Difference between Management, Administration and Organisation

This article will help you to learn about the difference between management, administration and organization.

Difference between Management, Administration, and Organisation

Management

Management may be labeled as the art of getting work done through people, with satisfaction for employer, employees and the public.

For getting the work done (of an enterprise) through the efforts of other people, it is necessary to guide, direct, coordinate and control human efforts towards the fulfillment of the goals of the enterprise.

The goals of the enterprise are fulfilled through the use of resources like men, money, materials and machines.

Management may be called an Art as well as Science:

(a) Management has scientific basis because management techniques are susceptible to meas­urement and factual determination.

(b) Management is an Art because management means coordinating and getting work done through others.

Management is an executive function which actively directs human efforts towards common goals.

The main Characteristics of the management is to integrate and apply the knowledge and analytical approaches developed by numerous other disciplines.

Management does not frame policies, it only implements/executes the policies laid down by administration.

The functions of management are executive and largely governing.

Management is the servant of administration; it gets salary or a part of profit in lieu of its services.

Management requires technical ability to function properly.

Management uses organisation for achieving the goals of an enterprise.

Management is productive in character.

Planning, organising, staffing, motivation, directing, coordination and control are all functions of Management.

There are different levels in management i.e., top level and middle level management.

Administration

Any enterprise whether it is run for profit or not need be controlled.

The control of the enterprise is effected through Administration and Management.

Administration consists of deciding determination of the goals and policies of the enterprise.

Administration is concerned mainly with decision making, policy making and making necessary adjustments.

The three main elements of administrations are:

(i) The formulation of goals,

(ii) The choice of ways and means, and

(iii) The direction of the people in some group purpose.

Administration makes policies and decides the goals/targets to be achieved. It is not directly concerned with the implementation of policies.

The functions of administration are legislative and largely determinative.

Administration does not need technical ability.

It is not productive in character. Administration coordinates finance, production and distribution.

It frames the organisational structure and exercises control over the enterprise.

Administration is the master of industry. It relates to top-level management. Persons like owners or the Board of Directors are in charge of it.

An Administrator:

(a) Organises his own work and that of his subordinates;

(b) Delegates responsibility and authority; and

(c) Measures, evaluates and controls position activities.

Organisation

Organisation is the frame work of management. Organisation is the function of putting together the different parts of an enterprise into working order.

Organisation is a system,

It is a group of persons,

It is a structure of relationships among the individuals working together for a common goal.

Organization is concerned with the building, developing and maintaining of a structure of working relationships in order to accomplish the objectives of the enterprise.

Organisation means the determination and assignment of duties to individuals and also the establishment and the maintenance of authority relationships among the grouped activities.

Organising is the determining, grouping and arranging of the various activities deemed necessary for the attainment of the objectives:

(i) The assigning of people to those activities,

(ii) The providing of suitable physical factors of environment, and

(iii) The indicating of the relative authority delegated to each individual charged with the execution of each respective activity.