LOGO

MANU 3318
Engineering Economics and
Management

LEVEL OF MANAGEMENT AND

MANAGERIAL SKILLS
‫فضائل سورة االخالص‬
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
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.

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.
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.
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
Engineering and Management

What is a system?

Interrelated components which come together for some purposes.

interface Interrelations
inputs Purpose
Components
Outputs
Boundary

constraints Environment
Management Process (PLOC)
 Disciplinary Focus
 Various disciplines in “management”
emerge from the functions of
management:
 Business Policy (formally called Strategic
Planning) from the planning function.
 Organizational Behavior primarily from the
leading function.
 Human Resources Management primarily from
the organizing function.
 Strategic Management, originated from Business
Policy, but focuses on overall management –
PLOC – and beyond.
 What’s Strategy?
 Strategy is management’s overall plan
and actions for deploying resources and
skills taking into consideration
opportunities and threats in the
environment
 to achieve it’s mission, vision and objectives
 to establish a favorable competitive position.
 Strategy involves:
 An organization’s goals
 A series of related decisions & actions
 Takes into account key internal strengths & weaknesses
and external opportunities threats
 Analysis, communication, coordination, & action
 What is Strategic Management?
 Focuses on how managers formulate
and implement, and evaluate
strategies aimed at developing and
maintaining competitive advantage:
 the reason some firms enjoy higher levels of
performance than their rivals or competitors.
 Strategic management is therefore
concerned with overall PLOC
 Four aspects that set strategic
management apart:
 Interdisciplinary
 External focus “Big picture” view of an
 Internal focus organization influenced by
 Future directions its external environment
Level of Management

Top-level management
(president, executive vice president)

Middle managers
(chief engineer, division head etc.)

First-line managers
(foreman, supervisor, section chief)
Engineering and Management
Level 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.
First-line Managers · 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.
· 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
Middle Management 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.
· Responsible for defining the character, mission, and objectives of
the enterprise.
· Establish criteria for and review long-range plans.
Top Management
· Evaluate the performance of major departments, and they evaluate
leading management personnel to gauge their readiness for
promotion to key executive positions.
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.
 Technical skills
Technical skill is the ability to use the specialised
knowledge, procedures and techniques of a field of
activities.
Accountants, engineers, surgeons all have their
technical skills necessary for their respective
professions.
Most managers, especially at the lower and middle
levels, need technical skills for effective task
performance.
Technical skill enables a person to accomplish the
mechanics of performing a particular job.
Technical skills are important specially for first line
managers, who spend much of their time training
subordinates and supervising their work-related
problems.
 Interpersonal skills
Human skill is the ability to work with, understand,
and motivate other people as individuals or in groups.
 Managers spend much of their time interacting with
people both inside and outside their organisations.
We may recall here Mintzberg's explanation of how
top (and middle) managers spend their time: 59
percent in meetings, 6 percent on the phone, and 3
percent on tours.
Human skill includes the ability to work with others
and get co-operation from people in the work group.
the manager with human knowledge and skill
understands and recognises what views are brought to
situations and in turn what adjustments needed.
The ability to understand others and communicate
with people both inside and outside the organisation
 Conceptual skills
Is the ability to co-ordinate and integrate all of an
organisation’s interests and activities.
It requires having the ability to visualise the
enterprise as a whole, to envision all the functions
involved in a given situation or circumstance, to
understand how its parts depend on one another, and
anticipate how a change in any of its parts will affect
the whole.
Conceptual skills, in fact, depend on the manager’s
ability to think in the abstract and to view the
organisation in a holistic manner.
Conceptualisation requires imagination, broad
knowledge and mental capacity to conceive abstract
ideas.
Engineering and Management

Managerial Level
Lowest Middle Top

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 SKILLS AND MANAGEMENT LEVELS

Technical skill is specially important for first line

managers who spend much of their time training workers
and answering questions about work-related problems.
Human skill, although important for managers at all
levels, is specially needed by mid-level managers. Their
ability to tap this resource of their subordinates is more
important than their own technical proficiency.
Conceptual skill is mostly needed at the top level. In fact,
the importance of conceptual skill increases as one rises
through the ranks of management. At higher and higher
levels of organisation, the full range of relationships, and
the organisation’s place in time are important to
understand. This is where a manager must have a clear
grasp of the total picture of what his/ her enterprise
would look like in the remote future.
 Other Skills of Managers

Diagnostic skill: Successful managers are

found to possess diagnostic skill. A
manager can diagnose a problem in the
organisation by studying its symptoms.
Analytical skill: By analytical skill we
mean the manager’s ability to identify
the key variables in a situation, see how
they are interrelated, and decide which
ones should receive the most attention
Sources of Management Skills
There are primarily two sources of management
skills viz.
(i) education and
(ii) experience.
(iii)Some managers draw largely from one
source or the other, whereas others rely on
a combination of the two.
Engineering and Management

Managerial Roles (What Managers Do)

• Interpersonal roles

• Informational Roles

• Decisional Roles
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
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

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
 Engineering and Management

Why Engineering Managers?

Competition is global and companies need these people

to compete successfully
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
• Treating Research and Development as investment not
an expense to be minimized
• Spending more time on strategic thinking
• Dedicating a customer’s problem (true marketing via
customer relations)
• Place a premium on innovation
LOGO

Thank You
Wassalam