Question 1(a) · 10 marks · 246 words written
Opening · a definition
'Publicness' of public sector indicates the dealings of the public sector with common man. The funds being utilised by the public sector is public money. The stakes held by government in it are public since it involves public money. The money collected from public in lieu of taxes is public money. Government stands custodian of the money.
Because of huge burden on the public sector, due to diversified roles adopted by them, there has been an increasing tendency to outsource certain public services to private sector.
This has led to blurring of lines as seen:
Body · points and prose
→ private sector implements all back end technological solutions of government schemes system. → they are at times first point of contact in the provision of service.
Positive fallouts: → rising efficiency → faster decision making → streamlining of jobs → better record keeping e.g. - SAP system implemented by HCL and others has helped streamline procurement activities in many Public Sector Units (e.g - SAIL)
Negative fallouts: → private sector is driven by profit motives rather than public interest → lack of display of empathy to vulnerable sections. → not lending a helping hand to the poor
Close · a way forward
Though privatization of certain services can bring about efficiencies, but it should be rationalized. It should not divulge core activities which deals with most vulnerable people. Else the indifferent attitude of private sector, may lead to loss of trust of public on governance. This would defeat the very purpose of privatizing certain services.