Smoking cigarettes vs cigars/cigarillos

No. You can breath-in (inhaling) it directly to your mouth, but release by your mouth. So it's technically not going in your lungs.

Of course it is going to your lungs, just not as much. The point of taking it down the lungs is to get the "fix" of the nicotine. "Mouth smoking" is kind of like saying I do Ecstasy because the pills tastes good.
Quit while you can though. I smoked for 8 years, quitting was a peach, and even now, 3 years later, I still get a weird "sucking" sensation in my lungs occasionally.