TEACHING DESIGN in

ENGINEERING MANAGEMENT at

Istanbul Technical University

ByYildirim Omurtag, PhD, PE

Professor of Engineering and ScienceEngineering Department Head

Founding Dean School of Engineering & Science Robert Morris University

ABET SYMPOSIUM XIVApril 19-21, 2012 St Louis, MO

ISTANBUL TECHNICAL UNIVERSITYGeneral

Description

Located in Istanbul, Turkey5 Campuses (Four in Istanbul)13 Colleges and 6 Research Institutes39 UG Engineering Degree Programs145 MS & PhD Programs>25,000 Full Time Students>2,500 Professors and Research Faculty23 ABET Accredited Engineering Degrees

ISTANBUL TECHNICAL UNIVERSITYA

Brief History

Est. in 1773 Royal School of Naval Engineering, 1795 Military Engineering (Army) was added1847 Architecture was added, in1928 Istanbul Technical University1944 Istanbul Technical University of Eng & Arch & since1946 ITU with Schools of Arch, CE, ME & E&E EngCurrently Faculties of: Arch, CE, ME, E&E, Mines, ChE & Metallurgical, Comp & Informatics, Naval Arch & Ocean, Aerospace, Maritime, Textile, Science & Letters andFaculty of Management (Operations), Since 1982.

ISTANBUL TECHNICAL UNIVERSITYFaculty of Management Engineering

A Brief History

-- Industry/Production Engineering was a branch in Mechanical Engineering Faculty since the fifties. -- Project Engineering/Operations (Isletme) was started in the Civil Engineering in 1977 under the name of Management Engineering.-- In 1982 Industrial and Management Engineering along with economics, law, marketing combined as Faculty of Management Engineering offering IEand MgtE degrees at the BS-MS and PhD levels.

ABET ACCREDITATION EFFORTSat

Istanbul Technical University

-- Substantial Equivalency was granted to several programs in Turkey as early as 1994. (at METU)-- At ITU Substantial equivalency goes back to 2004 for some major disciplines in Engineering.-- As of 2006 Nineteen programs are shown to have Substantial Equivalency by ABET including IE (Management Engineering was not among them)-- In 2009 Twenty three BS Degree programs were Accredited (or re-accredited) including Mgt Eng.

ABET ACCREDITATION EFFORTSat

Management Engineering DepartmentIn 2004 Management Engineering Self study did not look promising as far as the Accreditation criteria. There was no Senior Design course or its equivalent.Difficulty of presenting Design courses in the US in EMgt programs were discussed. They quickly grasped the importance of such a course and got to work to develop their own model for it. This effort over 2004-2007 resulted in a Three course sequence described in the following slides.

ISTANBUL TECHNICAL UNIVERSITY

IntegratedSystem Design

ManagementEngineeringDesign II

ManagementEngineering

Design I

Design Courses in Mgt Engineering

MANAGEMENT ENGINEERING DESIGN I (Product/Process)

&MANAGEMENT ENGINEERING

DESIGN II (Facility)

&INTEGRATED ENGINEERING

DESIGN (Enterprise)

Course Delivery Format

Group projectand

presentations

IndustrySpeakers

LectureDiscussion

Management Engineering Design I

Instructor : Prof. Dr. Nimet Uray Asst Prof. Dr. Deniz Tuncalp

Teaching Assistants: Okşan Imamoğlu Berna Tektaş

Cagatay Bahadır

Course Objectives & Description

1. This course is designed to introduce the basic concepts of engineering design and new product (hard or soft) development process which includes: Need and market analysis, Information gathering, Product specifications, Concept generation- selection and testing, Product design and cost analysis.

Course Objectives (cont)

2. To teach Engineering design concepts, its elements and the processes,

3. To teach new product development process,

4. To improve the skills of new product idea generation, how to find new opportunities and turning ideas and opportunities into new products while working in teams,

5. To improve the ability of students to conduct research by collecting data on specific market needs, to analyze and to integrate them to drive useful conclusions.

ENGINEERING DESIGN PROJECT FLOW CHART

Selecting an industry or sub- industry

Choice of a product category with a high potential for growth by collecting and examining data about the selected

industry via trend analysis, production, consumption & foreign trade, etc

Conducting consumer needanalysis for selected

product or product category

Problem Definition

Input from industry experts as needed

-Review of customer research reports-Researching customer complaints

Obtaining information from target customer groups about their usage of selected product, thru:-In-depth interview-Focus groups-Sampling studies-Observation etc.:

Interpreting the data obtained from customer analysis in terms of customer needs and developing a list of needs statements

Establishing relative importance of needs

Setting target product specifications(Use of QFD and House of Quality)

Concept Generation,Screening and Selection

Concept Testing: Quantitative Market Research

Conducting qualitative market research

Conducting a quantitative market research through structured primary data collection method such as questionnaire

Analysis of secondary data sources tocollectcompetitivebenchmarking information

Conducting in-depth interviewswith experts if it is necessary

or

Revisions on the first part of the term

project

Selection of Material/Production

TechnologyCost Analysis

PrototypeDesign

ENGINEERING DESIGN PROJECT FLOW CHART (Part II)

Umbrella with solar energy

Portableheating device

Orange juice vending machine

Smart shopping cart

Automatic watering for pot plants

Double bee: Data transfer between two portable disks

Compact nail polish pen

Brush for hair dye

Management Engineering Design II

Instructor: Assoc. Prof. Dr. Ferhan ÇebiTeaching Asst: Okşan Imamoğlu

Course Description

Determination of the product and process requirements for a given product under specific cost, volume, space, etc constraints and designing the complete system for a facility that is feasible to produce that product for the global markets. Logistics, layout, human resource requirements, equipment selection, plant design with operation and maintenance plans for a given product are included.

Course Objectives

1. Develop and practice the ability to do research, provide data, analyze data and adapt the results to real life in a systematic manner following an engineering methodology.2. Develop and practice the ability to provide integrated solutions for problems by team study and gain analytical thinking in problem solving. 3. Develop and practice the ability to design a functional and feasible production system.

Selected Product

Production capacity and model variations are determined. Seasonality and other factors sorted out. Supply and distribution channels envisioned. Space requirements and relationships among processes are determined. Materials flow patterns established. Logistics and Materials handling plans contemplated

Firm description in terms of mission statement, vision statement and organizational chart are defined and firmed up.

MANAGEMENT ENGINEERING DESIGN II PROJECT FLOW CHART

MANAGEMETN ENGINEERING DESIGN II PROJECT FLOW CHART (Cont)

Parameters related with production (takt time, scrap rate, efficiency rate), time study, operations chart

Alternative Layouts are developed and the best one

selected and approved

Process design (route sheets, number of machines and

employees needed, conveyor speed)

Cost estimates & Project reports

Umbrella with solar energy

BABYBIKETHISWAY

PEDICAB

SHOPPING-BIKE: THAT FOLDS TO BECOME A SHOPPING CART

BIKE WITH A BABY BUGGY: BIKE WITH A BABY BUGGY FOR CARRYING 0-6 YEARS OLDS. IT ALLOWS MOTHERS TO RIDE A BIKE WITH THEIR CHILDREN IN A SAFE MANNER.

Modern Baby Chair “Pasha”

MODERN BABY-CHAIR “PASHA” FOR 0-5 YEARS OLDS. IT CAN BE USED AS A BABY CRADLE AND LATER ON AS A HIGH CHAIR.

PLOT PLAN

CUTTING WORKSTATION

SPINNING WORKSTATION

DRILLING WORKSTATION

PAINTING AND DRYING WORKSTATION

WELDING WORKSTATION

MANAGEMENT BUILDING FIRST FLOOR LAYOUT

MANAGEMENT BUILDING FIRST FLOOR LAYOUT

MANAGEMENT BUILDING FIRST FLOOR LAYOUT

MANAGEMENT BUILDING SECOND FLOOR LAYOUT

Integrated SystemDesign

Instructors : Assoc Prof Dr Ferhan Çebi,(Coordinator)Prof Dr Nimet Uray

Asst Prof Dr Cumhur EkinciAsst Prof Dr Mehmet Erçek

Course Description

Entrepreneurship concept and process, the development of the conceptual design of innovative, technology based, feasible and sustainable service systems, data collection regarding the concept, data analysis, sub-component design for the system, integration of the sub-components, submission of the written project report and oral presentation.

Course Objectives

To improve the skills of idea generation, catch and afford opportunities and to build up the technical, analytical and managerial abilities to apply them in a Team.

To improve the ability of students to conduct research and analyze the data they acquired to drive useful conclusions and support decision making.

To orient the students to plan an enterprise in service or manufacturing sectors.

Analysis of the development of service industries in Turkey in terms of economic, technological and legal factors by conducting research and evaluation of the findings by making a comparison with growth indicators of world markets.

-Published statistics- Institutional web sites

PROJECT FLOW CHART

Determining the service industries and sub-industries with growth potential

Determining the alternative ideas for planning an enterprise and choice of the most attractive and appropriate one.

Understanding needs and expectations of customer segments in selected industry.

Definition of the service offered to the market: Definition of basic benefits, value offered to the customers. Description of the target market

Observation etc

1

1

Determining the level of demand, its growth potential and trend; Setting the appropriate price range for the service offered

- Brain storming- Web-sitesSecondary data sources-Expert interviews

Collecting information from target markets: Quantitative market research

What kind of organization, facility and distribution system is required? What are the technical, legal and institutional requirements ? Are these available or provided from outsources?

Conducting in-depth interviews with experts

What kind of infrastructure, human resource, equipment, tools are needed? Cost of all of these resources?

-Information collection for Benchmarking -Secondary data on cost of equipment, machinery etc.

Financial Analysis-Projected revenues and expenditures, assets, determining the amount of financial requirements-Analysis of financial resources and liabilities (availability and adequacy of different sources such as equity capital, debt financing, sponsor companies, EU funds etc)-Cash flows and break even analysis

PROJECT FLOW CHART

The basic goal of this project is to encourage lower-income house wives to participate in professional life:

&

It provides flexible working hours to housewives.

To provide home cooked meals

Women can work while children are at school.

People who miss home cookedmeals can order their meals.

Flying Saucepan

•Systemintroduction

•Membership form•Membershipagreement

Membership

•Online shopping

Order•Cash•Tickets•Credit cards

Payment

Facilities for cooking are designed

Hiring process to employ

housewives is developed.

Coordinator

FinanceDirector

Finance unit

Accountingunit

Marketing Director

Sales unit

Marketing unit

IT DirectorHuman

ResourcesDirector

Housewivesunit

Otheremployees

unit

OperationsDirector

Productionunit

Purchasingunit

organizational chart

An online ordering system is designed

Pilot region application is planned.

Financial analysis are performed, NPV is estimated.

Deliveries are planned.

Recieps are collected.AND

Çiftlik Borsası: An investment instrumentIn this project a new investment instrument is introduced. The company ensures investors a high, low risk return rate.

Buy agricultural products

Invest in parcel of lands in other words invest in agricultural

products

National and international organizations which

support scientific agriculture.

Supporting units

Customers

income products

Land owners

funding

Farm Land

Investors

funding

donations

Parcel of lands

Agricultural stockmarket

People can use the webpage to invest

Company searches suitable lands for each product, and cultivates products. It uses scientific methods and technology to ensure quality and high return.

In this project;

•Processes are designed,•Related financial calculations are performed,•Organizational units and job specifications are defined, &•Pilot region application is planned.

Pilot region application plan for PUMPKIN

Other Examples

Babybee Hotel: An hotel service which looks after children for 24 hours.

NanePop: An extraordinary restaurant in which customers can cook and they give assistance to their customers while cooking.

Solid Waste Transformation System: An integrated system to benefit from organic wastes.

Yaşam Evleri (Life Houses): Facilities designed for elderly people. They can deal with their hobbies and live there in comfortably.

Engel Tanıma (Ignore Disability): audio books for visually impaired people.

GÖKYÜZÜNDE İSTANBUL- (Istanbul from the Sky)

Cihangir ErtabanFerhat Dal

Kamer TekinaslanOlgu GümüşOnur Ersoy

Umut Orhon

Son Rapor- Final Report 11.05.07

HİZMET- SERVICE

KONUM- LOCATION

ROTA- ROUTING

RÜZGAR- WIND INFO

ZEPLİN- BLIMP

FİNANS- FINANCIALS

NELER YAPTIK?What we did?

GÖKYÜZÜNDE İSTANBUL

HİZMET- service

Turizm- Tourism

Reklam- Advertising

Özel Etkinlikler- Special Events

TV çekimleri- TV Production

HİZMET - TURİZM

Kime?- to whom?Yerli turistler- Domestic touristsYabancı turistler- Foreign touristsKurumsal geziler- Private parties

Nasıl?- How?Zepline ulaşım- How to get thereGezi, ikramlar- Tours and services

Ne Zaman?- When?Yılda 180 gün- 180 days/yrSabahları - Kahvaltı ve İçecek- BfstGünbatımı - İkram ve şampanya- SupperÖzel Geziler - Müşteri istekleri- Specials

Nerede?- Where?Tarihi yarımada ve boğaz- Bosphorus

Ne Kadar?- How much?Sabah – $ 495Günbatımı – $ 595Özel Geziler – Specials by arrangement

HİZMET - REKLAM

Kime?- To Whom?Reklam Ajansları- Ad Agencies

Nasıl?- How?Ürünün çevresine ◦ giydirilecek branda ile- Cover ◦ over the blimp

Ne Zaman?- When?Operasyon süresince- per contract

Nerede?- Where?Şehir üzerinde- Bosphorus, etc

Ne Kadar?- How much?Oldukça uygun ◦ fiyatlarla - As negotiated

HİZMET – ÖZEL ETKİNLİKLER- SPECIALS

Kime?- To whom?Rock’n Coke gibi etkinliklere-

◦ special events

Nasıl?- How?Birkaç günlük kiralama ile denetim ◦ faydası göz önüne alınarak-◦ Per rental agreement

Ne Zaman?- When?Yılda birkaç kez- several per yr

Nerede?- Where?Tüm Türkiye’de- All over Turkey

Ne Kadar? How much?Etkinlik bazlı fiyatlandırma-

◦ Per agreement

HİZMET – TV ÇEKİMLERİ- TV Production Services

Kime?- To whom?TV kanalları- TV Channels

Nasıl?- How?Şehrin merak edilen yerlerine, ◦ haber ya da etkinlik nitelikli-◦ Documentaries as needed

Ne Zaman?- When?Yılda yaklaşık 15 kez- 15/year

Nerede?- Where?Tüm Türkiye’de- All over Turkey

Ne Kadar?- How much?Etkinlik bazlı fiyatlandırma-

◦ Per agreement

İkili anlaşma- Special contracts

NEREDE KONUMLANIYORUZ?-Proposed Location

Hezarfen Havaalanı – Hangar20X100m Alanİstanbul merkeze 20 dk. mesafedeOtoyollara bağlantı120.000 YTL Yıllık Kira- Rent/yr

Beyoğlu – Yönetim Ofisi-OfficeOtellere yakınİletişim ve koordinasyonTransfer Aracı16.800 YTL Yıllık Kira-

Rent/yr

UÇUŞ ROTASI- Planned Flight Route

RÜZGAR BİLGİLERİ- Average Wind Info & Other requirements Zeplin uçuşu için maksimum rüzgar hızı limiti: 10 m/s = 36 km/sa

Max wind speed for safe operation: 10 m/s or 36 km/hr

Güvenli bir uçuş için operasyon limiti: 30 km/saMax flight speed for safe operation: 30 km/hr

Meteoroloji Genel Müdürlüğü ile sürekli iletişimContinuous communication with National Weather Service

İstanbul’un hakim rüzgarı: Kuzeydoğu / Ortalama 10 km/sa-Average Prevailing winds in Istanbul: 10 km/hr

Belirlenen operasyon dönemi: Nisan – EylülPlanned operation period: April-September

1: Meteoroloji Genel Müdürlüğü

ZEPLİN- Blimp Specs

Skyship 600Uzunluk: 59.0 mYükseklik: 20.3 mYolcu Kapasitesi: 132 motorluMax hız: 104 km/sa, Ort. Hız: 56 km/sa50 saat havada kalabilme

FİNANSAL ANALİZFinancial AnalysisSummary

VERİLER- Assumptions

Operasyon Süresi (Gün): 180

Günlük tarifeli taşıma geliri: 10000 Özel kiralama:

15000 Günlük reklâm geliri: 4000 Bakım ve Onarım Giderleri: 10% Büyük etkinlikler: 15000 TV çekimleri:

10000 Sigorta Gideri:

20% Helyum Kapasitesi (m3) 8225

YATIRIM MALİYETİ- InitialInvestment

Zeplinin satın alımı: 1.500.000Kamu vergileri ve gümrük: 1.500.000Hangar maliyeti : 500.000Helyum (ilk dolum): 353.675Şirket aracı: 40.000Toplam: 3.893.675 TL

YILLIK OPERASYON MALİYETİ (TL)Annual Cost of Operation

Helyum Gazı (%2): 619.200Bakım / Onarım: 150.000Reklam değiştirme: 36.000Sigorta: 600.000Personel giderleri: 250.000Alan kirası: 120.000Ofis kirası: 16.800Yakıt: 90.000Toplam: 1.882.000 TL

FİNANSAL ANALİZ- Financial Analysis (Cont) GELİRLER (YTL) 1. yıl 2. yıl 3. yıl 4. yıl 5. yıl

Özel Kiralama 300.000 450.000 600.000 600.000 600.000 Taşımacılık 1.000.000 1.200.000 1.400.000 1.400.000 1.400.000 Reklam Geliri Operasyon sırasında 720.000 720.000 720.000 720.000 720.000 Ayrıca çekimler 300.000 300.000 300.000 300.000 300.000 Anlaşmalar Büyük etkinlikler 15.000 30.000 60.000 60.000 60.000 TV çekimleri 100.000 150.000 200.000 200.000 200.00 TOPLAM- Sum 2.435.000 2.850.000 3.280.000 3.280.000 3.280.000 TL

Zaman (yıl) Giderler (TL) Gelirler (TL) Net durumYears Expenses Income Profit or Loss0 3.853.675 ---- -3.853.6751 2.382.000 2.435.000 -3.800.6752 2.182.000 2.850.000 -3.132.6753 2.032.000 3.280.000 -1.884.6754 1.982.000 3.280.000 -586.6755 1.982.000 3.100.000 531.325Toplam- Sum 14.413.675 TL 14.945.000 TL 531.325 TL

FİNANSAL ANALİZ- Breakeven Analysis

Başabaş Analizi

-5.000.000

-4.000.000

-3.000.000

-2.000.000

-1.000.000

0

1.000.000

0 1 2 3 4 5

TeşekkürEderiz..Thank You!

Gökyüzünde İstanbul.. Istanbul From the Sky

Cihangir ErtabanFerhat Dal

Kamer TekinaslanOlgu GümüşOnur Ersoy

Umut Orhon