Assessment of the internal state of the SA public sector (local government) to implement corporate entrepreneurship

Nkhumishe, Mmapoulo Lindah
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The 21st century is characterised by fast-paced changes because of global competition, innovation and development. However, changes are also enhanced by stronger demands made to organisations and the public sector by labour and society at large. For organisations to remain relevant and sustainable, they have to move beyond business as usual and incorporate into their strategies an element of entrepreneurship, something that was previously only represented by emerging businesses. The public sector is not immune to these changes and, therefore, is also expected to evolve from its previous ‘old systems’ orientation and better serve the needs of citizens. Many organisations are starting to implement corporate entrepreneurship, a management approach that incorporates the mobility, innovation and development thinking of an entrepreneur into the management structures that were common in large organisations and to some extent the public sector. Corporate entrepreneurship has proven to improve organisational and financial performance of organisations, thereby creating competitive advantage for those who implement it. The purpose of this study is to conduct a descriptive research that will assess whether the internal factors such as organisational structure, culture and rewards enhance or inhibit corporate entrepreneurship in municipalities and their influence on service delivery. This study is significant in that previous research studies concentrated on the private sector and not much research was conducted in the public sector. The study tests the propositions and hypotheses linked to the following constructs: organisational structure, organisational culture, rewards and entrepreneurial orientation. Given that an assessment was envisaged as an end product, the research was conducted from a positivist approach and therefore the quantitative research methodology was employed. The sample population comprised municipal managers and the sampling frame was middle managers. The purposive fit sampling technique was utilised as this group of managers serve as a link between top management and lower level employees. The research instrument that was used is the questionnaire survey which was adapted from Morris and Covin (1989), and Kuratko and Hornsby (2013). The data was analysed through the use of multivariate regression analysis and correlation techniques. The results of the study indicate that the concept of corporate entrepreneurship is present and can be applied in the local government as it is the norm in the private sector.
Thesis (M.M. (Entrepreneurship and New Venture Creation))--University of the Witwatersrand, Faculty of Commerce, Law and Management, Graduate School of Business Administration, 2015.