Engineering Management

Prepared By: Engr. Syed Waqas Haider Shah 1

Definition of Engineering management
Engineering Management or Management Engineering

Engineering Management (EM) is a specialized form of

management that is required to successfully lead engineering
or technical personnel and projects.

Engineering Management is a career that brings together the

technological problem-solving savvy of engineering and the
organizational, administrative, and planning abilities of
management in order to oversee complex enterprises from
conception to completion.

Prepared By: Engr. Syed Waqas Haider Shah 2

Definition of Engineering management
Engineering Management or Management Engineering

Engineering Management programs typically include

instruction in accounting, economics, finance, project
management, systems engineering, mathematical modeling
and optimization, management information systems, quality
control & six sigma, operations research, human resources
management, ethical and legal perspectives, team relations,
safety and health.

It empowers engineering managers with knowledge, and skills

needed to lead technical organizations or processes to success.

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Definition of Engineering management

Example areas of engineering are:

Product Development, Manufacturing, Construction, Design Engineering,
Industrial Engineering, technology, production, or any other field that
employs personnel who perform an engineering function.

Engineering managers
They manage engineers who are driven by non-commercial thinking, thus
require the necessary people skills to coach, guide and motivate technical
professionals.

One of most important topic in EM is Project Management

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Haider Shah
 Definition of Management
Management

The efficient utilization and direction of resources to achieve

objectives.

Coordinated activities to direct and control an organization

(ISO 9000/2000).

Management is the process of Planning, Organizing,

Directing/Leading, Communicating, Motivating and Controlling
the efforts of the organizational members and resources in
order to achieve organizational goals.

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Haider Shah
 Functions of Management
What the Functions of Management?

They include several interrelated functions which are:

1) Planning
2) Organizing
3) Coordinating / Directing
4) Communicating
5) Motivating
6) Controlling

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 Functions of Engineering Management

Planning

Controlling Organizing
(Measuring &
Correcting)
Directing Staffing
(Motivating &
Communicating)

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 Functions of Management
1) What is planning?
It is the process of setting goals, developing strategies, and outlining
tasks and schedules to accomplish the goals.

A process is Sequence of interdependent and linked procedures which,

at every stage, consume one or more resources (employee time, energy,
machines, money) to convert inputs (data, material, parts, etc.) into
outputs. These outputs then serve as inputs for the next stage until a
known goal or end result is reached.

Planning can be viewed from following points:

Subject:- Financial Planning, Time Planning, Quality Planning,
Organizational Planning, .
Organization:- Corporate Planning, Project Planning,.
Time:- Long-Range. Planning, Short-Range Planning, Weekly Planning, .
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 Functions of Management

2) What is organizing?
It is The process of determining the responsibilities and
scope of authority of each position in the company
structure and defining how each company segment
interrelates with the others.

It is the arranging several elements into a purposeful

sequential or spatial (or both) order or structure.

It is the assembling required resources to attain

organizational objectives.

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 Functions of Management

3) What is coordinating?
The synchronization and integration of activities,
responsibilities, and command and control structures to
ensure that the resources of an organization are used
most efficiently in pursuit of the specified objectives.
Along with organizing, monitoring, and controlling,
coordinating is one of the key functions of management.

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 Functions of Management

4) What is communicating?
Engineering Communication: The ability to effectively communicate
information about the design and engineering process. To that end, the
competition requires teams to submit technical reports, prepare and deliver
engineering presentations, and create poster displays.

Business Communication: communication used to promote a product,

service, or organization; relay information within the business; or deal with
legal and similar issues. It is also a means of relaying between a supply
chain, for example the consumer and manufacturer.

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 Functions of Management

5) What is motivating?
Internal and external factors that stimulate desire and energy in people to
be continually interested in and committed to a job, role, or subject, and
to exert persistent effort in attaining a goal

Motivation results from the interactions among conscious and

unconscious factors such as the (1) intensity of desire or need, (2)
incentive or reward value of the goal, and (3) expectations of the
individual and of his or her significant others.

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Haider Shah
 Functions of Management

6) What is controlling?
The basic management function of (1) establishing benchmarks or
standards, (2) comparing actual performance against them, and (3) taking
corrective action, if required

Control function can be viewed as follow:

Controlling involves making sure that the results achieved are in line with
the planned results.
The main feature of control is action to correct performance deviations
and to insure that expected results are forthcoming.
Control = Monitor + Compare + Analysis + Action
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Haider Shah
 Definition of Project management
What is a project?

1) Definition of a project according to IPMA / ICB 2006

A project is a time and cost constrained operation to realize a set of
defined deliverables up to quality standards and requirements.
The project should deliver all that is described within its scope.
The project scope defines the boundaries of a project. The scope
embraces the totality of all deliverables, which are included in a
project.
The goal of a project is to produce the deliverables defined in the
business case.

IPMA: International Project Management Association

ICB: IPMA Competence Baseline

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 Definition of Project management
What is a project deliverables?

Definition of a deliverables according to IPMA / ICB 2006

The deliverables of a successful project are tangible or intangible assets
created by the project for the customer. They are represented by drawings,
descriptions, specifications, models, prototypes,..
Deliverables are not only the product sold or service put into use after
project closure, but also the operational process, organizational changes and
human resource changes needed for a successful organization to operate

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Haider Shah
 Definition of Project management
What is a project?
2) According to PMI/PMBOK
A project is a temporary and one-time endeavor undertaken to create a unique
product or service, which brings about beneficial change or added value.
Projects have start and end dates!
PMI: Project Management Institute
PMBOK: Guide to the Project Management Body of Knowledge
PMP: Project Management Professional

3) According to ISO 9000/2000

A project is a unique process, consisting of a set of coordinated and
controlled activities with start and finish dates, undertaken to achieve an
objective conforming to specific requirements, including the constraints of
time, cost and resources.
The outcome of a project may be one or several units of product. A product
is the result of a process. A process is a set of interrelated or interacting
activities which transforms inputs to outputs.
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 Definition of Project management
What is the project characteristics?

Endeavors of any size may be a project

oLarge and small projects demand different handling
Temporary
oDistinguishes projects from operations
Unique
oNot the same old thing

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 Definition of Project management
Examples of projects

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Haider Shah
 Definition of Project management
Examples of projects

Prepared By: Engr. Syed Waqas

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Haider Shah
 Definition of Project management
Examples of projects

Prepared By: Engr. Syed Waqas

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Haider Shah
 Definition of Project management
Project management
1. It is the discipline of planning, organizing, securing and managing
resources to bring about the successful completion of specific project
goals and objectives.
2. It is the Coordinated activities to direct and control a project
organization to realize a set of defined deliverables up to quality
standards and requirements.

Who project manager? According to ICB 2006

He is the professional specialist who plans and controls a project. He is the
person who acts in a transparent manner for the sake of the whole project to
satisfy the expectations of the customers, the partners delivering goods and
services for the project and the other interested parties.
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 Definition of Project management
The Role of the Project Manager
Project managers should be:
Good coaches
Good communicators
Able to organize activities from a variety of disciplines

Highly visible Responsible for making sure that:

All necessary activities are finished in order and on time
The project comes in within budget
The project meets quality goals
The people assigned to the project receive motivation, direction, and
information
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Haider Shah
 Definition of Project management
Ethical Issues
Bid rigging revealing confidential information to give some
bidders an unfair advantage
Low balling contractors try to buy the project by bidding
low and hope to renegotiate or cut corners
Bribery particularly on international projects
Expense account padding
Use of substandard materials
Compromising health and safety standards
Withholding needed information
Failure to admit project failure at close

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Haider Shah
 Course Description
Introduction for engineering management.
Planning Engineering projects.
Scheduling using activity-on-node and precedence methods.
Resource leveling and allocation.
Project time-cost trade-off.
Cash flow forecasting.
Updating construction schedules.
Project time and cost control.
Contractual and organizational approaches including definition
of organizational responsibilities of project participants.

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 Course Learning Objectives
Students completing this course successfully will be able to:

a) Using bar chart technique to formulate a complete plan for an engineering

project.
b) Apply activity-on-node network, and precedence diagram to schedule the
project.
c) Level and allocate project resources.
d) Shorten project duration.
e) Monitor an engineering project for purpose of time and cost control.
f) Analyze project cash flow.
g) Use computer software for preparing project schedules
h) Understand principles of project organization and contractual relationships
including definition of professional responsibilities of project participants.
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Textbook(s) and/or Other Required Material

The New Management of Engineering by Patrick D.T. OConner

For Other Required Material :
Make a yahoo or Facebook group and add me
(waqas.haider123@gmail.com)

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Haider Shah
 Grade Distribution

Mid-term exam 20%

Quizzes (5-6) 10%

Assignments and Class Participation 10%

Final Exam 60%

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