Public and Private Sector Essay

5024 Words Aug 26th, 2011 21 Pages
“Private and public sector management differ only in context, but this difference is significant.”

George Boyne in his article “Human resource management in the Public and private sectors: An empirical comparison” explains with empirical evidence how even though private and public sector management differs in service ethos but this difference is significant which impacts the tradition, culture and practises of both the sectors. Over the past two decades many different interpretations and perceptions have come into play on the similarities and differences between private and public sector management.

Public sector management before the 1980s was found to be working more on a Weberian centralized model where you would find a
…show more content…
Goals in a public sector organisation are vague and pretty ambiguous whereas private organisations have a future plan with definite projection for almost next three to five years. Only two empirical studies, one by Emmert and Crow (1988) and Scott and Falcone (1998) have compared the goals of public and private research and development organizations in the United States of America. They have concluded that public and private sector organisations goals are substantively different. Private sector organisations were found to place more emphasis on commercial objectives, whereas their public counterparts were more oriented towards basic research.

There are two contrasting positions regarding the public vs. private modes of organization: (1) the idea that “public bureaucracies differ from private business firms in important ways,” which has coincided with the “negative views of public bureaucracy in the popular culture” and (2) the antidote, opposing this public-private distinction, thereby denouncing the “harmful and misleading oversimplifications,” aiming for “replacing the typologies” by “sound empirical research” (Rainey and Bozeman 2000: 448-449). Rainey and Bozeman concluded that both sides are correct in some respect and incorrect in others, as empirical evidence exists for both positions.

In a private organization, there is a direct monetary incentive for both the owners and shareholders in monitoring

Related Documents