ENGINEERING MANAGEMENT
IE 256
Dr.B.G.Cetiner
cetinerg@itu.edu.tr

Course Outline
Understanding
Principles of Engineering Management
Applications of these Principles in Engineering Organizations
Learning
The importance of management to engineers,
Various forms and functions of organizations
Operation and Quality Management
Planning
Project Management
Dr.B.G.Cetiner
cetinerg@itu.edu.tr

Textbook
Managing Engineering and Technology, 3 rd Edition
Daniel L.Babcock and Lucy C.Morse
Publisher: Prentice Hall 2002
ISBN 0-13-061978-7 cetinerg@itu.edu.tr
Dr.B.G.Cetiner

Evaluation
1. Assignments 15%
2. Quizzes 20%
3. Mid Term 25%
4. Final Exam 40% cetinerg@itu.edu.tr
Dr.B.G.Cetiner

Weekly Course Topics
Topic
1 Engineering Management
Engineering
Management
Engineering Management
Management Philosophies
Scientific Management
Behavioral Management
2 Planning and Forecasting
Planning and Planning Concepts
Forecasting
3 Decision Making
Nature of Decision Making
Tools for Decision Making
Chapter Week
1,2 1-2
3 3-4
4 5-6

Weekly Course Topics
Topic
4 Organizations
Nature of Organizing
Organizations Theory
Staffing Issues
Functions of Organizations
Authority, Power, and Delegation
Motivation, and Leadership
5 Finance
Accounting
Financial Ratios
6 Production Planning
Facility Layout
Production Methods
Production Planning and Control
Chapter Week
5-7 7-8
9-10 9-10
11
10-11

Weekly Course Topics
Topic
7 Managing Projects
Project Planning and Acquisition
Project Organization and Control
Chapter Week
14-15
12-14
Dr.B.G.Cetiner
cetinerg@itu.edu.tr

Engineering and Management
What is an Engineer?
Ingenium: Talent, natural capacity, or clever invention.
Early applications of Clever Inventions based on Military
Builders of Ingenious military machines??
Dr.B.G.Cetiner
cetinerg@itu.edu.tr

Engineering and Management
The first issue (1866) of the English
Journal Engineering
The art of directing the great sources of power in nature, for the use and convenience of man.
Is it an art or profession?
Dr.B.G.Cetiner
cetinerg@itu.edu.tr

Engineering and Management
Modern Definition of Engineering
By ABET (Accrediting Board for
Engineering and Technology)
The profession in which a knowledge of the mathematical and natural sciences gained by study, experience, and practice is applied with judgement to develop ways to utilize, economically, the materials and forces of the nature for the benefit of mankind.
Engineer: A person applying his mathematical and science knowledge properly for mankind
It is a discipline not an art.
Dr.B.G.Cetiner

Engineering and Management
What is a system?
Interrelated components which come together for some purposes.
interface
Interrelations inputs constraints
Components
Outputs
Boundary
Environment cetinerg@itu.edu.tr
Purpose
Dr.B.G.Cetiner

Engineering and Management
What is Management?
• Directing the actions of a group to achieve a goal in most efficient manner
•
Getting things done through people
•
Process of achieving organizational goals by working with and through people and organizational resources
Dr.B.G.Cetiner
cetinerg@itu.edu.tr

Engineering and Management
Top-level management
(president, executive vice president)
Middle managers
(chief engineer, division head etc.)
First-line managers
(foreman, supervisor, section chief) cetinerg@itu.edu.tr
Dr.B.G.Cetiner

Engineering and Management
Level
First-line Managers
Middle Management
Top Management cetinerg@itu.edu.tr
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Type of Job
Directly supervise non-managers.
Carry out the plans and objectives of higher management using the personnel and other resources assigned to them.
Short-range operating plans governing what will be done tomorrow or next week, assign tasks to their workers, supervise the work that is done, and evaluate the performance of individual workers.
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Manage through other managers.
Make plans of intermediate range to achieve the long-range goals set by top management, establish departmental policies, and evaluate the performance of subordinate work units and their managers.
Provide and integrating and coordinating function so that the short-range decisions and activities of first-line supervisory groups can be orchestrated toward achievement of the long-range goals of the enterprise.
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Responsible for defining the character, mission, and objectives of the enterprise.
Establish criteria for and review long-range plans.
Evaluate the performance of major departments, and they evaluate leading management personnel to gauge their readiness for promotion to key executive positions.
Dr.B.G.Cetiner

Engineering and Management
Managerial Skills:
Managers need three types of skills:
Technical: Specific subject related skills such as engineering, accounting, etc…
Interpersonal: Skills related to dealing with others and leading, motivating, or controlling them
Conceptual: Ability to discern the critical factors that will determine as organization’s success or failure.
Ability to see the forest in spite of the trees.
cetinerg@itu.edu.tr
Dr.B.G.Cetiner

Engineering and Management
Managerial Level
Lowest Middle Top cetinerg@itu.edu.tr
Dr.B.G.Cetiner

Engineering and Management
Managerial Roles (What Managers Do)
• Interpersonal roles
• Informational Roles
• Decisional Roles cetinerg@itu.edu.tr
Dr.B.G.Cetiner

Engineering and Management
Managerial Roles (What Managers Do)
• Interpersonal roles
Outward
Figurehead role: Outward relationship
Leader role: Downward relation
Liaison role: Horizontal relation
Horizontal
Downward
Dr.B.G.Cetiner

Engineering and Management
Managerial Roles (What Managers Do)
• Informational Roles
Monitor Role: Collects information about internal operations and external events.
Disseminator Role: Transforms information internally to everybody in organization (like a telephone switchboard)
Spokesman Role: Public relations cetinerg@itu.edu.tr
Dr.B.G.Cetiner

Engineering and Management
Managerial Roles (What Managers Do)
• Decisional Roles
Entrepreneurial Role: Initiates changes, assumes risks, transforms ideas into useful products.
Disturbance Handler Role: Deals with unforeseen problems and crisis.
Resource Allocator Role: Distributing resources
Negotiator Role: Bargains with suppliers, customers etc. in favor of enterprise
Dr.B.G.Cetiner

Engineering and Management
Functions of Managers
Planning: Selecting missions and objectives.
Requires decision making.
Organizing: Establishing the structure for the objective.
Staffing: Keeping filled the organization structure
Leading: Influencing people to achieve the objective
Controlling: Measuring and correcting the activities cetinerg@itu.edu.tr
Dr.B.G.Cetiner

Engineering and Management
Management: Is it an art or science?
Management has a body of specialized knowledge.
This knowledge need not to be obtained in formal disciplined programs.
Somewhere between art and science.
Dr.B.G.Cetiner
cetinerg@itu.edu.tr

Engineering and Management
Management has a body of specialized knowledge.
This knowledge need not to be obtained in formal disciplined programs.
Engineering Management (Discipline+art)
Somewhere between art and science.
Dr.B.G.Cetiner
cetinerg@itu.edu.tr

Engineering and Management
What is Engineering Management?
Narrow definition: Directing supervision of engineers or of engineering functions.
Proper Definition of Engineering Manager:
Engineer possessing both abilities to apply engineering principles and skills in organizing and directing people and projects.
Dr.B.G.Cetiner
cetinerg@itu.edu.tr

Engineering and Management
Management
Management can be classified into one of four categories:
An organizational or administrative process
A science, discipline, or art
The group of people running an organization
An occupational career cetinerg@itu.edu.tr
Dr.B.G.Cetiner

Engineering and Management
Why Engineering Managers?
Competition is global and companies need these people to compete successfully cetinerg@itu.edu.tr
Dr.B.G.Cetiner

Engineering and Management
Advantages of Understanding Technology in Top
Management
• Really understanding the business
•
Understanding technology driving the business today and technology that will change the business in future
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Treating Research and Development as investment not an expense to be minimized
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Spending more time on strategic thinking
• Dedicating a customer’s problem (true marketing via customer relations)
•
Place a premium on innovation cetinerg@itu.edu.tr
Dr.B.G.Cetiner