Engineering

Management
Dr. Sohail Khalid

Dr. Sohail Khalid

 1. Definition & Importance

• Arranging and relating work for efficiency.

• Ensures corporate efficiency, proper work
distribution, and effective coordination.

2. Managerial Roles

Organizing • Designing organizational structures (teams,

groups, departments).
• Establishing relationships to achieve
objectives.

3. Dedication & Organization

• Balance between liberty and control.

• Quote by Bernard Russell: “Too little liberty
brings stagnation and too much brings chaos.”

Dr. Sohail Khalid

 Definitions

Before reviewing the managerial function of organizing, it is useful to

introduce a few definitions.

• Number of people supervised by a manager.

1. Span of • Factors affecting span: workforce diversity, task volume, work complexity, geographic
dispersion.
Control • Current trend: Larger spans due to reduced middle management, enhanced
communication tools, empowered knowledge workers, improved morale and productivity.

2. Organization • Line Organization: Directly involved in the company's main goals (e.g., business
management, sales, product design).
Types • Staff Organization: Supports line organization (e.g., R&D, legal affairs, public relations).

3. Overlap and
Duplication of • Avoiding redundant work and decision-making to prevent conflicts and inefficiencies.

Responsibility Dr. Sohail Khalid

Definitions

4. Specialization 5. Work Arrangement 6. Management Terms

Focused skill concentration in Rational and logical Authority: Legal power to
narrow domains. organization of work for command or make decisions.
Balancing efficiency with risks efficiency and personal Responsibility: Duty to perform
of monotony and disinterest. satisfaction. work efficiently.
Accountability: Obligation to
achieve desired results.

Dr. Sohail Khalid

Activities of Organizing
As a function of engineering management, organizing consists of several specific activities
described as

Efficient organization of office, file systems,

Organizing Personal Workspace and daily routine.

Identification and assortment of work for

Developing Organizational efficiency.

Structure Appropriate structuring in teams, task forces,

committees, and departments.

Entrusting responsibility and authority, creating

accountability.
Delegating Responsibilities Balancing workload distribution and control,
utilizing available talent.

Creating conditions for cooperative efforts among

Establishing Working people.

Relationships Commitments, setting priorities, providing

resources for teamwork.
Organizing One’s Own Workplace for Productivity

Use of Online Calendar

• Importance of time-blocking for tasks
• Mention of preparing agendas for meetings

Maintain a 'To-Do' List

• Prioritizing tasks (A, B, C)
• Regular consultation and electronic system usage

Effective File Management

• Filing based on access or logical keyword system
• Importance of a master index and regular updates
• Criteria for keeping documents

System for Keeping Track

• Utilizing tools like Rolodex, address book, Palm Pilots, and smartphones

Effective Phone Usage

• Note preparation before calls
• Emphasizing brevity (e.g., by standing up)
Organizing One’s Own Workplace for
Productivity

The 80/20 Rule in Paperwork

• Explanation of how professional workers use only about 20% of the
paperwork they keep
• The challenge of deciding which 80% to discard
• Encouraging questioning of every piece of paper and regular use of
wastebaskets

Time Management for Enhanced Productivity

• Reserved Time Slot for Sorting and Tossing
• Suggesting a daily time slot for organizing files
• Utilizing Travel Time
• Organizing files during travel (e.g., at the airport, on the plane, and in the
hotel)
Developing Organizational Structure

Objective
• Align work with unit/department objectives.
• Minimize overlap and duplication.

Benefits
• Utilize talents effectively.
• Foster mutual support among workers.
• Provide a technological focus for tasks.
• Facilitate efficient problem-solving.

Logical Grouping
• Group work by positions for clarity.
• Distinguishable roles: management, technical, operating.
Functional Organization

Introduction
• The functional structure is widely used in industries, preferred by companies with specific characteristics.
Characteristics of Companies Favoring Functional Structure
• Manufacturing operations, process industries, startups, companies with narrow product ranges, and those
following competitors.
Departments in Functional Structure
• Specific departments for manufacturing, finance, marketing, sales, engineering, design, operation,
procurement, etc.
Advantages of Functional Structure
• Hierarchy of skills development.
• Facilitates specialization for excellence.
• Simplifies coordination through logical grouping.
• Allows the use of current technologies.
Disadvantages of Functional Structure
• Encourages excessive centralization.
• Delays decision-making due to departmental barriers.
• Compounds communication line loss.
• Restricts the development of managerial skills.
• Limits employee growth due to constrained exposure.
 Discipline-Based Organization

Disciplinary Focus
• Departments established for key disciplines
• Mechanical engineering, physics, business
administration, etc.
Specialization for Excellence
• Specialists dedicated to specific disciplines
• Focused expertise enhances research and
other activities
Strategic Organization
• Structure designed to support disciplinary
excellence
• Facilitates concentrated efforts in each field
Dr. Sohail Khalid
 Product/Region-Based Organization

Organizational Structure Considerations:

• Large companies catering to diverse markets and regions
• Different products/services often necessitate distinct
strategies

Product-Based Structure
• Organized around products/services
• Tailored production, sales, and business strategies for
each

Dr. Sohail Khalid

 Product/Region-Based Organization

Region-Based Structure
• Geographically dispersed markets
• Location-specific strategies and customer
customization

Key Roles
• Product/Service or Regional Managers
• Hold overall profit and loss (P/L) responsibility
• Supported by experts in production, marketing,
and other functional areas

Dr. Sohail Khalid

 Product/Region-Based Organization

Advantages of Product/Region-Based Organization

• Focus on local adaptation
• Facilitates companywide coordination
• Encourages management development
• Allows for decentralization
• Provides opportunities for unlimited growth
Disadvantages
• High costs due to layers and duplicated facilities
• Requires additional management talents
• Risk of specialists becoming obsolete
• Slow implementation of changes due to complex bureaucracy
 Matrix Organization

• Matrix Organizational Structure:

• Used as a short-term arrangement for specific projects
• Involves both functional group employees and project managers
• Roles in Matrix Structure:
• Functional Group Managers:
• Supervise technical contributors
• Possess valuable skills and know-how
• Project Managers:
• Entrusted with managing specific projects
• Responsible for tasks like capital projects, product design, and business entry strategies

• Resource Allocation:
• Project managers have resources (money, time, facilities, and management support)
• "Borrow" employees from functional groups for project work
Dr. Sohail Khalid
 Matrix Organization
Workflow in Matrix Structure:
• Functional group employees return to their home groups after project completion
• Balances workload and provides exposure across company domains
Advantages:
• Project managers focus on schedule and cost
• Functional managers concentrate on work quality and expertise
• Offers a balanced workload and broad exposure for employees
Disadvantages:
• Dual reporting (employees report to both functional and project managers)
• Frequent conflicts between functional and project managers on various issues
• Challenges related to task priority, manpower assignment, interests, quality versus urgency, performance
appraisal, employee promotion, etc.
Balance of Power:
• Matrix organization requires a delicate balance between functional and project managers
• Functional managers control manpower, knowledge, and facilities
• Project managers have an approved spending budget and upper management support
 Team Organization

• Definition: A team comprises members

temporarily assigned from functional
departments.
• Objective: Dedicated to tackling high-priority,
short-duration tasks or projects.
• Composition: Team members work full-time for
the team leader, eliminating dual reporting
conflicts.
• Benefits: Streamlined collaboration, enhanced
focus, and conflict minimization.
• Examples: Product development teams and
special task forces as illustrations of team
organisation.
 Network Organization

Global Paradigm Shifts:

1. Companies adapting to rapid changes in customer needs,
technology, competition, and globalization.
2. Embracing new business paradigms, thinking globally
while acting locally.

Local Supplier Integration:

1. Incorporating local suppliers' technical skills as a strategic
component of corporate strength.
2. Forming alliances, business networks, and supply chains
with regional companies for market-specific operations.
 Network Organization

Network Structure and Growth:

1. Establishing business networks with knowledge workers at key nodes managing relationships.
2. Anticipated growth in the number of these business network arrangements over time.
Challenges in Network Organizations:
1. Dealing with cultural and business diversity among network partners.
2. Engineering managers facing challenges like resistance to change, diverse working habits, and slow
decision-making.
Complexity Theory Principles:
1. Independence, flexibility, and empowerment of network organization members.
2. Self-organization fostering creativity and innovation.
3. Adapting to turbulent environments based on principles like connectivity, indeterminacy, and
consciousness.
 Concurrent Engineering Teams

Cross-Functional Team Significance:

1. Crucial for business success.
2. Formed to generate recommendations, make/design products, and run operations.
Team Performance Dynamics:
1. Sum of individual efforts and collaborative work outputs.
2. Team synergy contributes to superior overall performance.
Leadership's Role in Team Success:
1. Effective leadership is essential.
2. Teams may face challenges without proper guidance.
Addressing Coordination Challenges:
1. Multifunctional teams handle complex coordination issues.
2. Sequential processes in functional organizations can be ineffective.
Concurrent Engineering Principles:
1. Introduction to concurrent engineering as a solution.
2. Contrast between sequential and concurrent engineering processes.
 Delegating

Delegation for Organizational Efficiency:

1. After establishing an organizational structure, the engineering manager delegates
responsibilities and authority to improve overall efficiency.
Benefits of Delegating for Engineering Managers:
1. Improves work quality and quantity.
2. Frees up time for more crucial managerial duties.
3. Enhances the manager's understanding of employee capabilities.
4. Prepares employees to step in when needed.
5. Distributes workload effectively.
6. Develops leadership qualities.
7. Eases job pressure.
8. Reduces costs through efficient decisions.
 Delegating

Benefits of Delegating for Engineers:

1. Makes the job more satisfying.
2. Provides encouragement, incentives, and recognition.
3. Develops new skills and knowledge.
4. Promotes self-confidence.
5. Facilitates teamwork.
6. Encourages growth and development.
7. Fosters initiative and competence.
What to Delegate:
1. Exploration and recommendation for decisions.
2. Tasks within employee capabilities.
3. Tasks needed to achieve company objectives.
4. Tasks promoting employee development.
5. Tasks saving the manager's time if done properly by employees.
 Delegating

Guidelines for Delegation:

1. Clearly explain the importance of the assignment.
2. Ensure understanding and confidence.
3. Allow leeway in the choice of method.
4. Set realistic goals and deadlines.
5. Assign responsibilities commensurate with the job.
6. Trust the employee.
7. Recognize good work.
8. Share worries openly and fully.
9. Make assignments challenging projects.
10.Avoid rushing in; provide additional training if needed.
11.Don't expect perfection.
 Delegating

Barriers to Delegation:
1. Psychological barriers: Fears of technological obsolescence.
2. Organizational barriers: Unclear responsibility and relationships.

Additional Observations on Delegation:

1. Limited by the availability of effective controls.
2. Authority should match responsibility.
3. Accountability is crucial for achieving expected results.
4. Control measures must be in place, with midcourse corrections if needed.
5. Many engineers struggle in managerial roles due to inadequate delegation skills.
Informal Organizations

1. Types of Informal Organizations:

1. Social groups formed around common interests and values, such as beer clubs, bowling clubs, and
company outings.
2. Status-oriented groups attracted to individuals with technical skills, achievements, and charisma.
3. Group coalitions formed for shared interests, like on-site fitness centers and foreign-language study
groups.
4. Location-based groups that gather around critical areas like executive assistants' offices and water
coolers.
2. Encouragement of Informal Organizations:
1. Informal organizations contribute to bonding among employees.
2. They facilitate smooth organizational operation and enhance job satisfaction.
3. Employee participation in informal organizations is generally encouraged.