Difference between Management and Administration
Key difference: Administration frames the objectives and policies of an organization. Management implements these policies and objectives.
Management and administration are at times used interchangeably; however, they are two different levels of the organization. The administration is the top level of the organization with the decisive functions. They are responsible for determining the policies and objectives of the organization or the firm. Management, on the other hand is the middle level executive function. They implement the policies and objectives as decided by the administration.
The administration includes the people who are either owners or partners of the firm. They usually contribute to the firm’s capital and earn profits or returns on their investment. The main administrative function is handling the business aspects of the firm, such as finance. Other administrative functions usually include planning, organizing, staffing, directing, controlling and budgeting. Administration must integrate leadership and vision, to organize the people and resources, in order to achieve common goals and objectives for the organization.
Management usually incorporates the employees of the firm who use their skills for the firm in return for remuneration. Management is responsible for carrying out the strategies of the administration. Motivation is the key factor of a management. Management must motivate and handle the employees. It can be said that management is directly under the control of administration.
Further comparison between management and administration:
|
Management |
Administration |
Definition |
Art of getting things done through others by directing their efforts towards achievement of pre-determined goals. |
Formulation of broad objectives, plans & policies. |
Nature |
executing function, doing function |
decision-making function, thinking function |
Scope |
Decisions within the framework set by the administration. |
Major decisions of an enterprise as a whole. |
Level of authority |
Middle level activity |
Top level activity |
Status |
Group of managerial personnel who use their specialized knowledge to fulfill the objectives of an enterprise. |
Consists of owners who invest capital in and receive profits from an enterprise. |
Usage |
Used in business enterprises. |
Popular with government, military, educational, and religious organizations. |
Influence |
Decisions are influenced by the values, opinions, beliefs and decisions of the managers. |
Influenced by public opinion, government policies, customs etc. |
Main functions |
Motivating and controlling |
Planning and organizing |
Abilities |
Handles the employees. |
Handles the business aspects such as finance. |
Comments
well explanation..thanx...
now i am get at the bottom of these confusing terms...
azmat
Tue, 04/14/2015 - 16:53
it is an simpliest and excellent explanation. it was very usuful to my exams
kotcherla suresh
Tue, 04/14/2015 - 11:22
really nice and easy to understand.
kumhar bilal
Thu, 04/09/2015 - 14:31
well explained and summarised
paul mukonza
Mon, 03/30/2015 - 12:08
I could not make the difference between the two concepts during my lecture but the article is brief and useful.
Ayari Gorden
Fri, 03/20/2015 - 08:11
Thanks..it is the best explanation
pradeep
Fri, 02/13/2015 - 00:35
thanxx guyzzz its very helpful
deepak
Sun, 12/14/2014 - 12:02
Thank u so much
aseem pathak
Fri, 12/12/2014 - 05:57
thnks its very hlp ful 4 my exm.
unnikarishnan.s
Fri, 12/05/2014 - 11:17
thank you,well summarized and very helpful
maina g
Thu, 11/27/2014 - 18:31
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