Public Sector Economy in Management Practice

There is an ambiguous relation as far as management and economy in public sector are concerned. Using the example of British army, the author explains the roots and consequences of changes in the field of source management and compares collected results with the situation in the CR. Both public sector and the Army of the Czech Republic (ACR) are administratively ordered and controlled and meeting the army goals that are not conditioned by economy results. The accounting books do not offer true picture of army possession and properties, among others because the current accountancy system that is not able to classify individual operations, military goals are not measurable. He proposes to set an array of fixed rules to identify ACR economical effectivity.

Keywords: armed forces of the czech republic,management,resource management,state administration,strategic management,public sector