Engineering Management: Planning & Organizing Technical Activities PDF

ENGINEERING MANAGEMENT PLANNING & ORGANIZING TECHNICAL ACTIVITIES Group 3  CONTENTS 1 NATURE OF PLANNING 2 PLANNING AT VARIOUS MANAGEMENT LEVELS 3 THE PLANNING PROCESS 4 TYPES OF PLANS 5 REASONS FOR ORGANIZING 6 TYPES OF ORGANIZATIONAL STRUCTURES 7 TYPES OF AUTHOR...

ENGINEERING MANAGEMENT PLANNING & ORGANIZING TECHNICAL ACTIVITIES Group 3  CONTENTS 1 NATURE OF PLANNING 2 PLANNING AT VARIOUS MANAGEMENT LEVELS 3 THE PLANNING PROCESS 4 TYPES OF PLANS 5 REASONS FOR ORGANIZING 6 TYPES OF ORGANIZATIONAL STRUCTURES 7 TYPES OF AUTHORITY 8 PURPOSE OF COMMITTEE 02 THE NATURE OF PLANNING A plans, which is the output of planning, provides a methodical way achieving desired results. In the implementation of the activities, the plan serves as a useful guide. Without the plan, some minor tasks may be afforded major attention which may, later on, hinder the accomplishment of objectives. 03 PLANNING DEFINED - - - DESCRIPTION DESCRIPTION DESCRIPTION According to Nickels and others, it According to Aldag and Stearns, it According to Cole and Hamilton, it refers to "the management is "the selection and sequential is "deciding what will be done, who functions that involves ordering of tasksrequired to will do it, where, when and how it anticipating future trends and achieve organizational goal." will be done, and the standards to determining the best strategies which it will be done. and tactics to achieve organizational objectives. 04 PLANNING AT VARIOUS MANAGEMENT LEVELS STRATEGIC PLANNING INTERMEDIATE PLANNING OPERATIONAL PLANNING 05 STRATEGIC PLANNING REFERS TO THE PROCESS OF DETERMINING THE MAJOR GOALS OF THE ORGANIZATION AND THE POLICIES AND STRATEGIES FOR OBTAINING AND USING RESOURCES TO ACHIEVE THOSE GOALS. 06  INTERMEDIATE MANAGEMENT LEVEL PLANNING HORIZON PLANNING CEO PRESIDENT TOP VICE PRESIDENT STRATEGIC PLANNING MANAGEMENT GENERAL MANAGER (1 - 10 YEARS) Refers to "the process of DIVISION HEADS determining contributions that sub- units can make with allocated MIDDLE FUNCTIONAL MANAGER INTERMEDIATE PLANNING RESOURCES". MANAGEMENT PRODUCT LINE MANAGER (6 MONTHS TO 2 YEARS) DEPARTMENT HEADS The goals of a sub-unit are determined and a plan is LOWER UNIT MANAGER OPERATIONAL PLANNING prepared provide a guide to MANAGEMENT FIRST LINE SUPERVISORS (1 WEEK TO 1 YEAR) the realization of the goals. DESCRIPTION TYPES OF PLANNING 07 THE ORGANIZATION AND TYPES OF PLANNING UNDERTAKEN 08 OPERATIONAL PLANNING It refers to " the process of determining how specific tasks can best be accomplished on time with available resources." This type of planning is a responsibility of lower management. It must be performed in support of the strategic plan and the intermediate plan. 09  THE PLANNING PROCESS THE PROCESS OF PLANNING CONSISTS OF VARIOUS STEPS DEPENDING ON THE MANAGEMENT LEVEL THAT PERFORMS THE PLANNING TASK. GENERALLY, HOWEVER, PLANNING INVOLVES THE FOLLOWING: 01 SETTING ORGANIZATIONAL, DIVISIONAL, OR UNIT GOALS 02 DEVELOPING STRATEGIES OR TACTICS TO REACH THOSE GOALS 03 DETERMINING RESOURCES NEEDED 04 SETTING STANDARDS 10 1. SETTING ORGANIZATIONAL, DIVISIONAL, OR UNIT GOALS EXAMPLES OF GOALS, BY ORGANIZATIONAL LEVEL THE FIRST TASK OF THE ENGINEER EXAMPLE OF GOAL MANAGER IS TO PROVIDE A SENSE ORGANIZATIONAL LEVEL OF DIRECTION TO HIS FIRM TO HIS DIVISION. THE SETTINGS OF COMPANY Complete a 500 million pesos GOALS PROVIDE AN ANSWER TO residential development project THE SAID CONCER. IF EVERYBODY within 18 months. IN THE FIRM IS AWARE OF THE BUENAVISTA CONSTRUCTION CORPORATION GOALS, THERE IS A BIG CHANCE THAT EVERYBODY WILL DIVISION Complete design and CONTRIBUTE HIS SHARE IN THE engineering plans within 6 REALIZATION OF SUCH GOALS. months PROJECT MANAGEMENT DIVISION GOALS MAY BE DEFINED AS THE "PRECISE STATEMENT OF RESULTS Finish foundation and framing SOUGHT, QUANTIFIED IN TIME AND UNIT within 9 months. MAGNITUDE, WHERE POSSIBLE." PERSONNEL SERVICES UNIT 11 2. DEVELOPING STRATEGIES OR TACTICS TO REACH GOALS AFTER DETERMINING THE GOALS, THE NEXT TASK IS TO DEVISE SOME MEANS TO REALISE THEM. THE WAYS TO REALIZE THE GOALS ARE CALLED STRATEGIES AND THESE WILL BE THE CONCERN OF TOP MANAGEMENT. THE MIDDLE AND LOWER MANAGEMENT WILL ADAPT THEIR OWN TACTICS TO IMPLEMENT THEIR PLANS. A STRATEGY MAY BE DEFINED A TACTIC IS A SHORT TERM TAKEN BY MANAGEMENT TO ADJUST TO NEGATIVE AS “A COURSE OF ACTION AIMED INTERNAL OR EXTERNAL INFLUENCES. THEY ARE AT ENSURING THAT THE FORMULATED AND IMPLEMENTED IN SUPPORT OF ORGANIZATION WILL ACHIEVE THE FIRM’S STRATEGIES. THE DECISION ABOUT ITS OBJECTIVES.” SHORT TERM GOALS AND THE COURSES OF ACTION ARE INDICATED IN THE TACTICAL PLAN. 12 3. DETERMINING RESOURCES NEEDED TO SATISFY STRATEGIC REQUIREMENTS, A GENERAL STATEMENT OF NEEDED RESOURCES WILL SUFFICE. THE SPECIFIC REQUIREMENTS WILL BE DETERMINED BY THE DIFFERENT UNITS OF THE COMPANY. 4. SETTING STANDARDS A STANDARD MAY BE DEFINED AS “A QUANTITATIVE OR QUALITATIVE MEASURING DEVICE DESIGNED TO HELP MONITOR THE PERFORMANCES OF PEOPLE, CAPITAL GOODS, OR PROCESSES.” 13  TYPES OF PLANS POLICIES FUNCTIONAL PLANS WITH PLANS WITH VARIED AREA PLANS TIME HORIZON FREQUENCY OF USE PROCEDURES SHORT-RANGE MARKETING PLAN STANDING PLAN PLAN RULES LONG-RANGE PRODUCTION PLAN PLAN BUDGET SINGLE-USE PLAN FINANCIAL PLAN PROGRAM HUMAN RESOURCES PLAN PROJECT MARKETING PLAN FUNCTIONAL AREA PLANS Written document for implementing and controlling an organization's marketing activites related to a particular marketing strategy. PRODUCTION PLAN Written document for that states the quantity of output a company must produce in board terms and by product family. FINANCIAL PLAN Document that summarizes the current financial situation of the firm, analyzes financial needs, and recommends a direction for financial activities. HUMAN RESOURCE MANAGEMETNT PLAN Document that indicates the human resource needs of a company detailed in terms of quantity and quality and based on the requirements of the company's strategic plan. 15 PLANS WITH TIME HORIZON SHORT-RANGE PLAN Plans intended to cover a period of less than one year. LONG-RANGE PLAN Plans covering a time span of more than one year. 16  PLANS ACCORDING TO FREQUENCY USE 01 STANDING PLANS Plans that are use again and again, and they focus on managerial situations that recur repeatedly. 02 SINGLE-USE PLANS Plans that are specifically developed to implement courses of action that are relatively unique and are unlikely to be repeated. 17 PARTS OF VARIOUS FUNCTIONAL AREA PLANS CONTENTS OF MARKETING PLAN 1.The executive summary 2.Table of contents 3.Situational analysis and target market 4.Marketing objectives and goals 5.Marketing Strategies 6.Marketing Tactics 7.Schedules and Budgets 8.Financial Data and Control 18  CONTENTS OF MARKETING PLAN The executive summary Gives an overview of the key elements of the marketing plan, with a specific focus on product, pricing, promotion, and placement. Situational analysis and target market Situational analysis examines all the aspects that may impact sales of a specific company. Target market defines the target customers by their demographic profile, such as gender, race, age, and psychographic profile, such as their interests. Marketing objectives and goals Marketing objectives are measurable goals that are set up by a business to promote its products and services to prospects within a certain time frame. Marketing goals states what the organization plans to achieve through the implementation of the marketing plan. Marketing Strategies It outlines how a business will use its available resources to promote its 19 products or services and reach its target audience.  CONTENTS OF MARKETING PLAN Marketing Tactics It refer to the specific actions and methods used to implement a marketing strategy and achieve defined goals. Schedules and Budgets Marketing schedule is an organized method for documenting important marketing dates and projects. Marketing budget or projection outlines the budgeted expenditure for the marketing activities documented in the marketing plan. Financial Data and Control Financial data refers to a number of verified, quantifiable sources of information about the financial health, performance, and prospects of an enterprise. Control outlines how this will be achieved. Implementing controls enables the monitoring of activities and facilitates necessary adjustments when required. 2020  CONTENTS OF PRODUCTION PLAN 1.The Amount of capacity that company must have 2.How many employees are required 3.How much material must be purchased 21  CONTENTS OF PRODUCTION PLAN The Amount of capacity that company must have determining the optimal number of employees needed to meet the business’s operational, production, or service goals efficiently. How many employees are required company's ability to support its operations, growth, and financial obligations. How much material must be purchased the amount of raw materials or inventory a business needs to acquire in order to meet production or operational demands within a specific period. 22  CONTENTS OF FINANCIAL PLAN 1.An analysis of the firm's current financial condition 2.Sales forecast 3.The capital Budget 4.The Cash Budget 5.A set of pro forma financial statements 6.The external financing plans 23  CONTENTS OF FINANCIAL PLAN An analysis of the firm's current financial condition provide valuable information regarding the past, present, and future direction of your government's finances. Sales Forecast the process of estimating future revenue by predicting how much of a product or service will sell in the next week, month, quarter, or year. Capital Budget the process by which investors determine the value of a potential investment project. 24  CONTENTS OF FINANCIAL PLAN The Cash Budget an estimation of the cash flows of a business over a specific period of time. A set of pro forma financial statements present the complete future economic projection of a company or person. The external financing plans those that come from outside your business. 25 CONTENTS OF HUMAN RESOURCE MANAGEMENT PLAN 1.Personnel requirements of the company 2.Plans for recruitment and selection 3.Training Plan 4.Retirement Plan 26 CONTENTS OF HUMAN RESOURCE MANAGEMENT PLAN Personnel requirements of the company A business needs the right people to meet its goals and maintain a healthy cash flow. Plans of recruitment and selection vital for strategic hiring decisions, optimizing recruitment, and ensuring efficient resource utilization. 27 CONTENTS OF HUMAN RESOURCE MANAGEMENT PLAN Training Plan outlines the objectives, activities, timelines, and resources required to achieve specific learning goals within a training program. Retirement Plan preparing today for your future life so that you continue to meet all your goals and dreams independently. 28 PARTS OF STRATEGIC PLAN THE STRATEGIC PLAN MUST MUST CONTAIN THE FOLLOWING: 1.Company or corporate mission. 2.Objectives or goals. 3. Strategies. 29 MAKE PLANNING EFFECTIVE PLANNING MAY BE MADE SUCCESSFUL IF THE FOLLOWING ARE OBSERVED: 1.Recognize the planning barriers. 2.The use of aids to planning. 30 THE PLANNING BARRIERS, ACCORDING TO PLUNKETT AND ATTNER, ARE AS FOLLOWS: 1.Manager's inability to plan. 2.Improper planning process. 3.Lack of commitment to the planning process. 4.Improper information. 5.Focusing on the present at the expense of the future. 6.Too much reliance on the planning department. 7.Concentrating on only the controllable Variables. 31 AMONG THE AIDS TO PLANNING THAT MAY BE USED ARE: 1.Gather as much information as possible. 2.Develop multiple sources of information. 3.Involve others in the planning process. 32 REASONS FOR ORGANIZING Organizing is undertaken to facilitate the implementation of plans. in effective organizing, steps are undertaken to breakdown the total job into more manageable man-size jobs. doing these will make it possible to assign particular tasks to particular persons. In turn, these will help facilitate the assignment of authority, responsibility, and accountability for certain functions and tasks. 33 ORGANIZING DEFINED - - DESCRIPTION DESCRIPTION Organizing is a management The arrangement or relationship function which refers to “the of positions within an structuring of resources and organization is called structure. activities to accomplish objectives The result of the organizing in an efficient and effective process is the structure. manner.” 34  THE PURPOSE OF THE STRUCTURE THE STRUCTURE SERVES SOME VERY USEFUL PURPOSES. THEY ARE THE FOLLOWING: IT DEFINES THE RELATIONSHIP BETWEEN TASKS AND AUTHORITY FOR 01 INDIVIDUALS AND DEPARTMENTS IT DEFINES FORMAL REPORTING RELATIONSHIPS, THE NUMBER OF LEVELS IN THE 02 HIERARCHY OF THE ORGANIZATION, AND THE SPAN OF CONTROL. IT DEFINES THE GROUPINGS OF INDIVIDUALS INTO DEPARTMENTS AND 03 DEPARTMENTS INTO ORGANIZATION. IT DEFINES THE SYSTEM TO EFFECT COORDINATION OF EFFORT IN BOTH 04 VERTICAL (AUTHORITY) AND HORIZONTAL (TASKS) DIRECTIONS. 35  KEY CONSIDERATION FOR AN ENGINEER MANAGER WHEN STRUCTURING AN ORGANIZATION 01 Division of Labor - determining the scope of work and how it is combined in a job. Delegation of authority - the process of assigning various degrees of decison- 02 making authority to subordinates. Departmentation - the grouping of related jobs, activities, or processes into major 03 organizational subunits. 04 Span of control - the number of people who report directly to a given manager. Coordination - the linking of activities in the organization that serves to achieve a 05 common goal or objective. 36  TYPES OF ORGANIZATIONAL STRUCTURES 1 FUNCTIONAL ORGANIZATION 2 PRODUCT OR MARKET ORGANIZATION MATRIX 3 ORGANIZATION 37  FUNCTIONAL ORGANIZATION this is a form of President departmentalization in which everyone engaged in one functional activity, such as Vice-President Vice-President Vice-President Vice-President engineering or marketing, is Marketing Construction Finance Human Resources grouped into one unit. 38  ADVANTAGES OF FUNCTIONAL ORGANIZATION 1. The grouping of employees who perform a common task permit economies of scale and efficient resource use. 2. Since the chain of command converges at the top of the organization, decision-making is a centralized, providing a unified direction from the top. 3. Communication and coordination among employees within each department are excellent. 4. The structure promotes high-quality technical problem-solving. 5. The organization is provided with in depth skill specialization and development. 6. Employees are provided with a career progress within functional departments. 39 DISADVANTAGES OF FUNCTIONAL ORGANIZATION 1. Communication and coordination between the departments are often poor. 2. Decisions involving more than one department pile up at the top management level and are often delayed. 3. Work specialization and division of labor, which are stressed in a functional organization, produce routine, nonmotivating employee tasks. 4. It is difficult to identify which section or group is responsible for certain problems. 5. There is limited view of organizational goals by employees. 6. There is limited general management training for employees. 40  PRODUCT OR MARKET President ORGANIZATION Vice-President Vice-President Vice-President this refers to the Government Account Industrial Account Residential Account organization of a company Marketing Marketing Marketing by divisions that brings Construction Construction Construction together all those involved Finance Finance Finance with a certain type of Human Resources Human Resources Human Resources product or customer. 41 ADVANTAGES OF PRODUCT/MARKET ORGANIZATION 1. The organization is flexible and responsive to change. 2. The organization provides a high concern for customer’s needs. 3. The organization provides excellent coordination across functional departments. 4. There is easy pinpointing of responsibility for product problems. 5. There is emphasis on overall product and division goals. 6. The opportunity for the development of general management skills are provided. 42 DISADVANTAGES OF PRODUCT/MARKET ORGANIZATION 1. There is a high possibility of duplication of resources across regions. 2. There is less technical depth and specialization in divisions. 3. There is poor coordination across divisions. 4. There is less top management control. 5. There is competition for corporate resources. 43  MATRIX ORGANIZATION President Vice-President Vice-President Vice-President Finance Construction Human Resources an organizational structure Proj. Manager Const. Manager Purchasing Manager Contract Admin. Manager in which each employee Project X Purchasing Contract reports to both a functional Engineer Manager Specialist Negotiator or division manager and to Project Y Purchasing Contract Manager Engineer Specialist Negotiator a project or group manager. Project Z Purchasing Contract Engineer Manager Specialist Negotiator 44 ADVANTAGES OF MATRIX ORGANIZATION 1. There is more efficient use of resources than the divisional structure. 2. There is flexibility and adaptability to changing environment. 3. The development of both general and functional management skills are present. 4. There is interdisciplinary cooperation and any expertise is available to all divisions. 5. There are enlarged tasks for employees which motivates them better. 45 DISADVANTAGES OF MATRIX ORGANIZATION 1. There is frustration and confusion from dual chain of command. 2. There is high conflict between divisional and functional interests. 3. There are many meetings and more discussion than action. 4. There is a need for human relations training for key employees and managers. 5. There is a tendency for power dominance by one side of the matrix. 46 TYPES OF AUTHORITY 1 LINE AUTHORITY 2 STAFF AUTHORITY FUNCTIONAL 3 AUTHORITY 47 LINE AUTHORITY a manager’s right to tell subordinates what to do and then see if they do it. 48  CHIEF EXECUTIVE OFFICER (CEO) CHIEF CHIEF FINANCIAL OPERATING OFFICER (CFO) OFFICER (COO) LINE AUTHORITY 49 STAFF AUTHORITY a staff specialist’s right to give advice to a superior. TWO CLASSIFICATION OF STAFF AUTHORITY 1. PERSONAL STAFF - those individuals assigned to a specific manager to provide needed staff services. 2. SPECIALIZED STAFF - those individuals providing needed staff services for those whole organization. 50  PRESIDENT RESEARCH AND LEGAL DEVELOPMENT MANUFACTURING FINANCE MARKETING LINE AUTHORITY STAFF AUTHORITY 51 FUNCTIONAL AUTHORITY a staff specialist’s right to oversee lower level personnel involved in that specialty, regardless of where the personnel are in the organiztion. 52  PRESIDENT MARKETING PRODUCTION FINANCE HUMAN RESOURCES ADVERTISING SALES CREDIT FUNDS AQQUISITION MANUFACTURING QUALITY CONTROL LINE AUTHORITY FUNCTIONAL AUTHORITY 53  THE PURPOSE OF COMMITTEES Committees are very useful most especially to engineering and manufacturing firms. When a certain concern, like product development, is under consideration, a committee is usually formed to provide the necessary line-up of expertise needed to achieve certain objectives. 54  CLASSIFICATION OF COMMITTEES 1. AD HOC COMMITTEE - one created for a short-term purpose and have a limited life. ex. Event Planning Committee, Sports Day Committee 2. STANDING COMMITTEE - it is a relatively permanent committee that deals with issues on a ongoing basis. ex. Finance Committee, Human Resources (HR) Committee 55 SUMMARY A plan is a methodogical way of achieving results. Planning is undertaken at various management levels. Various steps are required in the planning process depending on the management level. Organizing refers to the structuring of resources and activities to accomplish objectives. The streucture serves as a way to reach the organization’s goals. 56 REFERENCES Engineering Management, Roberto G. Medina pdf Engineering Management: Meeting the Global Challenges, C.M. Chang pdf CFI Team. (2023, October 15). Marketing plan. Corporate Finance Institute. https://corporatefinanceinstitute.com/resources/management/marketing-plan/ Indeed Editorial Team. (2023, February 4). Indeed career guide | indeed.com. https://www.indeed.com/career-advice Introducing the Marketing Plan: Boundless Marketing. coursesidekick. (n.d.). https://www.coursesidekick.com/marketing/study-guides/boundless- marketing/introducing-the-marketing-plan 57 THANK YOU! AGRON, Allen John D. BERMAS, Merjielene B. GULA, Mark Andrey V. KO, Cassandra Joevelle F. TATAD, Bea Elaine L. VILLALON, Diserenz O. Group 3