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Administration and Management

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The Difference Between Administration and Management Is Important

Confusion with Administration and Management Titles

The terms “administration” and “management” are confused or interchanged with abandon in most cases. However, they are quite different in the real world of business. This confusion could hamper your career development if you do not understand the difference.

Both functions, while important, have crucial differences. Target your career in the one that interests you. First, you should know the difference to establish a successful career track.

Differences Between Administration and Management

Administration:

  • Determines major policies, not procedures.  Policies are often given to management to create the procedures to implement.
  • Prescribes functions.  Adopt job descriptions, organizational structure and specific functions for organizational titles.
  • Makes major decisions.  Issues affecting the overall organization and its direction are made by the administration.
  • Performs top level activities.  Those duties and activities that affect the company operationally and financially are the purview of administration.
  • Involves owners and major investors with capital at risk.  The Board of Directors and/or primary investors are responsible for determining the direction of the organization since they have the most at risk.
  • Defines “managers” in government, military, education and religious organizations.  In these industries, the term administration or administrator often means management and managers.
  • Seldom concerned with directing the human element, implementing plans, procedures and policies.  Staff building and direction is typically left to managers who must motivate and direct the compensated employees.


Management:

  • Executes major policies.  Managers put administration policies into action. They are able to explain to and motivate staff to perform correctly and at high levels, following administrative policies as written in both letter and spirit.
  • Performs some administrative functions.  Management often performs some of the responsibilities of the administration at the administrators’ desire. When asked, good managers willingly accept this responsibility and learn how to both think and act like administrators.
  • Executes administration decisions.  Execution and implementation of all administration plans, major and minor, are the responsibility of management. The best managers develop the ability to execute and implement administration decisions and policies exactly as desired.
  • Performs mid-level activities.  Mid-level responsibilities involve more than doing. These duties involve command, motivate and control, but typically not strategic planning.
  • Perfects and supports skills.  Once again, the human element is the critical factor for managers, but not for administration.
  • Concentrates on employee implementation and perfection of strategic, operating and other action plans.  Motivation and inspiration are the most important skills of effective managers. Ordering staff to implement administration plans and motivating employees to execute them properly are very different situations. High-level management develops the skills necessary to inspire staff to take pride in their work and implement plans in the challenging day-to-day operational world to the best of their abilities.
  • Runs the business of business.  Day-to-day operations are the lifeblood of a successful company and managers are the prime component in running a business. The administration may create fabulous strategic plans and make major organization decisions., but without competent management, many of these plans and decisions would go unimplemented. Without effective implementation, the most wonderful, creative and ground breaking decisions are useless.


If you are working in a for-profit business or industry, you are probably classified as a manager. You interrelate with, motivate and supervise people. Regardless of the technological superiority at your company, the people make it happen. And it’s you who helps the people achieve administration goals.

You may be involved in making company policy and operational decisions, but managers are also responsible for implementing these administration decisions and policy. Unless you are on the Board of Directors, your professional career is dependent on the implementation function. Perform it well and you’ll be rewarded; fail and your career will be in jeopardy.

Unless your company uses these terms interchangeable, understanding the differences between administration and management might be critical to your professional future. Administration is more focused on control and the big picture while management requires implementation of administrative plans and directing the human element.

Staff and senior management will both appreciate a manager’s understanding this difference and becoming comfortable with diversity of opinions and focus. Experienced, successful managers will happily share their understanding of the value of this knowledge and how it has helped their employers and their own careers .