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Difference between management and administration

In a nutshell, the management it can be understood as the ability to get the job done by others. Not exactly the same administration, which alludes to an effective management process for the entire organization. The most important point that differentiates management from administration is that the former deals with directing or guiding the operations of the organization, while the latter emphasizes the definition of policies and the definition of the organization's objectives.

In general, the management takes into account the management and control functions of the organization, while the administration is related to the planning and organization function.

Over time, the distinction between these two terms is blurring, as management also includes planning, policy formulation and implementation, thus covering administrative functions. In this article you will find all the substantial differences between management and administration.

Comparative chart

Basis for comparison Management Administration
Sense Management is an organized way of managing the people and things of a business organization. The process of managing an organization by a group of people known as Administration.
authority Middle and lower level Upper level
Role Executive Decisive
Concerned with Policy implementation Policy formulation
Operation area It works under administration. Has full control over the organization's activities.
Applicable to Profit organizations, namely business organizations. Government offices, military offices, clubs, commercial enterprises, hospitals, religious and educational organizations.
decides Who will do the job? And how will it be done? What should be done? And when should it be done?
Work Put plans and policies into action. Formulation of plans, definition of policies and definition of objectives
Focus on Work management Make the best possible allocation of limited resources.
Key person Manager Administrator
represents Employees, who work for remuneration Owners, who get a return on the capital invested by them.
Function Executive and housekeeper Legislative and decisive

Definition of management

Management defined as an act of managing people and their work, to achieve a common goal using the resources of the organization. Create an environment in which the manager and his subordinates can work together to achieve the group goal. a group of people who use their skills and talents to manage the organization's complete system. an activity, a function, a process, a discipline and much more.

Planning, organizing, guiding, motivating, controlling, coordinating and making decisions are the main activities carried out by management. The management brings together 5M of the organization, that is men, materials, machines, methods and money. a result-oriented activity that focuses on achieving the desired output.

Difference between management and administration

Definition of administration

Administration is a systematic process of managing the management of a business organization, an educational institution such as school or college, government office or any non-profit organization. The main function of the administration is the formation of plans, policies and procedures, the definition of objectives and objectives, the application of rules and regulations, etc.

Administration defines the basic structure of an organization within which the management of the organization functions.

The nature of bureaucratic administration. This is a broader term as it involves forecasting, planning, organization and decision-making functions at the highest level of the company. Administration represents the top layer of the organization's management hierarchy. These top tier authorities are the owners or business partners who invest their capital in starting the business. They receive their profits in the form of profits or dividends.

Key differences between management and administration

The main differences between management and administration are shown below:

  1. Management is a systematic way of managing people and things within the organization. Administration defined as an act of administration of the entire organization by a group of people.
  2. The management of a business and functional level, while the administration of a high level activity.
  3. While management focuses on policy implementation, policy formulation is performed by the administration.
  4. Administration duties include legislation and determination. Conversely, the management functions are executive and governmental.
  5. The management makes all the important decisions of the organization while the management makes the decisions under the limits established by the management.
  6. A group of people, who are employees of the organization, collectively known as management. On the other hand, the administration represents the owners of the organization.
  7. Management can be seen in profitable organization as commercial enterprises. Conversely, the administration is located in government and military offices, clubs, hospitals, religious organizations and in all non-profit enterprises.
  8. The management entirely on plans and actions, but the administration deals with the definition policies and the definition objectives.
  9. Leadership plays an executive role in the organization. Unlike the administration, whose decisive role in nature.
  10. The manager is responsible for managing the organization, while the administrator is responsible for administering the organization.
  11. Management focuses on managing people and their work. On the other hand, the administration focuses on the best possible use of the organization's resources.


In theory, both can be said to be different terms, but in practice, you will find that the terms are roughly the same. You would have noticed that a manager performs both administrative and functional activities. Although managers who work at the highest level are considered part of the administration while managers who work at the middle or lower level represent management. So, we can say that the administration above the management.