Effective leadership in the public services is quite similar overall when compared to effective leadership in the private sector. Given the recent events and uncertainty of the global financial markets, this is also a relevant matter that merits discussion. In short, the two areas require leaders that need to be quite sensitive in how they set themselves up for success. Effective leadership in public services share several common components with the private sector; however, effective leaders within both categories may be driven by differing motivations.
In general, effective leaders in both the public and private sectors must create open channels and lines of communication, support their employees, and inspire innovation. These components, though they may not be apparent at first, must be entrenched within the culture of an organization or company to successfully meet goals and directives (Anderson, 2010). In today’s world, the operating environment is layered, to say the least. This results in a quick exchange of information, an instant availability of information and communication lines, a global connectedness, and many other positive outcomes. However, this also requires leaders, both in the public and private sectors, to be multi-faceted individuals that can keep up with rapidly changing landscapes.
When effective leaders create open lines of communication, support their employees, and inspire innovation, this presents a greater chance that more positive work output will flow from their employees. For example, when there are open channels of communication, ideas will flow quickly and effectively from those who are responsible for delivering, to the end users: customers/consumers in the private sector and elements in the public services (Lamo et al., 2012). Also, when employees are properly supported, they will carry out their work with greater passion and commitment to the organization, thus improving the overall efficiency of the organization. Additionally, when effective leaders inspire innovation and creativity, the organization will become a factory of ideas that will thus bolster and encourage the requirement for ongoing and essential change and advancement.
Though effective leaders in both the public and private sectors must possess many similar qualities to ensure the healthy functioning of an organization, how leaders motivate individuals and themselves may differ. In general, many public sector leaders are motivated by particular factors, such as job security and stability (Diefenbach, 2011). On the other hand, motivation in the private sector may arise from more financial incentives, more authority/autonomy in weighty decisions, and overall career progression (Lamo et al., 2012). Additionally, public services leaders may be effectively motivated by a greater number of intangible components, in comparison to private sector leaders. For example, intangible components for the public sector leaders may include the rewards of serving others, and the progression towards furthering a public cause (Agranoff, 2012). However, the financial rewards of the private sector seem to be paramount as far as motivating leaders and other individuals (Agranoff, 2012).
In summary, there are several qualities of effective leaders that can be found in both the public service and private sectors. These qualities of leaders may include the creation of open channels of communication, properly supporting individuals, and inspiring innovation: all of which ensure a successful operation of an organization. In spite of these similarities, there may be a distinction between the motivation styles between the two sectors. The public sector may rely more on intangible factors for motivating leaders, such as the rewards of helping others, whilst leaders in the private sector may rely more on the financial rewards and upwards progression in their career.
- Agranoff, R. (2012). Collaborating to manage: A primer for the public sector. Washington, DC: Georgetown University Press.
- Andersen, J.A. (2010) Public versus Private Managers: How Public and Private Managers Differ in Leadership Behaviour Public Administration Review January/February 2010.
- Diefenbach, F.E. (2011) Entrepreneurship in the Public Sector: When Middle Managers Create Public Value Springer Publications.
- Lamo, A., Perez, J.J. & Schuknecht ,L. (2012) Public or Private Sector Wage Leadership? An International Perspective, The Scandinavian Journal of Economics, Volume 114, Issue 1, March 2012.
