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Research Article Open access CC BY 4.0

Comparative Study of Managerial Effectiveness on the Principles of Public and Private Enterprises

Aphu Elvis Selase

Asian Research Journal of Arts & Social Sciences · pp. 1–12 · Published 14 Nov 2018

10.9734/ARJASS/2018/43144

Abstract

In view of the abundant literature on the effective managerial practices in private and public enterprises, four main objectives emerged such as the configuration of power within firms, control, conflict prevention and the equitable distribution of created value. It is clear that the dysfunctions observed in the organisations which demonstrated that these objectives are not achieved; thus reinforcing the idea of analysing the effectiveness of companies' control structures. Because public and private firms pursue different objectives. Previous literature on ownership comparison and identify situations where the measurement bias grounded in comparative managerial effectiveness in Public and Private Organizations are deemed to be more critical. Methodologically, both qualitative and quantitative approaches were utilised in the excavation but more focus was paid to qualitative thereby making the analysis between the two apt. Further, the various indicators of the distinction between public and private enterprises are objectives, goals, control mechanisms, employees' acquisition, accountability, organisational level, managerial level, employees' level and the list proceeds. The differences in the objectives of public and private firms are essential to explain the differences in their effectiveness and efficiency.

Public organisation private organisation managerial effectiveness

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