Purpose: The study examined the relationship between
data-driven leadership and decision-making effectiveness in South African
public sector organizations, with a focus on the mediating role of
organizational data culture. It aimed to understand how leadership behavior and
a data-oriented culture influence the quality and timeliness of decisions in
government institutions.
Methodology/Design: A quantitative research
approach was adopted, employing Structural Equation Modeling (SEM) to test the
hypothesized relationships. Data were collected from 420 public sector
employees across multiple departments in South Africa. Reliability and validity
were assessed through Cronbach’s alpha and confirmatory factor analysis, while
the structural model tested the direct and indirect effects among constructs.
Findings: The results indicate that
data-driven leadership has a significant positive effect on decision-making
effectiveness (β = 0.59, p = 0.001). Organizational data culture also
positively influences decision-making effectiveness (β = 0.46, p = 0.001).
Additionally, data-driven leadership significantly mediates the relationship
between organizational data culture and decision-making effectiveness (β =
0.31, p = 0.001).
Implications: The findings highlight the
critical role of leadership and data culture in improving decision outcomes in
the public sector. Policymakers and administrators are encouraged to invest in
data literacy, analytics skills, and the cultivation of a strong data-oriented
organizational culture to enhance governance, accountability, and service
delivery.
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