Engineering Law & Managerial Economics (ENG 384)

Transcript:Engineering Law & Managerial Economics (ENG 384):
Engineering Law & Managerial Economics (ENG 384) Prepared by Engr. OYEBODE, O.J. BEng, MSc, MNSE, MASCE, MNIM, MSM, MSN, REng. College of Engineering, ABUAD 27th April, 2020 Lecture 2 The Four Management Functions Planning. Identifying goals and resources or future organizational performance. Organizing. Assigning tasks, delegating authority and allocating resources. Leading. The use of influence to motivate employees to achieve goals. Controlling. Monitoring activities and taking corrective action when needed. 0 Copyright ©2010 by South-Western, a division of Cengage Learning. All rights reserved. 3 The Process of Management 0 4 Management Skills Conceptual Skills – cognitive ability to see the organization as a whole system Human Skills – the ability to work with and through other people Technical Skills – the understanding and proficiency in the performance of specific tasks 0 5 Managerial Skills 7 Managerial Economics as a course required for effective resource management was put in place due to the following developments in the global business environment: (a) Growing complexity of business decision-making processes. (b) Increasing need for the use of economic logic, concept, theories, and tools of economic analysis in the process of decision-making. (c) Rapid increases in the demand for professionally trained managerial manpower. These developments have made it necessary that every manager aspiring for good leadership and achievement of organizational objectives be equipped with relevant economic principles and applications. Unfortunately, a gap has been observed in this respect among today’s managers. It is therefore the aim of this course to bridge such gap. Managerial Economics is the application of economic theory and methodology to managerial decision making problems within various organizational settings such as a firm or a government agency. It is becoming more important for managers to make good decisions and to justify them, as their accountability either to senior management or to shareholders increases. As the number and size of multinationals increases, the costs and benefits at stake in the decision-making process are also increasing. The pace of technological development is increasing with the impact of the ‘new economy’. Although the exact nature of this impact is controversial, there is no doubt that there is an increased need for economic analysis because of the greater uncertainty and the need to evaluate it. Improved technology has also made it possible to develop more sophisticated methods of data analysis involving statistical techniques. Modern computers are adept at ‘number-crunching’, and this is a considerable aid to