Difference Between Management And Administration Essay Help

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Administration vs Management

It may appear that both the terms, namely administration and management are connotative of one and the same meaning, but there is actually some kind of difference between the two.  Administration is the science of determining the policies and objectives of an organization or a firm, where as management is the act of putting into practice the policies and objectives framed by the administration.

It can thus be said that administration is a determinative function whereas management is executive function.  It is executive in the sense that it executes the objectives and policies that are already framed by the administration and included in the constitution.  Top level activity controls an administration where as middle level activity controls a management.  Administration comprises of top level personnel that have contributed to the capital, that are partners of the firm or the organization.  Management comprises of a group of managers that exhibit their skill in putting into practice the objectives of the organization.  In short it can be said that the management is directly under the control of administration or the administration controls the management.

A management would survive only if the administration is satisfied by its academic show.  Hence management should strictly comprise of talented managers that show their dexterity in translating into practice what the administration expects of them.  Planning is the key factor of an administration whereas motivation is the key factor of a management.  It is important to note that administrative handles the most vital aspect of an organization, namely, finance.  Administration organizes resources so as to use them to fulfill their mission.  Management does not handle the sensitive issue of finance but does handle the method of operation to carry out the strategy of the administration.

It is the administration that takes vital decisions of an organization whereas management is not authorized to take vital decisions of an organization but can take decisions within a certain framework, by the approval of the administration.  Administration is made of administrators whereas management is made of managers.  Administrators are found only in government, religious, military and educational organizations, whereas managers are found in business firms only.  The relationship between administration and management is that management is construed to be a subset of administration in the sense that everything management does gets included in the administration.  Everything a management achieves gets included in the administration and everything a management fails to achieve also gets included in the administration.  In fact it would be appropriate to say that a managerial failure is actually an administrative failure.  A managerial success is an administrative success too.

The major differences between administration and management can be summed up as follows:

Administration frames the objectives and policies of an organization, whereas management does work hard to put into practice these policies and objectives.

Administration is determinative in character while management is executive in character.

Administration is the body that takes vital decisions of an organization, whereas management too takes decisions, but confines them to a certain framework only.

Administrators are found in government, educational and religious bodies whereas managers are found in business firms.

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"Difference Between Administration and Management." DifferenceBetween.Com. December 11, 2010. < http://www.differencebetween.com/difference-between-administration-and-management/ >

Filed Under: GeneralTagged With: administration, determinative function, executive function, management

Simply put, management can be understood as the skill of getting the work done from others. It is not exactly same as administration, which alludes to a process of effectively administering the entire organization. The most important point that differs management from the administration is that the former is concerned with directing or guiding the operations of the organization, whereas the latter stresses on laying down the policies and establishing the objectives of the organization.

Broadly speaking, management takes into account the directing and controlling functions of the organization, whereas administration is related to planning and organizing function.

With the passage of time, the distinction between these two terms is getting blurred, as management includes planning, policy formulation, and implementation as well, thus covering the functions of administration. In this article, you will find all the substantial differences between management and administration.

Content: Management Vs Administration

  1. Comparison Chart
  2. Definition
  3. Key Differences
  4. Conclusion

Comparison Chart

Basis for ComparisonManagementAdministration
MeaningAn organized way of managing people and things of a business organization is called the Management.The process of administering an organization by a group of people is known as the Administration.
AuthorityMiddle and Lower LevelTop level
RoleExecutiveDecisive
Concerned withPolicy ImplementationPolicy Formulation
Area of operationIt works under administration.It has full control over the activities of the organization.
Applicable to Profit making organizations, i.e. business organizations.Government offices, military, clubs, business enterprises, hospitals, religious and educational organizations.
DecidesWho will do the work? And How will it be done?What should be done? And When is should be done?
WorkPutting plans and policies into actions.Formulation of plans, framing policies and setting objectives
Focus onManaging workMaking best possible allocation of limited resources.
Key personManagerAdministrator
RepresentsEmployees, who work for remunerationOwners, who get a return on the capital invested by them.
FunctionExecutive and GoverningLegislative and Determinative

Definition of Management

Management is defined as an act of managing people and their work, for achieving a common goal by using the organization’s resources. It creates an environment under which the manager and his subordinates can work together for the attainment of group objective. It is a group of people who use their skills and talent in running the complete system of the organization. It is an activity, a function, a process, a discipline and much more.

Planning, organizing, leading, motivating, controlling, coordination and decision making are the major activities performed by the management. Management brings together 5M’s of the organization, i.e. Men, Material, Machines, Methods, and Money. It is a result oriented activity, which focuses on achieving the desired output.

Difference Between Management and Administration

Definition of Administration

The administration is a systematic process of administering the management of a business organization, an educational institution like school or college, government office or any nonprofit organization. The main function of administration is the formation of plans, policies, and procedures, setting up of goals and objectives, enforcing rules and regulations, etc.

Administration lays down the fundamental framework of an organization, within which the management of the organization functions.

The nature of administration is bureaucratic. It is a broader term as it involves forecasting, planning, organizing and decision-making functions at the highest level of the enterprise. Administration represents the top layer of the management hierarchy of the organization. These top level authorities are the either owners or business partners who invest their capital in starting the business. They get their returns in the form of profits or as a dividend.

Key Differences Between Management and Administration

The major differences between management and administration are given below:

  1. Management is a systematic way of managing people and things within the organization. The administration is defined as an act of administering the whole organization by a group of people.
  2. Management is an activity of business and functional level, whereas Administration is a high-level activity.
  3. While management focuses on policy implementation, policy formulation is performed by the administration.
  4. Functions of administration include legislation and determination. Conversely, functions of management are executive and governing.
  5. Administration takes all the important decisions of the organization while management makes decisions under the boundaries set by the administration.
  6. A group of persons, who are employees of the organization is collectively known as management. On the other hand, administration represents the owners of the organization.
  7. Management can be seen in the profit making organization like business enterprises. Conversely, the Administration is found in government and military offices, clubs, hospitals, religious organizations and all the non-profit making enterprises.
  8. Management is all about plans and actions, but the administration is concerned with framing policies and setting objectives.
  9. Management plays an executive role in the organization. Unlike administration, whose role is decisive in nature.
  10. The manager looks after the management of the organization, whereas administrator is responsible for the administration of the organization.
  11. Management focuses on managing people and their work. On the other hand, administration focuses on making the best possible utilization of the organization’s resources.

Conclusion

Theoretically, it can be said that both are different terms, but practically, you will find that the terms are more or less same. You would have noticed that a manager performs both administrative and functional activities. Although the managers who are working on the topmost level are said to be the part of administration whereas the managers working on the middle or lower level represents management. So, we can say that administration is above management.

Filed Under: Business

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