Management vs Administration:
The main difference between management and administration is that the management has the objective of implementing policies and strategies, while the administration determines the goals and important policies for the company.
Management: The word “management” is derived from the word “man”, which means “hand-to-hand” Inspire and control management tasks as well as focus on technical skills and human resources skills. It is an art of managing employees and their work. Management is a dynamic process that involves various elements and actions. These actions are different from operative functions such as marketing, finance, purchasing etc. Many experts have classified management tasks, management is the most widely accepted action plan, organizing, staffing, direction, and control. Management is inferior to a mid-level activity and administration. It belongs to the staff.
Administration: The word “administration” is derived from the word “minor” and “minister”, which signifies “to serve” and “to govern” accordingly. The administration includes persons who are the partners or owners of their company. They typically invest in the company’s funds and earn profit or profit on their investment. The principal administrative purpose is managing the business aspects of the company, such as financing. Other administrative purposes generally include planning, organizing, staffing, directing, budgeting, and control. The administration should include vision and leadership to manage resources and people to meet general goals and goals for the company.
Also read | Roles of management
Comparison Chart Management vs Administration
|Meaning||An organized way of managing a business organization and things is called management.||The process of administering an organization by a group of people is known as the Administration.|
|Focus on||The management focuses on managing people and their work||Administration focuses on making best possible allocation of limited resources|
|Applicable to||Management is applicable to profit making organizations, i.e. business organizations||Administration is applicable to non-profit making organization, i.e. government offices, military, clubs, hospitals, religious and educational organizations|
|Key person||In an organization the manager is the key person for management||The administrator is the key person for administering of an organization|
|Concerned With||Management is concerned with making plans and performing tasks||The administration is concerned with determining policies and determining objectives|
|Area of operation||Management works under the administration of an organization||Administration has full control over all the activities of the organization|
|Authority||Management has middle level and lower level authority||Administration has top level authority|
|Function||The function of management is executing the plans and governing the organization||The function of administration is legislative and determinative of organization|
|Represents||Management represents the employees, who work for remuneration in an organization||The administration represents the owner, who receives the return on capital invested by him in an organization|
|Decides||Management decides who will do the work?|
And how will it be done?
|Administration decides what should be done? |
And When is should be done?
Also read | Functions of management
Key difference between management and administration:
- Management is an activity of business and functional level, whereas administration is a high-level activity.
- The administration defines a group of people as a function to administrate the whole organization. Whereas management is a system of management of people and things within the organization.
- The administration focuses on organizing the organization’s best possible use. On the other hand, management focuses on the management of people and their work.
- The administrator is responsible for the administration of the organization, while the manager takes care of the management of the organization.
Also read | Nature of management
- Administration, whose role is crucial in nature. On the contrary, management plays an executive role in the organization.
- Management functions are executive and governing. On the contrary, the functions of the administration include legislation and determination.
- The administration is concerned with determining policies and determining objectives. But, management is all about the plans and the tasks.
- The decision takes place under the limits set by the management administration. While the administration takes all the important decisions of the organization.
- The administration searches for government activities and hospitals, clubs, military offices, religious organizations, and all non-profit enterprises. On the contrary, management can look at business enterprises like beneficial organizations.
Also read | Management process
- Administration represents the organization’s owners. On the other hand, a group of individuals, who know the organization’s employees as collective management.
- Management is a mid-level executive authority and is responsible for the execution of policies and goals set by the administration. On the other hand, the administration is at the top level of the organization with important functions. They are responsible for determining business or company policies and objectives.
Also read | Importance of management