Differences From Private Sector
Jonathan Boston, one of the early proponents of NPM, identified several ways in which public organisations differ from the private sector:
- degree of market exposure—reliance on appropriations
- legal, formal constraints—courts, legislature, hierarchy
- subject to political influences
- coerciveness—many state activities unavoidable, monopolistic
- breadth of impact
- subject to public scrutiny
- complexity of objectives, evaluation and decision criteria
- authority relations and the role of managers
- organisational performance
- incentives and incentive structures
- personal characteristics of employees
- every election cycle senior manager (Owners) change, along with changed priorities.
Boston claimed that reforms tends to ignore these differences.
Read more about this topic: New Public Management
Famous quotes containing the words differences and/or private:
“Quintilian [educational writer in Rome about A.D. 100] hoped that teachers would be sensitive to individual differences of temperament and ability. . . . Beating, he thought, was usually unnecessary. A teacher who had made the effort to understand his pupil’s individual needs and character could probably dispense with it: “I will content myself with saying that children are helpless and easily victimized, and that therefore no one should be given unlimited power over them.””
—C. John Sommerville (20th century)
“There is no private life which has not been determined by a wider public life.”
—George Eliot [Mary Ann (or Marian)