Historical development of engineering dvelopment

Chapter 2Historical Development of Engineering Management

• Origins of Engineering Management• Impact of Industrial Revolution• Development of Scientific Management• Development of Administrative

Management• Development of Behavioral Management• Current Contributions

Chapter Outline

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

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

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

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

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

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

Industrial Revolution: Problems of the Factory System

• Recruiting/Training Workers• Explosive Growth in Mill Towns• Supervisors, No Background• Upper Management, Sons or Relatives

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

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

Management Philosophies

• Scientific Management• Administrative Management• Behavioral Management

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

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

Scientific Management

• Replaced old rule of thumb• Believed in selecting, training, teach and

developing workers• Time Study• Standards planning

Criticism of Scientific Management

• Productivity, not quality• Separating Planning and execution

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

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

Behavioral Management

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

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

Contemporary Management: Issues and Challenges

• Customer Focus– CASA/SME CIM

Wheel

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

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

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

Contemporary Management: Famous Authors

• Peter Senge– The Learning Organization

• Systems thinking• Personal mastery• Mental models• Building shared vision• Team learning

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

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.

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

Discussion Questions

1. Compare the impacts of Industrial Revolution with the “Information Revolution”.

2. Could you identify some other issues and challenges faced in today’s engineering management fields?

3. Could you identify some other famous authors who are influencing management practices of today?