There are some differences between public and private forms of administration and these differences seem to outweigh the similarities (Harris, 1990: 4). This short essay question aims to depict that there is a difference between private and public management.
The similarities and differences between the public and private sectors have always been habitually debated. For Boyne (2002), the main conservative distinction between public and private organizations would be their proprietorship. This is depicted through private firms being owned by entrepreneurs or investors, whilst public organizations are held mutually by members of political communities (Boyne, 2002: 98). In essence the true purpose of public management is to work for the public …show more content…
In contrast, private management is more secluded with its processes being more internal and can considered less exposed for public review (Allison, 1980: 349). This is why public management decisions are often anticipated by the media, whilst private management decisions is less reported (Allison, 1980: 349). Furthermore, the time management differs between public and private managers. For Allison (1980), public managers tend to have somewhat short tenures, which is usually dictated by political necessities, while private managers have somewhat longer tenures, which is usually dictated toward market development. The measurement of each management’s performance also differs. This is owing to the fact that there is little to appraise the performance of a public manager, whilst various performance measures for private managers exist, such as profit and market share (Allison, 1980: …show more content…
Thus, the government controls the way in which society is run and is accountable for their actions by political leadership, judicial system and the public, whilst the private business is concerned with the welfare of its enterprise and is only accountable theoretically to its shareholders, hence is likely to be less certain in terms of accountability (Hughes, 2003: 75).
Secondly, the private sector can’t function without the government, owing to the fact that it needs governmental infrastructure and the systems of laws that it brings without which it cannot operate. Thus, the government has to ensure equitable distribution amongst its citizens and has to be non-excludable in their actions. Private businesses on the other hand, have slightly more freedom to be arbitrary, owing to the fact that they can exclude people, charge different prices and ignore normal regulations (Hughes, 2003:
The similarities and differences between the public and private sectors have always been habitually debated. For Boyne (2002), the main conservative distinction between public and private organizations would be their proprietorship. This is depicted through private firms being owned by entrepreneurs or investors, whilst public organizations are held mutually by members of political communities (Boyne, 2002: 98). In essence the true purpose of public management is to work for the public …show more content…
In contrast, private management is more secluded with its processes being more internal and can considered less exposed for public review (Allison, 1980: 349). This is why public management decisions are often anticipated by the media, whilst private management decisions is less reported (Allison, 1980: 349). Furthermore, the time management differs between public and private managers. For Allison (1980), public managers tend to have somewhat short tenures, which is usually dictated by political necessities, while private managers have somewhat longer tenures, which is usually dictated toward market development. The measurement of each management’s performance also differs. This is owing to the fact that there is little to appraise the performance of a public manager, whilst various performance measures for private managers exist, such as profit and market share (Allison, 1980: …show more content…
Thus, the government controls the way in which society is run and is accountable for their actions by political leadership, judicial system and the public, whilst the private business is concerned with the welfare of its enterprise and is only accountable theoretically to its shareholders, hence is likely to be less certain in terms of accountability (Hughes, 2003: 75).
Secondly, the private sector can’t function without the government, owing to the fact that it needs governmental infrastructure and the systems of laws that it brings without which it cannot operate. Thus, the government has to ensure equitable distribution amongst its citizens and has to be non-excludable in their actions. Private businesses on the other hand, have slightly more freedom to be arbitrary, owing to the fact that they can exclude people, charge different prices and ignore normal regulations (Hughes, 2003: