ENGINEERING MANAGEMENT ASSIGNMENT

1.1) The profession in which a knowledge of the mathematical and natural sciences gained
by study, experience, and practice is applied with judgment to develop ways to utilize,
economically, the materials and forces of the nature for the benefit of mankind.
Management is the process by which managers create, direct, maintain, and operate
purposive organizations through coordinated, cooperative human effort.
1.2) The three levels of managers are as follows:
1)Top-level management (president, executive vice
president) 2)Middle managers (chief engineer, division
head etc.)
3)First-line managers(foreman, supervisor, section
chief) The three skills needed are as follows:
1) Technical: Specific subject related skills such as engineering,accounting, etc
2) Interpersonal: Skills related to dealing with others and leading,motivating, or controlling
them
3) Conceptual: Ability to discern the critical factors that will determine as organization’s
success or
failure.Ability to see the forest in spite of the trees.

1.3) Engineering as per ECPD: The profession in which a knowledge of the

mathematical and natural sciences gained by study, experience, and practice is applied
with judgment to develop ways to utilize, economically, the materials and forces of the
nature for the benefit of mankind.
Management as per Mc Farald: Management is the process by which managers
create, direct, maintain, and operate purposive organizations through coordinated,
cooperative human effort.
Engineering manager: Engineer possessing both abilities to apply engineering principles
and skills in organizing and directing people and projects.
1.4) As per Henry Mintzberg the following are the roles
I) Interpersonal roles

Figurehead role: Outward

relationship Leader role:
Downward relation Liaison role:
Horizontal relation
II) Informational Roles

Monitor Role: Collects information about internal operations and external events.
Disseminator Role: Transforms information internally to everybody in organization (like a
telephone switchboard)
Spokesman Role: Public relations
III) Decisional Roles

Entrepreneurial Role: Initiates changes, assumes risks, transforms ideas into useful
products. Disturbance Handler Role: Deals with unforeseen problems and crisis.
Resource Allocator Role: Distributing resources

Negotiator Role: Bargains with suppliers, customers etc. in favor of enterprise

3.1) i)Good vision framework as per Collins and Lazier
Core values & beliefs :- a system of guiding
principles & tenets:- a philosophy of business &
life.
Purpose :- the fundamental reason for the organization’s existence
Mission:- A bold , compelling, audacious goal with clear finish line and a specific time frame
ii) The classification of technology
Base Technologies:-that a firm must master to be an effective competitor in its product-
market mix. Invest to main this technology. Invest enough effort to maintain competence in
these areas
• Key technologies:- provide competitive advantage, may permit the producer embed
differentiating features of functions in the product to attain greater production efficiencies.
They should be given highest priority . To sustain the business by having competitive edge
• Pacing technologies :- could become tomorrows key technology.
3.2) Management by Objective (MBO) :-In the beginning of the period, set objectives
mutually agreed between manager & subordinates . At the end of the period, review by
both regarding the success of subordinates objectives. And set new objectives for next
period.
Advantages of MBO:-
• Greater commitment & satisfaction on the part of subordinates
• Enforcing planning & prioritizing of future activities.
• Rational method of performance evaluation with respect to org obj
Disadvantages of MBO:-
• Involves time & paperwork
• Misuse when superior simply assign objectives
• Gamesmanship of subordinate who negotiate easy goal.
Management by Exception (MBE) :-
• The manager takes only the critical/exceptional works where
as standard jobs are handled by subordinates as per
rules/procedures. Advantages of MBE:-
• Greater commitment & satisfaction on the part of subordinates
• Manager get more time to focus on critical jobs
Disadvantages of MBE:-
• Difficulty in identifying critical jobs.
• Manager may not aware of all activities.

3.3) i) Exponential smoothing: Same data assumptions as Moving Average.It

overcomes disadvantages of Moving Average. Forecast for current period is found as the
forecast for the last period plus a proportion of the error made in the last forecast.
Fn+1=Fn+α (An−Fn)
ii) Sales force composite:

• members of sales force estimate sales in their own territory.

• Regional managers adjust these estimates for their opinion of the optimism or
pessimism of individual sales force
• General sales manager “massages” the figure to account for new products or factors
of which individual salesman are unaware.
• Some times sales force may “ play games” with figures.
iii)Simple moving averaging methods: Average of last few years of sales as future forecast

Fn+1 = 1/n ∑At where t varies from 1 to n.

All the three come under Quantitative methods of forecasting

3.4) i) Normative technology forecasting: Desired future goal is selected, a process is

developed, working backward from the future to the present designed to achieve this
goal.
ii)Technology S curve: Is one of the technology forecasting model
• Performance from new technology tends to start slowly
• Rise almost exponentially as many scientist begin applying themselves
• After technology matures, difficult to grow further.
[ INSERT GRAPH ]

3.5) Basic vision or purpose or mission of an org to be interpreted in terms of goals &
objectives
• Goals are the aims or end points toward which activity is directed to accomplish the
mission of an organization.
• Types- official goals (by managemnt in its public statements) and operative goals
actually is pursuing.
3.7) Planning is defined as a method of identifying objectives and designing a sequence of
programs and activities to achieve these objectives.
The following are the steps involved in decision
making/planning Recognize the problem/opportunity
Define the constraints or limitations bounding the solution
Gather the information and formulate the alternative solutions. (Most creative step in
problem solving).
Evaluate qualitatively & quantitatively all alternatives recommends the solution which
meets the value.
Sometimes while evaluating, new alternative may be arrived.
Check whether the solution actually solved the problem.(Feed back)

3.8) Strategic planning: strategy which defines how the organization plans to move from
its current state to the state envisioned in its mission and vision frameworks. Strategic
planning and for and management of technology is integral part of the business strategy

3.10) i) Jury of executive opinion:

 Each Executives provide an estimated of future volume and the president averages
this.
 simplest method, inexpensive & quick.
 Other use is in Delphi method
ii)Weighted moving average:

Fn+1 = 1/n ∑Wt At where ∑Wt =1 for t=1 to n… Use more weights to recent years sales
value.
Disadvantage:
difficult to remember n values & weights
iii)Types of technological forecasting:

Normative :-Desired future goal is selected, a process is developed, working backward

from the future to the present designed to achieve this goal
Exploratory :-begins with the present state of technology and extrapolates into the future
assuming some expected rate of technical progress.Uses Delphi method

4.1) i) Occasions for decision as per Chester Barnard

•From Authoritative Communications from superiors
•From Cases Referred for Decision by Subordinates
•From Cases Originating in the Initiative of the Executive
ii) Types of decision
->Routine Decisions (e.g. payroll processing, paying suppliers etc)
• Recur frequently
• Involve Standard Decision Procedures
• Has a Minimum of Uncertainty
• Structured Situations
• Can be delegated to lower levels (within the policy limits)
•The decision maker usually rely on policies, rules, past procedure, standardized
method of processing , computational techniques
->Non routine decisions
•deal with Unstructured and Novel Situations
• Nonrecurring Nature
• Often involving incomplete knowledge
• High Level of Uncertainty
• Use of subjective judgment
• uses intuition where no alternatives can be proved to be the best possible solution to the
particular problem
•Generally high in higher management

4.3)

In the payoff table,

• M number of alternatives A1 to Am
• n number of future states (N1 to Nn) n>1
• Each state Nj will have some known probability of occurrence of pj
• Each future state Nj must take one of p values
• Sum of n values of pj =1
• Outcome Oij depends both alternative chosen and future state of nature that occurs
•Here only one future for each alternatives with p as 1.0 . Probability of other futures are zero.
So
select Ai which gives the most outcome
Oij. Here the tool used is Linear
Programming.

4.4) Decision making under certainty : A desired benefit (profit) expressed as a

mathematical function of several variables. Solution is to find independent variables
giving the maximum or minimum benefit subject to certain limits (to constraints).
Objective function can be maximum or minimum based on the
problem Tool used: Liner programming
Decision making under uncertainty : Uncertainty occurs when there exist several
future states Nj j=1:n n>1, but the probabilities pj of each these states occurring are not
known.
A different kind of logic is used based on attitudes towards
work Few tools used are
Maximax solution, Maximum solution, Hurwicz approach, equally likely where pj=1/n &
maximize expected value, Game theory where future states of natures and their
probabilities are replaced by the decision of a competitor

5.1) i) Sole proprietorship:

 Profit is taxed only once (Schedule C-Profit or Loss)

 Owner faces Unlimited responsibility for debts
 Difficult to raise capital for growth of business
 Duration of business is limited to the life of proprietor
ii) Corporations:
 Have perpetual life/greater life span (as long as they submit anannual report to the
state in which they are chartered
 It easier to raise the money, transfer ownership and change the management
 Has greater life span until it submits annual report
 More difficult and expansive to organize the corporation
The other two legal forms of organizing are Partnerships and Cooperatives

5.2) The five types of departmentation are as follows

I) Functional Departmentation:
It refers to grouping the activities of an enterprise on the basis of functions such as
production, sales, purchase, finance, personnel, etc. The actual number of departments in
which an enterprise can be divided depends upon the size of establishment and its nature.
To begin with, we may have
three or four main departments. With the growth in the size of the business, more
departments and sub-departments may be created.

II)Product Wise Departmentation:

The grouping of activities on the basis of products is very popular with large
organisations having distinct type of products. Under this method, all activities related to
one type of product are put together under one department under the direction of a
production manager. An electronic company, for instance, may have different
departments dealing in television sets, radios and transistors, computers, agro-dairy
instruments, etc.

III) Territorial or Geographical Departmentation: When several activities of an enterprise

are

geographically dispersed in different locations, territorial or geographical departmentation

may be adopted. All activities relating to a particular area or zone may be grouped together
under one zonal manager or head.

IV) Process or Equipment Wise Departmentation:

An enterprise where production is carried through different processes may adopt process

wise departmentation to enable continuous flow of production. Similarly, where work is

carried on machines which are common, departments may be created on the basis of

equipments, such as milling departments, grinding departments, lathe department etc. The

main advantage of this method is that it avoids duplication of equipment in various

activities. Moreover, specialised people can be engaged to work on specialised equipments

and departments.

V) Combined or Composite Method of Departmentation:

In practice, it may not be advisable to create departments on the basis of any one of the above

mentioned methods. An enterprise may have to combine two or more of the methods of

departmentation to make best use of all of them. Such a method is known as combined or

composite method of departmentation.

5.3) Difference between narrow and wide span of control

Narrow span of control:

1) Allows for closer supervision of employees

2)More layers in the hierarchy may be

required 3)Helps in more affective

communication

Wide span of control:

1)Gives subordinates the more chance of

independence 2)More appropriate If labour costs

are significant Factors affecting span of control

->Subordinate training :subordinates are trained for their jobs

->Nature of jobs supervised :Simpler the tasks supervised, the greater the similarity
between the jobs supervised and less subordinate work at dispersed location.

->Rate of change of activities and personnel: Event move more rapidly in some
organization than others Ex military commands in an combat operation Vs Roman
catholic Church (once in a year)

->Clarity of instruction and delegation: more clearly the work and more completely the
supervisor delegates less supervision should be required

->Staff assistance: Administrative activity not confined to the manager ,but involves
some of the other people. Manager delegates some of his responsibility to his staff
assistance.

6.1) French & Raven divided the sources of power &influence into five types

1. Legitimate or position power (authority), stemming from ones appointment or election as

leader.

2. Reward power, the power to reward others for cooperation

3. Coercive or punishment power, stemming from fear of punishment

4. Expert power, stemming from a person’s capability and reputation

5. Referent power, based on an attraction to or identification with another individual ( or

the program or cause that person is leading) that makes the follower want to behave or
believe as the other does. It is called charisma, a special personal gift for inspiring others
that is easier to give examples of than to define.

Relation to the classification of power by Thamhain:

• “System I” style of engineering program management, Includes three i.e legitimate,

reward, coercive are bases of influence which derive primarily from one’s formal
position- sufficient to obtain response in traditional bureaucratic structures
• “System II” style of Engineering project management program , Includes the last two ie
expert & referent power which stems primarily from one’s personal capabilities &
reputation

6.2) As per Chester Barnard, the authority originates when subordinates choose to accept
the directives of the superiors. If a directive communication is accepted by one to whom it is
addressed, its authority for him is conformed. It is admitted as the basis for action.
Disobedience of such a communication is a denial of authority for him. So the decision as to
whether an order has authority or not, lies with the persons to whom it is addressed, and
does not reside in “persons of authority” or those who issues orders.

Formal authority

•Legitimate power, the right, based on one’s position in an organization, to direct the
work of activities.

•Similar approach is in whole society

•The rights are guaranteed in the constitutions of societies

Example: Authority over government workers stem from national or state constitutional
authority conferred on legislative & executive branches of government who in turn delegate
authority.

6.3) French & Raven divided the sources of power & influence into five types

1. Legitimate or position power (authority), stemming from ones appointment or election as

leader.

2. Reward power, the power to reward others for cooperation

3. Coercive or punishment power, stemming from fear of punishment

4. Expert power, stemming from a person’s capability and reputation

5. Referent power, based on an attraction to or identification with another individual ( or

the program or cause that person is leading) that makes the follower want to behave or
believe as the other does. It is called charisma, a special personal gift for inspiring others
that is easier to give examples of than to define.

Relation to the classification of power by Thamhain:

• “System I” style of engineering program management, Includes three i.e legitimate,

reward, coercive are bases of influence which derive primarily from one’s formal
position- sufficient to obtain response in traditional bureaucratic structures

• “System II” style of Engineering project management program , Includes the last two ie
expert & referent power which stems primarily from one’s personal capabilities &
reputation.
6.4) Three interrelated concepts of importance are

Assignment of duties,Delegation of authority,Exaction of accountability

Managers

->Assign duties to subordinates

->Making them responsible for carrying out the specified activities

->Provide subordinate resources needed (delegation of authority )

->Both assignment of duties & delegation of authority proceeds in stages from top
management down.

Accountability :must be insisted by the manager from the subordinates by making them
responsible to the manager for carrying out the duties & report progress periodically

7.1) McGregor’s Theory X and Theory Y

The way we try to motivate someone depends on our assumptions about their basic

nature. Two assumption of an average worker , calling them Theory X and Theory Y.

->Theory X places exclusive reliance upon external control of human behavior.

->Theory Y relies heavily on self control and self-

direction. Theory X

->Management is responsible for organizing the elements of productive enterprise –

Money, Materials, Equipment, people- in the interest of economic ends.

->With respect to people, this is a process of directing their efforts, motivating them,
controlling their actions, modifying their behavior to fit the needs of the organization

->Without this active intervention by management , people would be passive-resistant to org

needs. They must be persuaded, rewarded, punished, controlled- activities must be
directed.

Theory Y
->Management is responsible for organizing the elements of productive enterprise
(money, materials, equipment, people)

->People are not passive by nature. They have become so as a result of experience in
organizations.

-> The motivation, potential for development, capacity for assuming responsibility and the
readiness to direct behavior toward organization goal are all present in people. It is the
responsibility of management to make it possible for people to recognize & develop these
human characteristics for themselves

-> The essential task of management is to arrange organizational conditions and

methods of operation so that people can achieve their own goals.

7.2)Four types of reinforcement available to the manager

->Positive reinforcement-Increase the probability that desired behavior will be

repeated by providing rewards

->Negative reinforcement- reinforcement-Increase the probability that desired behavior

will be repeated by letting the employee escape from the undesired consequences .

->Punishment seek-Decreases the probability that undesired behavior will be repeated by

imposing penalty

->Extinction seek- Decreases the probability that undesired behavior will be repeated by
ignoring it and positive reinforcement

7.3) Mc Clelland’s trio of needs is as follows and it belongs to the ‘Content Theory’

->Need for Achievement: Is the drive or desire to accomplish something better than has
been done in the past, this can be increased by proper training.The higher the need for
achievement in the total society ,the greater the prosperity of the country

->Need for Power: Is the desire to control one’s environment, including resources and
people. Person with a high need for power are likely to be promoted to managerial position
and successful managers if they master self-control

->Need for Affiliation: Is the need of companionship and acceptance. People with a strong
need for affiliation want reassurance and approval are concerned about other people.
Perform well as coordinators, integrator
7.4)
->Physiological Needs: The basic physiological needs are probably fairly apparent—these
include the things that are vital to our survival. Some examples of physiological needs
include:

 Food
 Water
 Breathing
 Homeostasis

->Security and safety needs: As we move up to the second level of Maslow’s hierarchy of
needs, the requirements start to become a bit more complex. At this level, the needs for
security and safety become primary. People want control and order in their lives. So, this
need for safety and security contributes largely to behaviors at this level. Some of the basic
security and safety needs include:

 Financial security
 Heath and wellness
 Safety against accidents and injury

->Social needs : The social needs in Maslow’s hierarchy include such things as
love, acceptance, and belonging. At this level, the need for emotional relationships
drives human behaviour. Some of the things that satisfy this need include:

 Friendships
 Romantic attachments
 Family
 Social groups
 Community groups
 Churches and religious organizations

->Esteem needs: At the fourth level in Maslow’s hierarchy is the need for
appreciation and respect. When the needs at the bottom three levels have been
satisfied, the esteem needs begin to play a more prominent role in motivating
behavior.

At this point, it becomes increasingly important to gain the respect and

appreciation of others. People have a need to accomplish things and then have
their efforts recognized. In addition to the need for feelings of accomplishment and
prestige, esteem needs include such things as self-esteem and personal worth.

->Self-Actualization Needs: At the very peak of Maslow’s hierarchy are the self-
actualization needs. "What a man can be, he must be," Maslow explained, referring
to the need people have to achieve their full potential as human beings.

According to Maslow’s definition of self-actualization, "It may be loosely described

as the full use and exploitation of talents, capabilities, potentialities, etc. Such
people seem to be fulfilling themselves and to be doing the best that they are
capable of doing. They are people who have developed or are developing to the
full stature of which they capable."
7.5) The Myers–Briggs Type Indicator is an introspective self-report questionnaire indicating
differing psychological preferences in how people perceive the world and make decisions.

ENTJ (Extroversion-Intuition-Thinking-Judging)-> Engineering

managers INTJ (Introversion-Intuition-Thinking-Judging)-

>Scientist, Researchers

ISFP (Introversion-Sensing-Feeling-Perceiving)-> Worst case, non-experienced

professional

->Extroversion E (Focused on the outer world of people and things) versus

Introversion I (Focused on the inner world of ideas)

->Intuition N (focused on the future, with a view toward patterns and possibilities)
versus Sensing S (focused on the present feelings)

->Thinking T (basing decisions on logic and objective analysis of cause and

effect) versus Feeling F (subjective evaluation-emotional)

->Judging J (preferring to have things settled-a planned and organized approach to

life) versus Perceiving P (preferring to keep options open-a flexible and spontaneous
approach to life)

7.6) Motivation: An inner state that energizes, activates, or moves and that
directs or channels behavior toward goals. Motivation is the feeling that directs
the person toward goals.

Motivation can be defined in terms of three

->Direction

->Strength of behaviour when choice is made

->Persistence of behaviour

7.7) Content theory: Content theory is based on human needs and satisfaction of
them.

Maslow’s Hierarchy of needs, Herzberg’s two factor theory

Process theory: Behavioral choices are made rationally based on expected

outcomes. Equity theory, Expectancy theory.

7.9) Process of getting cooperation of other people to achieve a desired goal is
defined as leadership.

->Physical Qualities: Health, Vitality, Endurance

->Personal Attributes: Personal Magnetism, Cooperativeness, enthusiasm, ability to

inspire, persuasiveness, forcefulness, and tact

->Character Attributes: Integrity, Humanism, Self-discipline,

->Stability and Hard working

->Intellectual Qualities: Mental capacity, ability to teach others,scientific

approach to problems.

7.10)Difference between scientists versus engineers

->Higher value on independence in science people

->True scientist is assumed to have doctorate but typical engineer begins with
B.S. Degree and later MS.c degree

->Scientists put a high value on professional autonomy and publication of results

->Scientists look for reputation outside the company

->Scientist tries to add his new findings to literature whereas new findings of
engineer are usually proprietary information to company

9.1) copy rights: A copyright is a grant, by the United States, to an author for the
right to exclude others (for a limited time) from reproducing his/her work and
display an original creative work

It is a bundle of rights to reproduce, derive, distribute, perform and display an

original creative work

Trade mark:

->A distinguishing symbol, design, mark or word used by a manufacturer to identify his
product from his competitors’.

->A mark, character or symbol by which another entity is recognized or associated.

Validity 10 years & has to be renewed.
->As per Lanham act defines marks as “any word, name, symbol, or
device or any combination thereof.”

->Trademark may differs from trade name.

Patent:

A patent is an exclusive property right to an invention issued by the

Commissioner of Patents & Trademarks, U S dept of Commerce

Rights granted are limited to the claims of the

patent. Patents are classified as follows:

->Utility patent

->Design patent

->Plant patent

9.2) Steps identified in creative process

-> Preparation: As per Shannon, it is “ a period of conscious, direct, mental effort

devoted to the accumulation of information pertinent to the problem.

i) structure the problem ii) collect the available information iii) understand relation &
effects
iv) solve sub problems v) explore all possible solutions and combinations that may
lead to a satisfactory solution

-> Frustration and incubation:

Failure to solve the problem by analytical process leads to frustration.

However, the problem fortified with the all plans gathered about it , incubates
in the subconscious mind.

->Inspiration of illumination :

A possible solution to the problem may occur spontaneous insight often during

relaxation. Many creative individuals are never without a notepad & pen next to

them always.

->Verification :

Intuition or insight may not be right always

The spontaneous solution need to be tested & evaluated to assure a satisfactory
solution to the problem

9.3) Legal means to protect an organization’s idea & right to benefit from it is know as
protection of ideas.

The four types are

->Patents

->Copy rights

->Trade secrets

->Trade marks and other marks

9.4) The three types of patents are:

-> Design patent: 14 years of validation

->Utility patent: 20 years of validation

->Plant patent: 20 years of validation

10.1)Design Engineering Process

The engineering design process is a series of steps that engineers follow to come up with a solution
to a problem. Many times the solution involves designing a product (like a machine or computer
code) that meets certain criteria and/or accomplishes a certain task. This process is different from the
Steps of the Scientific Method, which you may be more familiar with. If your project involves making
observations and doing experiments, you should probably follow the Scientific Method. If your project
involves designing, building, and testing something, you should probably follow the Engineering
Design Process. If you still are not sure which process to follow, you should read Comparing the
Engineering Design Process and the Scientific Method.

10.2)Brainstorming:

-> First employed by Alex Osborne in 1938

-> It is creative conference – 8 to 10 people meeting less than one hour to
generate more than 50 ideas.

-> Suggestions are listed in blackboard so that it inspires others to give new ideas

-> Organizing, weeding, prioritizing the ideas

-> Brainstorming is unstructured.

Nominal group technique

->Structured brainstorming.

->Here the first problem is presented

->Each participants write down their ideas quietly for a short period of time( 5 to 10
min)

->After one pass, another is begun until all ideas are presented

->Advantage is every one participates

10.3)Bathtub curve model : Graph of Life Vs Hazard rate λ

It has three parts:-

-> Infant Mortality , ie high λ at early stage numerous failures due to

substandard components

-> Useful life/constant failure rate- low levels of random failures

-> Wear out period - again high rate of failure

Availability:
MTBF
Inherent availability Ai =
MTBF+MTTR

MTBM
Operational Availability Ao =
MTBM+MDT

Ai of a system considers only corrective maintenance in an ideal support

environment (with neither administrative nor logistic delays)
Ao considers both preventive & corrective maintenance conducted in the actual
support environment

10.4)MTBM:- Mean time between maintenance

MDT:- Mean down time

MTTR:- Mean time to repair

MTBF:- mean time between failures

i) Maintenance:

->corrective maintenance:- made necessary by failure

->preventive maintenance:-designed to prevent failures

ii) Availability:
MTBF
->Inherent availability Ai =
MTBF+MTTR

MTBM
->Operational Availability Ao =
MTBM+MDT

10.5)Phases in new product development

-> Conceptual Stage

As per Wilson four categories of objectives and goals for the

solution Musts – requirements that must be met

Must nots –constraints defining what the system must not be

Wants- features that would significantly enhance the value of solution, but not
mandatory

Don’t wants-characteristics that reduce the value of solution

->Technical feasibility

stage Subsystem

identification Trade of

studies
System

integration

Interface

definition

Preliminary breadboard level testing of important concepts

Establishments of subsystem and system design requirements for use in next phase

Development of preliminary test plans, productions methods,& logistic concepts,

marketing plans

Preliminary estimation of the life cycle cost of the

system Preparation of the proposals for the next

stage

->Development stage

Objective is to make the needed improvements in materials, designs, &

processes and to confirm that the product will perform as specified by pilot
processes.

Normally, requires that, design & testing proceed in parallel in an iterative

manner At each level, build-test-fix-retest followed computer analyses if

applicable Physical models can be done from crude model to updated

ones.

Optimized subsystems & components are integrated into eg. Prototypes for further
study

-> Commercial validation and production preparation stage

In this stage, to develop the manufacturing techniques & establishes test market
validity of the new product

This stage includes selecting manufacturing procedures, production tools, &

technology, installation & start up plans for the manufacturing process, vendors
for the purchased materials,components, & subsystems.

Market validity require producing preproduction prototypes

A detailed analysis of the proposed methods and estimated costs of producing,

marketing supporting in use, and disposing the system is prepared

->Full scale production stage

Final design drawings, specifications, flow charts & procedures are to be done
Quality control procedures & Reliability standards are established, contracts
made with suppliers, procedures for product distribution & support, construction
of manufacturing facilities, trial runs.

As the process continues, may need to changes done as per feedback

->Product support stage

Steps must be taken to ensure that the product can be used & maintained by the
customer The steps includes

 Creation of technical manuals for product installation

 Preparation & continuance of operation & maintenance manuals
 Customer service program service initiated
 Warranty plans developed
 Repair parts & replacements manufactured & distributed

In this phase, engineers job is to be there for customer & to ensure that the
product is maintained in top condition.

->Disposable stage

It is time to inform “ how to get rid of old, unused materials” and how do we protect the
environmen

t Examples

i) automobile industries – tires, lead acid batteries, fluorocarbons from air

conditioner, gasoline tank fumes

ii) Packaging gives mountains of glass, plastics, steel cans etc

10.6)The simple reliability models are as follows:

->Series:- Reliability=(Rs)(RL)= 0.9*0.8 =0.72

->Parallel:- Reliability=1-((1- RL)2 =(1-(1-0.8)2 =0.96

->Series in Parallel :-Reliability=1-((1- (Rs)(RL))2 =(1-(1-0.72)2 =0.9216

->Parallel in Series:-Reliability=(1-((1- RL)2)(1-((1- RL)2)= 0.96*0.96 =0.9504

10.7)Maintenance down time has 3 components

 Administrative & preparation time

 Logistic time
 active maintenance time

10.8)The two types of availability are

MTBF
->Inherent availability Ai =
MTBF+MTTR

Inherent availability is the steady state availability when considering only the
corrective maintenance (CM) downtime of the system.
MTBM
->Operational Availability Ao =
MTBM+MDT

Operational availability is a measure of the "real" average availability over a period of

time and includes all experienced sources of downtime, such as administrative
downtime, logistic downtime, etc. The operational availability is the availability that
the customer actually experiences

14.1)Project proposal process

-> Pre-proposal effort

 Begin work before RFP (request for proposal) from potential customer
 Continuously identify new business opportunities- areas of technology or
types of activity where attractive projects are likely to be funded
 Estimates the resources & capabilities that will be required to meet expected
future needs of customer

->Proposal Preparation

Before RFP : Appointment of proposal manager, & letter for release calling on
managers to provide numbers of the proposal team

• Quick examination of RFP to ensure no surprises

• RFP (in US )-, cover letter, statement of work, required schedule,
specification of length & content in the proposal stack of standard
clauses, legal aspects
 • Start kick off meeting for the proposal team launches the proposal process

->Proposal contents

• Management proposal –about the company , organization, relevant

experience, , management methods& controls, personnel details leading
the project
• Technical proposal :Outline the design concept proposed to meet the client’s
needs.
how to resolve technical challenge
• Cost proposal:- detailed price break down, aspects of inflation,
contingencies, , contract change procedures

14.2)i)Proposal contenst

• Management proposal –about the company , organization, relevant

experience, , management methods& controls, personnel details leading
the project
• Technical proposal :Outline the design concept proposed to meet the client’s
needs.
how to resolve technical challenge
• Cost proposal:- detailed price break down, aspects of inflation,
contingencies, , contract change procedures

ii) Statement of work

The project will be normally have a statement of work (SOW) that describes what
is to be provided in the project. It involves

• General scope of the work

• Itemize the tasks to be performed
• The contract end items to be delivered
• Data & report to be supplied.

SOW consists of a set of numbered paragraphs that can be cross indexed with
the work break down structure.

SOW can be proposed by the contractor during proposal bid package, or it can be
created or modified by the customer.

Both customer & the contractor should have common understanding of each
paragraph of the SOW.

iii) PERT

PERT treatment of uncertainty

• The duration of each activity is variable with three timeestimates

• An Optimistic time (a)
• A most likely time (m)
 • A pessimistic time (p)
• The probability distribution of possible durations of an activity
fits a Beta distribution that need not be symmetrical
• The expected time of each activity is estimated as using the
formula te= a+4m+b
6
• The variance of each activity is

• The standard deviation of each activity

• The standard deviation of the project is

• According to central limit theorem of statistics, the probability
distribution of the average of sum of a set of variables tends toward
the symmetrical normal distribution, even though original values fit
other distribution.

iv)Cost type contracts: Classified into four types

->Cost plus incentive fee contracts:- These contracts establish an estimated target
cost and target fee i.e profit. Within a specified range about the target, contractor
and buyer share added cost or savings in an agreed ratio, but outside that range
the buyer bears the total risk. (Draw the graph with example)

-> Cost plus fixed fee contracts :- require the buyer to pay all costs plus an agree
upon fee. This arrangement is common in R&D contracts where the scope of work is
difficult to estimate in advance. So the contractor’s motivation for reducing the waste
is to the effect of costs on future contracts

-> Time and materials contracts:- are common in repair , maintenance and
emergency situation and they involve payment at agreed –upon rates including profit
for hours worked, plus reimbursement of invoices for actual materials used. Here
also the motivation for efficiency is the future work.

-> A letter contract:- It is a preliminary contract authorizing the contractor to

proceed with specified work at customer cost in the interim until a formal contract is
negotiated.

14.3)A project is

• a collection of tasks aimed towards a single set of objectives,

culminating in a definable end point & having a finite life span &
budget
• a one of a kind activity aimed at producing some product or outcome that has
never existed before

The three essential conditions in project management are

1. Where close interaction of a variety of technologies, divisions or separate

organization is required

2. When completion within a tight schedule and budget is necessary

3. for activities involving significant technical and/or economic risk to the

organization
15.1)Elements of project driven organisation

->Project Office

-> Key Functional Support

-> Manufacturing and routine administration

-> Future Business

15.2)i) Project driven organisation

Advantages of project driven organisation

• Good project schedule & cost control

• Single point for customer Contact
• Rapid reaction time possible
• Simpler project communication
• Training ground for general

management Disadvantages of project

driven organization

• A project team is meant for delivering results, preferably without anyone’s help.
Isolation from other teams could prove to be drawback.
• With less communication between teams, knowledge might be a problem.
• With personnel keeps shifting from one project to another, career
continuity and professional growth of employees suffer.

Advantages of functional organization

• Efficient use of technical personnel

• Career continuity and growth for technical personnel
• Good Technology Transfer between the projects
• Good stability, security, and

morale Disadvantages of functional

organisation

• Weak customer interface

• Weak project authority
• Poor horizontal Communication
• Discipline rather than program oriented
• Slower work flow
15.3)Characteristics of an effective project manager

• Technical Skills
• Administrative skills
• Interpersonal skills

Project management skills can be developed in the following ways

1. Assigned responsibility for a major project only after a series of project &
functional assignments of increasing responsibility

2. Assigned to small projects with little or no preparation

3. Many short courses offered by universities, professional societies, etc

4. Meetings & publications of PMI, other engineering societies, ASEM to acquire

project management skill

15.4)As per Thamhain the seven potential conflict resources are:

1. Conflict over schedules

2. Conflict over project priorities, including conflict over the sequencing of the
activities & tasks to be undertaken

3. Conflict over work-force resources, especially in obtaining the desired quality &
quantity of personnel from other functional & staff support areas

4. Conflict over technical opinions and performance trade offs

5. Conflict over administrative procedures that define how the project will be
managed, especially the project managers reporting relationships,
responsibilities & authority

6. Personality conflict

7. Conflict over cost and the funds allocated to functional support groups. The
relative importance of the seven conflict sources varies over project cycle.

The five methods to deal with conflicts are as follows:

1. Withdrawal or retreat from actual or potential conflict

2. Forcing one’s viewpoint at the potential expense of the other party

3. Smoothing or emphasizing the points of agreement and deemphasizing areas of

conflict
4. Compromising or negotiating in which each party must give up something but
each walks away partly satisfied.

5. Confronting or problem solving in which the parties focus on the issues,

consider alternatives, and look for the best overall