 
performance-based incentives, however, is not correlated with collaboration 
preferences at a statistically significant level. 
Table 1 
shows the results of a series of ordinary least squares regressions 
predicting employee willingness to engage in inter-organizational collabor-
ation. Models 1 and 2, respectively, show coefficients for the predictors with 
ministry-level effects uncontrolled and included. Both models are homosce-
dastic. The inclusion of the fixed effects raises the average variance inflation 
factor modestly from 1.20 to 1.69, and adds an additional 2% to the adjusted 
R

of the model (

< 0.01). As can be seen in the table, coefficients and signifi-
cance levels experience only minor changes due to the inclusion of the fixed 
effects, suggesting that unobserved ministry-level heterogeneity accounts for 
little variance in the dependent variable. Demographic controls are not related 
to the dependent variable at statistically significant levels, while inter- 
organizational task interdependence, as expected, is positively related. 
The transformational leadership, efficiency orientation intensity, and 
performance-based incentives variables were mean-centered prior to model 
inclusion and generation of the interaction terms in order to improve the 
interpretability of the coefficients (Dalal & Zickar, 2012). 

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