Financial management of public services in a hybrid organisation: a learning approach in inter-organisational settings

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    This paper uses organisational learning theory to analyse the processof implementing a budget cuts policy imposed by a political hierarchy in apublic sector organisation. Data is from a field study conducted in a hospitaldistrict in Finland from 2009 to 2015. The study shows that delegatingmanagerial power to the managers of clinic groups, positive managerialcoaching, active communication among clinic managers, allowing clinicmanagers to set priorities in redesigning clinical activities, specifying thebudgetary responsibilities of clinic managers and using a specific timetable tomonitor clinical performance, are among the factors that facilitatesinter-organisational learning and change at clinic group levels. Toinstitutionalise the change at organisational level, members of the executivecommittee of the hospital district use their systemic power and managerialdiagnostics systems to monitor the implementation of managerial goals in clinicgroups regularly.
    Original languageUndefined/Unknown
    Pages (from-to)310–330
    JournalInternational Journal of Public Sector Performance Management
    Issue number4
    Publication statusPublished - 2016
    MoE publication typeA1 Journal article-refereed


    • Budget cuts
    • change management
    • financial management
    • managerial goals
    • healthcare service
    • hospitals
    • organisational learning
    • clinical performances
    • politics
    • power
    • public sector
    • inter-organisational change
    • Finland

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