The institution establishment and itsmanagement in China’s universities and colleges is short of powerful outside supervision and inside restriction. However, overseas universities and colleges rep resented by the United States have a comp lete set of p ractices in administration - academy dual power frame, establishment of administrative institutions, staff arrangement and staff control. The overseas experience indicates that national or regional legislation should be used to standardize institution establishment and its management and that its performance should be examined in universities and colleges. It is also pointed out that perfecting institutions with academic power should be carried out at the same time as streamlining institutions and that a set of technical supervision p rocedures should also be established by regional education administration departments.