Administration is above management.

Administration

management

Terminology conflict
Terminology conflict was raised by oliver sheldon in
1923 in his book the philosophy of management. The result of terminology conflict was emergence of three approaches:
1. Administration is above management.

2. Administration is part of management.

3. Management and administration are same.

Administration is above management.

Administration is a wider term encompassing

activities like spelling out of policies and objectives,

establishment of suitable organizational structure, integrating human efforts, making provisions for the

realization of necessary and required resources for

the accomplishment of the desired objectives, etc.

management is primarily concerned with those operations leading the enterprise towards success within the broader framework set by administration.

Classical thinkers
Milward William spriegal

Oliver sheldon
Lansberg Ordway tead Florence

H. Brinton Milward
administration is primarily the process and agency used to establish the objective or purpose which an undertaking and its staff are to achieve; secondly, administration has

to plan and to stabilize, the broad lines or

principles which will govern action. These broad lines are usually called policies. Management is the process and agency through which execution of policy is planned and supervised.

William Spriegal
administration is that phase of a business enterprise that concerns itself with the overall determination of institutional

objectives and policies necessary to be

followed

in

achieving

those

objectives.

Management, on the other hand, is an executive function which is primarily

THINKER

concerned with carrying out broad policies

laid down by the administration.

Oliver Sheldon
Oliver Sheldon, a great English authority,
defines management as the function concerned in the execution of policy within the limits set up by administration and the employment of the organization for the particular objects before it, whilst administration is the function concerned in

the determination of the corporate policy.

Administration and managerial functions

Top Administration (policy formulation)

Organizational levels

management (policy execution) Lower Functions in organization

Difference between administration and management

Top level in the organization

Middle and lower level in the organization

Difference between administration and management

Policy formulation & objective determination Policy execution for objective achievement

Difference between administration and management

Determinative nature of function executive nature of function

Difference between administration and management

Scope of function is broad & conceptual

Scope of function is narrow & operational

Difference between administration and management

External factors affects decisions internal factors affects decisions

Difference between administration and management

Administrative qualities required technical qualities required

Problems with classical view

The classical authors on management appears to be

influenced by the fact that administrative process in non-business activities was well developed as compared to management.
The most of the early contributors to management

thought studied managerial process in the business organizations comparatively at lower levels only. Therefore they could perceive the functions of management as limited to lower levels only.