Differences in the Objectives of Private Sector And Public Sector Enterprises
Objectives of Public Sector Organizations
As private sector organizations have different objectives that they try to achieve, there are also some objectives set by the public sector organizations. Though the main aim of these objectives is to run the business smoothly, there are some other objectives related to the benefits of the public like to provide more facilities to the railway passengers who are more than 65 years of age.
Some of these objectives are discussed here.
Financial objectives are essential for earning profits. Public sector organizations earn profits to run their operations and use the profit for the welfare of their employees. They try to achieve the financial targets set by the board of governors. After earning profits, sometimes they handover some specific percentage to the governments.
The public sector organizations provide services to the people of the country. There are many services like health services, education, transport services, etc. these targets are also set by the department heads/board of directors, etc. the main aim of these objectives is to provide various facilities to the public at a very low or reasonable cost.
Public sector organizations always have some social objectives as well. Sometimes governments establish some institutions with key objectives to provide some grants during unemployment. Some departments try to provide a job for common people in the country. Some institutes provide health or other insurance policies.