Public Value Creation in Education: An Integrated Framework of Policy Capacity, Algorithmic Management, and Governance Adaptability

Abstract

Purpose: This study examines the impact of Education Policy Implementation Capacity and Algorithmic Performance Management on Public Value Creation in Education. Specifically, it investigates how education policy implementation capacity and algorithm-driven performance systems contribute to value creation in educational institutions through the mediating roles of Managerial Sensemaking of Performance Information and Adaptive Governance Mechanisms. The study aims to provide a comprehensive understanding of how institutional capability, technological systems, managerial cognition, and governance adaptability collectively influence public value creation in education.

Method: A quantitative, cross-sectional research design was employed. Data were collected from 185 principals of government schools located in major cities of South Punjab, Pakistan, using structured questionnaires based on adopted scales from prior studies. The collected data were analyzed using Partial Least Squares Structural Equation Modeling through SmartPLS. Measurement and structural models were assessed using reliability, validity, path coefficients, and mediation analysis. Common method bias was also examined and found not to be a significant concern.

Findings: The findings revealed that Education Policy Implementation Capacity and Algorithmic Performance Management positively and significantly influence Public Value Creation in Education. Furthermore, Managerial Sensemaking of Performance Information and Adaptive Governance Mechanisms significantly mediated these relationships. All proposed hypotheses were supported.

Originality/Implications: This study extends public value literature by integrating organizational capability, algorithmic management, managerial cognition, and adaptive governance into a unified framework, offering valuable theoretical and practical insights for improving educational governance and public value creation.

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