Managerial Objectives in the Management Contracts in Municipal Companies

Abstract

The main aim of the article is to present the essence of management objectives and the issues formulating them in contracts for providing services in the management of municipal companies. The reasons for exploring the subject are legal changes regarding the principles of remunerating members of the state treasury and territorial self-government units, and their impact on the ownership supervision mechanism. Based on the analysis of legal acts, the literature on the subject, and personal observations, the author stated that formulating management objectives is a new phenomenon in the practice of organizing and managing municipal companies. Problems with specifying the objectives emphasize the importance of supervisory authorities in controlling, motivating, and disciplining management to achieve public aims.