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10232 Objectives of Management

The main objectives of management are: Getting Maximum Results with Minimum Efforts – The main objective of management is to secure maximum outputs with minimum efforts & resources. Management is basically concerned with thinking & utilizing human, material & financial resources in such a manner that would result in best combination. This combination results in […]

10723 Principles of Scientific Management

Development of Science for each part of men’s job (replacement of rule of thumb) This principle suggests that work assigned to any employee should be observed, analyzed with respect to each and every element and part and time involved in it. This means replacement of odd rule of thumb by the use of method of […]

12984 Criticism of Scientific Management

Although it is accepted that the scientific management enables the management to put resources to its best possible use and manner, yet it has not been spared of severe criticism. Workers Viewpoint Unemployment – Workers feel that management reduces employment opportunities from them through replacement of men by machines and by increasing human productivity less […]

10225 Management as an Art

Art implies application of knowledge & skill to trying about desired results. An art may be defined as personalized application of general theoretical principles for achieving best possible results. Art has the following characters – Practical Knowledge: Every art requires practical knowledge therefore learning of theory is not sufficient. It is very important to know […]

10230 Importance of Management

It helps in Achieving Group Goals – It arranges the factors of production, assembles and organizes the resources, integrates the resources in effective manner to achieve goals. It directs group efforts towards achievement of pre-determined goals. By defining objective of organization clearly there would be no wastage of time, money and effort. Management converts disorganized […]

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According to Theo Haimann, “Administration means overall determination of policies, setting of major objectives, the identification of general purposes and laying down of broad programmes and projects”. It refers to the activities of higher level. It lays down basic principles of the enterprise. According to Newman, “Administration means guidance, leadership & control of the efforts of the groups towards some common goals”.

Whereas, management involves conceiving, initiating and bringing together the various elements; coordinating, actuating, integrating the diverse organizational components while sustaining the viability of the organization towards some pre-determined goals.

In other words, it is an art of getting things done through & with the people in formally organized groups.

The difference between Management and Administration can be summarized under 2 categories: -

  1. Functions
  2. Usage/Applicability

On the Basis of Functions: -

BasisManagementAdministration
MeaningManagement is an art of getting things done through others by directing their efforts towards achievement of pre-determined goals.It is concerned with formulation of broad objectives, plans & policies.
NatureManagement is an executing function.Administration is a decision-making function.
ProcessManagement decides who should as it & how should he dot it.Administration decides what is to be done & when it is to be done.
FunctionManagement is a doing function because managers get work done under their supervision.Administration is a thinking function because plans & policies are determined under it.
SkillsTechnical and Human skillsConceptual and Human skills
LevelMiddle & lower level functionTop level function

On the Basis of Usage: -

BasisManagementAdministration
ApplicabilityIt is applicable to business concerns i.e. profit-making organization.It is applicable to non-business concerns i.e. clubs, schools, hospitals etc.
InfluenceThe management decisions are influenced by the values, opinions, beliefs & decisions of the managers.The administration is influenced by public opinion, govt. policies, religious organizations, customs etc.
StatusManagement constitutes the employees of the organization who are paid remuneration (in the form of salaries & wages).Administration represents owners of the enterprise who earn return on their capital invested & profits in the form of dividend.

Practically, there is no difference between management & administration. Every manager is concerned with both - administrative management function and operative management function as shown in the figure. However, the managers who are higher up in the hierarchy denote more time on administrative function & the lower level denote more time on directing and controlling worker’s performance i.e. management.

The Figure above clearly shows the degree of administration and management performed by the different levels of management

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