Engineering Management Lecture 1

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- Not traditional, but family-based

Lectur 1
relationship
- Not charisma-based relationship
- One’s authority should be tied to the
official position he or she occupies
WHAT IS MANAGEMENT? - Clear rules should govern
- Manage from the italian word performance
“maneggiare” meaning “to handle” - Standardized guidelines should be
- Handle from the latin word “manus” determine hiring and firing
meaning “hand” - Was against favoritism or
particularism

MANAGEMENT
- Is a process of managing people, 2. Scientific Management - introduced by
motivation of people, optimum utilization Frederick Taylor by taking a micro-level
of resources to attain set objectives approach
- “Applying science to work”
- Saw customized, self-styled work as
ENGINEERING MANAGEMENT a serious productivity problem
- A field of science that bridges the gap - Popularized time and motion
between engineering and management studies
- Involves management of organization with - Wanted to find the “one right way”
orientation to engineering, technology, to do every single task
production, and manufacturing

THE EVOLUTION OF MANAGEMENT THEORY:


1. Classical
a. Scientific management
b. Administrative management
2. Neo-classical -
a. Human Relations Management
b. Behavioral Management 3. Administrative Science or Classical
3. Modern Management - introduced by Henry Fayol
a. System Approach by taking a mid-level approach by looking
b. Contingency Approach at the management side of things
- Wanted more systematic principles
From reference video: “The Evolution of to train managers
Management Theory” - Result of a noticeable lack of
available management theory
HISTORICAL CONTEXT during his day
Industrial Revolution “it is a case of setting it going, starting
- Industry = Work general discussion— that is what I am trying to
- Revolution = Rapid change do by publishing this survey, and I hope a
- From farms to factories [management] theory will emanate from it” -
- From small shops to lagre companies (Fayol, 1949, p.16)
- Primary Sparks From his book, he talk about
- Power management activities that managers
- Machinery innovations should be confidents about;
- Transportation
Management Activities:
THREE PRIMARY THEORY
● Planning - look ahead, chart a
1. Bureaucracy - introduced by Max Weber by course
taking a big picture approach
● Organization - select and arrange
- Where organizations should look
people
like the government and legal
● Command - oversee, lead and drive
system
● Coordinate - harmonize
- A “legal-rational” approach
● Control - ensure compliance
- This result became known as the
hawthorne effect
- The attention form the study made them
feel important and resulted in better
output
Human relations philosophy
Three key elements of the theory
+ Key work groups and teams
+ Excellent upward communication
+ Superior leadership
Teams
THE HUMAN RELATIONS MOVEMENT: DEFINITION - Are an important aspect of the human
AND SIGNIFICANCE TO ORGANIZATIONAL relations movement
BEHAVIOR [video: - Teams are workers placed together and the
The Human Relations Movement: Definition a… overall socialization of the individuals
] provides motivation and productivity
- When companies focus only on the Upward Communication
production profits of their business, they
- Is a necessity of the movement as it allows
ignore the human behavioral issues of
employees to offer feedback and
people
communication to upper management
HUMAN RELATIONS MOVEMENT - This allows the employees to feel that they
- ( in organizational behavior) focuses can be vocal and valuable to the company’s
instead on the person as an individual and decision-making process
analyzes what motivates and cultivates The last part of the movement revolves around
their achievement in a work setting providing good leadership through excellent
- Employee attitudes towards work became communication and decision-making
important to a successful company
- Employees will feel motivated by having
In the early 1900s, the framework for the human leaders who can offer mentorship and
relations movement was being built direction
- Companies realized that a monetary - Companies should focus on the human
incentive was not the only factor to behavior side of employee dynamics to
increasing production ensure a successful workplace

Elton Mayo
- An organizational psychologist was the
father of the human relation movement
- He was the first to realize that worker
output and satisfaction were linked to
social factors such as the way employees
were treated on the job
The 1927 hawthorne experiment further proved the
relationship between the understanding of worker
psychology and output
- In this experiment, psychologists
developed a theory that additional lighting
would have a positive effect on worker
factory output
- Scientists lowered the lighting to a dismal
amount assuming that production would
fall, but surprisingly the production
increased even more
- This led to discovery that the factory
workers were over performing because they
knew they were being watched as part of
the study

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