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…
Difference between Management and Administration
These days there is no particular distinction made between the two departments, as a lot of roles are common between the two. However, we are presenting fine points of differences between the two:
What’s Management?
Management – As the word suggests, ‘Management’ means to manage. It is both managing things and people. HR Management has always been a very important aspect in any entity. If we take management of Human Resources as an example to study our topic, we can understand that HR Management involves a lot of things. It includes hiring of best suited personnel, their training and overall development, including soft skills development, posting them on the right team for the right projects, observing their performance, keeping a check for promotions and increments, and always working for improving them. Thus, we can understand by this single example that how important management is for any organization. We can also analyze that the role of Management is to properly manage. But the instructions regarding the upcoming projects, approval or disapproval of projects, are not included in the definition of Management. These are covered by another Higher Authority called the Administration Department.
What’s Administration?
Administration is basically the Art of Administering things. It is basically running the Business. The owners of the Entity are generally the part of the Administration Team. The motto behind their efforts is to achieve huge returns on the capital investments made by them. Mostly, the word Administration is mentioned as regards to the Administration of the Government, Managing the Public Affairs, etc. Their Role is to formulate policies and just overview their Performance. They are the people who are actually behind the Growth & Expansion of any business. They get their strategies and policies implemented with the help of Managerial Staff. It is only with the proper co-ordination between these two Departments – Management & Administration, can a task be accomplished successfully.
Key Differences Between Management and Administration
Management is the process of managing the activities in efficient and effective way for the achievement of certain goals of enterprise. On the other hand administration is the process of determining goals or objectives and policy of enterprise in systematic wayAdministration deals with the activities of higher level/top level: setting up of objectives and crucial policies of the organizationManagement involves conceiving, initiating and bringing together the various elements: coordinating, actuating, integrating the diverse organizational components while sustaining the viability of the organization towards some pre-determined goalsIn short, it is the act or function of putting into practice the policies and plans decided upon by the administrationThe purpose of management is to achieve the pre-determined goals of organization in the most economic way. On the other hand the purpose of administration is to determine the goals, objectives, plans and policies of organizationManagement decides, who will take responsibility for doing the various activities towards the attainment of pre-determined goals in proper way. On the other hand administration decides what activities will be done and when it will be done by means of management functions.
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