Trends and Techniques in Engineering Management

Instructor: Engr. Flordelis C. Enriquez, DM Reporters: Engr. Saivan R. Valendez Engr. Abobacar D. Tocalo

Introduction to Engineering Management

What is Engineering?
The profession in which a knowledge of the mathematical and natural science gained by study, experience, and practice is applied with judgement to develop ways to utilize, economically, the materials and forces of nature for the benefit of mankind (1979, US. Engineering societies).

What is Management?
A set of activities (including planning and decision making, organising, leading and control) directed at an organisations resources (human, financial, physical and informational) with the aim of achieving organisational goals in an efficient and effective manner. (Griffin)

Engineering Management
Engineering Management - is a specialized form of management that is concerned with the application of engineering principles to business practice. Engineering management is a career that brings together the technological problem-solving savvy of engineering and the organizational, administrative, and planning abilities of management in order to oversee complex enterprises from conception to completion -Wikipedia
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Engineering Management
Getting things done through people. Process of achieving organizational goals by working with and through people and organizational resources

Brief History
Ancient Civilizations Mesopotamians ~4500 - 2000 B.C. Used canals for irrigation Had management system and job descriptions Hammurabi Law (20232081 B.C.) Egyptians 4000 1600 B.C. Built pyramids (2.3M stone blocks, @5000 lbs) 100,000 men x 20~30 years Used managerial principles

Brief History
Ancient Civilizations Chinese Principles of organizing, planning, directing, controlling (~1100 B.C.) Built Great Wall: ~4000 miles (~500 B.C.) Romans 284 B.C. Estate and farm management Emphasis on personnel selection and placement Known for building roads, bridges, and water management

Brief History
Ancient Civilizations Ancient Military Cyrus the Great (Persia) 576530 B.C. Use of staff Recognized use of order and division of work Alexander the Great (Greek) 336-323 B.C. Distinction between line and staff Used discipline and delegation Ancient Mass Production Arsenal of Venice ( Early 1400s) Manufacturing Numbering of inventory parts Personnel policies Standardization of parts Assembly line Accounting in two journals and one ledger, with annual auditing
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Brief History
IN USA Stevens Institute of Technology is believed to have the oldest EM department, established as the School of Business Engineering in 1908 Drexel University's Engineering Management program was established in 1959 The first university department titled "Engineering Management" was founded at the Missouri University of Science and Technology (Missouri S&T, formerly the University of Missouri-Rolla) in 1967.
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Brief History
OUTSIDE USA Istanbul Technical University has a Management Engineering Department established in 1982, offering a number of graduate and undergraduate programs in Management Engineering In Germany the first department concentrating on Engineering Management was established 1927 in Berlin
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Brief History
OUTSIDE USA More recently in the United Kingdom, Teesside University's School of Science and Engineering introduced an MSc Engineering Management alongside its engineeringfocussed MSc Project Management

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Concepts and Principles

o o o o Planning Organizing Directing Controlling

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Concepts and Principles

o Planning
is the process of thinking about and organizing the activities required to achieve a desired goal (wikipedia). Main Characteristics of Planning:
Planning increases the efficiency of an organization. It reduces the risks involved in modern business activities. It facilitates proper coordination within an organization. It aids in organizing all available resources. It gives right direction to the organization. It is important to maintain a good control. It helps to achieve objectives of the organization. It motivates the personnel of an organization. It encourages managers' creativity and innovation. 13

Concepts and Principles

o Organizing
is the act of rearranging elements following one or more rules (wikipedia). the way the organization allocates resources, assigns tasks, and goes about accomplishing its goals.
Purpose of Organization Helps to achieve organizational goal Optimum use of resources To perform managerial function Facilitate growth and diversification Human treatment of employees
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Concepts and Principles

o Directing
To give commands or directions. the process that many people would most relate to managing. It is supervising, or leading workers to accomplish the goals of the organization.

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Concepts and Principles

o Controlling
involves the evaluation activities that managers must perform. It is the process of determining if the company's goals and objectives are being met. This process also includes correcting situations in which the goals and objectives are not being met.

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Key to Concepts &Principles

Decision Making
can be regarded as the cognitive process resulting in the selection of a course of action among several alternative scenarios. Every decision making process produces a final choice. The output can be an action or an opinion of choice.

Steps in Decision Making

Objectives must first be established Objectives must be classified and placed in order of importance Alternative actions must be developed The alternative must be evaluated against all the objectives The alternative that is able to achieve all the objectives is the tentative decision The tentative decision is evaluated for more possible consequences
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Importance of Engg Mgt. -accdng. to Peter Drucker

1. 2. 3. 4. 5. 6. Encourages Initiative Encourages Innovation Facilitates growth and expansion Improves life of workers Improves corporate image Motivates employees
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Importance of Engg Mgt. -accdng. to Peter Drucker

7. Optimum use of resources
8. Reduces wastage 9. Increases efficiency 10. Improves relations 11. Reduces absenteeism and labour turnover 12. Encourages Team Work
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Importance of Engg Mgt. -accdng. to Peter Drucker "Management is what the modern world is all about. This statement means that all the development that has taken place in the world is due to efficient management.
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MEASURING EFFECTIVENESS
Measuring the act of ascertaining the dimensions, quantity, or capacity of a subject (http://www.thefreedictionary.com). Effectiveness the degree of producing or capable of producing a desired effect (http://www.thefreedictionary.com).
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MEASURING EFFECTIVENESS Measuring effectiveness is the act of ascertaining the quantitative degree of producing the desired effect.

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MEASURING EFFECTIVENESS
Measuring the effectiveness of a certain engineering management style would directly depend and relates to the pre determined criteria and requirements : Technical Requirements such as plans and specs, standards, and other applicable references Legal requirements Environmental , social and moral requirements
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APPLICATIONS IN TODAYS BUSINESS ENVIRONMENT

Example: Construction Management

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References:
www.wikipedia.com http://www.thefreedictionary.com www.asem.org http://www.brunel.ac.uk/courses/postgraduate/engineerin g- management-msc http://kalyan-city.blogspot.com/2011/06/importance-ofmanagement-significance.html http://businesscasestudies.co.uk/arcadia/recruitingselecting-and-training-entrepreneurial-managers/theimportance-of-good-management.html#axzz2WyAeLMZ0 http://managementinnovations.wordpress.com/2008/12/0 3/role-importance-of-management/
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Thank you Maam and Classmates

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