This chapter argues that a new generation of leaders is necessary not only for business but also for public organizations such as public administration as a whole as well as state-owned enterprises, nonprofits, and the like. It argues that responsible business management requires responsible public institutions, which, in turn, are mostly the outcome of responsible public organizations (governments, public administrations, public enterprises, etc). The chapter makes a distinction between institutions and organizations following North’s definition of institutions: “Institutions are the humanly devised constraints that structure political, economic and social interaction. It goes beyond the bottom line in the sense that it calls attention to public organizations, which are mostly responsible for the creation of healthy institutions, which lay the groundwork for the private sector to pursue the bottom line in a socially responsible way. The role of public management and its outcomes such as quality of public institutions has also recently been the focus of the corporate social responsibility literature.