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Management of Engineers and Technology Delegation and Control Customer Focus.

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1 Management of Engineers and Technology Delegation and Control Customer Focus

2 Principle 1: Mastering Relationships People are central to business Employees, boss, coworkers Suppliers, customers, regulators Family, friends, community People need to be… Led Motivated Accommodated Organized

3 Control and Delegation Are they opposites? Direct control Indirect control (guidance) Material handling example

4 Control Steps (Engineer) Establish desired standard Measure actual performance Compute the error (actual - desired) Take corrective action to minimize the error

5 Types of Control Open Loop No feedback of the actual performance System performance must be predictable and repeatable Closed Loop Feedback used to calculate error Corrective action based on error Feed Forward (predictive)

6 Feedback Timing Continuous feedback Rapidly changing systems Close control required Continuous adjustment is desirable Periodic feedback Systems that change more slowly, or where continuous adjustment is not advisable Control may wander

7 Financial Control Establish a budget (desired value) Monitor spending (actual value) Apply pressure to increase or decrease spending as needed Feedback is periodic More detail or more frequent feedback means better control

8 Controlling Performance Establish measurable standards Monitor actual performance (more frequent in difficult cases) Take action to correct deviations Objective: move toward the standard Develop and evaluate alternatives Make choice and implement

9 McGregor Theory X Manager Responsible for all Controller Enforcer Workers Unmotivated Lazy Dumb Uncommitted Theory Y Manager Shares responsibility Enabler, coach Leader Workers Motivated Hard working Intelligent Committed

10 Hawthorne Studies Illumination study( ) Vannevar Bush (MIT) Relay room experiments ( ) Wiring room experiments ( ) Elton Mayo (Harvard)

11 Illumination Study (find optimum lighting level) LightProductionLightProduction 24 fcUp24 fcUp 46 fcUp24 fcUp 70 fcUp24 fcUp 10 fcUp24 fcUp 3 fcUp24 fcUp 0.06 fcDown24 fcUp

12 Relay Room Experiments (explain illumination results) Six female workers removed from production line to form a team No supervision, but closely monitored Test variables Length and frequency of breaks Length of work day Length of work week All changes resulted in increased output (absenteeism dropped 65%)

13 Wiring Room Experiment 11 men working together Production rates stabilized at a norm, even though pay was by the piece Those above or below the norm were ridiculed and abused Complex social group and hierarchy

14 Hawthorne Outcomes Hawthorne Effect – studied people behave differently Theory Y – People are intelligent, motivated, hard workers Self-Directed Teams – Work groups form an organization without supervision. Implications for control

15 Motivational Theory Physical Needs Safety and Security Affection & Acceptance Esteem & Prestige Self Fulfillment Maslows Hierarchy Herzberg Hygiene Herzberg Motivational

16 Theory Y Management Encourage ownership Involvement in decisions Timely feedback Open-book management Relinquish control, replace it with leadership

17 Delegation - Levels Leverage to increase your productivity Unload routine work and decisions Assign Duties Provide resources Pass on Responsibility Transfer authority Responsibility without authority = STRESS

18 Barriers to Delegation Would rather do this than my management tasks I like it I am better at it Doubt subordinates ability to handle the job No one to delegate to Delegation is about TRUST

19 Themes New engineering managers can become overloaded and burn out Embrace Theory Y Controlling people is different from controlling a technical system Encourage ownership Delegate effectively

20 Customer Orientation Customers pay our bills Customer service should be a high priority Customers ultimately decide the fate of your business Manufacturing vs. Service

21 Evolution of Manufacturing Internal company focus Market is infinite Reduce costs, increase production Internal customer focus Customer wants quality Reduce defects External customer focus Determine customer needs, meet them

22 Lack of Customer Focus Engineers… See value in technical elegance Are often ignorant of customer desires or needs Are impatient with non-technical people Companies focus on… Internal performance Performance against competitors Marketing focuses on the next big sale

23 Build Customer Focus Walk a mile in their shoes Consider your experiences as a customer Look at your business from a customers perspective Know your customers Who are they? Do they obey the Pareto principle? What do they want (good, fast, cheap)

24 Adoption Cycle Innovators – buy technology for its own sake Early adopters – buy when benefits become known Majority – proven technology, low cost, style, availability Laggards – buy only when forced to

25 Pleasing Customers WOW them with extraordinary service Remember that they are human beings Develop relationships with them Be genuine Make it a top priority – because it is!

26 Successful Companies Wal Mart Del Computer (still?) Lands End (what happened?) Toyota Others?

27 Summary Customer focus should be the ultimate business goal Build a customer-oriented culture This can be a big change for an engineer

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