The Administration module security is all or nothing. You either have access to the Administration Console, or you don't. The highlighted checkbox below controls that, in a Security Policy.
The Drop Down Edit section controls the ability to edit the value of the corresponding drop down fields in Work Orders, Assets, etc. For example, you can create a policy that prevents Technicians from changing the Work Order Status of a Work Order.
Hope that helps, please mark this post accordingly and just let me know if you have additional questions!
thanks for the response, that answered my question.
No problem Madhu, glad to help!