Characteristics of Public Organization

Characteristics of Public Organization

Some important characteristics of public organization have been explained below.  Characteristics of public organization include, state ownership & control, public welfare, maximum welfare or satisfaction of the society, public accountability, financial constraint etc.

1.   State ownership & Control

First important characteristic of public sector organization is state ownership and control. State defines different governance structure for the public sector organization. Some organizations are run through public servants and others are run by independent board of directors.

2.   Public Accountability

A second important characteristic of public sector organization is public accountability, because these organizations are run by the public funds (taxes). Thus public sector organizations are answerable to general public. Different performance indicators are set to evaluate the performance of these organizations.

3.   Public Welfare

Public welfare is one of the important characteristics of public organization. Public sector organizations are normally created to provide different services to the public like health services, education etc.

4.   Maximum Welfare to Maximum People

Another important characteristic of public organization is maximum welfare or satisfaction of the community. Public sector organization tries to achieve maximum satisfaction of the community within the limited resources.

One of the main characteristic of Public organization is to provide services to the maximum number of people. Thus population plays a key consideration for establishing a public sector organization.

5.   Financial Constraint

Another important characteristic of public sector organization is financial constraint. In Public organization financial constraint or limited resources play important role in deciding the level of service or satisfaction of Public. 

Organization strives to maximize service level within given resources. Management of funds is required due to scarcity of resources i.e. financial constraint.

6.   Political Motives

Some public organizations are set up to get political mileage. Thus public organization is not necessarily a need based organization; sometime it is set up to gain the political gains.

7.   Budget

Budget is an important document for public sector organization and these organizations strictly follow the budget allocation. Budget is a public document is widely circulated. Budget also serves a cost control tools for the public sector organization.

 
Important characteristic of Public sector organization

Some important characteristics of public sector organization are listed below

1             1.    Public sector organization is owned & controlled by state.

2.    Public sector organizations are publically accountable.

3.    These organization are created for provision of service and goods.

4.    Public organizations are set up to provide maximum satisfaction to public.

5.    Sometime public sector organizations are set up for political motives.