Case Study:

The Institutionalization of Stewardship: Changes in

the Edmonton Public Schools

13 Oct. 2021
Razielle/ Parul/ Austin/ Shu/ Arjun/ Patricia
 01 Purpose of Study
AG E N DA
02 Introduction of EPS

03 Application and limitation

04 Conclusion
The purpose of Study

Can be stewardship
be institutionalized
or not?
Corporate Governance

Principal-Agent Theory

Stewardship Theory
 Principal-Agent Theory
Agency theory suggests employees take advantage
of their powerful positions to maximize their
personal economic utility.

Everyone is “opportunistic” by nature, and that will

lead to:
- Corruption
- Conflict of interest
- Mismanage of resources
 Stewardship Theory
Stewardship theory is a framework which argues that
people are intrinsically motivated to work for others
or for organizations to accomplish the tasks and
responsibilities with which they have been entrusted.

Everyone is “altruistic” by nature, and that will lead to

: The greater good
The Difference of Agency and Stewardship
Phycological Situational
(Individual Level) (Organizational Level)
1. Extrinsic motivation 1. Goals are not aligned
2. Individual view 2. Centralization of decision making
3. Lead by hierarchical power 3. Centralization of information
Agency
Phycological
v. s
Situational
(Individual Level) Stewardship (Organizational Level)
1. Intrinsic motivation 1. Collectivistic Culture
2. (High) Organizational Identification (rather than individualism)
3. Use Personal (rather than positional) 2. Low Power Distance
Forms of Power 3. Involvement orientation
Introduction of Edmonton Public School
Profile of EPS Centralized
New York Los Angeles Chicago
• Contradicts principal-agent theory

• Highly decentralized but few

reported corruption

• 210 schools

• $400 million-plus operating budget

Decentralized
Houston Seattle Edmonton
Stage of Reform
Stage 1. Stage 2. Stage 3.
Unfreezing Change Refreezing
• Charismatic leader • Decentralization • Building skills
• Fostered intrinsic motivation • Self-monitoring
• Analysis of alienation • Peer monitoring and
• “Management of Meaning” a partnership culture
and deviance
• leadership • Reflective thinking
• Transformational leadership

Mr. Michael Strembitsky

 Results after Decentralization
Decentralization reform (1978–1980*)
More innovative
Have no autonomy
and productive
Felt untrusted
Felt Trusted

Corruption and illegality Cases Corruption and illegality Cases

45 2
Application and Limitation
Is it possible to introduce stewardship in
organizations where corruption is already rife?

Is it possible to copy EPS’s transformation to the

other schools and other organizations?
Conclusion
Questions
Thank you for the listening