Problems of public sector enterprises

It is often seen that the estimates for starting projects under public sector generally under- estimated and it takes longer period to established them because of need for more funds at later stage.

Since public sector enterprises are somewhat liberal in extending welfare benefits to their employees, this adds to their expenditure and cost of production

Because of faulty planning and wrong production targets, the production capacities are not utilized fully.

There is poor manpower planing.

Since these enterprises use outdated methods of recruitment and training, there is poor personnel management in the public sector.

Utilities of public use like railways, road transport, posts and telegraphs, ports, power and irrigation projects.

Departmental undertakings like Chitranjan Locomotive works, the integral coach factory, perambur and various defense production establishment.

Industrial and commercial organization which are run with the finance by center or the state governments by way of equity capital or loans

State trading corporation, metals and minerals trading corporation, tea trading corporation. Export credit and guarantee corporation and trade fair authority