The study of public administration provides a foundation for understanding how it differs from a private business. Sayre’s point view regarding similarities and differences between a public and private administration appear desirable. In essence, business and public administration are similar in basic aspects of administration. Both the business and public administration uses techniques such as organization, delegating, budgeting, planning, and control run their activities. Besides, public and business administration utilize the common skills such as filing and keeping accounts to ensure smooth operations of the organization. Notably, considering the perspective of Sayre the business and public administration are similar in both important and unimportant aspects.
The similarities between public and business administration are distinct from the style of administering a private business. The first difference relates to the process of decision-making. Administering a business is unique because the aims focus on widening the profit margins (Waldo, 1952). For this reason, decision-making is monopolistic in a business. The employees in private business are accountable to the owners. The owners of the firm focus on maximizing profits. Therefore, the rules and regulations in the business focus the efforts of all the employees to the goals of the business.
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The owners of a business are figures of authority. The goal of most owners of the business is to utilize the capacities of the employees for maximum profits. However, the motives of a public administration distinguish it from a private business (Waldo, 1952). A public organization is concerned with the welfares of the public. The management of a public organization is accountable to the entire public. In contrast, business owners utilize egalitarian approach in the administration of the firm. For this reason, the similarities between private and civil service are distinct from administering a business.
Waldo, D. (1952). Development of theory of democratic administration. American Political Science Review , 46 (01), 81-103.