The Future of Industrial Engineers Prof. Robert Minovski, PhD Skopje, September, 2011 AIM Conference...

The Future of Industrial Engineers

Prof. Robert Minovski, PhD

Skopje, September, 2011

AIM Conference “Enterprise Restructuring/Improvement”

University “Ss. Cyril and Methodius” – Skopje, R. MacedoniaFaculty of Mechanical Engineering - Division of IE&M -

Content

Part 1:Presentation of the Division of the IE&M

Part 2: The Future of Industrial Engineers The Future of Industrial Engineering The Future of the Education of Industrial

Engineers The Future Demand for Industrial Engineers

General Conclusion


Part 1:Presentation of the Division of the IE&M


Part 1:Presentation of our Division of IE&MFaculty of Mechanical Engineering - Structure

Total number of students ~ 2000

Enrollment in 2011 ~ 300

Teaching staff 64

FACULTY OF

MECHANICAL

ENGINEERING

Computing and

other technical

support

Administration

Institute of

Manufacturing

Engineering

Institute of

Thermo technique

and Thermo energy

Institute of

Hydraulic,

Pneumatic and

Automation

Institute of

Mechanization

Machines and

Vehicles

Institute of Welding

and Welding

Constructions

Institute of

Mechanics

Section of

Mathematics and

Informatics

Division: Industrial

Engineering and

Management

Division:

Metal cutting

Machines and

Processes

Division:

Deformation

Technology


Our Mission

to contribute to the development, management and overall improvements of the manufacturing and servicing organizations

through

relevant regular and continuous education, research and technology transfer, collaborating with experts in different fields


Division of Industrial Engineering and Management: Activities

Research Applied Projects

• Enterprise Restructuring• Factory Planning• Implementation of

New Technologies• Continuous Improvement• Investment Planning• Business Start-Up• Quality Management• Logistics and SCM• Process optimization• . . .

• Methodology for Enterprise

Restructuring• CAPP• IS• Technical Investment Planning• Organizational Design• Capacity Planning• HRM• PPC• . . .

Education

• Manufacturing systems• Operations research• Management• Project Management• Product Development• Work Study• Management of

Technology• Entrepreneurship and

Small Business• Modeling and Simulation• . . .


Part 2: The Future of Industrial Engineers The Future of Industrial Engineering

Definition of IE Brief overview of the history of IE Brief overview of the present status of IE Future directions of IE Development of the methods on the example of the

Performance Measurement Systems (PMS) The importance of the PMS Our work connected with PMS and enterprise restructuring Our future work on PMS and enterprise restructuring

The Future of Education of Industrial Engineers The Future Demand for Industrial Engineers


Definition of Industrial Engineering

to increase/maximiz

e productivity through the

management of people, methods

of business organization, and

technology

to design or to improvement

systems for the physical

distribution of goods and

services and to determine the most efficient

plant locations.

to design or to improvement

systems for the physical

distribution of goods and

services and to determine the most efficient

plant locations.

to develop methods

for handling

and transporting materials

to increase

/ maximiz

e efficienc

y

redesign and standardizatio

n of manufacturing processes

to eliminate worker fatigue

determine the product

requirements.

develop wage and salary

administration systems and

job evaluation programs

develop management

control systems to

aid in financial

planning and cost analysis

development of

production planning

and control procedures

design production

planning and control

systems to coordinate

activities and ensure product quality


Industrial Engineering is dealing with the

optimization of systems and processes (in given

circumstances)

In few words I would say that


General Hipo(thesis)

The basic ideas connected with the IE stays the same

they are completely the same as the initial ones and no changes in that direction are expected


Brief overview of the IE history (1) Non-formal, very early beginnings may be

located with the cognitive functioning of the people

The real beginnings are connected with the industrial revolution

For the first time the term “Industrial Engineering” appears in 1901 in the journal “The Engineering Magazine” by James Guin

The fundamental breakthroughs are made by the people like Taylor and Gilbreth


Brief overview of the IE history (2) First implementation was associated with

the production organizations and direct workers

In the 70-ies and 80-ies in the last century serious introduction of the mathematical tools occurred – Operational Research are becoming a part of every serious course of IE

First steps toward implementation of IE for indirect work places were done, together with the implementation in service organizations


Brief overview of the present situation of IE

Customer satisfaction Globalization

Increased DYNAMIC of the market

Changes in the functioning of the organizations

New approach to the quality Time becomes one of the most

important competitive factors Change in the treatment of the

labor force Flexible approach to the

customer demands Innovativeness is in the focus

...

Technological

development (Internet and other technologies)

The fall of socialist regimes, ...

Implementation of new methods in different fields

of the functioning of organizations


New approaches that are now implemented in IE ERP (Enterprise Resource Planning) CRM (Customer Relationship

Management) SCM (Supply Chain Management) BI (Business Intelligence) SD (Systems Dynamic) SaaS (Software as a Service) …


The future of IE - General Hipo(thesis)

The basic idea connected with the IE stays the same

it is completely the same as the initial one and no changes in that direction are expected

What will be changed is: New methods that will be applied New (non-typical) areas of

implementation New types of organizations


New methods

Future demands Greater accuracy Bigger speed More complex organizations

Methods with more solid mathematical background

More intensive utilization of IT


New non-typical areas

Type of organization

Type of workers Typical areas

manufacturing

service

typical

non-typicaldirect

indirect


Why there and why now?

Same principles of IE can be applied in those industries

Over-saturation (to some extent) of the implementation of the IE in traditional/typical areas

Extreme growth of the turnover in some non-typical industries, like sports and entertainment


Some examples of Sports Business Management study programs

University University of Central Florida

http://web.bus.ucf.edu/sportbusiness/?page=929

California State University--Long Beach

http://www.csulb.edu/colleges/chhs/programs/sports-management/overview/program-description/

Title Master's in Sport Business Management Master of Arts in KinesiologyOption: Sport Management

Offered Courses

Organizational Behavior and Development (3.0) Applied Business Research Tools (3.0) Managerial Accounting Analysis (3.0) Economic Analysis of the Firm (3.0) Leadership in Sport (1.5) Strategic Marketing Management (3.0) Applied Strategy and Business Policy (3.0) Strategic Financial Management (3.0) Moral and Ethical Issues in Sport (1.5) Diversity and Social Issues in Sport (1.5) Strategic Supply Chain Management (3.0) Professional Sport Industry (1.5) or Intercollegiate Sport

Industry (1.5) Professional Selling in Sport (3.0) or Facilities and

Event Management (3.0) Global Environment in Sport (3.0) Sport Law (3.0) Strategic Sport Marketing (3.0) Business of Sport Media (3.0) Internship (3.0)

Foundations of Sport Management (3 units) Sport in U.S. Culture (3 units) Facility and Event Planning in Sport (3 units) Sport Marketing, Fundraising, and Development (3 units) Sport Finance ( 3 units) Research Methods (3 units) Legal and Ethical Issues in Sport (3 units) Literature in Sport Management (3 units) Sport Management Internships (6 units Internships, 3 units

Field Studies) Sport Management Capstone Preparation (3 units)


New types of companies

Type of organization

Type of workers Company size

manufacturing

service

big

mediumdirect

indirectsmall & micro


Why there and why now?

Small and micro organizations are dealing with less complex problems in general

They have limited resources, especially in man-power

Over-saturation of the implementation of the IE in big and (to some extent) in medium enterprises

Many IE approaches can be modified and delivered to small and micro organizations in the similar way as SaaS

The big number of small and micro organizations


Performance Measurement Systems (PMS) Why PMS?

They are the backbone of the continuous improvement which makes them important and connected with several other approaches, like:

Enterprise Restructuring TQM BI Simulation etc.


COMPASS (methodology for enterprise restructuring) – basic idea

GAP ANALYSIS -I/P MATRIXES

consistency of the strategy goals andthe performance measures

Insight in the enterprise doing

Goals of the strategy

Strategy

Top management

Customer demands

Perfor-mance

Measure-ment

Bench-marking

Ana-lysis

Actions for improvement of thesituation

PERFORMANCE MEASUREMENT SISTEM


COMPASS – the PMS model

Main mission of theenterprise

Maximising the profit

Customer satisfaction -demands

ConstraintsResponds tothe demands

Wide product mixspecific demandsstandard demands

Qualityproduct qualityqualityservice qualitydelivery quality

financialproduct price

Timetime for delivery

Ecologyre-cycling

...

Economicalconstraintsprofitabilitycash flowcapital growthROImarket share

Legislative Social constraints

...

Purchasing Marketing R&D Design Manufacturing Quality management Logistics Maintenance PPC Assembly Sales ...

<=>

KEs and subKEs Time

duration reliability compressibility

Quality potentials performance accuracy

Flexibility product mix quantity innovation

Costs material labour equipment overhead

Productivity material labour facilities energy ...


Future work on COMPASS

Implementation of more reliable and accurate methods for support of the generation of Success Factors Concurrent Markov Decision Processes (CMDP) -

modeling of certain subKEs Method of Minimal Squares (together with the

decision tree) - to make causal-effect analysis on certain subKEs in order to quantify the impact of certain influential factors

Improvement of the simulation part Discrete Event Simulation (DES) System Dynamic (SD) Hybrid Simulation Model


Aplication of Method of Minimal Squares in COMPASS

Influential factor 11

Indicator I11

subKE1

Indicator R1


Indicator I12


Indicator I21 К11-1

К21-11

К21-1n

Level of subKE

First level of influential

factors

Second level of influential

factors

Influential factor 1n

Indicator I1n

К12-1

К1n-1

…

…


Hybrid Simulation Model

Simulation model with DES

Simulation model with SD

Performance of competitiveness

indicator

Converting strategic goals to operational plan

Redefining the strategic plans according the operational performance

internal factors

operations

Importance of competitiveness

indicator

external factors

trend of the importance

Importance of competitiveness

indicator

Performance of competitiveness

indicator


Part 2: The Future of Industrial Engineers The Future of Industrial Engineering The Future of the Education of Industrial



General directions

The education in the near future in general will continue to follow the idea of Competence Based Learning

Generic competences Specific competences


General Competences – some examples 1. Creativity (i.e. the ability to solve a problem in a new way)

2. Flexibility (i.e. ability to adapt and be open to new situations)

3. Teamwork and Relationship Building (i.e., ability to work in teams and to utilize appropriate interpersonal skills to build relationships with colleagues, team members and external stakeholders)

4. Critical/Analytical (i.e, ability to analyze problems and situations in a critical and logical manner)

5. Self and Time Management (i.e., ability to organize oneself, one’s time and schedule effectively and reliably)

6. Leadership (i.e., ability to take responsibility for a task, give direction, provide structure and assign responsibility to others)

7. Ability to see the bigger picture (i.e., ability to see how things are interconnected; ability to think both strategically and operationally, working across borders)

8. Presentation (i.e., ability to prepare and deliver effective presentations to different audiences)

9. Communication (i.e., The ability to communicate clearly and concisely, the ability to use communication skills to positively influence individual behaviour, using a range of verbal and written methods)


Specific competences – some directions Solid basics of mathematics and IT Strengthening some of the core IE subjects, like

MoT, Modeling and Simulation, PPC, etc. Strengthening the corpus of competences that

will prepare industrial engineers for management positions, through subjects like General Management, Human Resource Management, Economical and Financial Aspects in Organizations, Marketing, Business Law and Negotiation, etc.

Some traditional subjects/courses may lose their strong importance and may be incorporated in other courses, like Work Study in PPC or Process Planning or Ergonomics, etc.


Part 2: The Future of Industrial Engineers The Future of Industrial Engineering The Future of Education of Industrial



Employment of industrial engineers (source:US Department of Labour, 2008)

Civil engineers 278,400

Mechanical engineers 238,700

Industrial engineers 214,800

Electrical engineers 157,800

Electronics engineers, except computer 143,700

Computer hardware engineers 74,700

Aerospace engineers 71,600

Environmental engineers 54,300

Chemical engineers 31,700

Health and safety engineers, except mining safety engineers and inspectors 25,700

Materials engineers 24,400

Petroleum engineers 21,900

Nuclear engineers 16,900

Biomedical engineers 16,000

Marine engineers and naval architects 8,500

Mining and geological engineers, including mining safety engineers 7,100

Agricultural engineers 2,700

Engineers, all other 183,200


Avg. starting salary offers for BSc graduates in IE (source:US Department of

Labour, 2008)

Petroleum $83,121

Chemical 64,902

Mining and Mineral 64,404

Computer 61,738

Nuclear 61,610

Electrical/electronics and communications 60,125

Mechanical 58,766

Industrial/manufacturing 58,358

Materials 57,349

Aerospace/aeronautical/astronautical 56,311

Agricultural 54,352

Bioengineering and biomedical 54,158

Civil 52,048


Predicted employment growth of industrial engineers (source:US Department of

Labour, 2008)

Occupational Title Employment, 2008Projected

Employment, 2018

Change,2008-18

Number Percent

Engineers 1,571,900 1,750,300 178,300 11

Aerospace engineers 71,600 79,100 7,400 10

Agricultural engineers 2,700 3,000 300 12

Biomedical engineers 16,000 27,600 11,600 72

Chemical engineers 31,700 31,000 -600 -2

Civil engineers 278,400 345,900 67,600 24

Computer hardware engineers 74,700 77,500 2,800 4

Electrical and electronics engineers 301,500 304,600 3,100 1

Electrical engineers 157,800 160,500 2,700 2

Electronics engineers, except computer 143,700 144,100 400 0

Environmental engineers 54,300 70,900 16,600 31

Industrial engineers, including health & safety engineers 240,400 273,700 33,200 14

Health & safety engineers, except mining safety engineers 25,700 28,300 2,600 10

Industrial engineers 214,800 245,300 30,600 14

Marine engineers and naval architects 8,500 9,000 500 6

Materials engineers 24,400 26,600 2,300 9

Mechanical engineers 238,700 253,100 14,400 6

Mining and geological eng., including mining safety engineers 7,100 8,200 1,100 15

Nuclear engineers 16,900 18,800 1,900 11

Petroleum engineers 21,900 25,900 4,000 18

All other engineers 183,200 195,400 12,200 7


Conclusion on the future of the industrial engineers The demand for this profile will grow (at

least in the near future) due to the urging need of the enterprises to optimize their functioning through reduction of costs, increased productivity, etc.

This profile will become more complex - additional methods will be encompassed in IE

Vocational training and LLL approach will become more important


Something extra

This conclusion will focus on possible activities of AIM

To establish a new journal on IEhttp://www.mesj.ukim.edu.mk

To work on defining a core competences that should be delivered by every EU University that gives education in IE


Thank you for your attention

Prof. Robert MinovskiHead of the Institute of Production Engineering and

Management,

Faculty of Mechanical Engineering,

University of Ss. Cyril and Methodius – Skopje

[email protected]

The Future of Industrial Engineers Prof. Robert Minovski, PhD Skopje, September, 2011 AIM Conference...

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