Management engineering
Encyclopedia
Management engineering is a branch of engineering
Engineering
Engineering is the discipline, art, skill and profession of acquiring and applying scientific, mathematical, economic, social, and practical knowledge, in order to design and build structures, machines, devices, systems, materials and processes that safely realize improvements to the lives of...

 that focuses on optimizing complex processes
Business process
A business process or business method is a collection of related, structured activities or tasks that produce a specific service or product for a particular customer or customers...

 or systems. It is concerned with the development, improvement, implementation and evaluation of integrated systems of people, money, knowledge, information, equipment, energy, materials and/or processes. Management engineers strive to improve upon existing processes, products or systems. Management Engineering draws upon the principles and methods of engineering analysis and synthesis, as well as the mathematical, physical and social sciences
Social sciences
Social science is the field of study concerned with society. "Social science" is commonly used as an umbrella term to refer to a plurality of fields outside of the natural sciences usually exclusive of the administrative or managerial sciences...

 together with the principles and methods of engineering design to specify, predict, and evaluate the results to be obtained from such systems or processes. Unlike many other engineering disciplines, Management Engineering puts a focus on the social impact of the product, process or system that is being analyzed.

Examples of where management engineering might be used include designing an assembly workstation, strategizing for various operational logistics, consulting as an efficiency expert, developing a new financial algorithm or loan system for a bank, streamlining operation and emergency room location or usage in a hospital, planning complex distribution schemes for materials or products (referred to as Supply Chain Management
Supply chain management
Supply chain management is the management of a network of interconnected businesses involved in the ultimate provision of product and service packages required by end customers...

), and shortening lines (or queues
Queueing theory
Queueing theory is the mathematical study of waiting lines, or queues. The theory enables mathematical analysis of several related processes, including arriving at the queue, waiting in the queue , and being served at the front of the queue...

) at a bank, hospital, or a theme park. Management engineers typically use computer simulation
Computer simulation
A computer simulation, a computer model, or a computational model is a computer program, or network of computers, that attempts to simulate an abstract model of a particular system...

 (especially discrete event simulation
Discrete Event Simulation
In discrete-event simulation, the operation of a system is represented as a chronological sequence of events. Each event occurs at an instant in time and marks a change of state in the system...

), along with extensive mathematical tools and modeling and computational methods for system analysis, evaluation, and optimization.

Operations research and supply chain management

Operations research
Operations research
Operations research is an interdisciplinary mathematical science that focuses on the effective use of technology by organizations...

 deals with quantitative models of complex operations and uses these models to support decision-making in any sector of industry or public services. Supply chain management
Supply chain management
Supply chain management is the management of a network of interconnected businesses involved in the ultimate provision of product and service packages required by end customers...

 is the process of planning, implementing and managing the flow of goods, services and related information from the point of origin to the point of consumption.

Information technologies

The information technologies theme focuses on how technology is designed and managed to support effective decision-making. Topics deal with technical applications in software design
Software design
Software design is a process of problem solving and planning for a software solution. After the purpose and specifications of software are determined, software developers will design or employ designers to develop a plan for a solution...

 and development, data mining
Data mining
Data mining , a relatively young and interdisciplinary field of computer science is the process of discovering new patterns from large data sets involving methods at the intersection of artificial intelligence, machine learning, statistics and database systems...

 and telecommunication
Telecommunication
Telecommunication is the transmission of information over significant distances to communicate. In earlier times, telecommunications involved the use of visual signals, such as beacons, smoke signals, semaphore telegraphs, signal flags, and optical heliographs, or audio messages via coded...

 as well as the organizational and social issues associated with the use of information technologies.

Decision engineering

Decision engineering
Decision engineering
Decision Engineering is a framework that unifies a number of best practices for organizational decision making. It is based on the recognition that, in many organizations, decision making could be improved if a more structured approach were used...

 seeks to use engineering principles in the creation of a decision, which it views as an engineering artifact in its own right. From this point of view, the creation of a decision includes agreeing to objectives, developing a detailed specification, and then creating a decision model, which captures the key cause-and-effect elements of the decision environment (a systems thinking
Systems thinking
Systems thinking is the process of understanding how things influence one another within a whole. In nature, systems thinking examples include ecosystems in which various elements such as air, water, movement, plants, and animals work together to survive or perish...

 approach) with a focus on the particular decision, instead of the entire system (which can be otherwise intractable). Like other engineered artifacts, a decision model can be subject to Quality assurance
Quality Assurance
Quality assurance, or QA for short, is the systematic monitoring and evaluation of the various aspects of a project, service or facility to maximize the probability that minimum standards of quality are being attained by the production process...

 review, and-since it is documented-is amenable to Process improvement
Process improvement
In organizational development , process improvement is a series of actions taken by a process owner to identify, analyze and improve existing business processes within an organization to meet new goals and objectives. These actions often follow a specific methodology or strategy to create...

 over time. Decision engineering models draw from the information technologies described above for data supporting the decision, but are distinguished from IT in that they model the decision, not just the data supporting it.

Management of Technology

The Management of Technology theme builds on the foundation of management topics in accounting, finance
Finance
"Finance" is often defined simply as the management of money or “funds” management Modern finance, however, is a family of business activity that includes the origination, marketing, and management of cash and money surrogates through a variety of capital accounts, instruments, and markets created...

, economics
Economics
Economics is the social science that analyzes the production, distribution, and consumption of goods and services. The term economics comes from the Ancient Greek from + , hence "rules of the house"...

, organizational behavior and organizational design. Courses in this theme deal with operational and organizational issues related to managing innovation
Innovation
Innovation is the creation of better or more effective products, processes, technologies, or ideas that are accepted by markets, governments, and society...

 and technological change.

Difference Between Management Engineering and Industrial Engineering

Industrial Engineering is a mature field. However, with the permeation of computing technology, information systems, and analytical problem solving methods, a new breed of professional with both management abilities and a thorough understanding of modern technologies is required. Management Engineers apply many of the same tools and techniques that are used by Industrial Engineers. However, the core of the Management Engineering program has greater depth of training in modern information systems, operations research and general management.

Management Engineering and the Institute of Industrial Engineers

See also

  • Engineering Management
    Engineering management
    Engineering Management or Management Engineering is a specialized form of management and engineering that is concerned with the application of engineering principles to business practice...

  • Industrial Engineering
    Industrial engineering
    Industrial engineering is a branch of engineering dealing with the optimization of complex processes or systems. It is concerned with the development, improvement, implementation and evaluation of integrated systems of people, money, knowledge, information, equipment, energy, materials, analysis...

  • Ergonomics
    Ergonomics
    Ergonomics is the study of designing equipment and devices that fit the human body, its movements, and its cognitive abilities.The International Ergonomics Association defines ergonomics as follows:...

  • INFORMS
  • Indian Institution of Industrial Engineering
    Indian Institution of Industrial Engineering
    The Indian Institution of Industrial Engineering is a non-profit organization and registered society for propagating the profession of Industrial Engineering in India. It was founded in 1957 and is a Registered Public Trust under the Bombay Public Trust Act, 1950.The headquarters is at Navi Mumbai...

  • Institute of Industrial Engineers
    Institute of Industrial Engineers
    The Institute of Industrial Engineers is a professional society dedicated solely to the support of the industrial engineering profession and individuals involved with improving quality and productivity...

  • Institution of Electrical Engineers
    Institution of Electrical Engineers
    The Institution of Electrical Engineers was a British professional organisation of electronics, electrical, manufacturing, and Information Technology professionals, especially electrical engineers. The I.E.E...

  • List of industrial engineers
  • List of production topics

  • List of universities with industrial engineering faculty
  • Management Consulting
    Management consulting
    Management consulting indicates both the industry and practice of helping organizations improve their performance primarily through the analysis of existing organizational problems and development of plans for improvement....

  • Management engineering (healthcare)
    Management engineering (healthcare)
    Management engineering or health systems engineering is a type of engineering in the field of healthcare.Health system engineering includes many different disciplines such as industrial engineering, operations research, management science and quality management.-External links:* * *...

  • Management science
  • Methods engineering
  • Nutrient systems
    Nutrient systems
    Nutrient Systems integrate functional ingredients from vitamins, minerals, amino acids, nucleotides, and nutraceuticals. These mixes are very cost-saving and beneficial to manufacturers, researchers and developers in the food and pharmaceutical industries worldwide. This is a booming business and...

  • Operations management
    Operations management
    Operations management is an area of management concerned with overseeing, designing, and redesigning business operations in the production of goods and/or services. It involves the responsibility of ensuring that business operations are efficient in terms of using as little resources as needed, and...

  • Operations research
    Operations research
    Operations research is an interdisciplinary mathematical science that focuses on the effective use of technology by organizations...

  • Overall Equipment Effectiveness
    Overall equipment effectiveness
    Overall equipment effectiveness is a hierarchy of metrics which evaluates and indicates how effectively a manufacturing operation is utilized. The results are stated in a generic form which allows comparison between manufacturing units in differing industries...


  • Plant layout study
    Plant layout study
    A plant layout study is an engineering study used to analyze different physical configurations for an industrial plant.- General :Modern industrial manufacturing plants involve a complex mix of functions and operations...

  • Quality assurance
    Quality Assurance
    Quality assurance, or QA for short, is the systematic monitoring and evaluation of the various aspects of a project, service or facility to maximize the probability that minimum standards of quality are being attained by the production process...

  • Reverse engineering
    Reverse engineering
    Reverse engineering is the process of discovering the technological principles of a device, object, or system through analysis of its structure, function, and operation...

  • Sales process engineering
    Sales process engineering
    Sales process engineering has been described as “the systematic application of scientific and mathematical principles to achieve the practical goals of a particular sales process". Selden pointed out that in this context, sales referred to the output of a process involving a variety of functions...

  • Statistical process control
    Statistical process control
    Statistical process control is the application of statistical methods to the monitoring and control of a process to ensure that it operates at its full potential to produce conforming product. Under SPC, a process behaves predictably to produce as much conforming product as possible with the least...

  • Supply Chain
    Supply chain
    A supply chain is a system of organizations, people, technology, activities, information and resources involved in moving a product or service from supplier to customer. Supply chain activities transform natural resources, raw materials and components into a finished product that is delivered to...

  • System dynamics
    System dynamics
    System dynamics is an approach to understanding the behaviour of complex systems over time. It deals with internal feedback loops and time delays that affect the behaviour of the entire system. What makes using system dynamics different from other approaches to studying complex systems is the use...

  • Systems engineering
    Systems engineering
    Systems engineering is an interdisciplinary field of engineering that focuses on how complex engineering projects should be designed and managed over the life cycle of the project. Issues such as logistics, the coordination of different teams, and automatic control of machinery become more...

  • Value engineering
    Value engineering
    Value engineering is a systematic method to improve the "value" of goods or products and services by using an examination of function. Value, as defined, is the ratio of function to cost. Value can therefore be increased by either improving the function or reducing the cost...

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