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Copyright (c) 2026 Nurmal Idrus, Andi Adawiah (Author)

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When Informal Institutions Perform: Patronage, Local Culture, and Civil Servant Performance in Indonesia
Corresponding Author(s) : Nurmal Idrus
Jurnal Minds: Manajemen Ide dan Inspirasi,
Vol. 13 No. 3 (2026): December
Abstract
Indonesian bureaucratic reform presumes that merit displaces informal ties, yet local civil servants remain embedded in cultural norms and patronage networks. This study examines how local culture, patronage networks, and social embeddedness jointly shape civil servant performance. Drawing on institutional theory, we specify informal institutions as both resources and constraints on bureaucratic behavior. We surveyed 370 civil servants in four local governments in South Sulawesi Province and analyzed the data with partial least squares structural equation modeling. Local culture relates positively to performance, directly and indirectly through social embeddedness. Patronage networks show the strongest positive association with performance, and social embeddedness also predicts performance. Social embeddedness, however, weakens the patronage–performance relationship. The model explains 56.3% of the variance in performance. The findings demonstrate that informal institutions do not simply corrupt merit; they substitute for one another in enabling performance. Public managers should channel embedded relational capital into formal performance systems rather than rely on patronage-based coordination.
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- Barbalet, J. (2023). Conceptualising informal institutions: Drawing on the case of guanxi. The British Journal of Sociology, 74(1), 70–82. https://doi.org/10.1111/1468-4446.12984
- Benitez, J., Henseler, J., Castillo, A., & Schuberth, F. (2020). How to perform and report an impactful analysis using partial least squares: Guidelines for confirmatory and explanatory IS research. Information & Management, 57(2), Article 103168. https://doi.org/10.1016/j.im.2019.05.003
- Berenschot, W. (2018). Incumbent bureaucrats: Why elections undermine civil service reform in Indonesia. Public Administration and Development, 38(4), 135–143. https://doi.org/10.1002/pad.1838
- Brennecke, J., & Stoemmer, N. (2018). The network–performance relationship in knowledge-intensive contexts—A meta-analysis and cross-level comparison. Human Resource Management, 57(1), 11–36. https://doi.org/10.1002/hrm.21823
- Colonnelli, E., Prem, M., & Teso, E. (2020). Patronage and selection in public sector organizations. American Economic Review, 110(10), 3071–3099. https://doi.org/10.1257/aer.20181491
- Feng, B., Lu, B., Wang, Z., & Yu, D. (2025). Patronage networks and multitasking incentives: Evidence from local officials’ responses to public crises in China’s centralized bureaucracy. World Development, 190, Article 106953. https://doi.org/10.1016/j.worlddev.2025.106953
- Fenizia, A. (2022). Managers and productivity in the public sector. Econometrica, 90(3), 1063–1084. https://doi.org/10.3982/ecta19244
- Franke, G., & Sarstedt, M. (2019). Heuristics versus statistics in discriminant validity testing: A comparison of four procedures. Internet Research, 29(3), 430–447. https://doi.org/10.1108/intr-12-2017-0515
- Frazier, M. L., Fainshmidt, S., Klinger, R. L., Pezeshkan, A., & Vracheva, V. (2017). Psychological safety: A meta-analytic review and extension. Personnel Psychology, 70(1), 113–165. https://doi.org/10.1111/peps.12183
- Hair, J. F., Howard, M. C., & Nitzl, C. (2020). Assessing measurement model quality in PLS-SEM using confirmatory composite analysis. Journal of Business Research, 109, 101–110. https://doi.org/10.1016/j.jbusres.2019.11.069
- Hair, J. F., Risher, J. J., Sarstedt, M., & Ringle, C. M. (2019). When to use and how to report the results of PLS-SEM. European Business Review, 31(1), 2–24. https://doi.org/10.1108/ebr-11-2018-0203
- Hartnell, C. A., Ou, A. Y., Kinicki, A. J., Choi, D., & Karam, E. P. (2019). A meta-analytic test of organizational culture’s association with elements of an organization’s system and its relative predictive validity on organizational outcomes. Journal of Applied Psychology, 104(6), 832–850. https://doi.org/10.1037/apl0000380
- Hu, Q., Medina, A., Siciliano, M. D., & Wang, W. (2023). Network structures and network effects across management and policy contexts: A systematic review. Public Administration, 101(3), 953–972. https://doi.org/10.1111/padm.12835
- Jiang, J. (2018). Making bureaucracy work: Patronage networks, performance incentives, and economic development in China. American Journal of Political Science, 62(4), 982–999. https://doi.org/10.1111/ajps.12394
- Jordan, P. J., & Troth, A. C. (2020). Common method bias in applied settings: The dilemma of researching in organizations. Australian Journal of Management, 45(1), 3–14. https://doi.org/10.1177/0312896219871976
- Kaufmann, W., Hooghiemstra, R., & Feeney, M. K. (2018). Formal institutions, informal institutions, and red tape: A comparative study. Public Administration, 96(2), 386–403. https://doi.org/10.1111/padm.12397
- Kock, N., & Hadaya, P. (2018). Minimum sample size estimation in PLS-SEM: The inverse square root and gamma-exponential methods. Information Systems Journal, 28(1), 227–261. https://doi.org/10.1111/isj.12131
- Kuipers, N. (2026). Bureaucratic selection and Weberian values: Lab-in-the-field evidence from Indonesia. The Journal of Politics, 88(1), 234–249. https://doi.org/10.1086/734258
- Meyer-Sahling, J.-H., Mikkelsen, K. S., & Schuster, C. (2018). Civil service management and corruption: What we know and what we don’t. Public Administration, 96(2), 276–285. https://doi.org/10.1111/padm.12404
- Meyer-Sahling, J.-H., Mikkelsen, K. S., & Schuster, C. (2019). The causal effect of public service motivation on ethical behavior in the public sector: Evidence from a large-scale survey experiment. Journal of Public Administration Research and Theory, 29(3), 445–459. https://doi.org/10.1093/jopart/muy071
- Meyer-Sahling, J.-H., Mikkelsen, K. S., & Schuster, C. (2021). Merit recruitment, tenure protections and public service motivation: Evidence from a conjoint experiment with 7,300 public servants in Latin America, Africa and Eastern Europe. Public Administration, 99(4), 740–757. https://doi.org/10.1111/padm.12708
- Oliveros, V., & Schuster, C. (2018). Merit, tenure, and bureaucratic behavior: Evidence from a conjoint experiment in the Dominican Republic. Comparative Political Studies, 51(6), 759–792. https://doi.org/10.1177/0010414017710268
- Pepinsky, T. B., Pierskalla, J. H., & Sacks, A. (2017). Bureaucracy and service delivery. Annual Review of Political Science, 20(1), 249–268. https://doi.org/10.1146/annurev-polisci-051215-022705
- Podsakoff, P. M., Podsakoff, N. P., Williams, L. J., Huang, C., & Yang, J. (2024). Common method bias: It’s bad, it’s complex, it’s widespread, and it’s not easy to fix. Annual Review of Organizational Psychology and Organizational Behavior, 11(1), 17–61. https://doi.org/10.1146/annurev-orgpsych-110721-040030
- Rasul, I., & Rogger, D. (2018). Management of bureaucrats and public service delivery: Evidence from the Nigerian civil service. The Economic Journal, 128(608), 413–446. https://doi.org/10.1111/ecoj.12418
- Rönkkö, M., & Cho, E. (2022). An updated guideline for assessing discriminant validity. Organizational Research Methods, 25(1), 6–47. https://doi.org/10.1177/1094428120968614
- Schleicher, D. J., Baumann, H. M., Sullivan, D. W., Levy, P. E., Hargrove, D. C., & Barros-Rivera, B. A. (2018). Putting the system into performance management systems: A review and agenda for performance management research. Journal of Management, 44(6), 2209–2245. https://doi.org/10.1177/0149206318755303
- Schuster, C. (2017). Legal reform need not come first: Merit-based civil service management in law and practice. Public Administration, 95(3), 571–588. https://doi.org/10.1111/padm.12334
- Shmueli, G., Sarstedt, M., Hair, J. F., Cheah, J.-H., Ting, H., Vaithilingam, S., & Ringle, C. M. (2019). Predictive model assessment in PLS-SEM: Guidelines for using PLSpredict. European Journal of Marketing, 53(11), 2322–2347. https://doi.org/10.1108/ejm-02-2019-0189
- Suebvises, P. (2018). Social capital, citizen participation in public administration, and public sector performance in Thailand. World Development, 109, 236–248. https://doi.org/10.1016/j.worlddev.2018.05.007
References
Barbalet, J. (2023). Conceptualising informal institutions: Drawing on the case of guanxi. The British Journal of Sociology, 74(1), 70–82. https://doi.org/10.1111/1468-4446.12984
Benitez, J., Henseler, J., Castillo, A., & Schuberth, F. (2020). How to perform and report an impactful analysis using partial least squares: Guidelines for confirmatory and explanatory IS research. Information & Management, 57(2), Article 103168. https://doi.org/10.1016/j.im.2019.05.003
Berenschot, W. (2018). Incumbent bureaucrats: Why elections undermine civil service reform in Indonesia. Public Administration and Development, 38(4), 135–143. https://doi.org/10.1002/pad.1838
Brennecke, J., & Stoemmer, N. (2018). The network–performance relationship in knowledge-intensive contexts—A meta-analysis and cross-level comparison. Human Resource Management, 57(1), 11–36. https://doi.org/10.1002/hrm.21823
Colonnelli, E., Prem, M., & Teso, E. (2020). Patronage and selection in public sector organizations. American Economic Review, 110(10), 3071–3099. https://doi.org/10.1257/aer.20181491
Feng, B., Lu, B., Wang, Z., & Yu, D. (2025). Patronage networks and multitasking incentives: Evidence from local officials’ responses to public crises in China’s centralized bureaucracy. World Development, 190, Article 106953. https://doi.org/10.1016/j.worlddev.2025.106953
Fenizia, A. (2022). Managers and productivity in the public sector. Econometrica, 90(3), 1063–1084. https://doi.org/10.3982/ecta19244
Franke, G., & Sarstedt, M. (2019). Heuristics versus statistics in discriminant validity testing: A comparison of four procedures. Internet Research, 29(3), 430–447. https://doi.org/10.1108/intr-12-2017-0515
Frazier, M. L., Fainshmidt, S., Klinger, R. L., Pezeshkan, A., & Vracheva, V. (2017). Psychological safety: A meta-analytic review and extension. Personnel Psychology, 70(1), 113–165. https://doi.org/10.1111/peps.12183
Hair, J. F., Howard, M. C., & Nitzl, C. (2020). Assessing measurement model quality in PLS-SEM using confirmatory composite analysis. Journal of Business Research, 109, 101–110. https://doi.org/10.1016/j.jbusres.2019.11.069
Hair, J. F., Risher, J. J., Sarstedt, M., & Ringle, C. M. (2019). When to use and how to report the results of PLS-SEM. European Business Review, 31(1), 2–24. https://doi.org/10.1108/ebr-11-2018-0203
Hartnell, C. A., Ou, A. Y., Kinicki, A. J., Choi, D., & Karam, E. P. (2019). A meta-analytic test of organizational culture’s association with elements of an organization’s system and its relative predictive validity on organizational outcomes. Journal of Applied Psychology, 104(6), 832–850. https://doi.org/10.1037/apl0000380
Hu, Q., Medina, A., Siciliano, M. D., & Wang, W. (2023). Network structures and network effects across management and policy contexts: A systematic review. Public Administration, 101(3), 953–972. https://doi.org/10.1111/padm.12835
Jiang, J. (2018). Making bureaucracy work: Patronage networks, performance incentives, and economic development in China. American Journal of Political Science, 62(4), 982–999. https://doi.org/10.1111/ajps.12394
Jordan, P. J., & Troth, A. C. (2020). Common method bias in applied settings: The dilemma of researching in organizations. Australian Journal of Management, 45(1), 3–14. https://doi.org/10.1177/0312896219871976
Kaufmann, W., Hooghiemstra, R., & Feeney, M. K. (2018). Formal institutions, informal institutions, and red tape: A comparative study. Public Administration, 96(2), 386–403. https://doi.org/10.1111/padm.12397
Kock, N., & Hadaya, P. (2018). Minimum sample size estimation in PLS-SEM: The inverse square root and gamma-exponential methods. Information Systems Journal, 28(1), 227–261. https://doi.org/10.1111/isj.12131
Kuipers, N. (2026). Bureaucratic selection and Weberian values: Lab-in-the-field evidence from Indonesia. The Journal of Politics, 88(1), 234–249. https://doi.org/10.1086/734258
Meyer-Sahling, J.-H., Mikkelsen, K. S., & Schuster, C. (2018). Civil service management and corruption: What we know and what we don’t. Public Administration, 96(2), 276–285. https://doi.org/10.1111/padm.12404
Meyer-Sahling, J.-H., Mikkelsen, K. S., & Schuster, C. (2019). The causal effect of public service motivation on ethical behavior in the public sector: Evidence from a large-scale survey experiment. Journal of Public Administration Research and Theory, 29(3), 445–459. https://doi.org/10.1093/jopart/muy071
Meyer-Sahling, J.-H., Mikkelsen, K. S., & Schuster, C. (2021). Merit recruitment, tenure protections and public service motivation: Evidence from a conjoint experiment with 7,300 public servants in Latin America, Africa and Eastern Europe. Public Administration, 99(4), 740–757. https://doi.org/10.1111/padm.12708
Oliveros, V., & Schuster, C. (2018). Merit, tenure, and bureaucratic behavior: Evidence from a conjoint experiment in the Dominican Republic. Comparative Political Studies, 51(6), 759–792. https://doi.org/10.1177/0010414017710268
Pepinsky, T. B., Pierskalla, J. H., & Sacks, A. (2017). Bureaucracy and service delivery. Annual Review of Political Science, 20(1), 249–268. https://doi.org/10.1146/annurev-polisci-051215-022705
Podsakoff, P. M., Podsakoff, N. P., Williams, L. J., Huang, C., & Yang, J. (2024). Common method bias: It’s bad, it’s complex, it’s widespread, and it’s not easy to fix. Annual Review of Organizational Psychology and Organizational Behavior, 11(1), 17–61. https://doi.org/10.1146/annurev-orgpsych-110721-040030
Rasul, I., & Rogger, D. (2018). Management of bureaucrats and public service delivery: Evidence from the Nigerian civil service. The Economic Journal, 128(608), 413–446. https://doi.org/10.1111/ecoj.12418
Rönkkö, M., & Cho, E. (2022). An updated guideline for assessing discriminant validity. Organizational Research Methods, 25(1), 6–47. https://doi.org/10.1177/1094428120968614
Schleicher, D. J., Baumann, H. M., Sullivan, D. W., Levy, P. E., Hargrove, D. C., & Barros-Rivera, B. A. (2018). Putting the system into performance management systems: A review and agenda for performance management research. Journal of Management, 44(6), 2209–2245. https://doi.org/10.1177/0149206318755303
Schuster, C. (2017). Legal reform need not come first: Merit-based civil service management in law and practice. Public Administration, 95(3), 571–588. https://doi.org/10.1111/padm.12334
Shmueli, G., Sarstedt, M., Hair, J. F., Cheah, J.-H., Ting, H., Vaithilingam, S., & Ringle, C. M. (2019). Predictive model assessment in PLS-SEM: Guidelines for using PLSpredict. European Journal of Marketing, 53(11), 2322–2347. https://doi.org/10.1108/ejm-02-2019-0189
Suebvises, P. (2018). Social capital, citizen participation in public administration, and public sector performance in Thailand. World Development, 109, 236–248. https://doi.org/10.1016/j.worlddev.2018.05.007