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Identify Savas Four strategies of privatization - Research Paper Example

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E. S. Savas, a renowned privatization advocate, views the act as a calculated measure to enhance public management (Holzer & Lee, 2004). This research paper provides…
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Identify Savas Four strategies of privatization
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Research Paper Task: The act of privatizing public enterprises is a step towards the realization of a better economic society. E. S. Savas, a renowned privatization advocate, views the act as a calculated measure to enhance public management (Holzer & Lee, 2004). This research paper provides Savas’ four philosophical approaches and strategies of how to achieve privatization. These include the load shedding approach, introduction of user charges, embracing competition among institutions and limiting government involvement in organizational arrangements (Holzer & Lee, 2004).
Introduction
There is no unanimous agreement on the set of words to define privatization. However, the word, in most cases, is associated with the ideological approach that involves the private sector, either partially or totally, to achieve public goals. E.S. Savas compares it to the exchange of roles between the government and the private segment (Hodge, 2006).
Savas’ strategies of privatization
Savas outlines various approaches through which government can implement privatization. Load shedding is one of the strategies. In this case, the government loses part or the whole of its ownership to private operators (Lawther, 2000). When left in the hands of the government, most of the enterprises become exploitive.
Application of user charges is another strategy. To improve the economic society, goods and services that are provided directly by the government can be subjected to such charges. This aims at disclosing the real costs of the goods and services preventing any inclusion of unwanted expenses (Kemp, 2007).
The third strategy is the introduction of competition. Most public sectors and cartels do not embrace competition which is, however, essential in improving public services. When there are various institutions interested in the same market, competition automatically arises (Otenyo & Lind, 2006). This gives customers a wide range of choice leading to appreciation of high quality products only.
Finally, another way to privatize enterprises is by limiting government involvement in business procedures such as by making grants through the private sector (Hodge, 2006). This simplifies the public’s effort to assess the growth and development projects.
Privatization of South Florida Prisons
Privatization is an essential practice in all aspects of life. In Florida, there has been continuous urge to privatize the prison system. Earlier this year, the state governor, showed deeper in implementing the same.
Legislators who pioneered this idea typically consulted the Savas’ privatization strategies. According to the department of corrections, the working conditions provided by the private operators to the inmates are far much better than the state does. This implies that government involvement in the prisons is reduced (Kemp, 2007).
In addition, competition is to be applied. When private operators get an opportunity to run prisons, the living standards of the inmates is expected to improve (Kemp, 2007). This is because only prisons that provide the favorable environment for the inmates will be accepted in the society and this is considered competition. Prisons will, therefore, provide better healthcares and sanitation.
CONCLUSION
Privatization, when properly implemented, acts as a sensible device to enhance the performance of the public sector in adopting market values and performing communal functions. Transforming a public outfit into a sovereign authority through any of the Savas’ strategies, improves public management (Hodge, 2006).
References
Hodge, G. (2006). Privatization and Market Development: Global Movements in Public Policy Ideas. Northampton, MA: Edward Elgar Publishing.
Holzer, M. & Lee, S. (2004). Public Productivity Handbook. Newyork, NY: CRC Press.
Kemp, R. (2007). Managing America’s Cities: a Handbook for Local Government Productivity. Jefferson, NC: McFarland.
Lawther, W. (2000). Privatizing Toll Roads: A Public Private Partnership. Newyork, NY: Greenwood Publishing Group.
Otenyo, E. & Lind, N. (2006). Comparative Public Administration: The Essential Readings. Bingley, BD: Emerald Group Publishing. Read More
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