IS 5303

Industrial Management
IS 5303: Industrial Management
• Semester : 5th
• No. of Credits : 3
• Rationale : The module of Industrial
Management is dedicated to develop in
each student the skills, attitudes and
knowledge necessary for effective
management.
 About the Module…
• Lectures – Thursday 13.30-16.30pm
• Resources Persons
– Dr. W.T.G.Samantha
– Dr. Thusitha Abeysekara
• Mode of Assessment
– CA (Assignments + Presentations) 40%
– ES Exam 60%
• Assignments - ??? – TBA
• Text Book
– Any undergraduate management book
 Mode of Assessment
• CA 40%
a) In class -1
b) In-class-2?
c) Group work or equivalent

• ES Exam 60%
 Module Outline
• An Introduction to Management
• The Nature of an Organizations
• Functions of Organization
• Management of an Engineering Process
• Project Planning and Management
• Management of Personnel
• Law
An Introduction to Management
 Learning Objectives
• Define Management
• Describe basic management functions
• Identify the roles performed by managers
• Describe the management levels
• Describe the skills managers need
• Explain the value of studying management
 Defining Management
• Management is the principal activity that makes a
difference in how well organizations serve people
affected by them.
• The term ‘Management’ refers to the process of
getting activities completed efficiently and
effectively with and through other people.
• Management can be define as the process of
planning,organizing, leading and controlling the
work of organization members and of using all
available organizational resources to reach stated
organizational goals.
 Efficiency & Effectiveness
• Efficiency refers to the relationship between
inputs and outputs.
• Efficiency - the ability to minimize the use
of resources in achieving organizational
objectives
• “doing things right”
 Efficiency & Effectiveness
• Effectiveness refers to the goal attainment.
• Effectiveness - the ability to determine
appropriate objectives.
• “doing the right things”
• Efficiency & Effectiveness are
interrelated.???
Management Process (Functions)
• The management process consists 4 basic
functions, namely, Planning, Organizing,
Leading and Controlling.
• These functions are the manager’s tools to
achieve the organizational goals.
• These functions are interrelated &
interdependent.
 Planning
• Since organizations exist to achieve some
purpose, management must define that
purpose and the means for its achievement.
• The process of defining goals,establishing
strategy for achieving those goals and
developing sub plans to coordinate
activities.
 Organizing
• Managers are also responsible for designing
an organization’s structure.
• Determining what tasks are to be done, who
is to do them, how the tasks are to be
grouped, who reports to whom, and where
decisions are to be made.
 Leading
• The leading function is concern with leadership,
communication, motivation and supervision so
that the employees perform their activities in the
most efficient manner possible.
• Includes motivating subordinates, directing others,
selecting the most effective communication
channels and resolving conflicts.
 Controlling
• Monitoring activities to ensure that they are
being accomplished as planned and
correcting any significant deviations.
• Control involves:
– Setting up standards of performance
– Measuring current performance
– Comparing these measurements with standards
– Taking corrective actions when necessary.
 Management Roles
• Another approach to study management is
to examine the roles that managers are
expected to perform.
• Henry Mintzberg carefully analyzed and
found 10 managerial roles which can
divided into following 3 major categories.
– Interpersonal roles
– Informational roles
– Decisional roles
 Interpersonal Roles
• Managers spend considerable amount of time
(80%) in interacting with other people both
internal and external.
• These people include peers, subordinates,
superiors, suppliers, customers, government
officials and community leaders.
• These interaction involves the following 3 major
interpersonal roles
– Figurehead
– Leader
– liaison
 Interpersonal Roles
– Figurehead
• Managers act as symbolic figureheads performing
social or legal obligations.
• These duties include greeting visitors, signing legal
documents, etc.
• Duties of a ceremonial nature but are important for the
smooth functioning of the organization.
– Leader
• Must lead and coordinate subordinates’ activities.
• Must motivate subordinates to perform better
– Liaison
• Must maintain a network of outside contacts in order to
assess the external environment of competition, social
changes or government rules, regulations and laws.
 Informational Roles
• By virtue of his interpersonal contacts, a
manager emerges as a source of information
about a variety of issues concerning the
organization.
• In this capacity of information processing, a
manager executes the following 3 roles
– Monitor
– Disseminator of information
– spokesperson
 Decisional Roles
• On the basis of environmental information
received, a manager must make decisions and
solve organizational problems.
• In this respect, a manager plays four important
roles.
– Entrepreneur
– Conflict handler
– Resource allocator
– Negotiator
Management Levels
Top Mgrs

Middle Mgrs

First level (Junior)Managers

Operatives
 Management Levels
• First level managers : Manages who are
responsible for the work of operating employees
only and do not supervise other managers.
• Middle managers : Managers in the mid range of
organizational hierarchy. They are responsible for
other managers and some times for some
operating staff.
• Top managers :Managers responsible for the
overall management of the organization.
 Management Levels
First level managers
Responsible for:
• Managing the performance of entry-level
employees
• Teaching entry-level employees how to do their
jobs
• Making detail schedules and operating plans on
middle managers’ intermediate range plans
 Management Levels
Middle managers
Responsible for:
• Planning and allocating resources to meet
objectives
• Coordinating and linking groups, departments and
divisions
• Monitoring and managing the performance of the
sub units and the individual managers who report
to them
• Implementing the changes or strategies generated
by top management.
 Management Levels
Top managers
Responsible for:
• Creating a context for change
• Developing attitudes of commitment and
ownership in employees
• Creating a positive organizational culture
through action
• Monitoring their business environment.
Functional & General Managers
• Functional Manager
A manager responsible for just one
organizational activity, such as production or
marketing.
• General Manager
The person responsible for all functional
activities for the organization.
 Management Skills
• Managers need certain skills to perform
their duties and activities associated with
being a manager.
• Robert L.Katz found that managers need 3
essential skills or competencies
– Technical skills
– Human skills
– Conceptual skills
 Technical Skills
• Skills that include knowledge of and
proficiency in a certain specialized field,
such as engineering, marketing and
manufacturing.
• Technical skills become less important as a
manager moves into higher levels of
management.
 Human Skills
• The ability to work well with other people
both individually and in a group.
• This skill is crucial and it remains just as
important at the top levels of management
as it is at the lower levels.
• Managers with good human skills know
how to communicate, motivate and lead.
 Conceptual skills
• The ability to think and to conceptualize about
abstract situations, to see the organization as a
whole and the relationships among its various sub
units, and to visualize how the organization fits
into its broader environment.
• Conceptual skills are needed by all managers at all
levels but become more important as they move
up the organizational hierarchy.
 Skills needed at different
management levels
Conceptual Skills
Top
Management

Human
Middle Skills
Management

Lower level
Management
Technical Skills
 Relative importance of
Managerial Skills to different
Managerial Levels.
 First-Year Management
Transition
Managers’ Initial Expectations
• Be the boss
• Formal authority
• Manage tasks
• Job is not managing people
 First-Year Management
Transition
After Six Months as a Manager
• Initial expectations were wrong
• Fast pace
• Heavy workload
• Job is to be problem-solver and trouble-
shooter for subordinates
 First-Year Management
Transition
After a Year as a Manager
• Communication, listening, & positive
reinforcement
• Job is people development
 The Transition to Management
Initial Assumptions Reality
• Exercise formal • Manage people not
authority tasks
• Managing tasks not • Coach employee
people performance
• Help employees do • Fast pace, heavy
their jobs workload
• Hire and fire