Business Administration vs. Business Management

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The Difference Between Business Administration and Business Management Degrees

When looking at a degree in Business Administration vs. Business Management, many students wonder, what’s the difference between the two? Don’t be confused by degree names, as both labels stand for the same core education in business management. The program name might vary from institution to institution, but the underlying education results in the same skill sets.

In today’s job market, the concentration of one’s degree matters more and more, as stiff competition for positions makes it difficult for employers to choose the most suitable candidate. The narrower the focus of study, the easier it is for employers to recognize immediately what a professional went to school for. That’s a major reason why a program label can be important on a resume, as a wide, general name like Business Administration may not speak directly to the abilities of the professional like Business Management.

Business Administration vs. Business Management

Technically, the concept of Business Administration is defined by the process of organizing a business’s people and resources in order to ensure that objectives are achieved. A Master’s Degree in Business Administration yields a core of knowledge including accounting, finance, economics, business law, ethics, marketing, organizational behavior, strategic management, and management information systems. Eventually, the student narrows their coursework to a specific focus like marketing or finance.

Meanwhile, a Business Management degree narrows the focus from the beginning by stressing the business skills that make up an effective business leader. This includes the ability to implement change in a company, establish a consensus among key contributors and maintain a creative strategy for the business’s success. Management also covers these basic functions:

Staffing: choosing the right people for the right jobs.

Directing: figuring out what actions should be taken and who should be taking them within the organization.

Planning: coming up with successful strategies to navigate the business into the future.

Organizing: understanding how to group various resources in order to implement the plans.

Controlling: following up on the progress of the execution of plans and making the necessary alterations in order to guarantee their ultimate success.

The end goal for those who seek a degree in Business Management is to learn necessary leadership principles that make them standout applicants in today’s job market. When choosing a degree program, look for those that stress the handling of some of the current issues facing the business world now, such as the need for more ethical guiding principles in leadership and an understanding of recent trends involving the environmental impact of businesses.

Jobs in Business Administration vs. Business Management

Although “manager” is used most commonly to refer to both Business Administration and Business Management professionals, the job outlook for both is predicted to see an increase in job postings because of retiring baby boomers.

In terms of expected salary, for administrative managers, the median range falls around $73,520, with the lowest 10 percent earning $37,430 and the highest 10 percent earning $129,770. Popular positions and their average salaries are

Public Administrator: $82,150

Education Administrator: $71,630

Database Administrator: $66,310

Budget Analyst: $65,320

Because manager is in such widespread use, any number of industries can be tapped with a Business Management degree. In general, the average salary for a manager is $90,230 with the lowest 10 percent earning $46,700 and the highest 10 percent making $153,500. Some popular positions and their average salaries are

Marketing Manager: $108,580

Sales Manager: $97,260

General Manager: $91,570

Advertising Manager: $80,220

The differences between a Business Management degree and a Business Administration degree are commonly very few. Most often, it is simply the school’s preference for the degree name. In the same vein, professionals should consider which degree name they would prefer to use on their resumes. It may seem an arbitrary choice, but the underlying decision is what concentration does the student ultimately want to pursue in the degree program and which program will offer the best education in that concentration.