Management vs. Administration
What is Difference between Management and Administration? The terms management and administration are often used interchangeably, which is an error; since these concepts describe different levels of organization. If you do not know the difference between Management and Administration then, continue reading; because we will explain it to you.
Difference between Management and Administration
The administration is the superior level of organization of the decisive functions within an institution or company. It is responsible for determining the policies and objectives that must be met in order for everything to operate in the right way.
In the business context, management includes people who are the owners or partners of the firm, but also the rest of the staff. Generally, it contributes to the company obtaining more capital and achieving greater profits that guarantee the recovery of the investment.
In a general sense, the functions of administration include planning, organization, staffing, control and budgeting. It must integrate the leadership and vision of those at the top hierarchical scale to organize people and resources so that the common goals and objectives of the organization can be achieved.
Management has an intermediate level management role. It is responsible for implementing the policies and objectives of the organization, as determined by those in charge of administration.
From the above, it follows that management becomes part of the administrative process. This is done by the directors or the director of the institution and includes a wide variety of functions.
Through what has been determined through management, the manager (who is in charge of management), represents the whole set of elements that make up the business system (employees) and coordinates all resources (including humans) in a way to achieve the specific objectives that have been proposed.
Note: management should not be confused with management, since the second is a broader process and has more to do with the leadership of the one who is in charge of carrying it out.
Key Differences between Management and Administration
- The administration is in charge of the organization, planning and distribution of resources to achieve certain objectives; while management is concerned with the strategic organization of resources to achieve the objectives set by the administration.
- Management is more general than management. The latter is more restricted to the director of the organization.
- Management is a top-level activity, while management is mid-level.
- Management is used mostly in companies, while administration is employed in corporations, corporations, government, military, educational institutions, public organizations….
- The main functions of the management are to control and direct, while those of the administration are to plan and organize.