Administration: what it is, its characteristics and objectives

We explain what administration is, its history and its objectives. Also, what is public administration and more.

The administration of a company in the work environment organizes and contributes to directing the business.

What is administration?

Administration is a process that includes multiple actions, such as planning tasks and projects, organizing available resources, organizing priorities and controlling processes to achieve objectives. The action of managing can be applied to both a personal, business or government activity.

  • For example: On a personal level you can manage the tasks of the week (study, work and household chores) to be able to do them all. At the work level you can manage a company, and for that it is necessary to direct human resources, coordinate material resources and plan different tasks.

Managing a household, a project or an organisation requires different resources, both human and material. However, what characterises the management process are some basic elements: appointing a manager or leader, planning objectives, organising human resources and sharing tasks, evaluating results, motivating people.

The word “administration” derives from Latin, the prefix ad means “towards” or “acquire” and the word minister means “obedience” or “subordinate” and refers to the fact that it is carried out under the command or subordination of another. A group or team follows the guidelines of the administration or a responsible person as an administrator.

History of lto administration

Starting with the Industrial Revolution, the administrative process became common to every company.

Brief review of the main stages in the history of the administration:

  • Origin of the administration. The administration process has existed since prehistory, when human beings began to live in tribes and settlements, to practice agriculture and animal husbandry. Although it was a very different process from the current administration, tasks were divided to organize community life, supply food, protect themselves from predators and take care of themselves in the face of climatic conditions.
  • Emergence of writingDuring the time of ancient Mesopotamia, around 3000 BC, writing emerged, leaving evidence of the complex administrative systems implemented by great civilizations.
  • Feudalism. During the Middle Ages, between the 5th and 15th centuries AD. C., feudalism developed, a system in which the owners of the land, who corresponded to a minority upper class, had part of their land to be worked by serfs. The feudal lords traded the products of the land and in exchange for that work they gave a house and military protection to the servants.
  • Mercantilism. It was an economic system that developed in Europe between the 17th and mid-18th centuries, and was a transition between feudalism and capitalism. Mercantilist ideas were based on the idea that the State should control industry and trade, for example, by applying customs duties on exports, among others. However, the absolute control of the State contributed to perpetuating the dominance of the feudal monarchies of the Middle Ages.
  • Capitalism. During the modern age, between the 15th and 18th centuries, the capitalist system developed in the hands of the bourgeois class, a well-off middle class that had capital. The ideas of Adam Smith, considered the father of modern economics, stood out. He explained that the value of goods is determined by the sum of the employee’s salary, the profit for the employer and the rents.
  • Industrial Revolution. Starting in the 20th century, with the beginning of the Industrial Revolution, large companies emerged that established the foundations of administrative management applied to business. The first administrative schools were created that allowed the process to be formalized in a technical way.
    For example: Taylorism was a theory based on the division of labor, but applied to mass industrial production to maximize labor productivity.
  • Contemporary age. Beginning in 1789, with the ideas of the Enlightenment and the French Revolution, a period of exponential evolution began that continues today. Technological advances and changes in the global consumer society impacted all aspects of life, including administration, which, in addition to being a process of internal organization, is conditioned by the national and foreign markets in which it operates.
    For example: A company that exports its production to other countries must implement administrative management with knowledge of international trade and be prepared for the legal and customs changes of each nation.

Functions of administration

The main functions of the administrative process in a project or company are:

  • To plan. Design a plan that will determine how to achieve the objectives in the most effective way. It will serve as a guide to carry out tasks and projects in a coordinated manner.
  • Organize. Review the human and material resources available and detect those that are lacking, in order to organize the structure into specialized areas or departments.
  • Lead. To play the role of a leader or director responsible for ensuring that the management or performance of the organization is aligned with its objectives. This role requires a comprehensive view of the available and necessary resources, expenses and investments, among other variables.
  • Check. Evaluate the processes and performance of each area or employee, with the aim of detecting problems or improvements.

Objective of the administration

Management is a constantly moving process that aims to effectively coordinate human and material resources to achieve maximum productivity at the lowest cost. It is an internal organization process that also depends on the context in which the activity takes place.

  • For example: A national company that develops software and integrated circuits may have problems producing during times of economic crisis due to lack of raw materials. In drastic moments of monetary devaluation, the national State usually restricts exports, even for industries.

The management process also considers possible problems or crisis situations with the aim of keeping the business active and opting for alternative measures.

  • For example: In the absence of inputs from abroad, the company can partner with a local producer to manufacture the raw materials it needs.

Public administration

Public administration comprises a set of bureaucratic bodies that represent state policy. Its function is to guarantee order and social well-being.through the division of national power into: executive, legislative and judicial, which fulfill administrative functions and contribute to moderating the power of the State authority.

The responsibility of every public official is to comply with and enforce the Constitution and its laws in each of the tasks they perform. The bureaucratic structure of the public administration is subdivided into operational units with their respective directors and employees in charge.

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References

  • Educatina (2013). History of administration, part 2. The Middle Ages and the Industrial Revolution(video), from: Youtube
  • Royal Spanish Academy (2022). Managefrom: RAE
  • Ensenada (2019). Mercantilism: the transition from feudalism to capitalismfrom: Third Grade History