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management The results of a study on management-engineering problems in the chemical industry are reported bg Walter eon Pechmarcn of the elements involving plant management which was made over a period of 5 years indicates that certain groups within the chemical industry and some large concerns have developed a managerial pattern all their own. A number of these groups and concerns have already acquired such individual characteristics that frequently one can tell by listening to an executive’s outlook on managerial problems to which group or firm he belongs. This is not a healthy condition. Unless curtailed, branches of the chemical industry as well as individual companies will gradually develop a concept of management-engineering which is not in accord with the rest of the industry. The writer has discussed this problem with top executives in the chemical industry who generally attribute this condition to the present trend toward specialization, the need to manufacture on an increasingly large scale, and lack of time on the part of executives to familiarize themselves with problems which are not within the immediate scope of their work. Some believed that the historical background of the industry and inherited trade practices make people see managerial p: Nems in a different light, whereas others simply stated that management in chemical plants is too heavily loaded with scientifically trained personnel who have neither the training nor the right appreciation of matters pertaining to managementengineering. It was also pointed .out that the very nature of some chemical manufacturing processes requires more emphasis on one phase of plant management than on others; this results in underemphasizing or neglecting important phases. The writer is inclined to agree with this explanation. In fact, he has noticed only recently that one branch of the chemical industry displays an extreme awareness of safety, good housekeeping, and process control by mechanical means, whereas interest in developing rigid working standards and scheduling, according to a projected sales forecast, is definitely lacking. This does not imply that the branch aa a* whole is necessarily negligent concerning these phases of plant management, but that the executives in this branch are generally not sufficiently informed of what other branches of the chemical industry have accomplished in matters pertaining to management-engineering, Here is another reason why people frequently do not see eye to eye in regard to management-engineering: An employee in one branch of the industry or with one concern over a prolonged period of time accepts the status quo as hhe best and only solution and develops a one-track mind. The writer knows this because his
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conception of good management engineering has changed considerably, since he has had the opportunity to familiarize himself with various branches of the chemical industry. To be perfectly truthful, even today he sometimes is in conflict with principles of good management-engineering until he realizes that he has been leaning toward a practice identified with the industry in which he worked for many years. It is sometimes strange how differently the various branches of the chemical industry operate in regard to management-engineering. Granted that some of the practices fulfill the need for special requirements, one nevertheless can frequently put a finger on methods which are typical to a concern or a branch of the industry, but for which no explanation other than custom can be found. This applies especially to pricing, cost estimating, employee rate of pay determination, and the training of executive employees. In the solution of this problem, it is obvious that these factors require first consideration : education and a free exchange of thought on managerial problems between the various groups of the chemical industry and the industry as a whole. It is generally agreed that the educational program must include personnel in executive positions in the chemical industry. If we are frank, we will admit that management-engineering and industrial engineering were topics which were neither taught nor thought of when most of today’s executives went to college. Managerial ability at that time was simply considered a natural gift or something that could be acquired by length of service. We know today that this is not true. Good plant management requires not only personality and a thorough knowledge of one phase of the business but familiarity with all the elements which are directly or indirectly involved in plant management. The number of plant executives who do not subscribe to this elementary requirement of good management-engineering is surprising. The writer attributes this to outdated thinking which prescribes that production is the nerve center of a plant’s activities and that all other functions of management more or less support manufacturing. It might be of interest to note that the chemical industry as a whole is more conscious of production and research than are other industries. Favoring production in the chemical industry, thus, is not necessarily caused by individuals displaying too much self-importance, but is more likely the result of industry-wide adherence to a practice that has outlived its useful purpose. Top (Continued on page 88 A ) 67 A
Plant Management management in the chemical industry can play an important part in an educational program by emphasizing the fa& that mechanical engineers, sales executives, accountants, and industrial engineers are just as much a part of the chemical industry as the chemist and that teamwork, rather than insistence on a preferred status by virtue of chemical education, means success. Occasionally one encounters the belief that Qanagement-engineering is a new addition to the industry and that it can be taken care of by simply “farming out” this type of work. As one executive put it: “We have no problems of management-engineering, because we assign this work to the consulting firm which we retain.” He might have said that somebody else is doing his work, because he is not capable of taking care of his job. The wrong conception of what constitutes management-engineering has more than once resulted in a strange relationship between a consulting firm and its client and/or the unjustified accusation that a concern servicing a plant is meddling into affairs with which it is not concerned. Industry-wide insistence on the correct use of terms, such as managementengineering, industrial engineering, and method and process engineering would undoubtedly contribute to better understanding of the true nature of the facilities which are available to modern plant management. Our educational institutions can do their part in bettering the understanding of managerial problems by engaging talent with practical experience in management. This problem was discussed with leaders in educational fields who all seem to agree that more opportunity should be given advanced students to discuss problems of management with people who have the practical know-how. They point out, however, that such talent cannot easily be obtained, because people who are qualified for teaching and have held managerial positions in the chemical industry are generally not satisfied with the salaries offered by colleges. It was thought that the chemical industry could contribute toward a better understanding of management-engineering by stimulating interest among the leaders of the industry to volunteer their services for participation in discussions of plant management in the seminars of our colleges. The effectiveness of sending students into the field was also discussed. It was generally agreed that visits to plants stimulate interest, establish a feeling for the problems of managementengineering, and probably give the student an inside view into some of the workings of management. Some persons with whom the writer discussed this problem, however, felt that too many concerns give students the 30-cent tour instead of providing them with an opportunity to discuss their problems with the people who make the wheels go around. By giving special consideration to student groups visiting plants, the chemical industry once more can do its part in promoting a true understanding of the functions of managementengineering. 68 A
