CHAPTER 1: THE FIELD OF ENGINEERING MANAGEMENT

Engineers are expected to perform variety of tasks depending on their specialization and job level. It is
important to the engineer that he knows what is expected of him so that he may be able to perform his
job effectively and efficiently.

Functions of the Engineers:

Since prehistoric times, mankind has benefited from the various tools, equipment, and projects
developed by engineers. Among these are the following:

1. the stone bladed axe which was a very useful; and the irrigation system used to
promote crop growing - 6000 to 3000 B.C.;
2. the pyramid of Egypt 3000 to 600 B.C.;
3. roadbuilding by the Romans – 600 B>C to A.D 400;
4. the production of paper and gunpowder by the Chinese – 100 A.D to 1600 A.D.;
5. the production of steam engine and the spinning and weaving machinery – 1601 A.D to
1799 A.D ; and
6. the manufacture of cars and household appliances – modern times.

Even as engineers are currently producing solutions to many of the difficulties faced by mankind, much
is still expected of them. Their outputs, new or improvements of old ones, are very much needed in the
following specific problem concerns:

1. The production of more food for a fast growing world populations;

2. The elimination of air and water pollution;
3. The solid waste disposal and materials recycling;
4. The reduction of noise in various forms;
5. Supplying the increasing demand for energy;
6. Supplying the increasing demand for mobility;
7. Preventing and solving crimes; and
8. Meeting the increasing demand for communication facilities.

Specifically, the functions of engineering encompass the following areas:

a. Research – where the engineer is engaged in the process of learning about nature and
codifying this knowledge into usable theories.
b. Design and Development – where the engineer undertakes the activity of turning a
product concept to a finished physical item. Design for manufacturability and value
engineering teams are charged with improvement of designs and specifications at the
research, development, design, and production stages of product development.
c. Testing – where the engineer works in a unit where new products or parts are tested for
work ability.
d. Manufacturing – where the engineer is directly in charge of production personnel or
assumes responsibility for the product.
 e. Construction – this is where construction engineer is either directly in charge of the
construction personnel or may have responsibility for the quality of the construction
process.
f. Sales – where the engineer assists the company’s customer to meet their needs,
especially those that require technical expertise.
g. Consulting – where the engineer works as consultant of any individual or organization
requiring his services.
h. Government – where the engineer may find employment in the government performing
any of the various tasks in regulating, monitoring, and controlling the activities of
various institutions, public or private.
i. Teaching – where the engineer gets employment in a school and is assigned as a teacher
of engineering courses. Some of them later become deans, vice presidents, and
presidents.
j. Management – where the engineer is assigned to manage group of people performing
specific tasks.

The Engineer in Various Types of Organization:

From the viewpoint of the engineer, organizations may be classified according to the degree of
engineering jobs performed:
1. Level One – those with minimal engineering jobs like retailing firms.
2. Level Two – those with moderate degree of engineering jobs like transportation
companies.
3. Level Three – those with a high degree of engineering jobs like construction firms.

What is Engineering Management?

Engineering management refers to the activity combining “technical knowledge with the ability
to organize and coordinate worker power, materials, machinery, and money.”
When the engineer is assigned to supervise the work of even a few people, he is already
engaged in the first phase of engineering management. His main responsibility is to lead his group into
producing a certain output consistent with the required specifications.
The top position an engineer manager may hope to occupy is the general managership or
presidency of any firm, large or small. As he scales the management ladder, he finds that the higher goes
up, the less technical activities he performs, and the more management tasks he accepts. In this case, it
is but proper that the management functions taught in pure management courses be well understood
by the engineer manager.

MANAGEMENT

Engineer Manager is presumed to be technically competent in his specialization, one may proceed to
describe more thoroughly the remaining portion of his job, which in management.
Management may be defi8ned as the “creative problem solving-process of planning, organizing, leading,
and controlling an organization’s resources to achieve its mission and objectives.

The Process of Management of Management:

Management is a process consisting of planning, organizing, directing (or leading), and controlling.

REQUIREMENTS FOR THE ENGINEER MANAGER’S JOB:

Engineer Manager must have the following qualifications:

1. A bachelor’s degree in engineering from a reputable school; in some cases, a master’s

degree in engineering or business management is required;
2. A few years experience in a pure engineering job;
3. Training in supervision;
4. Special training in engineering management.

HOW TO BECOME A SUCCESSFUL ENGINEER MANAGER?

Kreitner indicates at least three general preconditions for achieving lasting success as a manager:

1. Ability – refers to the capacity of an engineer manager to achieve organizational objectives effectively
and efficiently.

2. Motivation to Manage – many people have the desire to work and finish specific tasks assigned by
superiors, but not motivated to manage other people so that they may contribute to the realization of
the organization’s objectives.

A management researcher John B. Miner, developed a psychometric instrument to measure

objectively as individual’s motivation to manage. The test is anchored to the following dimensions:

1. Favorable attitude toward those in positions of authority, such as superiors.

2. Desire to engage in games or sports competition with peers.
3. Desire to engage in occupational or work-related competition with peers.
4. Desire to assert oneself and take charge.
5. Desire to exercise power and authority over others.
6. Desire to behave in a distinctive way, which includes standing out from the crowd.
7. Sense of responsibility in carrying out the routine duties associated with managerial
work.

3. Opportunity – the opportunity for a successful management has two requirement:

a. Obtaining a suitable managerial job, and

b. Finding a supportive climate once on the job.
 CHAPTER 2: DECISION – MAKING

Engineer manager’s decision-making skills will be very crucial to his success as a professional. A
major blunder in decision – making may be sufficient to cause a destruction of any organization. Good
decisions, on the other hand, will provide the right environment for continuous growth and success of
any organized effort.

DECISION-MAKING AS A MANAGEMENT RESPONSIBILITY

 Decisions must be made at various levels in the workplace.

 Decision-making is a responsibility of the engineer manager
 Management must strive to choose a decision option as correctly as possible.

DECISION – MAKING

- Is the process of identifying and choosing alternative courses of action in a manner

appropriate to the demands of the situation.
- It is the heart of all the management functions.

THE DECISION – MAKING PROCESS:

Rational decision – making, according to David H. Holt, is a process involving the following steps:

1. Diagnose problem
It is the first move when the manager wants to make an intelligent decision, to identify the
problem. An expert once said “identification of the problem is tantamount to having the
problem solved.”
2. Analyze environment
The environment where the organization is situated plays a very significant role in the success
or failure of such an organization, therefore it is very important that an analysis of the
environment be undertaken.
The objective of environmental analysis is the identification of constraints, which may be
spelled out as either internal or external limitations.

Example of internal constraints:

1. Limited funds available for the purchase of equipment.
2. Limited training on the part of employees.
3. Ill –designed facilities.

Examples of external limitations:

1. Patents are controlled by other organizations.
2. A very limited market for the company’s products and services exists.
3. Strict enforcement of local zoning regulations.
 Components of the Environment:

a. Internal Environment refers to the organizational activities within a firm that surrounds
decision-making.

INTERNAL ENVIRONMENT

Organizational Aspects like

organizational structure, policies,
procedures, rules, ability of
management, etc. EXTERNAL
ENVIRONMENT
Marketing Aspects like product
strategy, promotion strategy, etc.

Personnel Aspects like recruitment DECISION

practices, incentive systems, etc.

Production Aspects like plant

facility layout, inventory control, EXTERNAL
etc. ENVIRONMENT

Financial Aspects like liquidity,

profitability, etc.

b. External Environment refers to variables that are outside the organization and not typically
within the short-run control of top management.

GOVERNMENT

LABOR UNIONS
ENGINEERS

CLIENTS
ENGINEERING
SUPPLIERS
FIRM

COMPETITORS BANKS
PUBLIC

3. Articulate problem or opportunity

4. Develop viable alternatives
Oftentimes, problems may be solved by any of the solutions offered. The best among the
alternative solutions must be considered by management. This is made possible by using a
procedure with the following steps:
a. Prepare a list of alternative solutions.
b. Determine the viability of each solutions.
c. Revise the list by striking out those which are not viable.
5. Evaluate alternatives
Proper evaluation makes choosing the right solution less difficult. The alternatives will be
evaluated depends on the nature of the problem, the objectives of the firm, and the nature of
alternatives presented. Souder suggests that “each alternative must be analyzed and evaluated
in terms of its value, cost, and risk characteristics.”
6. Make a choice
Choice – making refers to the process of selecting among alternatives representing potential
solutions to a problem.
7. Implement decision
8. Evaluate and adapt decision results