Module 1: Introduction to Engineering
Management
ENGINEERING MANAGEMENT & MANAGERIAL CONCERNS
ORGANIZATION EFFICIENCY
- “Doing things right”
MANAGERS
- Getting the most output for
– Someone who works with and
the least input
through other people by coordinating
their work activities in order to
accomplish organizational goals. EFFECTIVENESS
- “Doing the right things”
TYPES OF MANAGERS - Attaining organizational goals
1. FIRST – LINE MANAGERS
Are at the lowest level of FUNCTIONS OF THE MANAGERS
management and manage the work
of non-managerial employees. 1. PLANNING
Defining goals, establishing strategies
2. MIDDLE MANAGERS 2. ORGANIZING
Manage the work of first-line Arranging work to accomplish goals
managers
3. LEADING
3. TOP MANAGERS Working with and through people to
Are responsible for making accomplish goals
organization-wide decisions and
establishing plans and goals that 4. CONTROLLING
affect the entire organization. Monitoring, comparing and correcting
MANAGEMENT VISION
– Refers to the process of coordinating - Is the desired future state
and integrating work activities so that MISSION
they’re completed efficiently and - The reason why you exist
effectively with and through other
people.
ROLES OF THE MANAGERS
– The primary activity engaged in by 1. INTERPERSONAL ROLES
managers. Figurehead, leader, liaison
2. INFORMATIONAL ROLES
– coordinating other’s work activities
is what distinguishes a manager’s job Monitor, disseminator, spokesperson
from a non-managerial one. 3. DECISIONAL ROLES
Entrepreneur, disturbance handler
SKILLS OF THE MANAGERS WHY STUDY MANAGEMENT?
1. TECHNICAL SKILLS 1. The universality of management
Knowledge & proficiency in a specific 2. The reality of work
field. 3. Entrepreneurship
2. HUMAN SKILLS
The ability to work well with other
ENTREPRENEURSHIP
people.
– The process whereby an individual or
3. CONCEPTUAL SKILLS group of individuals use organized
efforts to create value and grow by
The ability to thinks and conceptualize
fulfilling wants and needs through
about abstract and complex situations innovation and uniqueness.
ORGANIZATION IMPORTANT TERMS
– An organization is a deliberate
arrangement of people to accomplish ENGINEERING
some specific purpose. – The application of mathematics and
sciences in the production of systems,
CHARACTERISTICS OF ORGANIZATION processes, machines and structures for
the benefit of society.
- Have distinct purpose (goal)
- Are composed of people MANAGEMENT
- Have deliberate structure – May be defined as the creative
problem solving-process of planning,
organizing, leading and controlling
CHALLENGES IMPACTING THE ENGINEERING MANAGEMENT
MANAGER’S JOB
– refers to the activity combining
1. Ethics technical knowledge with the ability to
2. Diversity organize and coordinate worker
3. Globalization power, materials, machinery and
4. E-business money.
5. Customers
6. Knowledge Management
7. Innovation
Module 2: SOCIAL RESPONSIBILITY
SOCIAL RESPONSIBILITY GREEN MANAGEMENT
- When managers consider the impact of
their organization on the natural
SOCIAL RESPONSIBILITY
environment.
- As a business’s obligation, beyond that
required by law and economics, to ORGANIZATIONS GO GREEN
pursue long-term goals that are good
for society. - Some companies do no more than what
is required by law – that is, they fulfill
1. CLASSICAL VIEW their social obligation.
- Management’s role to maximize profits
for the benefits of the stockholders. - Others have radically changed their
products and even their production
- Doing “social good” unjustifiably processes.
increase costs.
2. SOCIOECONOMIC VIEW
- Management’s social responsibility GREEN APPROACHES
goes beyond making profits but also
protect and improve society’s welfare. 1. LEGAL APPROACH
- Simply doing what is required by law
2. MARKET APPROACH
APPROACHES TO SOCIAL - Responding to customer’s
RESPONSIBILITY environmental preferences.
1. OBSTRUCTIONIST APPROACH
- Disregard for social responsibility 3. STAKEHOLDER APPROACH
- Meeting the environmental demands
2. DEFENSIVE APPROACH of multiple stakeholders.
- Minimal commitment
4. ACTIVIST APPROACH
3. ACCOMMODATIVE APPROACH - Looks for ways to protect the earth’s
- Moderate commitment natural resources.
4. PROACTIVE APPROACH EVALUATING GREEN MANAGEMENT
- Strong commitment ACTIONS:
1. GLOBAL REPORTING INITIATIVE
2. ISO 14000 (ENVIRONMENTAL
MANAGEMENT)
3. GLOBAL 100 MOST SUSTAINABLE
CORPORATIONS IN THE WORLD
MANAGERIAL ETHICS 4 VIEWS OF ETHICS
VALUES-BASED MANAGEMENT 1. UTILITARIAN VIEWS
- An approach to managing in which
- Greatest good is provided for the
managers establish, promote and
greatest number.
practice an organization’s shared
values. - Encourages efficiency and productivity
and is consistent with the goal of profit
SHARED VALUES maximization.
- Explicit or implicit fundamental
beliefs, concepts and principles that 2. RIGHTS VIEW
underlie culture of an organization - Respecting and protecting individual
liberties and privileges
PURPOSES OF SHARED VALUES - Seeks to protect individual rights of
conscience, free speech, life and safety,
1. GUIDE MANAGERS’ DECISIONS AND and due process
ACTIONS
3. THEORY OF JUSTICE VIEW
2. SHAPE EMPLOYEE BEHAVIOR - Organizational rules are enforced
fairly and impartially and follow all
3. INFLUENCE MARKETING EFFORTS legal rules and regulations
4. BUILD TEAM SPIRIT - Protects the interests of
underrepresent stakeholders and the
rights of employees
ETHICS
- Refers to the rules, principles, values 4. INTEGRATIVE SOCIAL CONTRACTS
and beliefs that defined right and THEORY
wrong conduct and behavior. - Ethical decisions should be based on
existing ethical norms in industries
and communities.
- Based on integration of the general
social contract and the specific
contract between community
members
Factors That Determine Ethical &
Unethical Behavior:
II) Individual characteristics
FACTORS THAT AFFECT EMPLOYEE
- Research divides moral development
ETHICS:
into 3 levels, each having 2 stages:
1. Stages of moral development
a. Values
2. Individual characteristics
- are basic convictions about what is right
3. Structural variables or wrong on a broad range of issues.
4. Organizational culture b. Personality
5. Issue Intensity - two personality variables have been
found to influence an individual’s actions
I) Stages of moral development
according to his/her beliefs about what is
- Research divides moral development right or wrong.
into 3 levels, each having 2 stages:
Ego Strength
a. PRECONVENTIONAL LEVEL
- measures the strength of a
- a person’s choice between right or wrong person’s convictions.
is based on personal consequences from
outside sources, such as physical Locus of Control
punishment, reward, or exchange of - measures the degree to which
favors. people believe they control their
b. CONVENTIONAL LEVEL own life.
- ethical decisions rely on maintaining
expected standards and living up to the
expectations of others.
c. PRINCIPLED LEVEL
- individuals define moral values apart
from the authority of the groups to which
they belong or society in general.
III) Structural variables
- Organizational characteristics and
mechanisms that guide and influence
individual ethics:
a) Performance appraisal systems
b) Reward allocation systems
c) Behaviors (ethical) of managers
IV) Organizational culture
- Cultures high in risk tolerance, control,
and conflict tolerance are most likely to
encourage high ethical standards
- Weak cultures have less ability to
encourage high ethical standards
V) Issue intensity
- How important is the ethical issue to an
individual
HOW MANAGERS CAN IMPROVE ETHICAL LEADERSHIP
ETHICAL BEHAVIOR IN AN
- Managers must be good role
ORGANIZATION:
models by:
1. Hire individuals with high ethical
standards. Being ethical and honest at all times
Telling the truth
2. Establish codes of ethics and decision
rules. Admitting failure and not trying to
cover it up
3. Lead by example. Communicating shared ethical values
to employees through symbols,
4. Delineate job goals and performance
stories, and slogans
appraisal mechanisms.
Rewarding employees who behave
5. Provide ethics training. ethically and punishing those who do
not
6. Conduct independent social audits.
Protecting employees
7. Provide support for individuals facing (whistleblowers) who bring to light
ethical dilemmas. unethical behaviors or raise ethical
issues
THE VALUE OF ETHICS TRAINING:
CODE OF ETHICS
- A formal statement of an organization’s Training can make a difference in
primary values and the ethical rules it ethical behaviors
expects its employees to follow.
Training increases employee
Be a dependable organizational awareness of ethical issues in business
citizen decisions
Don’t do anything unlawful or
improper that will harm the
organization Training clarifies and reinforces the
Be good to customers standards of conduct
EFFECTIVE USE OF CODE OF ETHICS
Employees are more confident of
Develop a code of ethics to guide support when taking unpopular but
decision making ethically correct stances
Communicate the code regularly
Have all levels of management show
commitment to the code
Publicly reprimand and consistently
discipline those who break the code