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Resources, Capabilities, and Routines in Public Organization

Author

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  • Klein, Peter G.

    (University of Missouri)

  • Mahoney, Joseph T.

    (University of Illinois, Urbana-Champaign)

  • McGahan, Anita M.

    (University of Toronto)

  • Pitelis, Christos N.

    (University of Cambridge)

Abstract

States, state agencies, multilateral agencies, and other non-market actors are relatively under-studied in the strategic entrepreneurship literature. While important contributions examining public decision makers have been made within the agency-theoretic and transaction-cost traditions, there is little research that builds on resource-based, dynamic capabilities, and behavioral approaches to organizations. Yet public organizations can be usefully characterized as stocks of physical, organizational, and human resources; they interact with other organizations in pursuing a type of competitive advantage; they can possess excess capacity, and may grow and diversify in part according to Penrosean (dynamic) capabilities and behavioral logic. Public organizations may be managed as stewards of resources, capabilities, and routines. This paper shows how resource-based, (dynamic) capabilities, and behavioral approaches shed light on the nature and governance of public organizations and suggests a research agenda for public entrepreneurship that reflects insights gained from applying strategic management theory to public organization.

Suggested Citation

  • Klein, Peter G. & Mahoney, Joseph T. & McGahan, Anita M. & Pitelis, Christos N., 2011. "Resources, Capabilities, and Routines in Public Organization," Working Papers 11-0101, University of Illinois at Urbana-Champaign, College of Business.
    • Handle: RePEc:ecl:illbus:11-0101
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    File URL: http://www.business.illinois.edu/Working_Papers/papers/11-0101.pdf
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    References listed on IDEAS

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    7. John M. de Figueiredo & James J. Kim, 2004. "When do firms hire lobbyists? The organization of lobbying at the Federal Communications Commission," Industrial and Corporate Change, Oxford University Press and the Associazione ICC, vol. 13(6), pages 883-900, December.
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    Cited by:

    1. Simon Porcher, 2019. "Does Contracting for the Provision of Public Services Decrease Prices? Evidence from French Water Public Services," Working Papers hal-02145863, HAL.
    2. Frączkiewicz-Wronka Aldona & Szymaniec Karolina, 2012. "Resource based view and resource dependence theory in decision making process of public organisation - research findings," Management, Sciendo, vol. 16(2), pages 16-29, December.
    3. Szymaniec-Mlicka Karolina, 2014. "Resource-based view in strategic management of public organizations – a review of the literature," Management, Sciendo, vol. 18(2), pages 19-30, December.

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