Innovative factors affecting performance of local government organizations in Thailand

This dissertation aimed (1) to study factors that have causal influences that affect the performance of municipalities. (2) to study the causal relationship model of innovative organizations, innovative capabilities, service innovation and performance management that influences the performance of municipalities. (3) to develop a linear structural equation model of the influence of service innovation, innovation organization, innovative capabilities and performance management that affects the performance of local government organizations in the category of municipalities in Thailand. The sample group were 320 executives of local government organizations in the category of municipalities in Thailand. Sampling was done in 2 steps: stratified and systematic sampling. This study is a quantitative study, and the research tool was a structured questionnaire and data were analyzed by percentage, mean, standard deviation, skewness, kurtosis, and confirmatory component analysis and structural equation model analysis. The findings of this study demonstrate significant direct effects of innovative capabilities, service innovation and performance management on performance of local government organizations in Thailand. Moreover, it was observed that innovative organizations and innovative capabilities also exerted indirect effects on performance of local government organizations through their influence on performance management, serving as mediator variables. Through the development of a structural equation model, it was determined that innovative capabilities had the greatest overall influence on the performance of local government organizations in the category of municipalities in Thailand, followed by performance management, service innovation and innovation organization, respectively. This research study made executives of local government organizations in category of municipalities in Thailand can be used as a guideline in determining strategies for managing their organization to be able to keep up with changes in the digital world and to ensure that the performance of the local government organization achieves the specified goals in terms of both efficiency and effectiveness.