FIE 4183

INDUSTRIAL

TECHNOLOGY
MANAGEMENT
Dr. Hasyiya Karimah Adli · hasyiya@umk.edu.my · BAP B.04 · +6011-25754842 (WhatsApp only)
 DEFINITIONS

1. Technology: Usage & knowledge of tools and crafts to control or adapt to the

environment.

2. Technology management: A discipline of management where an organization leverages

the technological fundamentals to create competitive advantage.

3. Technology affects our lives in the way that it is difficult to imagine living in ZERO

technology environment.
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 01 POWER VINTAGE POINT

02 POWER VINTAGE POINT

CONTENT
03 POWER VINTAGE POINT

04 POWER VINTAGE POINT

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CHP 01
EVOLUTION OF
INDUSTRIAL
MANAGEMENT
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• Machine power replaces man and animal power, industrial organization becomes large

scale and productive work becomes highly specialized.

• Natural resources also plays a determinative role in Great Britain’s Industrial Revolution.

The country had ample coal and iron deposits to create an early iron industry.

• Thomas Newcoman in 1975 improved an earlier patent by John Calley, invented a steam

engine. In 1760 John Smeaton applied the steam engine to fan the furnaces used in

manufacturing iron. Iron production rose from 12 tons per furnace to 40 tons per furnace.

This increased productivity made available a large supply of iron at low cost and lead to

new uses for iron: bridges, ships and other machines.

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 INVENTION : TIMELINE
1563 Rev. William Lee invents the Stocking Frame, a mechanical device for knitting stockings.
Languedoc Canal connects the Mediterranean with the Bay of Biscay. 240 miles long, with 100 locks, 3 major aqueducts, 1
1692
tunnel, and a summit reservoir. The largest canal project between Roman times and the nineteenth century.
1708 Jethro Tull's mechanical (seed) sower permits large-scale planting in rows, for easier cultivation between the rows.

1709 Abraham Darby uses coke to smelt iron ore, replacing wood and charcoal as fuel.

1712 Thomas Newcomen builds first commercially successful steam engine.

1733 John Kay's flying shuttle.

1761 James Brindley's Bridgewater Canal opens. Barges carry coal from Worsley to Manchester.

1765 James Hargreaves invents the spinning jenny, automating weaving the warp (in the weaving of cloth).

1769 Arkwright's "water" (powered) frame automates the weft.

Bridgewater Canal extended to the Mersey, thus connecting with Liverpool. Its success kicks off extensive canal construction
1772
("canal mania").
1786 Arkwright puts a Watt engine in the Albion cotton mill, Blackfriars Bridge, London.

1801 Robert Trevithick demonstrates a steam locomotive.

1803-22 Caledonian Ship Canal cuts clear across Scotland via the Great Glen.

1807 Robert Fulton's Clermont first successful steamboat.

1811-15 Luddite riots: laborers attack factories and break up the machines they fear will replace them.

1821 Faraday demonstrates electro-magnetic rotation, the principle of the electric motor.

1850 Petrol (gasoline) refining first used.

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 INVENTION : TIMELINE
1851 Singer invents first practical sewing machine.

1853 Elisha Otis invents the elevator safety brake making skyscrapers possible

1857 Pasteur experiments with fermentation.

Siemens-Martin open hearth process (along with the Bessemer converter) makes steel available in bulk. Steel begins to replace
1863
iron in building: steel framing and reinforced concrete make possible "curtain-wall" architecture--i.e., the skyscraper.
1867 Alfred Nobel produces dynamite, the first high explosive which can be safely handled.
Christopher Sholes invents the Remington typewriter.
1873
James Clerk Maxwell states the laws of electro-magnetic radiation
1876 Bell invents the telephone.

1877 Edison invents the phonograph.

1878 Microphone invented.

1884 Maxim invents the machine gun, making possible mass slaughter and beginning the mechanization of warfare.

1885 Benz develops first automobile to run on internal- combustion engine.

1888 Hertz produces radio waves.

1889 Eiffel Tower.

1897 Joseph Thomson discovers particles smaller than atoms.

1899 Aspirin invented.

1903 Wright brothers make first powered flight. 8

 IMPORTANCE OF ITM?

1. Improve the understanding and enable the exposure to the industrial history

2. Build the character of a manager

3. Discover the importance of management

4. Research in management

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UNDERSTANDING &
EXPOSURE
• From the knowledge of management principles, the

administrators get the idea on how to manage an

organization.

• It enables the managers to decide what should be

done to accomplish any tasks and handle situations

which arise in management.

• Thus, through the industrial management

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knowledge, it makes managers more efficient.
 BUILD THE CHARACTER OF A MANAGER

• Principles of management provide the understanding of management process in order to accomplish any

decisions/ tasks.

• It will be helpful to identify the areas of management in which existing & future managers should be

trained. 11
 ROLE OF MANAGEMENT

• Principle of management facilitate the role of

managers to be concrete.

• The principles act as the reference in order to

make an appropriate decisions.

• It defines managerial activities in practical terms

(what should manager do under specific
situation).

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 RESEARCH IN MANAGEMENT

• The management principle indicates lines along

which research should be practiced to produce a
practical and more effective management.

• Besides, it guides the administrator in decision-

making and action.

• Through the guideline, it is useful for the

management research to be more accurate and
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hence improving the management practice.
MANAGEMENT AND
HUMAN RESOURCE
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16
MANAGEMENT
He was one of the most influential contributors to the
modern concepts of management
He proposed the five primary functions of management:

• Planning
• Organizing
• Commanding
• Coordinating
• Controlling
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 14 PRINCIPLES OF
MANAGEMENT
1. DIVISION OF WORK: Work should be divided among individuals and groups to ensure that effort and attention are focused on special portions of the task.

2. AUTHORITY: Authority was defined by Fayol as the right to give orders and the power to exact obedience.

3. DISCIPLINE: A successful organization requires the common effort of workers. Penalties should be applied judiciously to encourage this common effort

4. UNITY OF COMMAND: Workers should receive orders from only one manager

5. UNITY OF DIRECTION: The entire organization should be moving towards a common objective in a common direction

6. SUBORDINATION OF INDIVIDUAL INTERESTS TO THE GENERAL INTERESTS:

The interests of one person should not take priority over the interests of the organization as a whole

7. REMUNERATION: Many variables, such as cost of living, supply of qualified personnel, general business conditions, and success of the business, should be
considered in determining a worker’s rate of pay.
 14 PRINCIPLES OF MANAGEMENT
8. CENTRALIZATION: Lowering the importance of the subordinate role

9. SCALAR CHAIN: Managers in hierarchies are part of a chain like authority scale. The President possesses the most authority;. the first

line supervisor the least. Lower level managers should always keep upper level managers informed of their work activities

10. ORDER: For the sake of efficiency and coordination, all materials and people related to a specific kind of work should be treated as

equally as possible.

11. EQUITY: All employees should be treated as equally as possible

12. STABILITY OF TENURE OF PERSONNEL: Retaining productive employees should always be a high priority of management.

Recruitment and Selection Costs, as well as increased product-reject rates are usually associated with hiring new workers.

13. INITIATIVE: Management should take steps to encourage worker initiative, which is defined as new or additional work activity

undertaken through self direction.

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SCIETIFIC
MANAGEMENT
SCIENTIFIC
MANAGEMENT

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 SCIENTIFIC
MANAGEMENT
DEFINITION:

• The process of approaching various aspects of organizations in a scientific manner using

scientific tools such as research, management and analysis.

PRINCIPLES:

• A principle refers to a fundamental truth .These principles are derived:

1) On the basis of observation and analysis (i.e practical experience of managers)

2) By conducting experimental studies.

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 FREDERICK WINSLOW TAYLOR
• March 20, 1856 (BORN) – March 21, 1915 was an American mechanical engineer who sought
to improve industrial efficiency. He is regarded as the father of scientific management and was
one of the first management consultants. Taylor was one of the intellectual leaders of
the Efficiency Movement and his ideas, broadly conceived, were highly influential in the
Progressive Era.

• Efficiency expert in U.S. Steel Industry

• Invented New Tool Designs & Handling methods

• Designed Stop-watch Task timing

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•
 SCIENTIFIC
MANAGEMENT
TECHNIQUES:

1. Time Study

2. Motion Study

3. Functional Foremanship

4. Standardization

5. Differential Piece Wage Plan

6. Other techniques
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 SCIENTIFIC
MANAGEMENT
TIME STUDY:

• It is a technique which enables the manager to ascertain standard time taken for performing a
specified job.

• This technique is based on the study of an average worker having reasonable skill and ability.

• Average worker is selected and assigned the job and then with the help of a stop watch, time is
ascertained for performing that particular job.

• Taylor maintained that Fair day’s work should be determined through observations, experiment
and analysis by keeping in view an average worker. Standard Time × Working Hours = Fair
Day’s Work 25
 SCIENTIFIC
MANAGEMENT
MOTION STUDY:

• In this study, movement of body and limbs required to perform a job are closely observed.

• In other words, it refers to the study of movement of an operator on machine involved in a particular task.

• The purpose of motion study is to eliminate useless motions and determine the best way of doing the job.

• By undertaking motion study an attempt is made to know whether some elements of a job can be
eliminated combined or their sequence can be changed to achieve necessary rhythm.

• Motion study increases the efficiency and productivity of workers by cutting down all wasteful motions.

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 SCIENTIFIC
MANAGEMENT
FUNCTIONAL FOREMANSHIP:

• Taylor advocated functional foremanship for achieving ultimate specification.

• This technique was developed to improve the quality of work as single supervisor may not be an expert in all
the aspects of the work.

• Therefore workers are to be supervised by specialist foreman.

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The names & function of these specialist foremen are: -
1. Instruction card clerk concerned with tagging down of instructions according to which workers are required to

perform their job

2. Time & cost clerk is concerned with setting a time table for doing a job & specifying the material and labor cost

involved in it.

3. Route clerk determines the route through which raw materials has to be passed.

4. Shop Disciplinarians are concerned with making rules and regulations to ensure discipline in the organization.

5. Gang boss makes the arrangement of workers, machines, tools, workers etc.

6. Speed boss concerned with maintaining the speed and to remove delays in the production process.

7. Repair boss concerned with maintenance of machine, tools and equipment.

8. Inspector is concerned with maintaining the quality of product.

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 SCIENTIFIC
MANAGEMENT
Standardization:

• It implies the physical attitude of products should be such that it meets the requirements &
needs of customers.

• Taylor advocated that tools & equipments as well as working conditions should be standardized
to achieve standard output from workers.

• Standardization is a means of achieving economics of production. It seems to ensure -

• The line of product is restricted to predetermined type, form, design, size, weight, quality. Etc

• There is manufacture of identical parts and components.

• Quality & standards have been maintained.

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• Standard of performance are established for workers at all levels.
 SCIENTIFIC
MANAGEMENT
Differential Piece Wage Plan:

• This tech of wage payment is based on efficiency of worker.

• On the other hand, those workers who produce less than standard no. of pieces are paid wages
at lower rate than prevailing rate i.e. worker is penalized for his inefficiency.

• This system is a source of incentive to workers who improving their efficiency in order to get
more wages.

• It also encourages inefficient workers to improve their performance and achieve their
standards.
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• It leads to mass production which minimizes cost and maximizes profits.
 SCIENTIFIC
MANAGEMENT
Other Techniques:

• Various other techniques have been developed to create ordeal relationship between
management and workers and also to create better understanding on part of works.

• Those includes use of instruction cards, strict rules & regulations, graphs, slides, charts etc,
so as to increase efficiency of workers.

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 Although it is accepted that the

scientific management enables the

management to put resources to its

best possible use and manner, yet it has

not been spared of severe criticism.

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 SCIENTIFIC
MANAGEMENT
1) WORKERS VIEWPOINT

• Unemployment - Workers feel that management reduces employment opportunities from them through replacement of men by machine.

• Exploitation - Workers feel they are exploited as they are not given due share in increasing profits which is due to their increased

productivity. Wages do not rise in proportion as rise in production. Wage payment creates uncertainty & insecurity (beyond a standard

output, there is no increase in wage rate).

• Monotony - Due to excessive specialization the workers are not able to take initiative on their own. Workers lose interest in jobs and derive

little pleasure from work.

• Weakening of Trade Union - To everything is fixed & predetermined by management. So it leaves no room for trade unions to bargain as

everything is standardized, standard output, standard working conditions, standard time etc.

• Over speeding - the scientific management lays standard output, time so they have to rush up and finish the work in time. These have

adverse effect on health of workers.

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 SCIENTIFIC
MANAGEMENT
2) EMPLOYER’S VIEWPOINT

• Expensive - Scientific management is a costly system and a huge investment is required in establishment of planning dept.,

standardization, work study, training of workers. It may be beyond reach of small firms. Heavy food investment leads to

increase in overhead costs.

• Time Consuming - Scientific management requires mental revision and complete reorganizing of organization. A lot of

time is required for work, study, standardization & specialization. During this overhauling of organization, the work

suffers.

• Deterioration of Quality

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 SCIENTIFIC
MANAGEMENT
PSYCHOLOGIST’S VIEWPOINT

• According to Psychologists, Taylor’s study had following drawbacks: -

• Ignores human factors - Considers them as machines. Ignores human requirements, want and aspirations.

• Separation of Planning and Doing.

• Dissatisfaction - Comparing performance with others.

• No best way - Scientific management does not give one best way for solving problems.

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 VS

HENRI FAYOL FREDERICK WINSLOW TAYLOR

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• Both the persons have contributed to development of science of management.

• They both differ from each other in following aspects: -

FAYOL TAYLOR

Analyzed management from level of top management Looked at management from supervisory viewpoint & tried
downward. to improve efficiency at operating level.

“A general theory of administration”. “Scientific Management”

to develop a universal theory of management and stressed to improve labor productivity & to eliminate all type of
upon need for teaching the theory of management. waste through standardization of work & tools

concentrated on function of managers and on general Focused his attention on fact by management and his
principles of management wheel could be equally applied in principles are applicable on shop floor.
all.

Both emphasized mutual co-operation between employment and employees

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 What we have learned until now?
CHAPTER 1:

Evolution of Industrial Management

• Definition: Technology & Technology Management

• Industrial Evolution

• Importance of Industrial Management

• Scientific Management – Meaning, definitions,

• Techniques of Scientific Managements

• Criticism of Scientific Managements

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THANK. YOU