Validation of an Indigenous Good Governance Model with a Social Justice Approach in the Plan and Budget Organization of the Country

Abstract

The present study aimed to validate an indigenous good governance model with a social justice approach in the Plan and Budget Organization of the Country using Structural Equation Modeling (SEM). This study was applied in terms of objective and exploratory–explanatory in terms of nature and was conducted using a correlational design with a path analysis approach. The statistical population consisted of managers, senior experts, and decision-makers working in the Plan and Budget Organization of the Country who were selected through stratified random sampling. Data were collected using a researcher-developed questionnaire designed based on the dimensions of good governance and social justice. Content validity was confirmed by expert evaluation, while construct validity was examined through Confirmatory Factor Analysis (CFA). Reliability was assessed using Cronbach’s alpha coefficient and Composite Reliability (CR). Data analysis was conducted using Structural Equation Modeling (SEM) and Partial Least Squares (PLS) techniques to evaluate the measurement and structural models and to test the causal relationships among the research variables. The findings indicated that all constructs demonstrated acceptable reliability and validity, as Cronbach’s alpha and Composite Reliability values exceeded 0.70 and the Average Variance Extracted (AVE) values were greater than 0.50. The overall Goodness of Fit (GOF) index of 0.663 confirmed the strong fit of the proposed model. Structural path analysis showed that competent and servant leadership had a significant positive effect on indigenous–national and religious culture (β = 0.843, p < 0.001), while indigenous culture significantly influenced sustainable social and distributive justice (β = 0.822, p < 0.001). Furthermore, social justice significantly affected institutional effectiveness and efficiency (β = 0.159, p < 0.001). The findings also confirmed the significant roles of accountability and transparency, administrative self-control, social responsibility, and public participation in strengthening governance effectiveness and justice-oriented institutional performance. The results demonstrated that good governance in Iran’s administrative system is a multidimensional and value-oriented phenomenon closely associated with social justice and institutional legitimacy. The proposed indigenous governance model showed strong explanatory capability and confirmed that governance effectiveness cannot be achieved solely through bureaucratic efficiency without transparency, accountability, ethical leadership, public participation, and justice-oriented policymaking. The study provides an indigenous and empirically validated framework that may support governance reform, institutional modernization, and policy improvement within the Plan and Budget Organization of the Country and other Iranian public sector institutions.