You are on page 1of 16

Islamic University of Technology

Department of Electrical and Electronic Engineering


Course: HUM 4521 [Engineering Management]

Professor Dr. Mohammad Zoynal ABEDIN


abedin.mzoynal@gmail.com
+88 01829 311 650

Department of Mechanical Engineering


Dhaka University of Engineering and Technology, Gazipur
www.duet.ac.bd
Class Schedule

Course No.: HUM 4521


Course Name: Engineering Management
Contact Hours: 3; Credit Hours: 4.50/Week
Teachers: Prof Dr. Mohammad Z. Abedin
Prof Dr. A. K. M. Masud

Professor Dr. Mohammad Zoynal ABEDIN HUM 4521 Department of EEE


Dept. of ME, DUET, Gazipur Engineering Management IUT, Board Bazar, Gazipur
Course Content

 Basic management theory and practice  Manpower planning-forecasting


 Division of management structure into elemental labour demand,
functions  Planning, scheduling and
 Management functions and their inter-relationships organising work,
 Industrial organisation and organizational objectives  Procedures for settlement of
disputes,
 Communications and job instructions
 Industrial accident prevention,
 Plant layout,
 Management of human resources  Working environment and material
handling,
 Team work
 Work study,
 Leadership and human relationship  Inventory control,
 Personnel system  Basic costing and budgetary
 Performance appraisal and incentive scheme control.
 Industrial relations-general framework
 Current development

Books: (i) Management, Thirteenth Edition (Global Edition) by Stephan P. Robbins and Mary Coulter
(ii) Engineering Management: Meeting the Global Challenges, Second Edition by C. M. Chang

Professor Dr. Mohammad Zoynal ABEDIN HUM 4521 Department of EEE


Dept. of ME, DUET, Gazipur Engineering Management IUT, Board Bazar, Gazipur
Division of Management Structure into Elemental Functions
Six General Management Structures:
1) Chain of Command
 The basic element of an organizational structure
which is exactly what it sounds like as:
 An unbroken line of authority that extends from the
top of the organization (e.g. a CEO) all the way
down to the bottom.

 Chain of
command
clarifies who
reports to whom
within the
organization.

Professor Dr. Mohammad Zoynal ABEDIN HUM 4521 Department of EEE


Dept. of ME, DUET, Gazipur Engineering Management IUT, Board Bazar, Gazipur
Division of Management Structure into Elemental Functions
2) Span of Control
 It refers to the number of subordinates whom a superior
can effectively manage.
 The higher the ratio of subordinates to superiors, the
wider the span of control.
 It has two types: wide span of control and narrow span
of control

3) Centralization
 If the decision-making power is concentrated at a single
point, the organizational structure is centralized.
 If decision-making power is spread out, the structure is
decentralized.
 While a decentralized structure promotes a more
democratic decision-making process, it can also slow down
the decision-making process, making it harder for
organizations to operate efficiently. 

Professor Dr. Mohammad Zoynal ABEDIN HUM 4521 Department of EEE


Dept. of ME, DUET, Gazipur Engineering Management IUT, Board Bazar, Gazipur
Division of Management Structure into Elemental Functions
4) Specialization
 It is also known as division of labor.
 It is the degree to which activities or tasks in an
organization are broken down and divided into
individual jobs.
 It has two types: high specialization and low
specialization.
 High specialization can be beneficial for an
organization, as it allows employees to become
“masters” in specific areas, increasing their
productivity as a result.
 However, low specialization allows for more
flexibility, as employees can more easily tackle
a broader array of tasks (as opposed to being
specialized for a single task).

Professor Dr. Mohammad Zoynal ABEDIN HUM 4521 Department of EEE


Dept. of ME, DUET, Gazipur Engineering Management IUT, Board Bazar, Gazipur
Division of Management Structure into Elemental Functions
5) Formalization
 Similar to specialization, formalization deals with how
jobs are structured within an organization.
 The key difference is that formalization also takes into
account the degree to which an employee’s tasks and
activities are governed by rules, procedures, and other
mechanisms.
 A formal organizational structure seeks to separate the
individual from the role or position, as the role or
position stays the same regardless of who’s holding it. 
 An informal organization, on the other hand, places more
value on the individual.
 It allows for the evolution of a role or position based on
an individual’s preferences, skill set, etc., and places less
importance on what team or department that individual is
part of.

Professor Dr. Mohammad Zoynal ABEDIN HUM 4521 Department of EEE


Dept. of ME, DUET, Gazipur Engineering Management IUT, Board Bazar, Gazipur
Division of Management Structure into Elemental Functions
6) Departmentalization
 Departmentalization refers to the process of
grouping jobs together in order to coordinate
common activities and tasks.
 If an organization has rigid
departmentalization, each department or team is
highly autonomous, and there is little (or no)
interaction between different teams. 
 In contrast, loose departmentalization entails
that teams have more freedom to interact and
collaborate.
 For example, an organization that
departmentalizes by function (i.e. marketing,
sales, services), is said to have a functional
organizational structure.

Professor Dr. Mohammad Zoynal ABEDIN HUM 4521 Department of EEE


Dept. of ME, DUET, Gazipur Engineering Management IUT, Board Bazar, Gazipur
Division of Management Structure into Elemental Functions
Seven Specific Management Structures
1. Functional Organizational Structure:
 One of the most common types of organizational structures, the
functional structure departmentalizes an organization based on
common job functions.
 The functional structure allows for a high degree of specialization
for employees, and is easily scalable should the organization grow.
 It is mechanistic in nature -- which has the potential to inhibit an
employee's growth -- putting staff in skill-based departments can
still allow them to take away into their field and find out what
they're good at.

Disadvantages
 It has the potential to create barriers between different functions -- and it can be inefficient, if the
organization has a variety of different products or target markets.
 The barriers created between departments can also limit peoples' knowledge and communication with
other departments, especially those that depend on other departments to succeed.
Professor Dr. Mohammad Zoynal ABEDIN HUM 4521 Department of EEE
Dept. of ME, DUET, Gazipur Engineering Management IUT, Board Bazar, Gazipur
Division of Management Structure into Elemental Functions
2. Product-Based Divisional Structure
 A product-based divisional structure -- each
division within the organization is dedicated to
a particular product line.
 This type of structure is ideal for organizations
with multiple products and can help shorten
product development cycles.
 This allows small businesses to go to market
with new offerings fast.

Disadvantages
 It can be difficult to scale under a product-
based divisional structure, and the organization
could end up with duplicate resources as
different divisions strive to develop new
offerings.

Professor Dr. Mohammad Zoynal ABEDIN HUM 4521 Department of EEE


Dept. of ME, DUET, Gazipur Engineering Management IUT, Board Bazar, Gazipur
Division of Management Structure into Elemental Functions
3. Market-Based Divisional Structure
 It is based on around markets, industries, or customer
types.
 It is ideal for an organization that has products or services
that are unique to specific market segments, and is
particularly effective if that organization has advanced
knowledge of those segments.
 It also keeps the business constantly aware of demand
changes among its different audience segments.
Disadvantages
 Too much autonomy within each market-based team can
lead to divisions developing systems that are
incompatible with one another.
 Divisions might also end up inadvertently duplicating
activities that other divisions are already handling.

Professor Dr. Mohammad Zoynal ABEDIN HUM 4521 Department of EEE


Dept. of ME, DUET, Gazipur Engineering Management IUT, Board Bazar, Gazipur
Division of Management Structure into Elemental Functions
4. Geographical Divisional Structure
 It establishes the divisions based on geography which can
include territories, regions, or districts.
 It is best-suited to organizations that need to be near sources of EMEA: Europe, Middle East and Africa
supply and/or customers (e.g. for deliveries or for on-site
support).
 It also brings together many forms of business expertise,
allowing each geographical division to make decisions from
more diverse points of view.

Disadvantages
 It can be easy for decision-making to become decentralized, as
geographic divisions often have a great deal of autonomy.
 If it is more than one marketing department -- one for each
region -- you run the risk of creating campaigns that compete
with (and weaken) other divisions across your digital channels.

Professor Dr. Mohammad Zoynal ABEDIN HUM 4521 Department of EEE


Dept. of ME, DUET, Gazipur Engineering Management IUT, Board Bazar, Gazipur
Division of Management Structure into Elemental Functions
5. Process-Based Structure
 It is designed around the end-to-end flow of different processes.
 Unlike a strictly functional structure, it considers not only the
activities employees perform, but also how those different
activities interact with one another.
 The customer acquisition process can't start until you have a
fully developed product to sell.
 By the same token, the order fulfillment process can't start until
customers have been acquired and there are product orders to
fill.
 It is ideal for improving the speed and efficiency of a business,
and is best-suited for those in rapidly changing industries, as it is
easily adaptable.

Disadvantages
 It can erect barriers between the different process groups which leads to problems in communicating and handing off
work to other teams and employees.

Professor Dr. Mohammad Zoynal ABEDIN HUM 4521 Department of EEE


Dept. of ME, DUET, Gazipur Engineering Management IUT, Board Bazar, Gazipur
Division of Management Structure into Elemental Functions
6. Matrix Structure
 A matrix organizational structure doesn't follow the traditional,
hierarchical model. Instead, all employees (represented by the green
boxes) have dual reporting relationships.
 Typically, there is a functional reporting line (shown in blue) as
well as a product- based reporting line (shown in yellow).
 Solid lines represent strong, direct-reporting relationships, whereas
dotted lines indicate that the relationship is secondary, or not as
strong.
 It can provide both flexibility and more balanced decision-making (as
there are two chains of command instead of just one).

Disadvantages
 It is a complex process where the more layers of approval employees have to go through, the more confused
they can be about who they're supposed to answer to.
 This confusion can ultimately cause frustration over who has authority over which decisions and products --
and who's responsible for those decisions when things go wrong.

Professor Dr. Mohammad Zoynal ABEDIN HUM 4521 Department of EEE


Dept. of ME, DUET, Gazipur Engineering Management IUT, Board Bazar, Gazipur
Division of Management Structure into Elemental Functions
7. Circular Structure
 It relies on hierarchy, with higher-level employees
occupying the inner rings of the circle and lower-level
employees occupying the outer rings.
 The leaders or executives in a circular organization
aren't seen as sitting atop the organization, sending
directives down the chain of command.
 Instead, they're at the center of the organization,
spreading their vision outward.
 A circular structure is meant to promote
communication and the free flow of information
between different parts of the organization.

Disadvantages
 The circular structure can be confusing, especially for new employees.
 Unlike with a more traditional, top-down structure, a circular structure can make it difficult for
employees to figure out who they report to and how they're meant to fit into the organization.
Professor Dr. Mohammad Zoynal ABEDIN HUM 4521 Department of EEE
Dept. of ME, DUET, Gazipur Engineering Management IUT, Board Bazar, Gazipur
Thank you
for
your cooperation

Professor Dr. Mohammad Zoynal ABEDIN HUM 4521 Department of EEE


Dept. of ME, DUET, Gazipur Engineering Management IUT, Board Bazar, Gazipur

You might also like