 Industrial Engineering (IE) is concerned with

the design, improvement and installation of

integrated system of people, materials,
information, equipment and energy. It
draws upon specialized knowledge and skill
in the mathematical, physical and social
sciences together with the principles and
methods of engineering analysis and design
to specify, predict and evaluate the results
to be obtained from such systems.
 Industrial Engineering (IE) can be defined
as a profession in which a knowledge of
mathematical and natural sciences
gained by study, experience and
practice is applied with judgment to
develop the ways to utilize economically
the materials and other natural resources
and forces of nature for the benefit of
mankind.
 American Institute of Industrial Engineers
define IE as:
IE is concerned with the design,
improvement and installation of integrated
systems of men, material 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 systems.
 INDUSTRIAL
ENGINEERING
 Manpower

 Material

 Method

 Machine

 Money
1.2. History of Industrial Engineering
The origins of industrial engineering can be traced back to many different
sources. Fredrick Winslow Taylor is most often considered as the father
of industrial engineering even though all his ideas where not original. Some
of the preceding influences may have been Adam Smith, Thomas
Malthus, David Ricardo and John Stuart Mill. All of their works
provided classical liberal explanations for the successes and limitations of
the Industrial Revolution.
Another major contributor to the field was Charles W. Babbage, a
mathematics professor. One of his major contributions to the field was his
book On the Economy of Machinery and Manufacturers in 1832. In this
book he discusses many different topics dealing with manufacturing, a few
of which will be extremely familiar to an IE. Babbage discusses the idea of
the learning curve, the division of task and how learning is affected, and the
effect of learning on the generation of waste.
 In the late nineteenth century more developments where being made
that would lead to the formalization of industrial engineering. Henry R.
Towne stressed the economic aspect of an engineer's job. Towne belonged
to the American Society of Mechanical Engineers (ASME) as did many other
early American pioneers in this new field. The IE handbook says the, "ASME
was the breeding ground for industrial engineering. Towne along with
Fredrick A. Halsey worked on developing and presenting wage incentive
plans to the ASME. It was out of these meetings that the Halsey plan of
wage payment developed. The purpose was to increase the productivity of
workers without negatively affecting the cost of production. The plan
suggested that some of the gains be shared with the employees. This is one
early example of one profit sharing plan.
 Henry L. Gantt belonged to the ASME and presented papers to the ASME
on topics such as cost, selection of workers, training, good incentive plans,
and scheduling of work. He is the originator of the Gantt chart, currently the
most popular chart used in scheduling of work.

What would Industrial Engineering be without mentioning Fredrick

Winslow Taylor? Taylor is probably the best known of the pioneers in
industrial engineering. His work, like others, covered topics such as the
organization of work by management, worker selection, training, and
additional compensation for those individuals that could meet the standard
as developed by the company through his methods.
 The Gilbreths are accredited with the development of time and motion
studies. Frank Bunker Gilbreth and his wife Dr. Lillian M. Gilbreth
worked on understanding fatigue, skill development, motion studies, as well
as time studies. Lillian Gilbreth had a Ph.D. in psychology which helped in
understanding the many people issues. One of the most significant things
the Gilbrethss did was to classify the basic human motions into seventeen
types, some effective and some non-effective. They labeled the table of
classification therbligs. Effective therbligs are useful in accomplishing work
and non-effective therbligs are not. Gilbreth concluded that the time to
complete an effective therblig can be shortened but will be very hard to
eliminate. On the other hand non-effective therbligs should be completely
eliminated if possible.
1.3. “Systems Approach” in Industrial
Engineering

Some basic definitions:

System: A set of components which are related by some form of

interaction, and which act together to achieve some objective or
purpose.
Components: The individual parts, or elements, that collectively
make up a system.

Relationships: The cause-effect dependencies between components.

Objective or Purpose: The desired state or outcome which the

system is attempting to achieve.
Objective: To heat or to cool the house, depending on the need.

Components: The house (walls, ceiling, floors, furniture, etc.), the heat
pump, the thermostat, the air within the system, and the electricity
that drives the system.
(1) The air temperature depends on:
(a) Heat transfer through the walls, ceiling, floor
and windows of the house.
(b) Heat input or output due to heat pump action.

(2) The thermostat action depends on:

(a) Air temperature.
(b) Thermostat setting.

(3) The heat pump status depends on:

(a) Thermostat action.
(b) Availability of electricity.
Other examples of systems

• production system of a factory,

• information system of a business firm,

• computer system of an airlines company,

• circulatory system of the human body,

• nervous system of the human body, etc.

System classifications

• Natural vs. Man-Made Systems

Natural systems  exist as a result of processes occurring in the

natural world.

e.g. a river.

Man-made systems  owe their origin to human activity.

e.g. a bridge built to cross over a river.

System classifications (continued)

• Static vs. Dynamic Systems

Static systems  have structure, but no associated activity.

e.g. a bridge crossing a river.

Dynamic systems  involve time-varying behaviour.

e.g. the Turkish economy.

System classifications (continued)

• Physical vs. Abstract Systems

Physical systems  involve physically existing components.

e.g. a factory (since it involves machines, buildings, people, and so

on).

Abstract systems  involve symbols representing the system

components.

e.g. an architect’s drawing of a factory

(consists of lines, shading, and dimensioning).
System classifications (continued)

• Open vs. Closed Systems

Open systems  interact with their environment, allowing materials

(matter), information, and energy to cross their
boundaries.

Closed systems  operate with very little interchange with its

environment.
“Systems approach” attempts to resolve the conflicts of interest
among the components of the system in a way that is best for the
system as a whole.
 ISE – Industrial System Engineering

 The role of ISE in corporate

transformation in achieving
organizational full potential performance
› Strategy and positioning
› Conditions for success
› “Drivers” or operations improvement
 Domain can be defined by
“technologies employed”, the “diseases
treated”, and/or the “populations
served”.
 An industrial and system engineer is one
who is concerned with the design,
installation, and improvement of integrated
systems of people, material, information,
equipment, and energy by drawing upon
specialized knowledge and skills in the
mathematical, physical, social sciences,
together with the principles and methods of
engineering analysis and design to specify,
predict, and evaluate the results to be
obtained from such systems.
 Human
Management
Factors
Systems
Engineering

Manufacturing
Operations
Systems
Research
Engineering

ISE
Building more
System & process
effective Condition of mind:
improvement (e.g.
measurement intention,
Business process
systems for alignment
reengineering)
improvement

Program & project

Change Information
management
leadership systems &
discipline (benefits
management technology
realization)

Aligned, focused Strategy &

improvement positioning/policy
 Industrial Engineering or (IE) always associated with
development and improvement of product in an
organization. Do a case study on any organization
that have successfully improved their product/service
to obtain better outcome. Do a presentation on your
case study.
 Please include:
› Introduction on the chosen organization
› Service/product offered by the organization
› Inadequacy in the service/product
› Improvement made on the service/product
› Aim for improvement plan
› Comparison – before and after improvement

 Minimum slide: 10 slides