Monday 18 July 2011

What is the difference between management and administration?

There are many factors according to which administration can be distinguished from management. These are as follows:
Basis of difference Administration Management
Nature of work It is concerned about the determination of objectives and major policies of an organization. It puts into action the policies and plans laid down by the administration.
Type of function It is a determinative function. It is an executive function.
Scope It takes major decisions of an enterprise as a whole. It takes decisions within the framework set by the administration.
Level of authority It is a top-level activity. It is a middle level activity.
Nature of status It consists of owners who invest capital in and receive profits from an enterprise. It is a group of managerial personnel who use their specialized knowledge to fulfill the objectives of an enterprise.
Nature of usage It is popular with government, military, educational, and religious organizations. It is used in business enterprises.
Decision making Its decisions are influenced by public opinion, government policies, social, and religious factors. Its decisions are influenced by the values, opinions, and beliefs of the managers.
Main functions Planning and organizing functions are involved in it. Motivating and controlling functions are involved in it.
Abilities It needs administrative rather than technical abilities. It requires technical activities.

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