Relation 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.
Administration is defined as an act of governing 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. Management focuses on policy implementation; policy formulation is performed by
the
Administration.
4. Functions of administration include legislation and determination. 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 called
Management. Administration represents the owners of the organization.
7. Management can be seen in profit making organizations like business enterprises.
Administration is found in government and military offices, clubs, hospitals, religious
organizations and all non-profit making enterprises.
8. Management is all about plans and actions, but Administration is concerned with
framing
policies and setting objectives.
9. Management plays an executive role in the organization. Administration’s 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. Administration focuses on
making the best possible utilization of the organization’s resources.
The differences between Management and Administration can be summarized under
two
categories: -
1. Functions
2. Usage / ApplicabilityManagement (22509)
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On the Basis of Functions: -
Basis
Management
Administration
Meaning Management is an art of getting things
done through others by directing their
efforts towards achievement of pre
determined goals.
Administration is concerned with
formulation of broad objectives,
plans & policies.
Nature
Management is an executing function.
Administration is a decision-making
function.
Process
Management decides who should do the
activities assigned by Administration&
how he should do them.
Administration decides what is to be
done & when it is to be done.
Function Management is a doing function because
managers get work done under their
supervision. It is productive.
Administration is a thinking
function because plans & policies
are determined under it. It is non
productive.
Skills
Mainly requires technical and human
skills
Mainly requires conceptual and
human skills
Level
Middle & lower level function
Top level function
On the Basis of Usage: -
Basis
Management
Administration
Applicability It is applicable to business concerns i.e.
profit-making organization.
It is applicable to government, military
organizations, schools, hospitals etc.
Influence
Management decisions are influenced
by the values, opinions, beliefs &
decisions of the managers.
Administration is influenced by public
opinion, govt. policies, religious
organizations, customs etc.
Status
Management constitutes the employees
of the organization who are paid
remuneration (in the form of salaries &
wages).
Administration represents owners of the
enterprise who earn return on their capital
invested & profits in the form of [Link] (22509)
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1.3 Functions of Management
There are basically five primary functions of management.
Figure 7 Functions of Management
1. Planning
It is the first step of management function.
Planning is deciding in advance what to do, how to do, when to do, who will do and
where to do.
Planning is essential for utilizing all available resources in the best way to achieve
goals, to develop and establish the enterprise.
It is a process by which a manager anticipates the future and discovers alternatives
to
get the work done. Then he decides how best to achieve goals, profit and applying
best
strategies.
Without proper planning, the activities of the enterprise will become confused and
ineffective.
2. Organizing
Organizing is the second function of management. It follows planning. It is the
process
by which structure and allocation of jobs is done.
Organizing refers to the relationship between people, work and resources to achieve
goals.
This involves dividing the work into convenient tasks, and grouping them properly
into departments and sections. Then the jobs are allotted to proper people with the
necessary amount of authority and responsibility.
3. Staffing
Staffing is a process of recruitment, selection, acquiring, training, appraising
employees. It is a continuous process.
Employees are the most important resources of any organization. The right staff is
very important for a company because they can change and ensure the organization’s
success.