Engineering management is a specialized form of management that is concerned with the application of engineering principles to business practice. Engineering management is a career that brings together the technological problem-solving savvy of engineering and the organizational, administrative, and planning abilities of management in order to oversee complex enterprises from conception to completion.
Example areas of engineering are product development, manufacturing, construction, design engineering, industrial engineering, technology, production, or any other field that employs personnel who perform an engineering function.
Successful engineering managers typically require training and experience in business and engineering. Technically inept managers tend to be deprived of support by their technical team, and non-commercial managers tend to lack commercial acumen to deliver in a market economy. Largely, engineering managers manage engineers who are driven by non-entrepreneurial thinking, thus require the necessary people skills to coach, mentor and motivate technical professionals. Engineering professionals joining manufacturing companies sometimes become engineering managers by default after a period of time. They are required to learn how to manage once they are on the job, though this is usually an ineffective way to develop managerial abilities.
Departments
The first university department titled "Engineering Management" was founded at the Missouri University of Science and Technology (Missouri S&T, formerly the University of Missouri-Rolla) in 1967. Drexel University's Engineering Management program was established in 1959. Stevens Institute of Technology is believed to have the oldest EM department, established as the School of Business Engineering in 1908. This was later called the Bachelor of Engineering in Engineering Management (BEEM) program and moved into the School of Systems and Enterprises. Outside the USA, Istanbul Technical University has a Management Engineering Department established in 1982, offering a number of graduate and undergraduate programs in Management Engineering. In Germany the first department concentrating on Engineering Management was established 1927 in Berlin. More recently in the United Kingdom, Teesside University's School of Science and Engineering introduced an MSc Engineering Management alongside its engineering-focussed MSc Project Management. Michigan Technological University began an Engineering Management program in the School of Business & Economics in the Fall of 2012.
Operations research deals with quantitative models of complex operations and uses these models to support decision-making in any sector of industry or public services. Supply chain management is the process of planning, implementing and managing the flow of goods, services and related information from the point of origin to the point of consumption.
The information technologies theme focuses on how technology is designed and managed to support effective decision-making. Topics deal with technical applications in software design and development, data mining and telecommunication as well as the organizational and social issues associated with the use of information technologies.
Decision engineering seeks to use engineering principles in the creation of a decision, which it views as an engineering artifact in its own right. From this point of view, the creation of a decision includes agreeing to objectives, developing a detailed specification, and then creating a decision model, which captures the key cause-and-effect elements of the decision environment (a systems thinking approach) with a focus on the particular decision, instead of the entire system (which can be otherwise intractable). Like other engineered artifacts, a decision model can be subject to Quality assurance review, and-since it is documented-is amenable to Process improvement over time. Decision engineering models draw from the information technologies described above for data supporting the decision, but are distinguished from IT in that they model the decision, not just the data supporting it.
The Management of Technology theme builds on the foundation of management topics in accounting, finance, economics, organizational behavior and organizational design. Courses in this theme deal with operational and organizational issues related to managing innovation and technological change.
Engineering Management programs typically include instruction in accounting, economics, finance, project management, systems engineering, mathematical modeling and optimization, management information systems, quality control & six sigma, operations research, human resources management, industrial psychology, safety and health.
There are many options for entering into engineering management, albeit that the foundation requirement is an engineering degree (or other computer science, mathematics or science degree) and a business degree.
Undergraduate Degrees
Although most engineering management programs are geared for graduate studies, there are a few elite institutions that teach EM at the undergraduate level. Some of the ones that are accredited and/or recognized by ASEM include: West Point (United States Military Academy), Polytechnic Institute of New York University, Stevens Institute of Technology, Rensselaer Polytechnic Institute, George Washington University. Graduates of these programs regularly command nearly $65,000 their first year out of school.
Outside the USA, Istanbul Technical University Management Engineering Department offers an elite undergraduate degree in Management Engineering, attracting top students. The University of Waterloo offers a 4-year undergraduate degree (5 years including co-op education) in the field of Management Engineering. This is the first program of its kind in Canada.
Graduate Degrees
Missouri S&T is credited with awarding the first Ph.D. in Engineering Management in 1984. The National Institute of Industrial Engineering based in Mumbai has been awarding degrees in the field of Post Graduate Diploma in Industrial Engineering since 1973 and the Fellowship (Doctoral) degrees have been awarded since 2008.
Istanbul Technical University Management Engineering Department offers a graduate degree, and a Ph.D. degree in Management Engineering.
According to the American Society for Engineering Education (ASEE) PRISM Magazine (March 2008) the largest Master's of Engineering Management (MEM) programs (in terms of degrees awarded for 2005 -2006) are shown in the following chart.
As engineering firms are usually small partnerships, they cannot afford in-house management, therefore giving rise to the need for engineering management consultancy. It involves providing management consulting advice that is specific to engineering. Indifferent from the traditional focus of the Boston Consulting Group and McKinsey, science and engineering requires a particularly holistic approach involving art and science. There are many branches of engineering management consultancy (commerce), including law, accounting, human resources, marketing, politics, economics, finance, public affairs, and communication. Commonly, engineering management consultants are also used when firms require special technical knowledge, though many prefer to use engineering educational consultants for such a task, to upgrade organizational knowledge and in able to keep the intellectual property confidential. Though many firms opt to use traditional management consulting firms, many lack the know-how to tailor the traditional theories to accommodate technical workers.
Engineering management consulting is concerned with the development, improvement, implementation and evaluation of integrated systems of people, money, knowledge, information, equipment, energy, materials and/or processes. Consultants strive to improve upon existing processes, products or systems. Engineering management consulting draws upon the principles and methods of engineering analysis and synthesis, as well as the mathematical, physical and social sciences together with the principles and methods of engineering design to specify, predict, and evaluate the results to be obtained from such systems or processes. Engineering management consulting puts a focus on the social impact of the product, process or system that is being analyzed.
Examples of where engineering management consulting might be used include designing an assembly workstation, strategizing for various operational logistics, consulting as an efficiency expert, developing a new financial algorithm or loan system for a bank, streamlining operation and emergency room location or usage in a hospital, planning complex distribution schemes for materials or products (referred to as Supply Chain Management), and shortening lines (or queues) at a bank, hospital, or a theme park. Management engineering consultants typically use computer simulation (especially discrete event simulation), along with extensive mathematical tools and modeling and computational methods for system analysis, evaluation, and optimization.
There are a number of societies and organizations dedicated to the field of engineering management. One of the largest societies is a division of IEEE, the Engineering Management Society, which regularly publishes a trade magazine. Another prominent professional organization in the field is the American Society of Engineering Management (ASEM), which was founded in 1979 by a group of 20 engineering managers from industry. ASEM currently certifies engineering managers (two levels) via the Associate Engineering Manager (AEM) or Professional Engineering Manager (PEM) certifiaction exam. The Master of Engineering Management Programs Consortium is a newly formed consortium of prominent universities intended to raise the value and visibility of the MEM degree. Also, engineering management university programs have the possibility of being accredited by ABET or ATMAE. In Canada, the Canadian Society for Engineering Management (CSEM) is a constituent society of the Engineering Institute of Canada (EIC), Canada's oldest learned engineering society.
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