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Chapter 2 Historical Development of Engineering Management

Chapter 2 Historical Development of Engineering Management. Chapter Outline. Origins of Engineering Management Impact of Industrial Revolution Development of Scientific Management Development of Administrative Management Development of Behavioral Management Current Contributions.

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Chapter 2 Historical Development of Engineering Management

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  1. Chapter 2Historical Development of Engineering Management

  2. Chapter Outline • Origins of Engineering Management • Impact of Industrial Revolution • Development of Scientific Management • Development of Administrative Management • Development of Behavioral Management • Current Contributions

  3. Learning Objectives • Describe the origins of engineering management • Identify the different basic management philosophies • Discuss the future issues that will affect the continued development of engineering management

  4. Origins of Engineering Mgmt –Ancient Civilizations Mesopotamians • ~4500 - 2000 B.C. • Used canals for irrigation • Had management system and job descriptions • Hammurabi Law (2023-2081 B.C.) Egyptians • 4000 – 1600 B.C. • Built pyramids (2.3M stone blocks, @5000 lbs) • 100,000 men x 20~30 years • Used managerial principles

  5. Origins of Engineering Mgmt –Ancient Civilizations Chinese • Principles of organizing, planning, directing, controlling (~1100 B.C.) • Built Great Wall: ~4000 miles (~500 B.C.) Romans • 284 B.C. • Estate and farm management • Emphasis on personnel selection and placement • Known for building roads, bridges, and water management

  6. Origins of Engineering Mgmt –Ancient Military Cyrus the Great (Persia) 576-530 B.C. • Use of staff • Recognized use of order and division of work Alexander the Great (Greek) 336-323 B.C. • Distinction between line and staff • Used discipline and delegation

  7. Origins of Engineering Mgmt – Ancient Mass Production Arsenal of Venice (Early 1400s) • Manufacturing • Numbering of inventory parts • Personnel policies • Standardization of parts • Assembly line • Accounting in two journals and one ledger, with annual auditing

  8. Industrial Revolution 1750-1800:Important Inventions • Spinning Jenny, James Hargreaves, 1764 • Water Frame, Richard Arkwright, 1771 • Spinning Mule, Samuel Crompton, 1779 • Power Loom, Edmund Cartwright, 1785 • Chlorine Bleach, Claude Louis Berthollet, 1785 • Steam Engine, James Watt, 1769 • Screw-cutting Lathe, Henry Maudslay, 1797 • Interchangeable Manufacture, Eli Whitney, 1798

  9. Industrial Revolution: Problems of the Factory System • Recruiting/Training Workers • Explosive Growth in Mill Towns • Supervisors, No Background • Upper Management, Sons or Relatives

  10. Industrial Revolution: Industrial Development in America • Fist advanced textile mill was built in 1790, 269 mills in 1810 • Canals (1790~1830): William Weston • Railroad (1830~1850): John Stevens • Telegraph line (1844~1860): Samuel Morse • Steel making (1870~1900): Andrew Carnegie

  11. Industrial Revolution: Development of Eng. Education • Apprenticeship, 18th century • First Eng. School: 1747 in France  Ecole des Ponts at Chaussees (School of Bridges and Roads) • US Military Academy at West Point, 1802 • Civil Eng. Program at West Point, 1817 • First Eng. School: Norwich (Connecticut) Univ. (1819) • Rensselear Polytechnic Institute (1823), Union College (1845), Harvard, Yale, Michigan (1847) • Morrill Land Grant Act, 1862

  12. Management Philosophies • Scientific Management • Administrative Management • Behavioral Management

  13. Scientific Management • Charles Babbage (1792-1871) • Invented 1st mechanical calculator “difference engine” • Method of observing manufactures (1832) • Henry Towne and ASME: Management Div. (1886) • Frederic W. Taylor: (1856-1915) • Time and Motion Studies • Believed in selecting, training, teaching, and developing workers

  14. Scientific Management • Frank B. Gilbreth: (1868-1924) • Best way of laying bricks • Devised a system for classifying hand motions into 17 basic divisions Therbligs • Lillian Moller Gilbreth: (1878-1972) • Psychology of Management (Human Factors) • First Lady of Management

  15. Scientific Management • Replaced old rule of thumb • Believed in selecting, training, teach and developing workers • Time Study • Standards planning

  16. Criticism of Scientific Management • Productivity, not quality • Separating Planning and execution

  17. Administrative Management • Henri Fayol (1841-1925): • Developed 14 “general principles of administration” • Divided management activities into five divisions (Planning, Organizing, Command, Coordination, Control) • Max Weber (1864-1920): • Division of labor • Hierarchy of authority • Employment based on expertise • Decisions & rules in writing • Separation of management & ownership

  18. Behavioral Management • Hawthorne Studies • Original intent was find the level of illumination that made the work of female coil winders, relay assemblers, and small parts inspectors more efficient. • Conclusion - persons singled out for special attention perform as expected • Abilene Paradox • Failing to manage agreement effectively

  19. Behavioral Management • Maslow: Hierarchical theory of human needs • Biological / Physiological Needs • Security / Safety Needs • Social Needs • Ego Needs • Self-actualization Fulfillment

  20. Contemporary Management: Issues and Challenges • Quality Management • Meeting customers’ requirements • Commitment by senior management and all employees • Continuous improvement • Planning quality into products and processes • Teams • Employee involvement and empowerment • Recognition • Benchmarking • Certification (ISO) • Six sigma

  21. Contemporary Management: Issues and Challenges • Customer Focus • CASA/SME CIM Wheel

  22. Contemporary Management: Issues and Challenges • Information Technology • Computers and Microprocessors • Internet • Engineering Functions: Design, Manufacturing • Business Practice: Supply Chain, e-Business • Project Management • Complex systems • Dynamic • Globalization

  23. Contemporary Management: Successful Executives • Chester Barnard (telecommunications executive) • Functions of the Executive • Alfred P. Sloan (GM) • Annual styling changes • Pricing structure • Walt Disney (Walt Disney) • Treating customers as “guests” • Thomas Watson Jr. (IBM) • Service • Customer satisfaction

  24. Contemporary Management: Successful Executives • Admiral Zumwalt (Navy) • “People will respond well to being treated as grownups” • Bill Hewlett & Dave Packard (HP) • Management by walking around • Sam Walton (Walmart) • Driving costs out of the merchandising system • Bill Gates (Microsoft) • Range of products • Jack Welch (GE) • innovative management strategies and leadership style

  25. Contemporary Management: Famous Authors • Peter Senge • The Learning Organization • Systems thinking • Personal mastery • Mental models • Building shared vision • Team learning

  26. Contemporary Management: Famous Authors • Steven Covey • The Seven Habits of Highly Effective People • Habit 1: Be Proactive: Principles of Personal Vision • Habit 2: Begin with the End in Mind: Principles of Personal Leadership • Habit 3: Put First Things First: Principles of Personal Management • Habit 4: Think Win/Win: Principles of Interpersonal Leadership • Habit 5: Seek First to Understand, Then to be Understood: Principles of Empathetic Communication • Habit 6: Synergize: Principles of Creative Communication • Habit 7: Sharpen the Saw: Principles of Balanced Self-Renewal

  27. Contemporary Management: Famous Authors • Tom Peters • In Search of Excellence: Lessons from America's Best Run Companies • 1) A bias for action, • 2) Staying close to the customer, • 3) Autonomy and entrepreneurship, • 4) Productivity through people, • 5) Hands-on, value driven, • 6) Stick to the knitting, • 7) Simple form, lean staff, and • 8) Simultaneous loose-tight properties.

  28. Contemporary Management: Famous Authors • Michael Hammer • Re-engineering the corporation • Scott Adams • Dilbert comic strip • Michael Porter • Strategic Management and Strategy Theory • Peter Drucker • Management By Objectives • Thomas Friedman • The World Is Flat: A Brief History of the Twenty-First Century

  29. Discussion Questions • Compare the impacts of Industrial Revolution with the “Information Revolution”. • Could you identify some other issues and challenges faced in today’s engineering management fields? • Could you identify some other famous authors who are influencing management practices of today?

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