Employees (N = 170) of a City Hall in Italy were administered a questionnaire measuring collective efficacy (CE), perceptions of context (PoC), and organizational commitment (OC). Two facets of collective efficacy were identified, namely group and organizational. Structural equation models revealed that perceptions of top management display a stronger relationship with organizational collective efficacy, whereas employees’ perceptions of their colleagues and their direct superior are related to collective efficacy at the group level. Group collective efficacy had a stronger relationship with affective organizational commitment than did organizational collective efficacy. The theoretical significance of this study is in showing that CE is two-dimensional rather than unidimensional. The practical significance of this finding is that the PoC model provides a framework that public sector managers can use to increase the efficacy of the organization as a whole as well as the individual groups that compose it.