EM - Session 07
EM - Session 07
Management
Class Session 03
04-23-2022
Internal
Specification
Internal
Engineering Management
Objectives:
• To know the basic functions of management.
• Describe the cultural setting within which managers
make decision and the moral framework of their
management philosophies.
• Describe the basic functions of manager.
• Learn the stages of strategic planning and to know
the hierarchy of plans and competitive strategies
• Describe and apply in case studies the elements and
the different types of leadership.
• Describe the structure of formal organization
• Describe the basic principles of controlling and the
essentials elements of a control system.
Internal
Engineering Management
Course Outline:
1. Evolution of Management Theory
2. Management and Functions
3. Planning
3.1 Mission Vision
3.2 Stages of Strategic Planning
3.3 Strategy Formulation
3.4 SWOT Analysis, PEST analysis and Poter’s Five
Forces Model
4. Leading
4.1 Leadership Across Cultures
4.2 Sources of power
4.3 Leadership Models
4.4 Kinds/Types of leaders
Internal
Engineering Management
Course Outline:
5. Organizing
5.1 Organization Design
5.2 Determinants of structure
5.3 Job Design and Job Characteristic Model
6. Controlling
6.1 Control System
6.2 Control Process
6.3 Types of Organizational Control Systems
7. Managing Product and Service operations
8. Managing the Marketing Function
9. Managing the Finance Function
Internal
Engineering Management
Management
• Is getting work done through others.
• Requires a set of activities (including planning and
decision making, organizing, leading, and controlling)
directed at an organization’s resources (human,
financial, physical, and information), with the aim of
achieving organizational goals in an effective and
efficient manner.
Internal
Engineering Management
What is Engineering?
The profession in which a knowledge of the
mathematical and natural sciences gained by study,
experience, and practice is applied with judgment to
develop ways to utilize, economically, the materials
and forces of nature for the benefit of mankind.
Internal
Engineering Management
Internal
Engineering Management
Internal
Engineering Management
Example areas of engineering management
area are:
• Product development
• Manufacturing
• Construction
• Design engineering
• Industrial engineering
• Technology
• Production
Internal
Engineering Management
Internal
Engineering Management
Internal
Engineering Management
FUNCTION OF ENGINEERS
Research – is where the engineer engaged in the process of
learning about the nature and codifying this knowledge into
usable theories
Design & Development – is where the engineer undertakes
the activity of turning the product concept to a finished
physical terms.
Internal
Engineering Management
Internal
Engineering
Management
Class Session 04
04-28-2022
Internal
Engineering Management
Function of Manager
Leading
Internal
Engineering Management
Management is getting things through others,
Management needs:
• Objective
• Resources,
• Methods,
• Organization setting,
• People
Internal
Engineering Management
Planning
• Manager should have objective in mind
• Planning help manager to do the right
things
•Well planning needs the following
• Defining objectives,
• Deciding what/when/how/who
What is to be done,
- When it is to be done,
- How it is to be done,
- Who is to do it,
Internal
Engineering Management
Organizing
• Gathering and allocating resources,
• Coordinating the work of the organization,
• Deliberate creation a configuration that defines the
followings:
- How authority is structured,
- How communication flows,
- How tasks are accomplished
Internal
Engineering Management
Leading
• Redirecting human behavior to
achieve objectives
• Motivating others to produce,
• Influencing subordinates
Controlling
• Keeping things on track,
• Steering performance towards desired
goal,
• Coordinating monitoring and adjusting
performance
Internal
Engineering Management
Managerial skills
Internal
Engineering Management
Internal
Engineering Management
Difference Between Boss & Leader
Internal
PLANNING
Internal
Characteristics of Planning
Internal
Characteristics of Planning
6. Futuristic: In the process of planning we take a sneak
peek of the future. It encompasses looking into the future,
to analyse and predict it so that the organization can face
future challenges effectively.
Internal
Importance of Planning
Internal
Importance of Planning
•It uncovers and identifies future opportunities and
threats.
Internal
Types of Plans
1. Strengths
2. Weaknesses
3. Opportunities
4. Threats
Internal
Tactical Plan – is concerned in the developing very
detailed strategies about what needs to be done, who
should do it, how it should done. Middle-level managers
often engage in tactical planning
Internal
Single-use Plan – are specifically develop to implement
courses of actions that do not recur or repeat.
Internal
Ongoing Plan – are plans that are used repeatedly,
usually focusing on managerial situations.
Internal
Contingency Plan – involves alternative courses of action
when the original plans that have been developed do not
achieve the goals of the organization.
Internal
Engineering
Management
Class Session 06
05-12-2022
Internal
Organizational Model
Internal
Organization
Internal
Organizational Model
Any collection of persons, materials, procedures, ideas or
facts so
managed & ordered that in each case the combination of
parts makes a meaningful whole that at achieving
organization objectives.
• In other words the process of organization implies the
arrangement of human & nonhuman resources to make a
meaningful whole that accomplishes organizational
objectives.
Internal
Organizational Model
Internal
Organizational Model
2. The Functional Organizational Model looks similar to the
Line model except instead of subordinates only reporting to
the manager directly above them, they report to two or
more managers. This model is designed to help keep all
pertinent parties engaged with the right information by
getting all of the information from subordinate employees. It
also prevents over-specialization of any one job to keep the
company nimble in changing times.
Internal
Organizational Model
Internal
Organizational Model
3. The Line and Staff Model is a structure that functions the
same way that the Line model does except each managerial
level has an added dynamic of its own staff. So directors
report to the CEO but may do so via the CEO's personal staff.
Directors may share a staff that are not the subordinate
teams in the structure but instead support the
administrative needs of the Directors.
Internal
Organizational Model
Internal
Organizational Model
4. Project-Based Models become much more dynamic
compared to the three varieties of line models defined above.
When any company is highly project-oriented, it usually
designates teams of similar job functions to provide each
team with specialty resources. The resources become
immediately available rather than accessible outside of the
team in a different department. For example, an internet
technology company developing several new software
packages might have a team for each new package that
includes its own set of coders, developers, designers, analysts
and testers.
Internal
Organization
Internal
Organizational Model
5. The Matrix Model is the most dynamic operational model
and quite effective for companies that are simultaneously
running multiply product launches, marketing campaigns
and development. Managers oversee the role of their
department leads within a team while keeping a pulse on all
the teams progress. This allows for managers to combine
resources that individual teams might not see in their own
microcosm of the project. For example, a company Matrix
structure might have a Marketing, Operations, Finance and
HR Manager overseeing multiple projects. Each project has
representatives in at least one team. If the marketing
manager sees that Team A and Team C have products that
can be launched as a package, he can direct resources to
leverage budgets and combine graphics and design
resources.
Internal
Organizational Model
Internal
Organizational Model
The Matrix Organizational Structures
Internal
Organizational Model
Managers decide how to
Internal
Organizational Model
• Formal relationship between people in various positions in
theorganization.
• They shown who supervises whom & how various jobs &
departments are linked together to make achieve
coordinated system.
Internal
Organizational Model
• Organization structure designates formal reporting
relationships, including the number of levels in the hierarchy
and the span of control of managers and supervisors.
Internal
Organizational Model
Elements Organization Structure
• Division of Labor
• Departmentalization
• Span of Control
• Delegation of Authority
Internal
Organizational Model
Division of Labor
• It is the process of dividing work into relatively
specialized jobs to achieve advantages of specialization.
• Subdivision of work into separate jobs assigned to
different people
• Division of Labor Occurs in Three Different Ways:
1. Personal specialties
e.g., accountants, software engineers,
graphic designers, scientists
2. Natural sequence of work
e.g., dividing work in a manufacturing plant
into fabricating and assembly (horizontal
specialization)
Internal
Organizational Model
Division of Labor
3. Vertical plane
e.g., hierarchy of authority from lowest
level manager to highest-level manager
Coordination
• Coordination means assembling & synchronizing
work efforts so that they function harmoniously to
attain organizational objectives.
Internal
Organizational Model
Departmentalization
• Departmentalization is the (horizontal) differentiation of
the organization in departments. Departments are
organizational units that share a common supervisor and
common resources, are jointly responsible for performance,
and tend to identify and collaborate with one another.
Internal
Organizational Model
Departmentalization
Internal
Organizational Model
Span of Control
• Number of individuals who report
to a specific manager.
Internal
Organizational Model
Span of Control
Internal
Organizational Model
Delegation of Authority
• Process of distributing authority downward in an
organization.
• Managers decide how much authority should be delegated
to each job to each jobholder.
Internal
Organizational Model
Advantages of Decentralization
Internal
Organizational Model
Advantages of Centralization
Internal
Organizational Model
Dimensions of Structure
• Formalization – the extent to which expectations regarding the
means and ends of work are specified, written, and enforced.
Internal
Organizational Model
Mechanistic vs. Organic Structures
Internal
Organizational Model
Mechanistic vs. Organic Structures
Internal
Organizational Model
Internal
Organizational Model
Functional Organizational Structure
• Organizes employees around skills or other resources (marketing,
production)
• Create subordinate goals.
Internal
Organizational Model
Functional Organizational Structure
• Benefits
- Supports professional identity and career paths
- Permits greater specialization
- Easier supervision --similar issues
- Creates an economy of scale --common pool of talent
• Limitations
- More emphasis on subunit than organizational goals;
failure to develop broad understanding of the business
- Higher dysfunctional conflict because emphasized
differences across subunits
- Poorer coordination -- requires more controls
Internal
Organizational Model
Divisional Organizational Structures
• Organizes employees around outputs, clients, or geographic areas
Internal
Organizational Model
Divisional Organizational Structures
• Benefits
- Building block structure -- accommodates growth
- Better coordination in diverse markets
• Limitations
- Duplication and inefficient use of resources
- Specializations are dispersed, creating silos of
knowledge
Internal
Organizational Model
The Matrix Organizational Structures
Internal
Organizational Model
Hybrid Organizational Structures
• Parts are combined to maintain balance of power and
effectiveness across functional, product, geographic and client
focused units.
Internal
Organizational Model
Organizational Culture
• A system of shared values, assumptions, beliefs, and norms
that unite the members of an organization.
• Reflects employees’ views about “the way things are done”
• The culture specific to each firm affects how employees feel
and act and the type of employee hired and retained by the
company
Internal
Organizational Model
Characteristics of Organization Culture
• It is distinctive
• It is based on certain Norms
• It promotes Stable values
• It leads to common behavioral aspects
• It shapes philosophy and rules
• Its strength varies
Internal
Strategy
Internal