Tuesday, 28 November 2023 at 16:00-17:30 MS Teams

A presentation by Istemi Demirag (Adjunct Professor at Tallinn University of Technology and an Emeritus Professor at Keele University, United Kingdom).

Adapting Callon’s four moments of translation, this paper investigates the management of performance measure changes in public private hybrid organisational contracts (Private Finance Initiative UK contract). It also maps the contract negotiation phase to understand mechanism that actors in hybrid organisational relationship uses in practice to manage change. The findings indicate that in contrast to extant hybrid management control literature that showed the fundamental role of trust in managing hybrid relations; instead hybrid organisational actors manage performance measures changes in PFI contract through relational mechanism of reciprocity for long-term sustainable relationship because as organisational agents the organisational objectives (profit making and cost savings) mitigate their ability to prioritise trust based on good working relationship. The findings have important implications for the designers of PFI contracts: On the one hand, designing specific contracts can provide clear guidelines regarding expected performance. On the other hand, strict contracts hinder shifting boundaries and does not allow organisations to achieve the benefit that can be availed through technological innovations. We conclude that hybridity influence reciprocity due to the existence of long-term contracts between hybrid organisational parties.

Keywords: hybrids, hybrid organization relations, public and private organisations, PFI, trust, reciprocity

Istemi Demirag is an Adjunct Professor of Accounting at Tallinn University of Technology in Estonia and an Emeritus Professor at Keele University, United Kingdom. His research and teaching focus on the behavioural and ethical issues of control, accountability, and sustainability in Hybrid organisations, such as Public-Private Partnerships (PPPs). Previously he worked as a Professor of Accounting at Keele University Management School and helped to develop the School’s post-graduate research and teaching programmes. Before joining Keele, he worked as a Professor in Accounting at Hull University and Queen’s University Belfast, Management School and has served in several senior roles, such as head of accounting in several universities with demonstrable achievements, performance, and results. He has published over 100 outputs, of which more than 50 per cent have appeared in the top ABS  4*/3*, and ABDC A*/A journals on the topics of Innovation, Governance, Accountability and Sustainability that have been cited widely by academics, governments, policymakers/regulators such as United Nations and UK Treasury and World Bank. He has, with others, raised and been successful in raising over €1.5m in research funds including EU Horizon, Erasmus, and ESRC/SERC and from professional accounting firms such as CIMA. His research has had an impact on changes in accountability, good governance, performance management, and implementation of public policy in Public Private Partnerships. More recently he has been advising and contributing to the United Nations Economic Commission for Europe (UNECE) in developing guidelines for PPPs in extraordinary circumstances.  He currently serves on the Editorial Review Boards of the Journal of Accounting, Auditing and Accountability (AAAJ) and the Journal of Budgeting, Accounting and Financial Management. He is also an ad hoc reviewer of several leading management and accounting journals.

The seminar is in English. Further information: pia.riips@taltech.ee.