There can be a lot of confusion between the ‘administration’ and ‘management’ of businesses. In the practical world of business, they are very similar, and generally have identical functions and responsibilities. Many may think that administration is more about paper-pushing and clerical work, while management is more about authority and decision-making. However, unless clearly defined by a particular company, business management and administration are generally the same. You've likely noticed that some colleges offer a Bachelor of Business Administration (BBA) while others offer a Bachelor of Science (BS) in Business Management, sometimes called a Bachelor of Business Management. Is there a difference? How do you know which one is right for you?
A degree in business management tends to focus on the more authoritative aspects of business. Students learn how to plan business activities, organize departments and employees, run departments, and generally manage an organization. Students also learn about the various important elements of running a business, such as logistics, business communications and leadership skills. Business administration programs tend to be somewhat broader than business management programs, when there is any distinction at all. Students tend to continue the broad approach to learning about business that was begun in the core. A student may choose to focus on an area of particular interest such as accounting, finance or marketing, priming the student for a specific career area as opposed to a general management career.
Professionals in management are vital to any business or organization. These managers are relied upon to establish and implement policies, as well as strategies. Additionally, they are expected to help people involved in the organization, work for a common goal, in the most effective way possible. These professionals have studied management degree programs, which have helped them become effective managers.
Management degree programs prepare individuals for planning, managing, organizing, and running the essential procedures and tasks of organized bodies, such as companies or firms. Courses also include many aspects that are vital to any business, such as communications, production, logistics and purchasing, the quantitative methods of accounting, administrative practices, decision-making, marketing, information systems, and human resources management, and so forth. They also handle training of the workforce.
A student of business management will generally then go on to take additional courses in related areas, with subjects that may include communications, logistics, decision-making, information systems and human resources. These courses can prepare a business management student for a job supervising or managing other people. A degree in business management can prepare you for a management role in most types of organizations and provide a broad foundation to help you understand how businesses operate. Often, a business adminstration student will choose to specialize in a specific area such as marketing, accounting or finance. Business administration students can also specialize in other fields such as entrepreneurship, healthcare management, international business or operations management.
The administration of a business includes the performance or management of business operations and decision making, as well as the efficient organization of people and other resources, to direct activities toward common goals and objectives. In general, administration refers to the broader management function, including the associated finance, personnel and MIS services.
In some analyses, management is viewed as a subset of administration, specifically associated with the technical and operational aspects of an organization, distinct from executive or strategic functions. Alternatively, administration can refer to the bureaucratic or operational performance of routine office tasks, usually internally oriented and reactive rather than proactive. Administrators, broadly speaking, engage in a common set of functions to meet the organization's goals. These "functions" of the administrator were described by Henri Fayol as "the five elements of administration". Sometimes creating output, which includes all of the processes that create the product that the business sells, is added as a sixth element. A business administrator oversees a business and its operations. His job is to ensure that the business meets its goals and is properly organized and managed. The tasks a person in this position has are both wide and varied, and often include ensuring that the right staff members are hired and properly trained, making plans for the business' success, and monitoring daily operations. When organizational changes are necessary, a person in this position usually leads the way as well. In some cases, the person who starts or owns the business serves as its administrator, but this isn't always the case, as sometimes a company hires an individual for the job. When a person has the title of business administrator, he is essentially the manager of the company and its other managers. He oversees those in managerial positions to ensure that they follow company policies and work toward the company's goals in the most efficient manner. For example, he may work with the managers of the human resources, production, finance, accounting, and marketing departments to ensure that they function properly and are working inline with the company's goals and objectives. Additionally, he might interact with people outside the company, such as business partners and vendors.