Cultural Difference between Public and Private Organisations Essay

Cultural Difference between Public and Private Organisations - Essay Example Considerable research in public administration was conducted in the ensuing years, but determination of these differences was largely overlooked by most of the scholars and journalists (Baarspul, 2009, p. 1). Although most of the researchers mutually consent that employee behavior in the public organizations is different from that of employees in the private organizations, yet certain researchers have expressed disagreement as a result of their studies while the compilation of empirical findings is nearly non-existent to date (Baarspul, 2009, p. 1). This paper discusses the differences of organizational cultures between the public and private sector organizations. Study of these differences is important because knowledge of the culture generally prevalent in either of the two types of organizations is a pre-requisite to understand the way these organizations play their role in the society, and to introduce positive changes in them to enhance their productivity and efficiency for the benefit and well-being of the society. Differences in the cultures of the public and the private organizations are caused by differences of the work environment, and dynamics of the workplace that come into play as a result of mutual interaction and integration of a wide array of factors that include but are not limited to the goals, decision making processes, attitudes and behaviors of the organizational personnel, and the patterns of communication. The prime goal of the private sector organizations is to safeguard the interests of the stakeholders that primarily include the owners of the organizations, and the people who have invested in the organization to purchase its shares. On the contrary, â€Å"the most often repeated observations about public organizations are that their goals are particularly vague and intangible compared to those of private business firms and that they more often have multiple conflicting goals† (Rainey, 2009). Decision making processes in the priv ate organizations in general and private for-profit organizations in particular is smoother as compared to those in the public organizations. Chances of occurrence of conflict, turbulence, and interruptions are more in the public organizations owing to the disorganization of the system and issues of decision making. These differences in the processes of decision making can fundamentally be attributed to the difference of roles played by the private and public organizations in the society. The main purpose of the private organizations is to make money for the stakeholders by selling their services and/or products to the consumers. On the other hand, â€Å"The typical general purpose, tax-supported governmental agency, such as a state department of mental health, contracts for services and collects information about the needs of people that call for a public response† (Nutt, 2005, p. 289-290). These differences of roles propose considerably different accountability and expectat ions which impart the conditions for different decision making processes in the private and the public organizations. The attitudes and behaviors of the organizational personnel play a key role in shaping the organizational culture. An organization that operates in the public sector is assumed to