Administration Vs Management

There are many factors according to which administration can be distinguished from management. These are as follows:

i) Meaning

Administration: It is concerned with formulation of broad objectives, plans & policies.

Management: Management is an art of getting things done through others by directing their efforts towards achievement of pre-determined goals. It puts into action the policies and plans laid down by the administration.

ii) Nature

Administration: Administration is a decision-making function.

Management: Management is an executing function.

iii) Scope

Administration: It takes major decisions of an enterprise as a whole.

Management: It takes decisions within the framework set by the administration.

iv) Process

Administration: Administration decides what is to be done & when it is to be done.

Management: Management decides who should as it & how should he dot it.

v) Function

Administration: Planning and organizing functions are involved in it.

Management: Motivating and controlling functions are involved in it.

vi) Skills

Administration: It needs administrative rather than technical abilities. Administration handles the business aspects such as finance.

Management: It requires technical activities. Management handles the employers.

vii) Level

Administration: It is a top-level activity.

Management: It is a middle level activity.

viii) Influence

Administration: The administration is influenced by public opinion, govt. policies, religious organizations, customs etc.

Management: The management decisions are influenced by the values, opinions, beliefs & decisions of the managers.

ix) Status

Administration: Administration represents owners of the enterprise who earn return on their capital invested & profits in the form of dividend.

Management: Management constitutes the employees of the organization who are paid remuneration (in the form of salaries & wages).