Topic 1:

Introduction to Industrial
Engineering

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Outline for today’s lecture
 Definition of Industrial Engineering
 The roles of Industrial Engineer
 Some Industrial Engineering technique
 Job Title
 Evolution of Industrial Engineering

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Definition of Industrial Engineering
American Institute of Industrial Engineers (AIIE)

 Industrial Engineering is concerned with the design,

improvement and installation of integrated system of
men, materials and equipment.
 It draws upon specialized knowledge and skills in the
mathematical, physical sciences together with the principles and
methods of engineering analysis and design to specify, predict
and evaluate the results to be obtained from such system.

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… Definition of Industrial Engineering
Operations Management: A System Perspective (1)

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… Definition of Industrial Engineering
Operations Management: A System Perspective (2)

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 The roles of Industrial Engineer

Industrial Engineers (IEs) design the organizational operations,

including:
 Methods

 Processes

 Schedules

 Quality & Procurement procedures

 Layout and Ergonomic workplace design

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 … the roles of Industrial Engineer

1- Helping the organization achieving its goals by planning its

operations and contingencies
2- Improving the organization performance by increasing its
productivity, quality and competitiveness
3- Improving the effective utilization of resources and time
4- Eliminating waste of time, money, materials and various resources.

While engineers from other disciplines

apply their skills to very specific areas, the
Industrial Engineer has the opportunity to
work in a variety of businesses.

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… the roles of industrial engineer
 Industrial Engineers are often required to solve large and
complex real-world problems.
 To accomplish this, it is necessary to adopt a holistic and
integrated approach to problem-solving that requires a unique
blend of scientific analytical methods and creativity.
 They are synonymous with a systems integrator, i.e. a ‘big-
picture thinker'. They also form the vital link between
management and engineering where scientific methods are
used heavily in making managerial decisions.

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 … the roles of industrial engineer in

Manufacturing industry: Ensuring that the equipment, manpower and other

resources in the manufacturing process are properly integrated to maintain
efficient operation and ready for improvement.
Logistics industry: Managing supply chain systems (manufacturing facilities,
transportation carriers, distribution hubs, and retailers) through integration and
optimization to satisfy customer orders in the economic way.
Service industry: Provision of consultancies related to organizational
effectiveness, service quality, information systems, project management,
banking service strategy, etc.
Defence industry: To support the management of military assets and
operations in an effective manner.

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Job title for fresh graduates …

Industrial Engineer,
Logistics Executive
Supply Chain Engineer / Industrial Engineer – Supply Chain
Quality Engineer / QA Engineer /QC Engineer
Procurement Engineer / Executive
Sales Engineer / Executive
Consultant

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 Job title for fresh graduates …
Industrial Engineer: Develop job evaluation programs, amongst other duties. Industrial
engineers find ways to eliminate wastefulness in production processes. They devise
efficient systems that integrate workers, machines, materials, information, and energy to
make a product or provide a service.
Supply Chain Engineer / Industrial Engineer – Supply Chain: Promote the design,
development, and implementation of warehouse, distribution and logistics solutions. They
manage labor costs, personnel productivity, inventory levels, data accuracy and stocking
strategies. They measure and report on the effectiveness of departmental activities and
operations

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 Job title for fresh graduates …
Logistics Executive: Eensure producers have a reliable supply of raw materials, and
coordinate the distribution of finished goods to consumers. They focus on meeting consumer
demand and minimizing the costs of storing and transporting goods.

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 Job title for fresh graduates …
Quality / QA / QC Engineer: Across all types of industry, quality engineers are at work
monitoring, testing and inspecting products to make sure they meet specified standards. ...
The quality engineer also designs systems by which production quality can be checked in
an ongoing process.

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 Job title for fresh graduates …
Procurement Engineer / Executive: Oversee the purchasing of technical goods and
services for an industrial operation. ... They evaluate suppliers and
negotiate purchase agreements with them, as well as maintain the inventory of supplies.
The job outlook for Procurement Engineers is fairly steady.

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Some IE techniques

• Facility Planning
• Time Study (Work Measurement).
• Motion Economy
• Financial and Non Financial
Incentives
• Value Analysis
• Production, Planning and Control.
• Inventory Control
• Job Evaluation
• Material Handling Analysis.
• Ergonomics (Human Engineering

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Evolution of Industrial Engineering

Industrial & Systems

Engineering

Industrial Engineering

Scientific
Management

1900 1920 1930’s 1970’s

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 … Evolution of Industrial Engineering

 1911 – F. Taylor published “The Principles of Scientific

Management”. Management as a well defined methodology
that involves quantitative measures.

 1913 – Henry Ford – The integrated assembly line. The

integration between work stations to reduce the average time
per car. At the beginning of 1913 the time per car was 12.5
hours, 8 months later it was reduced to 93 minutes.

 1917 – Harris – Inventory Management Model

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 … Evolution of Industrial Engineering

 1930s – Howthorn (Harvard) trials for measuring the

effects of environmental changes on workers’
performance.

 1930s – Significant advance in applying SPC and

Statistical analysis in Quality Control (QC).

 1940s – Birth of Operations Research (OR) –

Mathematical models for optimizing operational plans

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 Evolution of Industrial Engineering
 1950s and 1960s – The birth of the integrative approach, and the
Industrial Engineering as a profession.
 1970s and 1980s – Computerization of data and operations research.
Computer based management tools. Material Requirement Planning
(MRP) systems.
 1980s and 1990s – Most organizations adopt philosophical tools such
as JIT (Just In Time), TQC (Total Quality Mgt.), and Six Sigma. The
MRP systems extend to MRP-II.
 2000s - ISO-9000, ERP systems, Supply Chain information sharing,
search-based optimization.
 2010s – Analytics, Cloud computing, Big data, Data mining

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 Evolution of Industrial Engineering

 Starting from the 1990s, the globalization and the globalized

information systems - created increasing global competition in
the business world. Any organization in a competitive market,
must give the first priority to its customers and their needs,
requirements, and wants.

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Relationship of IE to other engineering
and scientific disciplines

(source:Turner et. al, 1993)

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 Thank you for your attention.

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