Managing Change At Procter And Gamble Commerce Essay

Managing Change At Procter And Gamble Commerce Essay The world of business is facing different changes in the environment which create opportunities and threats. As a result, businesses make changes in different processes that are related to work place more abruptly and often compare before. This is because these changes can influence the speed and quality of the performance of companies including: acquisitions, merging, innovation, restructuring and downsizing which can result to the growth of climate of uncertainty (FEAP n.d.). Currently, the business world is facing different changes that are related to technology, regulation and competition and economic condition which affect the perceptions and behavior of the customers and other stakeholders of the company. Due to this, change is considered as inevitable in the world of business, because change constitute growth and development. According to Peter Drucker, any change in any organizational culture and management is considered as normal and healthy (cited in Dulebohn 2006, p. 37). It will be impossible for any business to grow and improve without improving any changes in order to cope with the changes happenings in the environment its operating. Any change to be done inside and outside the organization can help the entire organization to adjust to the current situation of the market and industry, by improving and adjusting the culture and other important internal aspects of the organization. Therefore, it is important to consider that change is the most important decision of the top level management of different companies; however, it is one of the most taken for granted aspect of management, particularly regarding the issue of lack of involvement. This paper will focus on implementation of change in Procter and Gamble (PG). PG offers branded products of superior quality and value in order to improve the lives of the consumers from different parts of the globe. This results in: leadership sales, profits as well as value creation, which allow all the stakeholders to prosper (PG UK 2010). Currently, the company markets more than 300 branded products and operating in more than 80 countries and employs about 140,000 people (PG UK 2010). The business started when William Procter and James Gamble started their business of making and selling soap and candles separately on April 12, 1837. In August 22 of the same year, the two decided to formalize their business relationship by pledging $3, 3596.47 in Cincinnati, Ohio and signed in October 31. The initial foray of PG into branding was The Moon and Stars, a trademark that have appeared on all products of the company starting early 1860s (PG UK 2010). As a result of this effort and the unyielding commitment of the company to strengthen the brand, widening portfolio and delivering high level of customer service, PG ranked 10th in the Fortunes Most Admired Companies in 2007 and hailed as the 23rd largest company by US revenue and 14th largest in terms of profit. Because of the dominance and leadership of PG in different consumer product categories, it is important for the company to focus on the improvement to be done in its overall operation. The company focuses on adopting new changes and seizes new opportunities that the company created. This paper will focus on analyzing the new technology to be applied in PG that will help to improve its current operation and performance. Background to Change Background of Change One of the important characteristics of PG and the reason behind the success of the company is its ability to cope with change. The company focuses on adopting different changes that will help to improve its performance. If needed, the company is willing to unlearn habits as well as assumptions that were rapidly becoming obsolete and challenge traditional skills as well as strengths. Based on this, change is the term that equates with PG and it happens in major events, such as technological innovations inside the company. One of the major technological movements of the company is the concept of Enterprise Content Management (ECM) in 2003. This enables the company to implement content spread across different applications. The result is the integration from back-end system into the more appropriate application of choice. It also enables the company to move from unstructured to structured content management and have been applied to the internal stakeholders to enable information life cycle management. This had helped in order to create, store, retrieve and distribute information that lead to trimmed cost and improved collaboration. However, this system created some problems or threats that might affect the operation of the company. There is a need to tap virtual working opportunities, at the same time, reduce the workload because of web-based space and chargeback reports. Therefore, it is important to implement smarter working practices and focuses on the need for a fully integrated web-based facilities management environment. This action is connected to the goal and mission of the company to use innovative technologies that will help PG to work smarter, faster and more efficiently. Therefore, based on this, it is important to implement new system that will help in order to fully integrate the operation of PG in the UK, as well as other parts of the world. This is important because it can help in order to lessen the effort that must be exerted by the employees in terms of managing the system, at the same time, it can help in order to fully integrate the system that will handle the data of different departments and units of PG UK, which will help in order to improve the decision-making process. Strengths and Weaknesses of PG In connection with the current problem of the company, and the proposed change, it is important to focus on the strengths and weaknesses of PG. One of the strength of PG focuses on its ability to handle change. This pertains on the different activities of the company regarding researchers and development. One of the main activities in the company is researching regarding the changes that are going on in the environment, which the company believes that could offer threats and opportunities. Due to this, it can be said that being open to change is strength for PG because of its willingness to adopt development and improvement. Furthermore, the company also has a strong relationship and connection with other IT organizations which enables the company to have connections with those companies that are informed and skilled in this aspect. With the connection and the willingness to learn and change, the company will have edge in the said aspect. On the other hand, the weakness of the company will focus on the ability of the employees of the company to use the fully integrated system. This will be a problem because the perceptions of the employees towards a system are important factor that will affect their individual performance, thus the overall performance of the company. Organizational Development Organization development (OD) is a powerful set of concepts and techniques in order to improve the effectiveness and individual well-being of an organization (Friday 2003, p. 2). In the case of PG, the application of new technology, online workspace system, it can offer different development and improvement for the company. This can help in order to build up an inventory of applications that will deliver information for the entire business units in the UK as well as other parts of the globe, which will help in order for the information to be available as the services through the portal. With this, the employees as well as managers will be able to reuse systems and codes from other parts of the business including purchasing, marketing, logistics, manufacturing and other parts of the company. Furthermore, it can also offer a security module which will help in order to protect information, at the same time, offer service platform that will facilitate data from different sources that can be accessed when needed. Overall, it can help in order to improve and maintain decision-making, at the same time, increasing the access of the internal and external stakeholders to knowledge and information (Mari 2008). Systems for Process of Change Systems of Change The nature of change program falls under three important categories, including continuous improvement, knowledge management and management by objectives. The continuous improvement placed its focus on the improvement of the satisfaction of the customers by implementing continuous and incremental improvements to processes. This focuses on offering workers with flexible data access, particularly regarding the ongoing management of web content. On the other hand, knowledge management pertains on the collection and management of critical knowledge for the purpose of increasing the capacity in order to achieve results. With the help of the program, the application of computer technology can help to wider the audience and connection with the stakeholders. Above all, the ongoing tracking and feedbacks can help in order to motivate PG to reach its objectives by way of employee and consumer inputs. This change will focus on satisfying the end-users and develop products that are innovative, which will help to improve the lives of the consumers and the employees of the company. Three important strategies will be implemented in order to capture the end-users requirements and build new products in meeting those requirements. The first two are interactive, which pertains to: living it and working it, while the third pertains on the innovation labs. The innovation labs focus on the needs that are not articulated in direct manner. Aside from these, the corporate portal will also focus on implementing personalized website which will mainly focus on individual websites of each and every products of the company. This will focus on refurbishing the website, introducing new workspace standards, flexible hot desks for workers who occasionally work at home and additional meeting and huddle rooms. With this, different physical and structural aspect of the company will be changed. The structure of the organization will be changed in a way that managers and employees will be trained and coached with accordance to the new system. Furthermore, it will also focus on the improvement and changing the overall standards, rules and procedures being implemented inside the company. This is because it can help in order to ensure that everything is based on the mission, vision and goal of the company. Evaluation Assessment and evaluation is important in any change or any actions or strategies to be implemented in an organization. This is because, it can help in order to ensure and maintain that the planned outcome of the program is the exact result, at the same time, ensure that the company acquires competitive advantage. It is important to focus on the main purposes of the program: management support, internal and external communication and program operation. These important factors will be the deciding factors in the evaluation process to know if the program is effective. With this, it is important to implement intensive communication between the different levels of management. It is vital to maintain formal and informal communication via reporting in order to know the status of each and every changes being implemented inside the organization. In the end, evaluation of the impact of the system to the organization will be evaluate by asking the employees about the result of the system and i ts advantages and advantages in their current works and roles, at the same time, focuses on the overall performance of the company via the financial and other resources matters. Models of Implementation Commonly, business leaders considered IT to be costly; however, it is important for PG to focus on becoming and continuing to be innovation leader, particularly in the UK. Therefore, it is important to unite the IT aspect of the company with its core business services as the core strategy. With this change, it will help to drive shared services across business process with the ongoing commitment in order to maintain the top-to-bottom focus regarding the mission. In the entire change process, the eight-stage process by Kotter (1996). 1. Establishing a sense of urgency it is important to overcome complacency. This can be done by creating a strong reason why change is needed. The current implementation of IT in PG created several problems and threats which include duplication and inefficiency. As a result, there is a need to implement new IT platform which will help the company to integrate its current business applications and processes. Thus, the new system will help to focus on scalability, flexibility and easy-to-use system which will help to handle different processes and flow of information and data inside the organization. 2. Creating the guiding coalition it is vital to build a team with the right composition of power, level of trust and shared objectives in order to lead the change. In the case of the PG UK, the guided coalition will be from Cincinnati headquarter by Passerni. This is because the said guiding coalition must conform to the international operation of the company. Thus, in the continuing effort of the company to leverage scale as a global business while retaining the local touch, PG will focus on transforming its global strategic thinkers with aggressive entrepreneurial spirit, with the influence of the improving IT capabilities and skills. Thus, the company will focus on the three important structural drivers including: global organization, holistic thinking across the business process; organizations and technologies; and growth of partnership with HP, IBM and other important IT companies. 3. Developing a vision and strategy this pertains on the clarification of direction, motivating people and helping coordination. The premise focused on how new technologies must find its purpose on delivering the product of PG in the market. Through this process, PG will continue to be the entrepreneurial thinker where in innovative ways that are related on improving the current products and services being offered to the current market and target market. With this, it can help in order for the company to maintain its position in the UK market, at the same time, ensure that continuous innovation and development will be done. 4. Communicating the change vision understanding is vital in any change management, because it can affect the overall change implementation. The actors of this change are the members of the enterprise architecture unit at PG. In order to gain the 100% employee buy-in, it is important that the bulk of ideas will be generated from different sources from the top IT providers to the employee who work on shop floor. This will cause 10% to 15% jobs changes and structural changes. Communication strategies to be implemented are downward and horizontal communication (Guffrey n.d.). Downward communication refers to communications from superior to those who report to them. These may be used in order to communicate about job instructions, job rationale, procedures and practices, performance feedback and company missions. On the other hand, the horizontal communication consists of message between colleagues at the same level of organization (CMR Institute 2006). Overall, the information will flo w from decision-makers and will be shared between lateral channels (Guffrey n.d.). 5. Empowering employees for broad based action this stage will focus on eliminating barriers and time constraints. The team approach gets hold of the willingness of each and every employee for the implementation of the online workspace system. This will help in order to empower the employees for broad-based action. It is vital to focus on creating sense of involvement to the employees, at the same time implement self-directed work teams in order to meet their objectives of adapting to the online workspace systems. The company will focus on implementing different training and development programs that will help to coach and train the employees to be familiar with the new system. 6. Generating short terms wins it is important to stay on the course as major change will take long time. The said change is an indication that the top management of the company must focus on the strategic actions that focus on the total business perspective and not just focus towards the product or the employee. It is vital to focus on the organizational process, decision making and innovation with connection on the IT strategy and the business needs in order to generate short term wins. 7. Consolidate gains and produce more change using short term wins, with this change, the company can focus on international change, particularly in the sense of the geographically dispersed business units, it is important to focus on the development of the organization, global business service as well as corporate functions into a single, cohesive collaboration. 8. Anchor the new culture it is important to innovate and change in continuous manner in order to firmly ground the operating style. It will pertain on the multi-layer content management architecture, at the same time, leverage open standards consolidating the gains. The paradigm shift was from being technologies-thinking into solution-thinking. Conclusion and Recommendation Change is inevitable, particularly in the world of business. Change can cause both positive and negative results for any company. First, change means growth and improvement, thus it can help companies to focus on the different threats and opportunities which can be implemented and prevented inside the organization in order to ensure success and maintain position in the market and industry. On the other hand, change can also cause negative results for any company, particularly in the aspect of management. It can cause huge amount to be spent, at the same time great effort to be exerted in order to ensure that the change will not affect the behavior and attitudes of the employees and other important stakeholders towards the company. In the case of PG, it is important for the company to focus on improving its IT, because it can help to maintain competitive advantage by ensuring that information flow is properly manage, at the same time, ensure that all the stakeholders in the company are properly connected in the decision-making process. With this, it is vital for PG to focus on the different aspects that are related with the change management, including theories and practices.

Learned Helplessness in the Workplace

Running Head: Learned Helplessness in the Workplace Paper Learned Helplessness in the Workplace Psychology 320 November 22, 2010 Professor: Sprinkle Abstract In the late 1960’s and early 1970s Mr. Martin Seligman began to study what effects surroundings have on not only animals, but human beings. His studies were an attempt to determine what ramifications outside influences could have on a live beings motivation and drive for success. He started his studies by giving rats electric shocks.They were inadvertent and without cause, and this was so the rats had no way of reasoning what could cause or prevent the shocks, and how to avoid them. What he found, was that eventually the rats would give up on trying to avoid or escape the shocks. Seligman eventually applied these studies to human infants and what he discovered was a theory he deemed, â€Å"Learned Helplessness. † Learned Helplessness in the Workplace When Martin Seligman chose to study human infants and the effects of outside influences, he wanted to determine whether a lack of control over one’s surroundings could lead to a lack in motivation.What he found was that just like the rats, humans would learn helplessness, and hence the reason his theory is known as the Learned Helplessness Theory. In short, the theory states that with no control over one’s surroundings, the response will be helplessness. He also found that those who learn this will have an interference with the rest of their development. They may have emotional problems along with anxiety and depression as adults. One of the ways that Seligman believed children learned helplessness was if there was no correlation between actions and there outcome.Just like the rats who tried to escape but where still punished with shocks, they felt that no matter what they did the outcome would be the same. Children who had parents with poor parenting skills or who didn’t recognize their successes, learned that no matter what they did, it didn’t change the outcome. Kids who struggled in school may begin to fail repeatedly as they would feel that even if they did try, they would fail. People who have learned helplessness suffer from low self-esteem, and tend to blame themselves for everythingWhile studying learned helplessness in humans, Seligman found that it also can be associated with different ways of thinking about the events that form person's â€Å"explanatory style. † Seligman believed there were three major components of explanatory style associated with learned helplessness. He termed those as permanence, pervasiveness, and personalization. Permanence pertained to the idea that no matter what happens or the events leading up to them, the outcomes were in fact permanent. Pervasiveness referred to the thought that if something negative happened in one situation it would happen in other situations as well.For instance if a person struggles with math, they then assume they are stupid and struggle in every aspect. Personalization, the third and final component of explanatory style, refers to whether one will attribute negative events to their own flaws or to outside circumstances or other people. Most people with Learned Helplessness will attribute everything to their own flaws or shortcomings. Seligman believes in order to help a person overcome Learned Helplessness; they must strive to Learn Optimism.He believes parents and others who celebrate young kid’s mastery of new subjects can lead to optimism as well as their own attitudes toward life. In my own position as a business owner, I believe I have employed a young woman and possibly a few others with who had learned helplessness. There is one young woman in particular who seemed to struggle with the struggles Seligman outlined in his theory. I felt a daily battle in trying to convince her she could change her life and the outcomes of the events in her life if she became motivated.When I bought my healt h club Cassie was the young woman who was the receptionist at the front desk. What I quickly learned was that Cassie had two drug addicted parents who had spent her entire life beating each other up, a father who was in and out of jail who tried to use her to get drugs, and a mother who tried to get her to do drugs with her. I quickly recognized in Cassie the ability to be different than her upbringing, but I couldn’t see a desire from her to get there. She had an inner voice that told her she never could be successful, as mediocrity was all she felt she deserved.I rewarded her for her work in attempt to motivate her, but it seemed no matter what promotion or reward I offered I couldn’t get her motivated to make changes in her life. She would come to work on time, and do what was asked of her, but I never saw any motivation to rise above and excel to the next level, even though I could see she was naturally intelligent and capable of many things. I felt for Cassie as I am not sure she ever had a chance given her parents, but I couldn’t change her as I so wished I could.No amount of positive praise or reward could convince Cassie that she could change her life, even though her intelligence was high and her ability was great. She just didn’t believe it was possible. I tried for four years to be a role model for Cassie, and there were many days when I thought she was making the choices to change her life, but she never followed through as she really believed change for her was impossible. Cassie had tried for her entire youth rise above both her parents, but eventually she felt no matter what she did the end was inevitable.It’s as if she predetermined her future by thinking it was going to be the worst future possible. In the end it seems she figured if she couldn’t beat her parents, she should join them. I tried very hard to be a positive impact for Cassie and help change her life, but the damage that she had incurred se emed to be too great. No matter what I did, she couldn’t become an optimist or change the way she felt about the outside influences in her life. No matter how hard I encouraged or pushed her in a positive direction, she always wound up back on the bottom because she truly believed that is where she belonged.I often think about her and wonder if there is anything else I could have done to help her crawl out of her life and into one she was worthy up, but in the end I think that she couldn’t change her way of thinking and truly believed the type of life she had was meant to be permanent. She is living somewhere now in a rundown apartment off of welfare with her young daughter who I believe will turn out exactly like her. She has no job because she doesn’t want to lose her food stamps and welfare, and she is back on drugs.My only hope in life is that somebody will be able to walk into her life and tell her daughter that she is smart, and capable of so much in life. I have learned from Cassie the value of celebrating a child’s little successes, and encouraging them to be something in life. It’s sad, but Cassie’s case of Learned Helplessness has taught me about promoting optimism, and I plan on spreading it to any children I come in contact with. References: Learned Helplessness (2001) Encyclopedia of Childhood and Adolescence. Retrieved at: http://findarticles. com/p/articles/mi_g2602/is_0003/ai_2602000349/Theory Name| Major Theorist(s)| Time Period Created| Key Theory Concepts| First Grand Theory: WILL| Socrates, Plato and Descartes| Ancient Greeks and 17th-18th centuries| Socrates and Plato literally broke down the concept into mind and body. Mind over matter. According to Plato there was a way to keep body in check. This could be accomplished by the will. In other words the will was in control of all aspects of intention both bodily needs and that which would be considered spiritual. Descartes was convinced that motivat ion was the will. He believed that the will was in charge of whether to act or not to act.Bodily needs pleasures, pain, impulses were just means to an end. Will had the ultimate say. He and other philosophers at the time were convinced that they had the answer. In the end the will turned out to be something of a mystery. In dealing with just the will to explain motivation, it just proved to be a purpose and it was not universal in its theory because some people had more willpower than others. | Second Grand Theory: Instinct| DarwinWilliam JamesMcDougall| 19th-20th Century| Darwin’s thoughts were dealing with the biology of mankind.His theory is still being dealt with today. Religions and scientists still trying to prove or disprove his theory. His main distinction was between animals and humans. Darwin took away the idea of will when he was able to show that animals were able to use their resources (motivation) to adapt to like humans. So in this sense the will was no longer an explanation of motivated behavior. James’ theory consisted of introducing stimulus into the picture. Reflex and instincts is what makes human motivation. McDougall took the research on a generation after Darwin.Once researchers embraced this idea the next thing to do was to identify the instincts. This became a daunting task. On top of that the instinct theory was exposed as circular. In other words, instinct theory failed because theorists were unable to determine if instincts really exist. | Third Grand Theory: Drive| Sigmund Freud Robert Woodworth Clark Hull | 20th Century| Freud, all behaviors were satisfying needs. Behavior serves bodily needs and drive acted as a guard or middleman to ensure that behaviors occurred when needed for comfort of the body. Satisfaction of the bodily need quieted drive.Freud’s theory was crushed due to three factors (1) overestimation of biological forces (2) overreliance on data taken from case studies of mentally ill individuals a nd (3) ideas that were not scientifically testable. Hull’s drive theory did had one thing the other will and instinct did not have and that was prediction. Drive came from environmental conditioning which marked the beginning of scientific study of motivation. If the answer to the environmental question could be answered as to the motivation created then, one would be able to manipulate or predict motivational states in the laboratory.Eventually though drive met its fate too. It was clear that drive reduction was neither necessary nor sufficient for learning to occur. Robert Woodworth: responsible for the so called â€Å"dynamic: interactional metaphor of nature vs. nurture. He saw the essential task of psychological investigation as ‘the give and take’ between the organism’s mentality and the requirements of its physical and social existence. According to the scientific world of the 21st century these thoughts are holding the discipline back. |Goal Setti ng| Locke| Late 1960s| Mini-theories represented attempts by researchers and theorists to focus on more and more specific aspects of behavior rather than to account for ALL motivating factors by relying on one single theory. As a result of this emphasis, mini-theories were developed to help explain some but not all of motivated behavior. For example, mini-theories might attempt to explain why a student is performing poorly in elementary school or why Mini-theories became popular because they focused largely on cognitive approaches to understanding behavior.They represented a reaction to the idea that humans are inherently passive. They also reflected a growing need for psychology to provide answers to questions that had important social implications or solved problems that were socially relevant. Edwin Locke’s Goal Setting Theory states that people who set goals for themselves will become motivated to achieve those goals, solely as a result of making those goals. Furthermore, those who set specific goals that are more difficult are able to achieve a higher level of performance than those who set easier and abstract goals.The Goal Setting Theory outlines five important principles of goal setting that motivates individuals and they are: clarity(measurable and unambiguous goals with a specific completion time ensure that there is no misunderstanding about what is required to reach the goal), challenge (difficult goals are often more motivating than easier goals), commitment (when there is a strong commitment to the goal, there is a higher level of motivation), feedback (it is important to provide opportunities for clarifying and reassuring), and task complexity (allowing time for people to achieve the goal or learn what is needed to achieve the goal).One important aspect of the goals is that they must be specific, measurable, achievable, realistic, and time bound (SMART). In 1975 the theory was scientifically proven by researchers Latham and Baldes. Common criticisms of this theory are that it is a technique rather than a theory, it can produce undesirable competition, and it emphasizes some aspects over others (quantity over quality). | Cognitive Dissonance Achievement Motivation Learned HelplessnessOthers? | FestingerAtkinsonSeligman| 1950s19641975| The Cognitive Dissonance Theory is based off of the idea of cognitive dissonance.Cognitive dissonance is the uncomfortable feeling that arises from having two conflicting thoughts at the same time. Dissonance is referred to as the uncomfortable feeling and can often be projected as feelings of guilt, embarrassment or immorality. Dissonance can also be greater in some cases such as with big decisions or decisions that will have a great impact, decisions that are particularly difficult to solve (such as with two similar decisions), and decisions that are concerned with oneself.This theory states that when a person has these conflicting thoughts, then they will be motivated to resolve the conflict as humans tend to seek consistency within their thoughts. Often there are three ways that a person will resolve the conflict. They may change their behavior, justify their behavior by changing the conflicting beliefs to reduce dissonance (such as by reducing the importance), or justify the behavior by adding more beliefs that will reduce dissonance (such as focusing on strengths).It is important to note that one will be more likely to change their attitude or beliefs as there would be less dissonance involved, rather than changing one’s behavior. Atkinson’s theory states orientation is the result of two separate motives: the motive of achieving success and the motive to avoid failure. A persons motivation to achieve success depends on three factors: the need to succeed, the persons estimate of the ability to success and likelihood of succeeding, and the incentive for success.The motive to avoid failure shares the same three conditions, but in relation to avoid ing failure. This theory has been criticized due to the fact that a persons needs must be known before behavior can be affected. The Learned Helplessness theory speculated after testing on dogs, that humans too learn to be helpless when placed in a situation in which their actions seem to not have an effect, leading to depression. It has been criticized for not distinguishing between universal and personal helplessness. |

Remodeling Ideas for a Ho-Hum Ranch Style House

Differences Between Public and Private Sectors - Free Essay Example

Sample details Pages: 5 Words: 1400 Downloads: 2 Date added: 2017/09/17 Category Advertising Essay Type Argumentative essay Topics: Economy Essay Did you like this example? The Differences between Public Sector and Private Sector [pic] by Robyn Z. Abdusamad Dr. Deborah LeBlanc PAD 620 – Research Paper August 23, 2010 The Differences between Public Sector and Private Sector SUMMARY When we examine public sector versus private sector, plenty of differences come to mind. In defining each, we learn a private sector in an economy consist of all businesses and firms owned by ordinary members of the general public. It also consists of all the private households in which people live. The public sector in an economy is owned and controlled by a government. It consist of government businesses and firms and goods and services provided by the government such as the national health service, state education, jobs, roads, public parks and law and order. Throughout this paper, we will examine other differences that exist amongst public sector and private sector such as policy decisions and beneficiaries. The Differences between Public Sector and Priva te Sector Often you hear news analysts talk about the public and private sectors. While most people usually have an idea what these two terms entail, there are complex differences between the two, which are also useful to learn about. Houston (2000) states, â€Å"in spite of virtually universal agreement among scholars that public organizations have more goal complexity and ambiguity, public managers do not differ from business managers in response to survey questions about such matters. Public managers do not differ from business managers on perceptions about organizational formalization, in spite of a chorus of assertions that government agencies have more red tape and rules than private firms have. Public managers do, however, show very sharp differences in response to questions about constraints under personnel and purchasing rules. † First, when we it comes to the public sector it is basically made up of organizations which are owned and operated by the government. Within the United States, the public sector consists of government agencies like federal and state offices. When a private individual speak of the public sector, they are typically referring to a public authority, or public body. Any federal institution that is associated with health care, police services, prison services, local and central government management, and all their departments, are also considered as a part of the public sector. Rainey and Bozeman (2000) states, â€Å"organizations are made up of a complex of important dimensions and issues; researchers have developed bodies of research on these dimensions, which include goals, structure, motivation and many others. The comparisons of public and private organizations have been influenced by these patterns, drawing on conceptual and methodological developments in these areas. For example, researchers have compared business firms to public agencies on measures of work satisfaction among members of the organization and on their perceptions of organizational structure, using concepts and empirical measures that organization theorists had developed to measure satisfaction and structure. † Next, there is the private sector. This sector is generally made up of organizations which are ‘private’, which means that they are not owned by, nor part of, the government. All small businesses, corporations, profit and non-profit organizations, partnerships, charitable organizations and middle to large entrepreneurships, are considered as part of the private sector. The specific examples are retail stores, credit unions, local businesses and non-government operated banks. So, what is the difference between the public and the private sector in regards to the way that they operate? Those who are in the public sector are known for supplying services to the ublic, and they are not competing with any other institution for profit. On the other hand, private sectors seem to have a goal of outs hining their competitors, and maximizing their revenue. According to Perry and Rainey (1988), â€Å"Privately owned and funded organizations are asserted to be more heavily influenced by their economic markets, and they are more autonomous from government oversight. † They also state, â€Å"Governmental regulation and government contracts can bring heavy governmental control to bear on some private firms. On the other hand, government organizations that are funded through market sales or user charges often have concomitantly greater autonomy from governmental controls. † Majority of public sectors are managed under a bigger chain of command and control, while private sectors mostly operate in a corporate setting. As for the differences with their policy decisions, the activities in the public sector have a goal of adhering to what is indicated by law, while the private sector is driven by the rules of shareholders and corporate owners. Schmidt (2008) states, â₠¬Å"The research agenda of companies is more focused and targeted and therefore perceived as easier to handle for managers. Also, the decision-making process is different. Managers of private enterprises can faster and easier change orientation, focus and targets. This implies, according to some managers, that the instrumentation used in the private sector is different from the one used within public research. † [pic][pic]Finally, the beneficiary of the services provided by the public sector, is the general public. These goods and services are sometimes provided free and in other cases consumers have to pay a price. The goal of public sector activity is to provide services that benefit the public as a whole. This is because it would be hard to charge people for the goods and services concerned or people may not be able to afford to pay for them. Therefore, the services tend to be those considered very important to modern life that for moral reasons their universal provision is usually guaranteed, and they are associated with fundamental human rights. Helping others with a specific need or want is their way of defining a service. An example of a service which is not generally considered an essential public service is hairdressing. As for the private sector, it is mostly the consuming public who utilizes the goods and services that they offer in exchange for profit. A private sector is not controlled by the state. There are various legal structures that exist for private sector business organizations, depending on the jurisdiction in which they have their legal residence. Individuals can conduct business without necessarily being part of any organization. According to Burger and Stare (2010), â€Å"The challenge remains how to simultaneously boost employment and efficiency in private services, while curbing the employment in public services without jeopardizing their performance. Exploiting the innovation potential in private and public services a s well as the interfaces between the two may contribute to solving the problem. † In conclusion, most studies show there is a small amount of evidence that the participants have sufficient knowledge of real public-private differences. Seemingly, when it comes to researching the differences between public and private sectors there are many comparisons that can be made amongst the two. Vuori (2007) states, â€Å"Sector differences in the management of public and private organizations are likely to be inherently misleading because the procrustean dualism of their categories will tend to blank out important phenomena. Public and private managers both find themselves operating in environments, which we describe as spaces that combine both market and political forces. While there are plenty of differences between public and private sectors, there are similarities between them too. Most public sector entities require some form of bureaucracy to implement the policies that guide t he provision of the public good or service. Many Private Sector entities find that as they grow, creating some form of bureaucracy allows them to realize efficiencies and improve profitability. Bureaucracies, when implemented properly, can create a mechanism that helps either the private sector entity or the public sector entity to function in a consistent and predictable manner with defined roles. SCHOLARLY REFERENCES David J. Houston, â€Å"Public Service Motivation: A Multivariate Test†, Journal of Public Administrative Research and Theory, Vol. 10, No. 4; 713-728 (2000). Hal G Rainey; Barry Bozeman, â€Å"Comparing public and private organizations: Empirical research and the power † Journal of Public Administration Research and Theory; Apr 2000; 10, 2; ABI/INFORM Global pg. 447. James L. Perry and Hal G. Rainey, â€Å"The Academy of Management Review†, Vol. 13, No. 2 (Apr. , 1988), pp. 182-201. Evanthia Kalpazidou Schmidt. (2008). Research management and policy: incentives and obstacles to a better public-private interaction. The International Journal of Public Sector Management,  21(6),  623-636. Retrieved August 25, 2010, from ABI/INFORM Global. (Document ID:  1545187541). Vuori, Jari, â€Å"Public and private manager: Does the difference really matter? †, (2007); Leading the Future of the Public Sector: The Third Transatlantic Dialogue University of Delaware, Newark, Delaware, USA. Burger,  A. ,  Ã‚  Stare,  M.. (2010). Public and private services transformation in the CEECs. The Service Industries Journal,  30(4),  479. Retrieved August 25, 2010, from ABI/INFORM Global. (Document ID:  1922870961). Don’t waste time! Our writers will create an original "Differences Between Public and Private Sectors" essay for you Create order