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A structure or organization established for a certain purpose with the legitimacy to carry out said purpose. In a business context, certain organizations have authority to police, and, if necessary, punish certain business activities. For example, the SEC has authority to regulate any and all business transactions occurring in the United States. These organizations derive their authority from the ruling government and international conventions.
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A government organization created to perform a certain function. A state or region, for example, may establish a public power authority to provide low-cost electricity to people living in a certain geographical area. The activities of an authority and its fundraising methods are ordinarily limited.
Wall Street Words: An A to Z Guide to Investment Terms for Today's Investor by David L. Scott. Copyright © 2003 by Houghton Mifflin Company. Published by Houghton Mifflin Company. All rights reserved. All rights reserved.


the capacity to give commands which are accepted as legitimate by others. In the modern ORGANIZATION the manager's authority to give instructions to subordinates is drawn primarily from his formal position as a manager, and the set of rights and obligations formally associated with the post, rather than from the manager's individual leadership qualities. However, both sources of authority can be important. Managers whose personal standing with their subordinates is low may find that their authority is not fully accepted. Equally, some managers claim that they are given insufficient powers to exercise their authority fully.

Modern analysis of authority relationships owes much to German sociologist Max Weber (1864-1920). He discerned three forms of authority:

  1. traditional authority, where people obey those who occupy religious or monarchical positions;
  2. charismatic authority, where people obey those who have special inspirational personal qualities;
  3. rational-legal authority, where individuals obey laws or rules which have been devised as a result of the application of reason to achieve certain objectives.

In Weber's view the last is the distinctive form of authority in modern industrial societies, and is exemplified in the workings of the modern ORGANIZATION or BUREAUCRACY.

Collins Dictionary of Business, 3rd ed. © 2002, 2005 C Pass, B Lowes, A Pendleton, L Chadwick, D O’Reilly and M Afferson
References in periodicals archive ?
The constitutional council of France has reiterated, in its own case law, that the regulatory power, which may be assigned to an autonomous administrative authority, is limited to its own field of activity so that it may fulfil its mission and in no way may compete with the regulatory power granted to the Prime minister (Conseil constitutionnel, 2006).
--These contracts have an onerous title, in the sense that the administrative authority aims to achieve a public interest, while private law individuals aim to achieve a material gain;
* A discussion of all relevant judicial and administrative authority as well as the government's position on previous and current issues at exam or appellate level.
As part of their social corporate responsibility, Civil Aviation Authority Botswana (CAAB) has donated 40 waste bins worth over P13 000 to Maun Administrative Authority in an effort to promote a healthy and clean environment.
In 2016, one of the defendants was under surveillance by Administrative Authority Control officials and was arrested while receiving a bribe.
There were a series of opinions regarding the term of administrative authority. Therefore, some authors consider that the autonomous administrative authorities are only those control bodies that have a real power of decision, whereas other authors classify as autonomous administrative authorities even those bodies that exercise their prerogatives by other means than issuing decisions (Van Lang, Gondouin, Inserguet, 1999: 37).
Another clause in the reforms also empowers the commission with administrative authority with the announcement of the election schedule.
They must, however, comply with the decisions of the courts and of the administrative authorities.- The suppliers who provide a form of automatic storage called "caching" may not be held liable for the data either, provided that they do not modify such data; nevertheless, they too must act to withdraw information or render access to it impossible once they have knowledge of its unlawful nature or upon order by a court or by an administrative authority.- Lastly, the intermediaries who provide hosting are not liable provided that they do not effectively have knowledge of the unlawful activity or information and provided that they act promptly to withdraw such information or to render access to it impossible, as soon as they become aware or acquire knowledge of same.
The regulations and notices will affect taxpayers, promoters, and "purchasers" of "reportable transactions." While TEI is still studying the package and intends to provide detailed comments, the regulations clearly confirm the view that the IRS and the Treasury Department possess considerable administrative authority to curb questionable transactions.
This was said by the Serowe Administrative Authority (SAA) sub-council chairperson Mr Mpho Kooreme at the opening of the SAA sub-council session in Serowe on June 10.

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