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Education inEducation inIndustrial ManagementIndustrial Management

Prof. Ilias P. Tatsiopoulos

NTU Athens

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AgendaAgenda

• Trends, current & coming

• IM curriculum

• Learn + Teach

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Current situation in manufacturingCurrent situation in manufacturingat national levelat national level

Graduate degreein Production

doesn’tpay

The country isde-industrializedProduction has

no future in thiscountry

Disappointment We studied engineeringin order to become

logisticians

Low salaries

Look these people in Marketing & Finance

Murmuring &Grumbling

Banking & Telecomsis the place to be

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ConclusionsConclusions

• Production does not persuade for its added value• Best people have taken other directions• Stack with traditional manufacturing• Education in production is outdated• Production people live on their past glory• Leaders are missing

Is there a future?

556-9 October 2005 AIM Conference, Estella, Spain

On the other side...On the other side...at global levelat global level

Urgent need for GlobalOperations and

Global Sourcing skills

Headquarters in developed Cities

Manufacturing boomin Asia by G7

investments

Best IM Schools in G7countries

Global bottleneck inthe number of Manufacturing

engineers

Service & Retail sectorsare industrialized

Production + producerServices do not shrink

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TrendsTrends

• Traditional industry in Europe wanes– Exceptions

• Food• Knowledge-intensive (new economy, medical, nano- and bio-

technologies)• Aerospace• Non-transportable goods (building materials)• …

– If you consider production+producer services the situation is much better• Non-industrial economic activity is industrialized• Digitized economy• Product/service integration (e.g. mobile phone)• Globalization• Increased speed of change• Quality-of-life & environmental concerns

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Implications of trendsImplications of trends

• Emphasize “Operations”– move away from MechEng?

• Understanding of non-industrial activity• Cultural adaptability

– Promote versatility• career

• employment

– Knowledge acquisition, not mere possession

– Impacts on industrial structure of society

– Industries shift (or new are created)

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Non-industrial activity is industrializedNon-industrial activity is industrialized

• Not significant productivity increases expected in making and moving things

• Service Workers• Knowledge Workers• Technology investment does not increase

productivity as expected• “Working smarter” is the key. Task analysis is the

core of Industrial Engineering• What is performance?• Operations Management instead of IM?

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Food IndustryFood Industry

CEO

MARKETINGDIRECTOR

SALES DIRECTOR

FINANCIALDIRECTOR

PLANTDIRECTOR

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Automotive IndustryAutomotive Industry

CEO

COMMERCIALDIRECTOR

FINANCIAL DIRECTOR

PURCHASINGDIRECTOR

PRODUCTIONDIRECTOR

11116-9 October 2005 AIM Conference, Estella, Spain

Retailing (cosmetics)Retailing (cosmetics)

CEO

BU1COMMERCIAL

DIRECTOR

BU2COMMERCIAL

DIRECTOR

FINANCIALDIRECTOR

LOGISTICSDIRECTOR

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Retailing (Super Market)Retailing (Super Market)

CEO

FOODDIRECTOR

NON FOOD DIRECTOR

FINANCIALDIRECTOR

LOGISTICSDIRECTOR

SHOPS’DIRECTOR

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BankingBanking

CEO

MARKETINGDIRECTOR

BIG ACCOUNTS DIRECTOR

FINANCIALDIRECTOR

ANNEXDIRECTOR

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Car commerceCar commerce

CEO

COMMERCIALDIRECTOR

FINANCIAL DIRECTOR

AFTER SALES SERVICE

DIRECTOR

NETWORKDIRECTOR

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Hotel ManagementHotel Management

CEO

COMMERCIALDIRECTOR

FINANCIAL DIRECTOR

PURCHASINGDIRECTOR

OPERATIONSDIRECTOR

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Hospital ManagementHospital Management

CEO

FINANCIALDIRECTOR

MEDICAL DIRECTOR

ACCOMMODATIONDIRECTOR

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Operations in other Industries outside Operations in other Industries outside ManufacturingManufacturing

• Need for Operations Director in Retailing, Banking, Health care, Tourism, etc.

• Are we ready to enter these sectors or our engineering pride does not allow us?

• Did we adapt our curriculum?• Is an engineer ready to take the role of managing

housemaids in a Hotel?

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IM tools in service sectorsIM tools in service sectors

• Facilities planning & layout• Quality management• Logistics• Maintenance• Ergonomics• Scheduling

Competition from other disciplines!

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IM IntegrationIM Integration

• Integration of IM with other disciplines• Integration of Product+Service (Extended Product, e.g.

mobile phone)• Producer Services

– Mobilisation of resources (banking, finance, engineering, recruiting and training)

– Production management (consulting, information processing, accounting, legal services)

– Production execution (quality control, maintenance, logistics)– Promotion & distribution (transportation, commercial

intermediation, marketing, advertising)

20206-9 October 2005 AIM Conference, Estella, Spain

Business Week Vision of the 21Business Week Vision of the 21stst century corporationcentury corporation

CEOChief of

Globalization

CHIEF OFCUSTOMER

RELATIONSHIPS

CFOStrategist, venture

capitalist,chief communicator

CHIEF OFKNOWLEGE

CHIEFWEB OFFICER

COOCHIEF OPERATIONS

OFFICER

OPERATIONS TEAM(QUALITY,

LOGISTICS,MAINTENANCE

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Business Week CV for the 21Business Week CV for the 21stst century century

• Experience– Multinational Corp.– Foreign Operation SA– Startup Inc.– Major Competitor Inc.

• Education– Apart from major course, took courses in psychology, foreign language

and philosophy– Graduate Studies to develop thinking and analytical skills

• Extracurricular– Debating (market ideas and think on your feet)– Sports (doscipline and team work)– Volunteer work (help others)– Travel (different cultures)

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IM CurriculumIM Curriculum

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Subject-matter classificationSubject-matter classification

• Engineering

– Industrial Engineering & Management

– Mechanical Engineering

• Applied Science

– Thermodynamics

– Mechanics– Automatic Control

– Operational Research

– Ergonomics

• Basic Science

– Mathematics

– Physics

– Psychology

– Economics

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Curriculum structure in IMS (1)Curriculum structure in IMS (1)

MANAGEMENT BLOCKS MANUFACTURING BLOCKS

Marketing & economics Effectiveness & operations

Finance & accounting CIM, CAD & automation

Strategy, risk & reward Product & process development

Human relations & teamwork Manufacturing technology

Leadership & communications Efficiency & quality

Source: Danielmeyer, 1999

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COM-IND projectCOM-IND project

• Post-graduate cource, whose curriculum is focused on the extended enterprise paradigm

• Multi-disciplinary skills

• IT and multi-media applications offer the potential to be an essential enabler

• The objective is the development of a manufacturing engineer who is capable of untertaking the role of architect for the extended enterprise

Machine Tool Engineer Industrial Engineer

Manufacturing Systems Engineer

BPR Engineer

Extended Enterprise Architect

Source: J. Browne

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IMS proposed academic programmeIMS proposed academic programme

MechanicalEngineer

ElectronicsEngineer

…..

Enterprise Architect(Digital Business)

Product Architect (Extended Product)

Manufacturing Strategy

Industrial Knowledge

Batchelor Degree

Master’sCource(2 years)

Manufacturing Engineer

Application

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IMS Manufacturing Strategy IMS Manufacturing Strategy Curriculum (3)Curriculum (3)

Module ADevelopment of extended products

Cource

A1

Cource

A2

… Cource

AnModule BDigital business along supply chain

Module CEnd of life planning & operation

Module DBusiness operations & strategy

Module EIntelligent manufacturing processes

Module FIntellig. manufact. systems design

Module G (Enterpise & product modelling & simulation

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Harvard proposal for POMHarvard proposal for POMcurriculum (as a consequence of “New Economy”)curriculum (as a consequence of “New Economy”)

• 50% traditional topics with increased emphasis on service operations

– Process analysis & improvement

– Capacity measurement & management

– Work planning/inventor control

• 25% project management

– New product development with heavy emphasis on software & other intellectual property (e.g. pharmaceutical)

– Design of easy to improve products

• 25% cross-company operations

– Supply chains

– Subcontracting relationships

– Network collaborationsSource: R.H. Hayes, 2002

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Learn+TeachLearn+Teach

• What to learn?• How to learn?• Who shall teach?

Complementarity of L+T

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What to learn?What to learn?

•Knowledge

•Skills

•Attitudes

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IM KnowledgeIM Knowledge

• Traditional Engineering discipline• Basic Science• Applied Science• Engineering

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SkillsSkills

• General– Use computer– Free-hand Sketching– Languages– Oral presentation– Written presentation– …

• Specific– Flow charting– Process analysis & description– Systems methodology

33336-9 October 2005 AIM Conference, Estella, Spain

US Society of Manufacturing US Society of Manufacturing Engineers (SME) Skills MatrixEngineers (SME) Skills Matrix

• Technological skills

• Humanistic skills

• Business skilss

• Achievement levels for each skill:– Awareness

– Knowledge

– Understanding

– Applications

– Synthesis

– Evaluating

– Judging

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AttitudesAttitudes

• Punctuality• Fairness• Responsibility• ...

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How to learn?How to learn?

• Automated– Book-substitution merely?

– Programmed learning only?

• Lecture+exam• Case discussion• Project work

– Narrowly supervised

– Independent

– With peers

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Who shall teach?Who shall teach?

• Computers• Professors• Practitioners

– invariably more welcome

– may get lost in specifics

– may lose broader view

• Peers– 1/2 of what you learn in University setting

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A POM course paradigm for teaching A POM course paradigm for teaching & problem based learning& problem based learning

• POM instructor & course– Field study consultancies– CD/DVD Databases– Business Games– Plant tours– Guest speakers

• POM Textbook– Videos & CD/DVD– Transparencies– DSS Software & Excels– Modeling & simulation

software– Presentation Graphics– Outside readings– Internet & the Web– Group exercises– Solutions Manual– Annotated Instructor’s Edition– Student study guide– Case studies– Test bank

38386-9 October 2005 AIM Conference, Estella, Spain

What study structure for IM?What study structure for IM?

• 5 years Industrial Engineering + Management (O.R. and informatics focus)

• 3 years MechEng + 2 years IE (technical focus)• 3 years engineering (any degree) + 2 years MBA

(business focus)