Purpose: Because of the importance of accounting information to a manager’s decision-making process, his/her working relationship with his/her supporting management accountant is used as a paradigm of a superior-subordinate working relationship. This paper aims to analyze the drivers of trust in this relationship.Design/methodology/approach: Based on responses from 446 managers, the authors tested a structural equation model for various trust drivers.Findings: The authors found that when management accounting generally has a powerful role in a company, it positively affects the manager’s perceptions of his subordinate’s trustworthiness. Although the absolute level of trust remains stable over time, the influences of the bases of the trust change significantly. Over the long run, perceived trustworthiness fully mediates other trust factors, such as the manager’s trust disposition and the organizational setting, which highlights the importance of the individual trust relationship even for strong and functional superior–subordinate relationships.Research limitations/implications: Consistent with other studies, the results contain the classic limitations of survey studies. This study investigates the drivers of trust and provides insights into the trust relationship between managers and management accountants. Future studies should verify these findings for other important work relationships.Originality/value: Trust research has typically focused only indirectly on the relevance of the trust that a superior has in his supporting subordinate. The authors show how these trust drivers intertwine and how their influences shift over time.

The COVID-19 pandemic has significantly reshaped administrative relations and put emphasis on the digital transformation of public administration that is urgently needed to support a sustainable recovery from the pandemic crisis and future sustainable development in the post-pandemic era. This paper presents a comparative study on the ways the first wave of the COVID-19 pandemic impacted general administrative authorities on the local level with respect to various aspects of their functioning and digitalization in five European countries. With a sample of 926 respondents from the Czech Republic, Germany, Poland, Romania, and Slovenia, the study shows that the pandemic-imposed changes are very similar in these countries. The results reveal that, except for Germany, the biggest problems of pandemic-related regulations are their obscurity. For all countries under study, parties to the procedures are shown to be the main driver of digitalization and not the public administration itself, generally lagging behind in this sense. Nevertheless, the pandemic has also created several potential opportunities, whereby public managers, especially in Germany, have acknowledged the importance of digitalization right after the protection of health, as confirmed by the wider use of ICT equipment, particularly in Germany and the Czech Republic. Moreover, Germany and Romania exhibit the greatest potential to accelerate digitalization. Finally, the critical factors influencing accelerated digitalization after the pandemic are also identified. The paper’s evidence-based findings could prove useful while formulating recommendations for the sustainable practices of public administrations during this and any future pandemic crisis.

This study aimed to analyse the impact of digitalisation on good governance with respect to selected local public administrations during the COVID-19 lockdown in the spring of 2020. The overriding assumption made is that agile values mediate the relationship between digitalisation and good governance on this level of public administration. Data were obtained through a web-based survey conducted between June and August 2020. The empirical analysis was facilitated by applying partial least squares structural equation modelling (PLS-SEM) on a sample of 761 public managers from five Central European countries (Czech Republic, Germany, Poland, Romania, Slovenia). The results show that digitalisation acted as an essential driver of good governance during the COVID-19 pandemic. Three out of four agile values—“employees and internal relationships”, “working public services”, and “change management”—were also shown to help make digitalisation more effective and thereby facilitate good governance. Despite some limitations (e.g., respondents’ subjective evaluations, the study only being performed during the first wave of the COVID-19 pandemic in the observed countries with different situations and consequent measures in response, and differences in the broader environment and local administration systems in the studied countries), the findings of the study are important given the lack of similar empirical studies. Public administrations should be digitalised and reformed in a way that ensures that they effectively and efficiently design, implement, measure, and continuously improve their strategies, tactics, and services, which can all be accomplished by being agile. The paper offers insights into: (1) the lessons learnt about the nature of digitalised public services/processes and agile management approaches in response to the COVID-19 pandemic and their impact on good governance; and (2) proposals for policymakers and managers in public administrations with regard to operating in extreme VUCA circumstances in any next wave of COVID-19 pandemic or in a new pandemic/public health disaster.

New public management initiatives have pushed municipal authorities to evaluate state-owned enterprises (SOEs) based on multidimensional performance reports. Little is known, however, about policymakers’ pre-decisional information search and tradeoff processes between different performance dimensions when evaluating SOE performance. We apply a mouse-cursor-tracking experiment with a master students sample and show that participants consider multiple performance dimensions but focus their attention on financial and customer performance information when evaluating SOEs for allocating a budget. We also observe a tradeoff between financial and non-financial performance information in participants’ budget allocations. Finally, we show that participants devote more effort to the performance evaluation process when municipalities’ financial resources are scarce. However, the municipalities’ financial status affects neither the attention paid to financial and non-financial performance nor the budget allocation decisions.