Characteristics of Privatisation rolled out by the Ministry of Municipality in Kingdom of Saud Arabia: A case study about the perceptions of privatisation by employees of Riyadh Municipality

Abstract

The purpose of the study was to examine the perception of privatization in the Kingdom of Saudi Arabia (KSA). The study was aimed at addressing three main objectives, including the perception of privatization in the public sector, models of privatization, and the usefulness of privatization, specifically in the KSA. To achieve these objectives, the researcher used a mixed research method, which included qualitative and quantitative approaches. Both questionnaires and interviews were used to collect data from 100 participants who were selected through a purposive sampling technique. However, only four participants were interviewed to give additional information to help in addressing the research objectives. Additionally, both statistical and thematic data analysis techniques were used to analyse the collected data. The study revealed that there are mixed reactions concerning the perception of privatisation. The perception that privatisation improves the efficiency of public entities is creating the view that the process is beneficial to the public. The negative perception is linked to the negative effects of privatisation such as job loss. Also, the study found that there are various models of privatisation, including full and partial privatisation, as well as collaboration between the private and public sectors. The main benefits that privatization, according to the findings of the study include improved efficiency, economic diversification and growth, and increased competition, which is beneficial to consumers. The need to enhance efficiency and financial pressure are the main factors that are driving privatisation in the KSA. The study concluded the privatisation is beneficial, even though it can result in some negative effects.