Exploiting (and Rewarding) Merit
The major difference between the public and the private sector is that private entrepreneurs recognize merit as the touchstone for success, in the public sector (as in bureaucracy) merit can often be a disqualifier. Public sector can be roughly equated to a hereditary monarchy, with heritage, nepotism and favoritism the prime ingredients for career advancement. While the private sector is not completely free from the use of connections and influence for being upwardly mobile, merit commands far more weightage in rewarding performance. The major reason for privatization and denationalization is to provide better management, inculcating corporate culture dedicated to cost-effectiveness devoted to a positive balance sheet, in effect more (profit) for less (overheads).
