NEW YEAR GREETINGS
Best Wishes for a Happy and Prosperous New Year - 2026.
Best Wishes for Effective Industrial Engineering in the Coming Year.
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Effective industrial engineering has to satisfy management about the contribution it made to the organization.
The prime contribution of IE has to be cost reduction through productivity improvement.
Productivity improvement is achieved through time reduction of capital assets and human resources and usage reduction of consumable items.
Reduction of machine time and man time have to be made through time studies. Time study was developed by F.W. Taylor to do this task. The purpose of time study is to measure the time taken currently for each element of the task and study each element to find opportunities for time reduction. The time study includes time measurement (or work measurement) and analysis for drivers of time at element level.
If the Time study is taken as the highest level task, it will have many lower level studies.
Machine Capabilities
Manpower capabilities
Method study
Motion study
Machine Appropriateness Study
Machine Effort/Work Study etc.
I now propose cost management teams at cost center level.
Cost Management Teams - Cross-functional Cost Management for Each Cost Center
Draft Comprehensive plan to make an industrial engineering department more effective
I developed an online education/training session on "Effective Industrial Engineering and Productivity Management." I can present the session in one hour, one and half hour or two-hour long sessions. The sessions will be valuable when company industrial engineers and other engineers and managers attend as a group. Industrial engineers require active cooperation and participation of other engineers and managers in their studies and projects. Also now, performance improvement in various dimensions is made a part of job specification of each manager and operator. Industrial engineer have to support operating managers in this improvement responsibility. They also have a responsibility to manage this process in the focus areas of industrial engineering as staff specialists. Hence a common presentation and discussion on effectiveness will be very useful.
https://www.linkedin.com/in/narayana-rao-kvss-b608007/
Here's an outline of a comprehensive plan to make an industrial engineering department more effective:
Plan to Enhance Industrial Engineering Department Effectiveness
This plan focuses on key pillars to ensure the Industrial Engineering (IE) department operates at its peak, delivering maximum value to the organization.
I. Define Vision, Mission, and Scope
Department Vision:
Establish a clear, concise vision statement that articulates the desired future state of the IE department (e.g., "To be the strategic partner in improving and optimizing organizational processes, driving efficiency, and fostering innovation across all operations.").
Mission Statement:
Develop a mission statement detailing the department's core purpose and how it contributes to the overall organizational goals (e.g., "The IE department's mission is to apply scientific principles and engineering/management knowledge and methods to design, improve, and integrate systems of people, materials, information, equipment, and energy, thereby enhancing productivity, quality, and cost-effectiveness.").
Clearly Defined Scope and Responsibilities:
Outline the specific areas of focus (e.g., process improvement, machine work study, motion study, layout optimization, capacity planning, work measurement, supply chain analysis, , control, ergonomics, data analytics).
Clarify roles and responsibilities within the department and its interfaces with other departments.
II. Strategic Alignment and Prioritization - Budgeting
Link to Organizational Goals:
Ensure all IE initiatives are directly aligned with the company's strategic objectives (e.g., Product line priority, cost reduction, market expansion, new product development, sustainability).
Regularly review and adjust IE priorities based on evolving business needs.
Stakeholder Engagement:
Identify key stakeholders (e.g., operations, finance, R&D, sales).
Establish formal channels for communication and collaboration to understand their needs and secure their buy-in for IE projects.
Project Prioritization Framework:
Implement a robust system for evaluating and prioritizing potential IE projects based on system level impact, feasibility, resource requirements, and strategic alignment.
Consider using tools like a weighted scoring model or a project portfolio management approach.
Budgeting
Prepare a Budget for the IE Department.
Prepare Value Addition Plan for Each Industrial Engineering in the Department (Use MBO methods)
III. Product, Process, Facility and System Improvement and Optimization. - IE Methodologies
Standardized Methodologies:
Adopt and standardize proven IE methodologies
Time Study - F.W. Taylor
Motion Study - Gilbreth
Process Chart Analysis - Gilbreth - Augmented to Process Study
Operation Analysis - Maynard
Method Study - Maynard
Work Measurement
Work Study
Predetermined Motion Time Systems (MTM, Most, Modapt)
Process Charts - Man Machine Chart
Toyota Production System
SMED
Jidoka (Autonomated Machines)
Total Productivity Management
Productivity Measurement
Total Quality Management
Benchmarking
Lean Manufacturing
Six Sigma
Simulation
Theory of Constraints
DFMA
Principles of Industrial Engineering
Functions of Industrial Engineering
Focus Areas of Industrial Engineering
Machine Work Study
Provide training and resources to ensure consistent application.
Data-Driven Decision Making:
Emphasize the collection, analysis, and interpretation of operational data to identify bottlenecks, waste, and improvement opportunities.
Utilize statistical process control (SPC) and other analytical tools.
Continuous Process Mapping and Analysis:
Regularly map current-state processes to identify inefficiencies and redesign processes with increased productivity and reduced unit costs.
Foster a culture of critical thinking about existing workflows.
For More Details on IE Principles and Methodologies:
IV. Applied Industrial Engineering - New Technology Integration
Applied Industrial Engineering - IE in New Technologies, IE with New Technologies - Narayana Rao
Software and Tools:
Invest in appropriate software for simulation (e.g., Arena, FlexSim), layout design (e.g., AutoCAD), data analysis (e.g., Minitab, R, Python), project management, and enterprise resource planning (ERP) integration.
Automation and Digitalization:
Explore opportunities to automate data collection, reporting, and routine analytical tasks.
Leverage digital twins for visualizing processes and doing process/operation improvement.
Use advanced analytics for predictive insights.
Join the LinkedIn Group - Industrial Engineering & Digital Transformation
https://www.linkedin.com/groups/13925465/
Knowledge Management System:
Implement a system to document best practices, project learnings, standard operating procedures (SOPs), and analytical models for easy access and reuse.
V. IE Talent Development and Culture
Skill Assessment and Development:
Conduct a thorough assessment of current IE staff skills and identify gaps.
Develop a continuous learning plan focusing on technical skills (e.g., advanced analytics, specific software), soft skills (e.g., communication, change management, leadership), and industry-specific knowledge.
Encourage certifications as available (Most).
Cross-Functional Training:
Provide opportunities for IE personnel to gain exposure to different departments and operational areas.
Mentorship and Coaching:
Establish mentorship programs within the department to foster knowledge transfer and professional growth.
Culture of Innovation and Continuous Improvement:
Encourage observation, experimentation, problem-solving, and a proactive approach to identifying and addressing inefficiencies. by developing productivity science.
Recognize and reward contributions to improvement initiatives.
VI. IE Department Performance Measurement and Reporting
Key Performance Indicators (KPIs):
Define clear, measurable KPIs for the IE department that reflect its contribution to organizational goals (e.g., cost savings realized, process cycle time reduction, productivity improvements, project completion rates, ROI of IE projects).
Regular Reporting:
Establish a cadence for reporting on project progress, achieved benefits, and departmental performance to senior management and relevant stakeholders.
Use dashboards and visual aids for effective communication. The dash boards have to make every body in the organization aware of value added by IE department.
Post-Implementation Review:
Conduct post-implementation reviews for major projects to assess actual impact on productivity and cost versus planned benefits and identify lessons learned.
VII. Collaboration and Communication
Internal Departmental Collaboration:
Foster strong teamwork and knowledge sharing within the IE department.
Cross-Functional Partnerships:
Actively collaborate with other departments (e.g., Production, Quality, Supply Chain, IT, Finance) to ensure integrated solutions and successful implementation of improvements.
Effective Communication Strategy:
Develop a communication plan to keep all stakeholders informed about IE initiatives, progress, and successes.
Highlight the value and impact of IE work to build credibility and support.
VIII. Continuous Improvement of the IE Department Itself
Regular Departmental Review:
Periodically review the effectiveness of the IE department's own processes, tools, and structure.
Feedback Mechanisms:
Implement mechanisms for internal and external stakeholders to provide feedback on the IE department's performance.
Benchmarking:
Benchmark against leading IE departments in other organizations or industries to identify best practices and areas for improvement.
The above items are refined in each iteration of the presentations given to specific companies. Answering specific questions of the participants collected before the presentation is an important value adding part of the interaction.
Industrial Engineering Activities in Shipyards of USA.
Survey done during 1988-89.
Engineering - Related - Machine Effort Industrial Engineering
Product Work Breakdown Structure
Value Engineering - Analysis
Manufacturing Engineering (Process Planning)
Flexible Manufacturing/Automation
Computer Integrated Manufacturing
Tools
Plant Engineering
Energy Management Conservation
Accuracy Control
Methods Improvement
Plant Layout
Plant Layout
Group Technology - Flow Lines or Assembly Lines
Measurement
Work Measurement
Engineering Economy
Human Resources Accounting
Techno-Economic Analysis
Capital Investment Analysis
Economics of Production
Use of Computing Facilities
Material Requirement Planning
Computer Simulation
Production Quantities - Batch Quantity Planning
Production Planning
Production Scheduling
Productivity Management
Preparation - Delivery Oral - Written Reports
Project Management of Productivity Projects (Providing IE services to Projects)
Learning Curve Concepts
Developing and Communicating Standards
Miscellaneous
Psychology of Sales
Mathematical Analysis of Engineering Systems - Business Systems - Managerial Systems
Operations Reserach
Statistical Analysis
Human Effort Industrial Engineering
Human Factors/Ergonomics
Behavioral Science Application
What is your IE Methods/Techniques Portfolio?
Are You Using the Following Concepts and Related Methods/Techniques
Industrial Engineering - Some Important Concepts - A Presentation
https://nraoiekc.blogspot.com/2025/07/industrial-engineering-some-important.html
The Career of the Industrial Engineer - Key Success Factors
https://nraoiekc.blogspot.com/2012/02/role-and-career-of-industrial-engineer.html
Key Success Factors
Be Flexible, but Focused. In whatever role industrial engineers play, they should strive to maintain a focus on value-added work.
Apply Industrial Engineering Concepts to Real-World Problems.
Understand the “Big Picture”—How Change Initiatives Impact the Overall Organization. System thinking is a skill that every industrial engineer should possess. Understanding how a change can impact an organization is essential in truly having a positive impact on the bottom line. It is easy to perform a process improvement on a subsystem, but understanding and conveying how it benefits the whole organization is what’s really important.
Understand and Analyze the Current Processes Accurately. To understand current processes an industrial engineer must live the day-to-day reality of the shop floor. (*To analyze accurately, first monitor new knowledge continuously. Collect catalogues and brochures related to all elements of all resources being used in your organization.)
Manage Change. People manage all processes. If the people affected by the changes are not convinced of the solution, there are many ways in which they can contribute to its failure (IEs are the change agents. They evaluate the usefulness of all new commercial offerings related to various elements of resources being used in their organization).
Follow Through on Implementation. The goal of an industrial engineer is to create value. It is up to the industrial engineer to ensure that a measurement or tracking system is put into place, following a project implementation. Benefits as well as project costs should be tracked to the bottom line.
Be Creative. The ability to see current reality and generate new ideas is what brings the most value to any changing organization. (Creativity is combining the problem with an idea around in a novel way to solve the problem. Creativity comes out of knowledge of many possible solution ideas, the awareness of the problem to be solved and a thinking that tries to integrate the problem with the possible ideas. Creative people go on discussing the issue with many persons individually or in groups, read a lot, search a lot and think a lot.)
Communicate Clearly. To put ideas into practice, an industrial engineer must also possess excellent verbal and written communication skills. Most of the process improvements recommended by industrial engineers involve techniques or technologies that can be complex. These solutions could have a sizable impact on the business but may require significant investments. The ability to present recommendations to decision makers in a way that they can readily comprehend requires that industrial engineers work on creating clarity.
Lack of Appreciation for the Discipline. Industrial engineering is a discipline that needs to be continually sold. Industrial engineers have been grappling with the profession’s image for the last 50 years as evidenced by letters to the editor in the first issue of the Journal of Industrial Engineering in June 1949 about the necessity of selling industrial engineering.
Failure to Align with Key Business Challenges. Whether the business strategy involves growth or cost containment, industrial engineers need to position themselves to contribute the greatest value.
Failure to Evolve. industrial engineers have the responsibility of marketing themselves. Those who do a good job of this are likely to reap the benefits of new opportunities that appear on the landscape before other so-called experts are called in.
Important Key Success Factors can be arranged in a sequence.
Understand and Analyze the Current Processes Accurately.
(Understand [Observe, Document and Study] and Analyze [Up-to-date Engineering Knowledge])
Be Creative.
Communicate Clearly.
Manage Change.
Follow Through on Implementation.
This can also be expressed as:
Productivity Science - Productivity Engineering - Productivity Management
Productivity Science - Indicates the direction in which productivity will increase. It also indicates variables which are to be modified appropriately to get increase in productivity.
Productivity Engineering - Industrial engineers have to do primarily modifications in engineering elements of operations and processes. Then they have to redesign the work place layout and motion patterns of the operators to operate the machines and tools and to provide material inputs. As part of productivity engineering, industrial engineers have to develop engineering concepts and detailed engineering. Detailed engineering can be done by IE department personnel, or other engineering departments within the company or external engineering consultants.
The following activities are part of productivity engineering.
Understand and Analyze the Current Processes Accurately.
(Understand [Observe, Document and Study] and Analyze [Up-to-date Engineering Knowledge])
Be Creative (in developing solutions).
Productivity Management: Industrial engineering work needs to be managed like any other industrial or business activity.
Communicate Clearly.
Manage Change.
Follow Through on Implementation.
The above three activities are part of productivity management task of industrial engineers.
Revolution Needed in Industrial Engineering to Make It More Effective
Prabhakar Deshpande
Published in Industrial Engineering (Volume 6, Issue 2)
2022
https://www.sciencepublishinggroup.com/article/10.11648/10073883
In a survey of America, companies by Sumanth found that many companies had formal productivity programs.
Productivity, Journal of NPC, had an article on Industrial engineering services in a 1988 issue.
ud. 28.12.2025, 13.12.2025, 22.8.2025, 7.8.2025
Pub. 16.7.2025
