What Is the Distinction Between Management and Administration

Topics: Management, Organization, Decision making Pages: 4 (1103 words) Published: May 9, 2013
Distinction of administration and management
Management (BS201)
Simplex @2012




As an opening point in an attempt to distinguish administration and management, administration has been defined by Theo Haimann as the overall determination of policies, setting of major objectives, the identification of general purposes and laying down of broad programmes and projects. Management has been defined as the process of planning organising directing and controlling to accomplish organisational objectives through the coordinated use of human and material resources. Administration and management can also be distinguished by the following aspects which include nature of work, types of functions scope, level of authority nature of status, main functions, skills/abilities, decision making among others. However in light of all these differentiating factors above some authors still insists that there is no difference between management and administration thus the words can be used interchangeably. For the basis of comparison I have chosen a public company. Firstly administration being viewed as a group of people consists of owners who invests capital and receive profits from an organisation i.e. shareholders in a public company and to the contrary management viewed as a group of people represents managerial personnel who use their specialised knowledge to fulfil the objectives of an organisation and are paid for their services i.e. Board of directors. Moreover, on nature of work performed by the two, administration is concerned about determination of specific objectives and major policies and lays down the broad areas within which those objectives are to be achieved whilst management is concerned with putting into action the broad policies and plans laid Simplex @2012 Page 2

down by the administration. For example in a public company shareholders makes major decisions at annual general meetings and management will latter on...
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