Administration vs Management
Although it seems as if administration and management actually refer to the same thing, there are differences between the meanings of the two words. Administration refers to the science of managing a firm or an organization by setting up the policies and the objectives for the operation. Management is the act of putting these policies and objectives into practice. This means that those in administration are higher up than those in management.
Another way to look at the difference between administration and management is to say that administration has a determinative function in an organization but management is more of an executive function. It is the job of management to carry out the decisions made by the administration. In a firm, the administration usually consists of the owners and partners – those who have contributed in a major way to the overall development and set up. Management in a firm refers to a group of people who have shown that they had exceptional leadership skills and are well able to put the objectives into action. The administration controls the management.
Those in a position of management are hired by the administration and they stay in this position only as long as they adhere to the policies of the administration. The planning is the main job of the administration and it is up to the management to motivate the employees to act in a way that is in keeping with the policies and strategies that the administration plans. Administration also handles the finances of the firm or organization and it is the job of those in this position to organize the resources of the firm. It is up to management to make sure that the strategies of the administration are carried out in the proper manner.
Management does not have the authority to make vital decisions or to take decisive action without prior approval from the administration. Generally, you will find administrators in certain organizations, such as military, education, religious and government. Managers are mainly found in the business world.
Management is a subset of the administration and every action that managers take, whether it is right or wrong, is reported to the administration.
Summary
- Administration frames the policies and the objectives; management puts them into practice.
- Administration is determinative: management is executive.
- Administration is the decision making body
- Managers are found in business; administrators are found in educational, religious, military and governmental organizations.