Are you considering a business degree?
Are you confused whether you should continue with Business Management or Business Administration?
Administration and management sound similar to many of us. If you are to produce a differentiating factor between the two, you may have a hard time coming up with it. The differential factor may even be so subtle that it may not be counted as a differential factor.
Then, why is there two degrees offered namely Business Management and Business Administration?
In a conversation with your colleagues or friends, administration and management may mean the same thing. However, when you are planning to achieve a Business degree, you have to learn the difference between the two.
In this article, I am going to settle the difference between Business Management and Business Administration once and for all.
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- 1 Business Management and Business Administration Difference
- 2 Difference between Business Manager and Business Administrator
- 3 FAQ
Business Management and Business Administration Difference
When intending to pursue a college degree, you are likely to have noticed that some colleges offering Bachelor of Business Administration (BBA), while others offering Bachelor of Science in Business Management.
In short, a degree in Business Administration concerns a broad business spectrum, with emphasis on a specialized area of business, whereas a business management degree concerns planning and organization aspects of a business.
Now, let’s learn what they are all about in detail:
By pursuing a degree in Business Administration, a student will gain exposure to a variety of core business concepts, such as marketing management, ethics, economics, finance, and accounting. As you can see, Business Administration is all about covering core business concepts.
Students cover these courses with an emphasis on other various subject areas. They may opt for entrepreneurship, management, business computer applications, finance, and marketing as areas of specialization.
Students may have to complete additional coursework programs relevant to this area of study. With the emphasis on a variety of courses and topics, students can develop a higher level of expertise.
In contrast to Business Administration, Business Management focuses more on human resource management and personal operation aspects of the business. Students who pursue a degree in Business Management are likely to take many of the core business courses as Business Administration students.
Besides many of the similar core business courses, students of Business Management may also have to take courses in other subjects, such as logistics, communications, and administrative practices.
Additionally, there could be coursework programs focusing on personal development, recruiting, conflict resolution, retention strategies, organizational behavior, and performance management.
How Does Business Management and Business Administration Work to the Real World?
The difference between Business Management and Business Administration may not matter much in the aspect of a small business. However, the difference will be obvious with larger companies that function on larger numbers of managers and administrators.
Business Manager Vs Business Administrator
Once you completed your degree in Business Management or Business Administrator, you will be tasked differently to perform certain actions.
The job responsibilities of managers and administrators may differ according to the structure and hierarchy of a company. Below are the key aspects that differentiate the roles and responsibilities of a manager and an administrator:
Difference between Business Manager and Business Administrator
|Nature of Work||A manager makes sure that all employees understand the policies set by the business company.||An administrator has to determine the policies and regulations of the business company.|
|Goals||A manager may set the short- and long-term goals of the company and take actions to implement them. He/she has to maintain close contact with administrator and senior management to produce such goals.||An administrator is responsible for setting up the goal of the company and oversees whether the company is run as per the goals.|
|Team Management||A manager keeps close contact with other employees, and may even decide how new employees can be recruited.||An administrator doesn’t participate in the employment process. He/she may set the goals as to how new recruits may be employed or the guidelines the administration needs to follow in terms of employment.|
|Authority||A manger has limited authority over how the business company is run when compared to that of an administrator. He/she may have a little control over other employees though.||An administrator enjoys more authority than a manager does. He/she has to projects how the company should be run.|
What is a better degree business administration or business management?
Business management is the application of management theory, principles, and practices to organize and manage an organisation. The student will learn how to manage an organisation as well as the processes that are related to it.
Business administration degrees are more likely to be found in business schools than business degrees. This is because most business schools require a master’s degree for admission, which can be gained with a variety of different concentrations or programs.
Business administration degrees are typically seen as being less marketable than business degrees because they lack specialized concentrations in specific fields such as marketing or finance.
Is management higher than administration?
In the United States, management is seen as a higher job position than administration. However, in other countries, administration is considered as a higher job position.
Some countries make an executive track and an administrative track for their public sector employees. These two tracks are separated by a significant degree of inequality in salary.
In the US, there are different levels of management that range from senior managers to general managers and below them are middle managers while in other countries there are only two levels: executive and administrative.
Some argue that management is higher than administration because it involves strategic thinking while administration is more physical in nature.
Is Business Administration a good career?
There are many different types of jobs available in this field. It can be anything from working as an advertising executive to being an accountant or market researcher. There are also new fields that have opened up like corporate strategists and virtual assistants that aren’t even included on the most current job boards yet.
Business administration is one of the most diverse fields out there and can be fulfilling for someone with a lot of ambition and drive.
Does Business Administration require math?
Business Administration is a field that does not require math to be done, but it does require analytical skills.
Many business schools offer the option for business administration students to take a math course or just take math courses either as an option or major.
What are the levels of management?
There are two levels of management: top management and middle management.
Middle management is easier to understand and can be performed in different ways. The first level is top management, where the manager deals with more complex business issues.
Top Management- The highest level of management has the most power to make decisions. They are responsible for the overall direction of the company and they have a lot of authority over employees.
Middle Management- Middle managers are responsible for making sure that all subordinates adhere to their duties and they deal with everyday tasks at their work place, such as scheduling meetings, collecting data, giving feedback, etc.
The levels generally go in order from bottom to top.
Is an administrator higher than a director?
At the corporate level, the position of an administrator is higher than that of a director.
High-level executives are not just an administrative staff but also have managerial duties and work closely with their subordinates. They are also accountable for the company’s financial decisions and investments.
Directors who oversee the day- to- day operations are seen as lower than administrators in terms of their power and influence in decision-making.
Regardless of the degree you wish to pursue, with a solid foundation on Business Studies, you can open yourself up to an array of opportunities and choices. By understanding the differences and similarities between Business Management and Business Administration, you can choose the education path that matches your skills and is suitable for your career goals.
Last Updated on June 14, 2021 by Magalie D.
Magalie D. is a Diploma holder in Public Administration & Management from McGill University of Canada. She shares management tips here in MGTBlog when she has nothing to do and gets some free time after working in a multinational company at Toronto.