Role Clarification and Organizational Performance in a Multi‐Goal Context: Evidence From Water Quality Management in China

ABSTRACT

Despite the widely acknowledged costs of role ambiguity and the growing consensus on the crucial roles of local leaders in public management, few studies examine whether role clarification for local leaders, as an effective approach for reducing ambiguity, can enhance organizational performance. In China, the appointment of river chiefs, which assigns the responsibilities and tasks of managing each river to specific local leaders, serves as a policy intervention of role clarification. This study uses the difference‐in‐differences method with annual water quality data from 102 prefectural‐level cities to assess the effectiveness of role clarification for local leaders in a multi‐goal context. The results show that role clarification for local leaders significantly improves the performance of local government in water quality management. However, higher economic growth targets significantly weaken this positive effect, whereas higher air pollution reduction targets slightly strengthen the relationship. These findings offer crucial policy implications for improving organizational performance by clarifying roles for local leaders in a multi‐goal context.