One staff member had said: "The commissioner and all his mates in 'bullshit castle' at headquarters should get back on the street and get a reality check."
Mr Marshall said he expected the next report, due in February or March, to be far less damning.
"We're confident we have done an awful lot since then and we expect a far more favourable report this time around.
"For instance, the police executive was nearly 30 people. I've reduced that to 14. I have started the process of refreshment and rejuvenation, moving senior people to various locations and drawing down the number of policing areas we have from 43 ...
"We have completely restructured our organisation. I spend two days every week out in the districts, my other executive colleagues do exactly the same.
"I have created three assistant commissioner positions and they are an absolute conduit between the districts and headquarters."
He rejected the claim that the headquarters team lived in "bullshit castle".
"In an organisation of 12,000 people, there will always be the odd throwaway comment from some disgruntled constable in the back blocks of wherever."
He noted public confidence in police was 82 per cent.