The Relationship between the Rational Management of Resources and

Performance: Examining the Case of the Government Sector in the

Al-Jouf Region

HOUCINE BENLARIA

College of Business

Jouf University

SAUDI ARABIA

ADEL S. ALANAZI

Jouf University

SAUDI ARABIA

Abstract: - The study aimed to identify the relationship between rational resource management and the

performance of the government sector in the Al-Jouf region. It is divided into 5 dimensions: strategy,

discipline, justice, transparency and accountability. The second dimension (the dependent variable) represents

performance, which consists of three dimensions: the financial dimension, the customer dimension, and the

learning and growth dimension. A questionnaire was distributed to a sample of 245 public sector employees of

the Al-Jouf region. The study sample was comprehensive, non-probabilistic and intentional. It was analyzed

using the Smart PLS program. The results showed a positive relationship between the dimensions of the

rational management of resources) and performance in the government sector institutions in the Al-Jouf region.

Key-Words: - rational management of resources, performance, Al-Jouf region.

Received: July 13, 2022. Revised: January 19, 2023. Accepted: February 11, 2023. Published: March 10, 2023.

1 Introduction

Since its inception, governance and the concept of

rational management of resources have attracted the

attention of researchers and scholars, leading to

various discussions regarding its implications, and

consolidating the concept, [1]. Many theories had

led to governance and its repercussions. These

include the Agency Theory, which discussed the

conflict between owners and executives of joint

stock companies and its implications, [2], the

Supervisory Management Theory, which discussed

the performance of executives in maximizing the

wealth of shareholders and its impact on them, [3],

and the Stakeholder Theory, which is based on the

assumption that institutions seek to reach a balance

of interests between all relevant parties involved in

its activity so that each of them achieves the desired

satisfaction, [4].

Saudi Arabia’s public sector will remain the

primary force of various sectors. It can be a

financial provider of enhanced non-oil revenues and

a hub for activities associated with those sectors.

To succeed, these national institutions and

sectors must apply the standards of rational resource

management, starting with legal entity,

administrative organization, filling positions with

competencies, applying transparency, disclosure,

participation, accountability, enhancing integrity

and other principles of governance and rational

management of resources, [5]. Indeed, many studies

demonstrated the importance of enhancing the role

of these sectors at the level of providing services

and lucrative returns, [6].

Public sector governance can be defined as all

the regulations, legislation, policies, organizational

structures, manuals, procedures and controls that

govern work in public institutions, [7]. They help

achieve its goals through professional and ethical

work mechanisms, based on integrity and

transparency, and are subject to follow-up, control

and evaluation mechanisms. They provide

accountability tools to ensure efficient and effective

performance and provide fair government services,

[8]. The Kingdom of Saudi Arabia is going through

a period of economic and administrative

transformation, aimed at achieving sustainable

development goals and creating a diversified

knowledge-based economy in accordance with the

Kingdom's Vision 2030, [9]. The Vision aims to

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enhance the application of accounting principles and

accountability in an effort to optimize the use of

resources and achieve advanced levels of economic

diversification. Accordingly, governance and

rational resource management are one of the

foundations of this transformation, and the most

important tools that contribute to reaching the goals

of the State’s strategic plans, [10], [11].

The objectives of the Kingdom’s Vision 2030

and the Transformation Program 2020 represent an

important step towards the transition to a

knowledge-based economy and the transformation

of the public sector into efficient and effective

institutional work. Despite the efforts, the level of

application of the Kingdom’s principles, concepts

and elements of governance remains less than

expected.

Al-Jouf is one of the Kingdom’s regions

characterized by a diversity of economic resources,

distinguished infrastructure and geographical

location. This confirms what this region can achieve

from its economic launch in line with the objectives

set out in the Kingdom's Vision 2030. Through this

article, we seek to identify the relationship between

the rational management of resources and

performance in the public sector in the Al-Jouf

region. We also seek to provide a mechanism for

assessing the performance of government

institutions and determine the extent to which these

institutions meet the rational resources management

requirements.

The purpose of this study is to explore the

relationship between performance in government

sectors and rational management of resources.

Therefore, information related to educational

institutes in the Al-Jouf region is presented. The

rational resource management approach by the

institution’s authorities is highlighted in the existing

studies. This research will address the relationship

between the factors that are associated with the

rational management of resources and their effect on

the performance of government institutions in the

Al-Jouf region. This research addresses the

literature gap of this research and will explore the

relationship between rational resource management

and the performance of public sectors.

2 Literature Review

Rational management provides a strategic

management of resources and improves the

functional assessment of the public sector. It

enhances the management of financial resources and

the growth of public sector institutions. According

to El-Tahan et al. (2021) [12], rational management

is essential to improve the service techniques and

the performance of education sector in the Al-Jouf

region. Strategic management and staff training in

educational organizations enhance the growth of

public sectors. Moreover, human resource

management in public administration operations

improves the financial growth of public institutions.

According to Pribadi (2021) [13], rational

management and bureaucratic reforms at the public

institution improve citizen satisfaction and public

service. Therefore, human resources in the Al-Jouf

public sectors are aimed at strengthening resource

management because it helps the institutions to

improve practical actions, such as providing justice

and accountability. Growing social and financial

pressures lead to pressure on public sector

organizations to manage the resource efficiently,

[14]. Hence, strategic management of discipline and

accountability improve the resource management of

Al-Jouf’s public institution.

Rational planning is necessary to improve the

financial position and growth of the institutions.

Studies conducted by different researchers

highlighted that there exists a positive relationship

between a rational management approach and

performance in the public sector, [15]. It ensures

strategic discipline at government institutions

because managers facilitate planning and improve

decision-making factors. The political approach

associated with rational management ensures justice

and accountability in the public sector. According to

Mujalli (2020) [16], internal audit management and

accountability in government departments improve

the educational system’s performance in Saudi

Arabia. Therefore, the role of rational resource

management is essential to improve the performance

of Al-Jouf’s government sector. Moreover, the

governance role in Saudi Arabia’s secondary

schools helps to improve the rational management

of resources and raise the quality of education, [17].

It also includes assessing the intellectual abilities of

people to improve the strategic disciple.

This study aimed to explore the relationship

between the rational management of resources and

its association with the performance of government

sectors. The study’s conceptual framework is based

on the selection of dependent and independent

variables. The dependent variable includes the

rational management dimension such as discipline,

justice, strategy, transparency, and accountability,

whereas the independent variable is the performance

of Al-Jouf’s government institutions. The

performance of educational institutes, financial

dimension, and growth is associated with the

independent variable of the study. This study differs

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from previous studies in that it focuses on

government-sector institutions in the Al-Jouf region,

and the proposed framework includes a set of

principles for rational resource management and its

relationship to performance. This is in line with

Saudi Arabia's plans and visions of strategic

confrontation.

3 Research Methodology

The present study relied on the descriptive

analytical approach to achieve the desired goals and

answer the research problem. This design aided in

describing the sample characteristics and study

variables, which are the rational management of

resources as an independent variable and

performance as a dependent variable. The analytical

approach was used to determine the relationship

between the dimensions of rational management of

resources to the performance of public sector

institutions in the Al-Jouf region.

3.1 Study Population and Sample

The study population consists of public institutions

in the Al-Jouf region. For the study sample, a

number of these institutions were selected. The unit

analysis included 245 employees from these

institutions who have administrative assignments.

3.2 Unit of Analysis

The unit of analysis included employees who have

administrative assignments in public sector

institutions at various administrative levels in the

Al-Jouf region in the Kingdom of Saudi Arabia. The

unit numbered 245 individuals, who were selected

because they were the most suitable to answer the

questions set in the study tool.

3.3 Data Collection Tool

This study mainly relied on designing an electronic

questionnaire as a central tool for the study. The

first page introduced the sample members and the

objectives of the study. The first part was also

devoted to filling out the respondents’ demographic

data, which are as follows:

Gender, in two nominal categories.

Age, in three quantitative categories.

Academic qualification, in four ordinal categories.

Number of employees, in four ordinal categories.

Experience gained, in four quantitative categories.

Part Two: Statements related to the subject of the

rational management of resources. This part

includes a set of questions to identify the variables

of rational management in public sector institutions

in the Al-Jouf region, which are placed in four

dimensions (strategic, discipline, justice and

transparency). They are measured through

statements for each dimension on a scale from 1 to

Part Three: Statements related to performance

indicators. This axis includes a set of questions to

identify the performance of public sector institutions

in Al-Jouf, which are placed in three dimensions

(financial, customer and learning and growth)

measured through phrases for each dimension on a

scale from 1 to 5.

3.4 Data Analysis

The data was processed and analyzed using the

SMART PLS program, and several statistical

methods were used in this research, including:

Descriptive statistical methods, which include, the

calculation of arithmetic means, the standard

deviations of the study variables, and the

coefficients of the bilinear correlation between the

study variables, to give preliminary results about

them.

To measure the relationship between each variable

and the indicators used to measure it, a set of

Confirmatory Factor Analysis (CFA) equations was

used.

The Structural Model method, based on the

Maximum Likelihood Estimation, was used in the

research relying on the Analysis of Moment

Structures tool. Then, the two-step structural

equation method (SEM) was used, where the

measurement model was estimated, followed by the

structural model. Finally, the research hypotheses

were tested, [18].

3.5 Study Model and Hypotheses

To reach the main objective of this research, the

following theoretical and applied framework, shown

in Figure 1 and Table 2, will be followed. Figure (1)

shows the study model, illustrating the set of

variables that make up the present study. It gives a

preliminary perception of the effect among

variables, which will be expressed in quantitative

form. Based on previous studies, and the opinions of

researchers about the relationship between the

rational management of resources with performance

in the government sector, the study adopted the

model that shows the following variables in Table

(1). The researchers also developed a set of

hypotheses based on the research problem and its

various components in order to know the effect of

rational resources management on the performance

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of public sector institutions in the Al-Jouf region in

Saudi Arabia. These are as follows:

Main hypothesis: There is a positive statistically

significant impact at the significance level (α≤0.05)

of the resource governance variable on the

performance of government sector institutions in the

Al-Jouf region.

To verify the role of each dimension of rational

resources management on the performance of

government sector institutions in the Al-Jouf region,

the main hypothesis was divided into five sub-

hypotheses as follows:

Table 1. Study variables

Measurement method

Hypothesis

Main variables

Measuring the rational resources

management variable based on the

principles of governance in the public

sector, in five dimensions that were

measured through 5 statements for each

dimension on a scale from 1 to 5.

There is a positive role

for rational resources

management in its

dimensions in achieving

good performance for

public sector institutions

with its three dimensions

(the financial dimension,

the customer dimension,

and the learning

dimension) in the Al-

Jouf region.

Independent variable:

rational resources

management (strategic

dimension, discipline

dimension, justice

dimension, transparency

dimension and

accountability dimension).

Performance in the public sector is

measured based on the dimensions of the

balanced scorecard, through a set of

questions for each dimension, which are

placed in three dimensions (the financial

dimension, the customer dimension, and

the learning and growth dimension). It was

measured through 4 statements for each

dimension on a scale of 1 to 5.

Dependent variable:

performance (financial

dimension, customer

dimension, learning and

growth dimension).

There is a positive and statistically significant effect

at the level of significance (α≤0.05) for the strategic

dimension on the performance of government sector

institutions in the Al-Jouf region.

The researchers also developed a set of

hypotheses based on the research problem and its

various components in order to know the effect of

rational resources management on the performance

of public sector institutions in the Al-Jouf region in

Saudi Arabia. These are as follows:

Main hypothesis: There is a positive statistically

significant impact at the significance level (α≤0.05)

of the resource governance variable on the

performance of government sector institutions in the

Al-Jouf region.

To verify the role of each dimension of rational

resources management on the performance of

government sector institutions in the Al-Jouf region,

the main hypothesis was divided into five sub-

hypotheses as follows:

There is a positive and statistically significant

effect at the level of significance (α≤0.05) for the

strategic dimension on the performance of

government sector institutions in the Al-Jouf region.

There is a positive and statistically significant

effect at the level of significance (α≤0.05) for the

discipline dimension on the performance of

government sector institutions in the Al-Jouf region.

There is a positive and statistically significant effect

at the level of significance (α≤0.05) for the

transparency dimension on the performance of

government sector institutions in the Al-Jouf region.

There is a positive and statistically significant effect

at the level of significance (α≤0.05) for the

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dimension of justice on the performance of

government sector institutions in the Al-Jouf region.

There is a positive and statistically significant effect

at the level of significance (α≤0.05) for the

accountability dimension on the performance of

government sector institutions in the Al-Jouf region.

Fig. 1: The study model

Source: Prepared by the researcher based on the outputs

of the Smart PLS program.

Fig. 2: Tracks of the Standard Model.

Source: Prepared by the researcher based on the outputs of the Smart PLS program

4 Results of the Study

4.1 The Reliability and Validity of the Study

Tool

To reach a more valuable model that is more

suitable for a research environment, the model must

have high validity and reliability. Hence, the

relationship between the constructs was analyzed

using Smart PLS by calculating track modelling

algorithms (PLS Algorithm). These algorithms

estimate the trajectory of models using latent

variables. The Measurement Model and Structural

Model of the data were also estimated, [19].

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Reliability was assessed by examining the

ramifications of factors with their underlying

constructs. More than one stability index was

calculated, namely “Cronbach's alpha”, “Composite

reliability” and “Average Variance Extracted”.

Table 2. Composite reliability indicators for the rational management of resources dimensions

AVE

Loadings

Items

Statements

Variables

0.677

0.913

0.881

0.816

SD1

Your organization has a strategic

resource management plan.

Strategic

dimension

0.825

SD2

Your organization has

operational and tactical plans

based on the strategic vision.

0.839

SD3

Your organization invests

material resources optimally in

order to achieve strategic goals.

0.787

SD4

Your organization analyzes the

strengths and weaknesses of its

internal environment and

identifies potential opportunities

and risks.

0.846

SD5

Your organization has sufficient

criteria to verify the achievement

of objectives.

0.718

0.911

0.869

0.828

DD1

Your organization’s personnel

adhere to the rules and ethics of

professional conduct.

Discipline

dimension

0.845

DD2

Your organization is keen to

follow ethical behavior in all its

activities, operations and

decisions.

0.847

DD3

Your organization's personnel

are committed to respecting

working hours.

0.869

DD4

Your organization’s personnel

are committed to preserving the

organization’s funds and

property as much as possible.

0.677

0.913

0.875

0.864

JD1

Instructions and regulations

apply to employees without

discrimination.

Justice

dimension

0.852

JD2

The instructions and regulations

are applied to the related parties

without discrimination.

0.828

JD4

There is justice in your

organization in the distribution of

salaries and wages.

0.865

JD5

Your organization considers the

rights of its employees regardless

of job level.

0.748

0.922

0.887

0.877

TD1

Your organization discloses

periodic reports to its users in a

timely manner.

Transparency

dimension

0.893

TD2

The information provided by the

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organization is transparent.

0.799

TD3

Beneficiaries have the right to

see all transactions and decisions

related to them.

0.886

TD4

Problems in the organization are

resolved transparently.

0.796

0.951

0.936

0.915

AD1

Your organization applies a

system of accountability at the

individual and collective levels.

Accountability

dimension

0.911

AD2

The organization sets clear

standards for performance

appraisal for employees.

0.875

AD3

There is a body within the

organization for workers'

accountability.

0.902

AD4

Space is provided in your

organization for the competent

bodies to conduct regulatory

investigations and prepare

reports.

0.857

AD5

Supervisory agencies hold

regular meetings with your

organization to hear complaints

and hold violators accountable

according to law.

Source: Prepared by the researcher based on the outputs of the Smart PLS program

Based on Figure 2 and Table 2, we find that the

composite reliability indicators of the rational

resources management dimensions (strategic,

discipline, justice, transparency, accountability)

achieved high values for the measures and variables

used. The factor loadings coefficients ranged

between 0.799 and 0.911, which are excellent

reliability coefficients, [20]. The Cronbach's alpha

coefficient (CA) and composite reliability (CR)

values ranged between 0.881 and 0.951, and the

mean variance (AVE) values ranged between 0.679

and 0.796.

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Table 3. Convergent validity indicators for the performance dimensions

AVE

Loadings

Items

Statements

Variables

0.830

0.951

0.932

0.883

FID1

Your organization is constantly

improving the services provided

to reduce costs.

Financial

dimension

0.920

FID2

Your organization is constantly

improving the services provided

to increase the return on

investment.

0.919

FID3

Your organization is constantly

improving the services provided

to increase the added economic

value.

0.922

FID4

Your organization adopts new

development policies to increase

future cash flows in line with the

established investment policy.

0.705

0.905

0.860

0.791

CUD1

The organization is keen to

develop its services to customers

in line with its social

responsibility.

Customer

dimension

0.870

CUD2

Your organization adopts policies

to increase customer satisfaction.

0.878

CUD3

Your organization has the ability

to respond to customer complaints

and ensure their satisfaction.

0.816

CUD4

The services provided to

customers are of high quality and

at a lower cost.

0.775

0.932

0.902

0.903

DTL1

Your organization provides the

necessary training for staff to raise

the capacity and quality of

productive efficiency.

Learning

and

growth

dimension

0.937

DTL2

Your organization undertakes

initiatives that seek to develop

work.

0.829

DTL3

Your organization’s incentives

and rewards system for employees

is of high quality.

0.847

DTL4

The system of incentives and

rewards for employees in place in

your organization is of high

quality.

Source: Prepared by the researcher based on the outputs of the Smart PLS program

Similarly, based on Table 3, we find that the validity

indicators of the performance variable in public

sector institutions achieved high values for the

standards and variables used. The saturation

coefficients (factor loadings) ranged between 0.791

and 0.922, which are excellent coefficients of

stability. The values of Cronbach's alpha coefficient

(CA) and composite reliability (CR) were also

estimated between 0.860 and 0.932, and the mean

values of variance (AVE) ranged between 0.705 and

0.830.

Convergent validity refers to the degree of

agreement between two or more measures in the

same construct or model. The convergent validity

was calculated by reviewing the extracted variance

for each factor, and according to Fornell & Larcker

(1981), [21], convergent validity is achieved if the

extracted variance values are not less than 0.5.

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It is clear from the above tables that all mean

variances (AVE) are greater than 0.5, and all

complex reliability coefficients (CR) are significant

and statistically acceptable because they are greater

than 0.7. In addition, all Cronbach's alpha

coefficients (CA) are statistically acceptable

because they are greater than 0.7 and within the

recommended rates according to Dijkstra et

al.(2015), [22].

4.2 Discriminant Validity

Discriminant validity indicates that the factors of a

variable are logically differentiated and not repeated

and overlapped with other variables. This is

confirmed by testing the discriminant validity

matrix between the study variables and dimensions.

Indeed, by comparing the pair of associations

between the factors obtained and the estimates of

the variance extracted for construction, discriminant

validity is determined when it is confirmed by

observing diagonal elements (the root square of the

average value of the common variance AVE for

each construct). The following table clearly

demonstrates the discriminant validity indicators,

which must be greater than the associated values in

the rows and columns.

Table 4 shows that all the diagonal values are higher

than the associated values in the rows and columns

and range between 0.823 and 0.911. This indicates

the availability of the discriminant validity of the

study tool's statements.

Table 4. The results of the discriminant validity of the standards

CUD

FID

DTL

0.892

CUD

0.758

0.840

0.769

0.774

0.847

FID

0.832

0.729

0.763

0.911

0.662

0.813

0.677

0.598

0.852

0.768

0.817

0.803

0.755

0.674

0.823

DTL

0.128

0.078

0.098

0.136

0.088

0.113

0.880

0.644

0.790

0.620

0.561

0.8475

0.611

0.049

0.865

Source: Prepared by the researcher based on the outputs of the Smart PLS program

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Table 5. HTMT Test for discriminant validity

CUD

FID

DTL

CUD

0.891

0.847

0.892

FID

0.845

0.745

0.843

0.725

0.775

0.769

0.656

0.845

0.817

0.745

0.838

0.757

DTL

0.140

0.090

0.112

0.149

0.096

0.126

0.692

0.801

0.704

0.679

0.721

0.741

0.751

Source: Prepared by the researcher based on the outputs of the Smart PLS program

Table 6. Quality standards for the study model

The predictive

power Q²

The explanatory

power F2

The coefficient

of determination

Variable

0.643

0.780

Performance

11.979

Customer

Dimension

1.147

Financial

Dimension

0.140

The

dimension of

Learning and

Growth

Source: Prepared by the researcher based on the outputs of the Smart PLS program

HTMT values close to 1 indicate a lack of

discriminant validity. The HTMT is used as a

criterion by comparing it to a predefined threshold.

If the HTMT value exceeds this threshold, one can

conclude that discriminant validity is lacking. Some

authors propose a 0.90 threshold.

Table 5 shows that the measures are reliable and

valid, as all values are below 0.90. Thus, the

discriminant validity (HTMT) of the model can be

trusted, as the HTMT result achieved the minimum

level and it was confirmed that there were no

multiple linear relationships.

4.3 Model Fit Quality

The structural model of the study is assessed by the

set of statistical standards and methods described in

table 6.

We note from Table 6 that the value of the

coefficient of determination of the rational resources

governance variable towards the performance of

government sector institutions in the Al-Jouf region

in the model is (R2 = 0.780). This indicates that

78% of the discrepancy in the performance of the

government sector in the Al-Jouf region is explained

by the rational resources management dimensions.

We also used the blindfolding test to clarify the

ability of the rational resources management

variables to predict changes in the performance of

government sector institutions. Table 6 indicates

that the (Q²) value was 0.643, which is considered

good.

All of the above confirms that the dimensions of

rational resources management have the ability to

predict and explain the discrepancy in the

performance of government sector institutions in the

Al-Jouf region. Thus, the study hypotheses can be

tested.

4.4 Testing the Study Hypotheses

Based on the above results, after ensuring that there

is no overlap between the variables and checking the

quality of the model, it is now possible to test the

hypotheses of the study. The least squares analysis

(PLS) based on the bootstrapping test was used to

analyze the direct and indirect effects between the

study variables.

The main hypothesis: There is a positive,

statistically significant effect at the level of

significance (α≤0.05) for the rational resources

management variable on the performance of

government sector institutions in the Al-Jouf region.

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Figure 3 and Table 7 show that from the path

coefficient and the value of t, there is a

statistically significant effect of the rational

management of resources on the performance of

public sector institutions in the Al-Jouf region. The

path coefficient was (0.900) at a significant level

(α≤0.01). The calculated t-value amounted to

(62.754), and this confirms the acceptance of the

main hypothesis which states: There is a

relationship and a positive statistically significant

effect at the level of significance (α≤0.05) for the

rational management of resources variable on the

performance of government sector institutions in the

Al-Jouf region.

Fig. 3: The structural model to test the impact of the rational resources management variable on the

performance of government sector institutions in the Al-Jouf region.

Source: Prepared by the researcher based on the outputs of the Smart PLS program

Table 7. Path Coefficient of the research hypotheses

Hypo

Relationship

Std.Beta

Std.

Error

T Values

P Values

Decision

HP1

Rational management of resources ->

The performance

0.900

0.014

62.754

0.000

Supported**

Significant at P** =< 0.01, p*<0.05

Source: Prepared by the researcher based on the outputs of the Smart PLS program

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DOI: 10.37394/23207.2023.20.54

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To verify the role of each dimension, the first main

hypothesis was divided into five sub-hypotheses as

follows:

 There is a positive and statistically

significant effect at the level of significance

(α≤0.05) for the strategic dimension on the

performance of government sector

institutions in the Al-Jouf region.

 There is a positive and statistically

significant effect at the level of significance

(α≤0.05) for the discipline dimension on the

 performance of government sector

institutions in the Al-Jouf region.

 There is a positive and statistically

significant effect at the level of significance

(α≤0.05) for the transparency dimension on

the performance of government sector

institutions in the Al-Jouf region.

 There is a positive and statistically

significant effect at the level of significance

(α≤0.05) for the dimension of justice on the

performance of government sector

institutions in the Al-Jouf region.

 There is a positive and statistically

significant effect at the level of significance

(α≤0.05) for the accountability dimension

on the performance of government sector

institutions in the Al-Jouf region.

To verify the role of each dimension, the first main

hypothesis was divided into five sub-hypotheses as

follows:

 There is a positive and statistically

significant effect at the level of significance

(α≤0.05) for the strategic dimension on the

performance of government sector

institutions in the Al-Jouf region.

 There is a positive and statistically

significant effect at the level of significance

(α≤0.05) for the discipline dimension on the

performance of government sector

institutions in the Al-Jouf region.

 There is a positive and statistically

significant effect at the level of significance

(α≤0.05) for the transparency dimension on

the performance of government sector

institutions in the Al-Jouf region.

 There is a positive and statistically

significant effect at the level of significance

(α≤0.05) for the dimension of justice on the

performance of government sector

institutions in the Al-Jouf region.

 There is a positive and statistically

significant effect at the level of significance

(α≤0.05) for the accountability dimension

on the performance of government sector

institutions in the Al-Jouf region.

Table 8. Results of the (bootstrapping) test for the impact of the rational management of resources axes on the

performance of government sector institutions in the Al-Jouf region.

Hypo

Relationship

Std.Beta

Std.

Error

T Values

P Values

Decision

HP1

Strategic Dimension -> The

performance

0.345

0.069

5.000

0.000

Supported**

HP2

Discipline Dimension -> The

performance

0.104

0.069

1.513

0.131

Unsupported

HP3

Transparency Dimension -> The

performance

0.194

0.092

2.115

0.035

Supported*

HP4

Justice Dimension -> The

performance

0.220

0.081

2.704

0.007

Supported**

HP5

Accountability Dimension -> The

performance

0.140

0.062

2.248

0.025

Supported*

Significant at P** =< 0.01, p*<0.05

Source: Prepared by the researcher based on the outputs of the Smart PLS program

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Volume 20, 2023

Table 8 displays the (t) values, the coefficients of

the paths and the level of significance that show the

direct impact of the influence of the rational

management dimensions of resources on the

performance of public sector institutions in the Al-

Jouf region. The results of the sub-hypotheses test

can be summarized as follows:

 It is clear from the statistical results and

follow-up of (t) values that the axis

(strategic dimension) has a statistically

significant effect on the performance of

government sector institutions in the Al-

Jouf region. The value of (t) for this

dimension was (5) at the level of

significance (α≤0.01). Thus, we accept the

hypothesis that states: Strategic dimension

has an impact on the performance of

government sector institutions in the Al-

Jouf region.

 The test results also indicated that the

second sub-hypothesis was rejected (effect

coefficient = 0.104, t = 1.513, P = 0.131).

Thus, it can be said that discipline did not

have any statistically significant effect on

the performance of government sector

institutions in the Al-Jouf region.

 It is also clear from the statistical results and

follow-up of (t) values that the

(transparency) dimension has a statistically

significant effect on the performance of

government sector institutions in the Al-

Jouf region, as the (t) value for this

dimension reached (2.704) at the level of

significance (α≤0.01). Thus, we accept the

hypothesis that states: Transparency

dimension has an impact on the

performance of government sector

institutions in the Al-Jouf region.

 Further, from the statistical results and

follow-up of (t) values, we find that the

(justice) dimension has a statistically

significant effect on the performance of

government sector institutions in the Al-

Jouf region, as the (t) value for this

dimension reached (2.115) at the level of

significance (α≤0.05). Thus, we accept the

hypothesis that states: Justice dimension has

an impact on the performance of

government sector institutions in the Al-

Jouf region.

 It is also clear from the statistical results and

follow-up of (t) values that the

(accountability) dimension has a statistically

significant effect on the performance of

government sector institutions in the Al-

Jouf region, as the (t) value of this

dimension reached (2.248) at the level of

significance (α≤0.05). Thus, we accept the

hypothesis that states: Accountability

dimension has an impact on the

performance of government sector

institutions in the Al-Jouf region.

5 Discussion

A review of the research hypotheses analysis

revealed that there are a number of important

conclusions related to the main objective that the

research sought to achieve, which is to determine

the relationship between the rational management of

resources and performance of the government sector

in the Al-Jouf region. The most important of these

conclusions are stated hereunder.

It was clear from testing the main hypothesis that

“there is a statistically significant positive effect of

the variable of rational resource management at the

level of significance (α≤0.05) on the performance of

government sector institutions in the Al-Jouf

region” tIndeed, the value of the impact and the

interpretation of the elements of good resources

management for performance came at a value of

around 0.9. This means that the rational

management of resources contributes by 90% to

increase the performance of government sector

institutions in the Al-Jouf region. This result is

consistent with the results of the study by Mujalli

(2020) [16]. Rational management of resources is an

effective system for improving the performance of

individuals and institutions that has an impact on

improving the social and economic dimensions of

government institutions (Pribadi, 2021) [13]. It sets

sound frameworks for increasing institutional

performance [14].

Additionally, the results of the first sub-hypotheses

test found that the strategic dimension has a

positive, statistically significant effect at the level of

significance (α≤0.05) on the performance of

government sector institutions in Al-Jouf. This

result is consistent with El-Tahan et al. (2021) [12],

which showed that the strategic dimension plays an

important role in improving the performance of the

public sector in general and university institutions in

particular.

It was also clear from the examination of sub-

hypotheses 3, 4 and 5 that dimensions of

transparency, justice and accountability have a

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Volume 20, 2023

statistically significant positive effect at the level of

significance (α≤0.05) on the performance of

government sector institutions in the Al-Jouf region.

The value of the impact was 0.19 for transparency,

0.220 for justice, and 0.14 for accountability. This

implies that these dimensions have a positive impact

on performance in the government sector. These

results are consistent with the study by Dobija et al.

(2019) [15]. Good governance increases the

effectiveness of the performance of public sector

institutions. It establishes transparency and

decentralization controls and sets systems of

accountability and responsibility. Moreover, it

develops sound administrative structures that

determine decision-making and the distribution of

powers, [17]. It prevents a single group from

monopolizing all decisions in the organization and

guarantees a balance of performance (Mujalli, 2020)

[16].

6 Conclusion

The adoption and application of the principles of

rational management of resources in public sector

institutions are governed by the legislative,

regulatory, economic and social structure.

Therefore, it contributes to a mechanism for

measuring the performance of government agencies,

and the adoption of foundations for measuring

performance in the public sector, enhances

competition between government institutions and

ensures coordination between government agencies

in achieving the objectives of government

institutions added to the Vision 2030. Promoting the

optimal use of available resources and enhancing

the efficiency of government performance is one of

the outcomes of applying the principles of good

resource management.

The study, which aimed to find out the relationship

between good governance and performance of

government sector institutions in Al-Jouf region,

found a positive impact between the two. A positive

impact of transparency, justice and accountability

on the performance of Al-Jouf’s government sector

institutions was also found.

The study recommends that government institutions

in the Al-Jouf region be urged to strengthen their

capacity to implement the principles of rational

resources management and establish an

organizational culture and an authentic approach so

that the administration attains its goals and strategic

vision. In addition, government institutions should

seek to enhance the management principles

(discipline, fairness, transparency, accountability)

through the development of a guideline for applying

the principles of rational management of resources

in these institutions. This takes into account the

nature of government work and is consistent with

promoting the principles of good governance in

accordance with international standards and

principles. Moreover, government institutions

should create an annual award for rational

management of resources and governance under the

Al-Jouf Award for Excellence and Creativity,

organized by the Emirate of Al-Jouf region. It

should be granted to the institution and the

employee who best applies the principles of rational

resource management to create healthy competition

between government institutions and employees in

order to achieve the government’s goals of raising

companies’ performance level.

Acknowledgments:

The authors extend their appreciation to Prince

Nawaf bin Abdulaziz, Chair and the Deanship of

Scientific Research at Jouf University for funding

this work through research grant No. (DSR2021-

Prince Nawaf bin Abdulaziz Chair-07).

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The authors equally contributed in the present

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problem to the final findings and solution.

Sources of Funding for Research Presented in a

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Conflict of Interest

The authors have no conflicts of interest to declare

that are relevant to the content of this article.

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_US

The authors extend their appreciation to Prince

Nawaf bin Abdulaziz, Chair and the Deanship of

Scientific Research at Jouf University for funding

this work through research grant No. (DSR2021-

Prince Nawaf bin Abdulaziz Chair-07).