The main purpose of this thesis is to suggest structuring and development direction of managing structure of Korean traditional orchestra. Korean traditional orchestra is genre created in the early 1960s in the western form of orchestra on basis of Korean traditional music. Most Korean traditional orchestras have been founded and run by public institutions since they were classified as a non-profit pure arts organization. In this regard, the public duty for traditional Orchestra is clear: it is responsible for helping the public enjoy quality art activities and reflect various demands from people on its performance. The state-run system have a positive effect of providing a stable environment for performance yet it is also attributable to the public traditional Orchestra`s failing to meet expectations such as expanding the audience and responding proactive to satisfy cultural patrons` needs with various programs. With its fast growth and drastic changes, modem Korean society earned a new responsibility for meeting various needs from a wide range of cultural patrons. Arts administration, however, has not advanced enough to keep up with these new trends and needs. The old-fashioned administration is unable to provide quality art activities and productions, which is seen as the main purpose of art organizations. Problems in the operations of Korean traditional orchestra is the wrong relationship with theaters. Because real property worth in Korea is very high, theater is perceived as value of real property. Thus organizations creating art works are dominated by the theater`s owners. Theaters are a place to produce performance. But in Korea building theaters is considered to be a great achievement of governors. In fact, Korean traditional orchestras are belong to public theaters. Accordingly they can`t be in charge of orchestras`s human resources and execution of the budget. Expenditure of theaters are also operating and personnel expenses. For example, the National Center for Korean Traditional Performing Arts spent 83% of total budget on operating and personnel expenses. Above all the members of Korean traditional orchestras try to keep their job stability. Because of this reason labor unions in these orchestras are invigorated and they exist for only extremely few national and public artists. Positions as members of Korean traditional orchestra guarantee them a permanent job. It causes that they look down on temporary staffs and they have only their pride, not try to offer service to public. Thus, many art organizations are now striving to foster the ability to stand on its own through management restructuring. In such trends in cultural and art circle, each national and public art organizations are aware of the need for research on how to accurately examine the current situation and come up with solutions for improvement. In order to figure out effective management solutions for the public traditional Orchestras, this study looked into the history and founding ideology of the public traditional Orchestra of Korea as well as its current management and operation status. In addition, by examining the operations of similar national and public traditional orchestras, comparative analysis of public traditional Orchestras were conducted. Through the analysis and comparisons, this research found out what kinds of management problem the public traditional Orchestras of Korea is facing now. Based on findings from the case studies of other art organizations home and abroad, management solutions for the public traditional Orchestras of Korea were presented. As a result, Korean traditional orchestras should be separated from theater to finish this master-servant relationship. Also the producing team should be a leader and headhunt artists and musicians.