The Concept of Administration

Langgeng Setyono, M.A.B

 Outline

1 Definition of
Administration 2 Administration
Management
Vs

3 Managing
Organization Cycle 4 The Principle of
Administration

5 The Unified Pattern

of Administration

v
 Definition of Administration

Based on the etymology of the word

administration comes from the Latin The Noun of administrare is
"Administare" which comes from a administratio which the meanning is
combination of two words ad (to) + the way to help or give help
Ministrare (serve)

So the word administration contains

meaning:
• To help
• To manage, to run, to organize

v
 Definition of Administration
Based on the terminology the word administration can be define as a way to
move the organization with certain tasks to achieve a desired goal

Administration
Management Overlapping

v
 Administration Vs Management

Administration is the aspect which dealing more

with the formulation of purpose, the value
Administration
laden issues and the human component of
organization

Management is more routine, definitive,

Management programatic, and succeptible to quantitative
methods.

Hodgkinson (1978:5)
v
Managing Organization Cycle

v
Managing Organization Cycle
Administration

Organization Theory
Decision Making Theory
Leadership Theory

Management

Functional Perspective

v
 The Principles of Administration
• Fayol analyzed the operations which occur in business into 6 main groups;
technical, commercial, financial, security, accounting and administrative
operations.
• Thus, he regardedAdministration merely as one of a group of major
functions. ‘
• To govern is to conduct an undertaking towards its objective by seeking to
make the best possible use of all the resources at its disposal; it is, in fact,
to ensure the smooth working of the 6 essential functions. Administration
is only one of these functions’.

v
 The Principles of Administration
• Fayol broke down the key function of Administration into 5 main
aspects: to plan to organize to command to coordinate to control.

Forcasting Plan Organizing Command Coordinatin Controlling

g
• Process • Effect • Process • Effect • Process • Effect

Urwick’s Development of the Primary Logical

Square

v
The Unified Pattern of Administration
The Unified Pattern of Administration has 2 parts, Governing, and
Administrative Process.

Administration

Governing Authority has overall control of the enterprise. It could be the owners, a Board of
Directors, Board of Regents, Joint Chiefs of Staff, Board of Governors, an individual; or whatever
Governing is appropriate for the type of enterprise which could be industrial, commercial, civil, educational,
military, hospital, etc.

Administrative The principles of Administrative Process establish the organization

Process
and the staff required to implement the Governing Objectives.

v
 Governing
• Governing Objectives that encompass the purpose, objectives and general policies of the
enterprise.
• Primary objectives—“The economic values provided by the enterprise are necessarily the primary
objectives of the enterprise.” “The primary mission of an enterprise is to supply the public with
whatever goods and/or services it desires at the proper time and place, in the required amounts
having the desired qualities, and at a price that the public is willing to pay.” (Davis, 1951: 10)

v
 Governing
• Collateral objectives—“These are the values that an enterprise is expected to supply without
detrimental sacrifice of the primary objectives.” “Collateral objectives includes chiefly those personal
and social objectives that are affected by the operations of the enterprise.”
• Secondary objectives—“Secondary objectives include those values that are needed by the Enterprise
for the accomplishment of its primary and collateral objectives with the required economy and
effectiveness. These values are not necessarily secondary in importance. They are secondary in
incidence of service. They rank, therefore, after primary and collateral objectives.” (Davis, 1951: 11)