INTRODUCTION TO ENGINEERING MANAGEMENT Engr. Rexmelle F. Decapia Jr. RME Technological University of the Philippines-Taguig

What is management? According to Frederick Taylor “Management is knowing exactly what you want (people) to do, and then seeing that they it in the best and cheapest way. - Is a set of activities (including planning and decision making, organizing, leading, and controlling) directed to an organization’s resources (human, financial, physical, and information) with the aim of achieving organizational goals in an efficient and effective manner.

Management - is a process involving planning, leading and controlling the different elements to achieve desired outcome. - involves problem solving and decision making (BM, TM, EM)

Business Management Management of business to achieve its mission, goals and objectives.

Technology Management - is concerned with decision, problems, at all levels related to the creation and utilization of technological assets and capabilities; their impact on individuals organizations, societies and nature and the reconciliation of economic, social and environmental consequences of technological innovation (Bayraktar)

Engineering Management -management of different engineering activities, for example, R & D, design, manufacture, operations, maintenance etc. -This must be done in the technology context for the business Note: The hierarchical relationships between engineering management, technology management and business management

Engineering Management Engineering Activities Research and Development Design Construction Production Operation Maintenance Complex: Involving Idea Generation Processes Machines Material People Money Need to Manage And coordinate Activities Project Evaluation and Management

Who is a manager? -Is someone whose primary responsibility is to carry out management process. In particular, is someone who plans and makes decision, organizes, leads, and controls human, financial, physical, and information resources.

The Management Process Planning means setting an organization’s goals and deciding how best to achieve them. Decision making a part of the planning process, involves selecting a course action from a set of alternatives. Organizing involves determining how activities and resources are to be grouped Leading is the set of process used to get people to work together to advance the interest of the organization. Controlling or monitoring the organization’s progress towards its goals.

Management in Organizations Planning and Decision Making Organizing Inputs from the Environment Human Resources Financial Resources Physical Resources Information Resources Goals Attained Efficiently Effectively Leading Controlling

Planning and Decision Making Management Process Planning and Decision Making (Setting the Organization’s goals and deciding how best to achieve them) Organizing ( Determining how best to group activities and resources) Controlling (Monitoring and correcting ongoing activities to facilitate goal attainment) Leading ( Motivating members of the organizations to work in the best interest of the organization)

Kinds of Managers Top Managers - they make up the relatively small group of executives who manage the overall organizations. - Title found in this group includes the president, vice president, and chief executive officer (CEO). - Makes decisions about such activities as acquiring other companies, investing in research and development, entering or abandoning various markets, and building new plants and office facilities.

Kinds of Managers Middle Managers -is probably the largest group of managers in most organizations. -Common middle-management titles include plant manager, operations manager, and division head. -are primarily responsible for implementing the policies and plans developed by top managers and for supervising and coordinating the activities of lower-level managers.

Kinds of Managers First-Line Managers - supervise and coordinate the activities of operating employees. - Common titles for first-line managers are supervisor, coordinator, and office manager. - Positions such as these are often the first ones held by employees who enter management from the ranks of operating personnel.

Kinds of Managers by Level and Area

Managers in Different Areas of the Organizations Marketing Managers - work in areas related to the marketing function- getting consumers and clients to buy the organization’s products or services. - these areas include new product development, promotion, and distribution.

Managers in Different Areas of the Organizations Financial Managers - Deal primarily with an organization’s financial resources. - They are responsible for activities such as accounting, cash management, and investments.

Managers in Different Areas of the Organizations Operations Managers - are concerned with creating and managing the systems that creates an organization’s products and services. - Typical responsibilities of operations managers includes production control, quality control, plant layout, and site selection.

Managers in Different Areas of the Organizations Human Resource Managers - are responsible for hiring and developing employees. - they are typically involved in human resource planning, recruiting and selecting employees, training and development, designing compensation and benefit systems, formulating performance appraisal systems, and discharging low-performing and problem employees.

Managers in Different Areas of the Organizations Administrative Managers - administrative or general managers are not associated with any particular management specialty. - they tend to be generalists; they have some basic familiarity with all functional areas of management rather than specialized training in any one area.

Managers in Different Areas of the Organizations Other Kinds of Managers - many organizations have specialized management positions in addition to those already described. - Public relations managers- deal with public and media for firms. - Research and Development managers- coordinate the activities of scientists and engineers working on scientific projects in organizations.

Basic Managerial Roles and Skills Interpersonal Roles - There are three interpersonal roles inherent in the manager’s job The manager is often asked to serve as figure head The manager is also asked to serve as a leader The managers can have a liaison role

Basic Managerial Roles and Skills Informational Roles - There are three informational roles identified Monitor- one who actively seeks information that may be of value Disseminator- transmitting relevant information back to others in the workplace. Spokesperson- relays information to people outside the unit or outside the organization

Basic Managerial Roles and Skills Decisional Roles There are four decisional roles identified Entrepreneur- the voluntary initiator of change Disturbance handler- handling such problems as strikes, copyright infringements, and energy shortages. Resource allocator- decides how resources are distributed, and with whom he or she will work most closely. Negotiator- enters into negotiations with other groups of organizations as a representative of the company.

Managerial Skills Technical Skills - are skills necessary to accomplish or understand the specific kind of work being done in an organization. - are especially important for first-line managers. - such skills are needed to train subordinates and answer questions about work related problems.

Managerial Skills Interpersonal Skills - is the ability to communicate with, understand, and motivate individuals and groups. - as a manager climbs the organizational ladder, they must be able to get along with subordinates, peers, and those at higher levels of the organization. - they must also be able to work with suppliers, customers, investors, and other outside of the organization.

Managerial Skills Conceptual Skills - depends on the manager’s ability to think in the abstract. - managers need the mental capacity to understand the overall workings of the organization and its environment, to grasp how all the parts of the organization fit together, and to view the organization in a holistic manner. - this allows them to think strategically, to see the “big picture” and to make broad- based decisions that serve the overall organization in a holistic manner.

Managerial Skills Diagnostic Skills - skills that enable the manager to visualize the most appropriate response to a situation. - a manager must be able to diagnose and analyze a problem in the organization by studying its symptoms and then developing a solution. - these skills enables him to define his problem, recognize its possible causes, focus on the most direct problem, and then solve it.

Management Skill Mixes at Different Organizational Levels

The Science and the Art of Management The Science of Management Many management problems and issues can be approached in ways that are rational, logical, objective, and systematic. Managers can gather data, facts, and objective information. They can use quantitative models and decision-making techniques to arrive at correct decisions.

The Science and the Art of Management The Art of Management Even though managers may try to be scientific as much as possible, they must often make decisions and solve problems on the basis of intuition, experience, instinct, and personal insights.

Successful acquisition and utilization of the basic management skills Becoming a Manager Sound Educational base; continued life- long educational experiences Successful acquisition and utilization of the basic management skills Initial job experiences; continued experiences through a variety of job assignments

The Scope of Management Management in Profit-Seeking Organizations Large Business Small and Start-Up Business International Management b) Management in Not-for-Profit Organizations Government Organizations Educational Organizations Healthcare Facilities Management in Nontraditional Settings