Industrial Engineering for the Next Generation...Industrial Engineering for the Next Generation S....

Industrial Engineering for the Next Generation

S. David WuDean and Iacocca ProfessorP.C. Rossin College of Engineering & Applied Science

Do you know?

• What is the world’s population?

• How many have access to mobile phones?

• How many have access to working toilets?

• How much does it cost to buy a disk drive that holds ALL of the worlds music?

• What country has the highest productivity in the world, today?

• What percentage of U.S. college graduates are in Engineering?

• What about China?

Do you know?

• What is the world’s population? 7 Billion

• How many have access to mobile phones? 6 Billion

• How many have access to working toilets? 4.5 billion

• How much does it cost to buy a disk drive that holds ALL of the worlds music? -$600

• What country has the highest productivity in the world, today? United States

• What percentage of U.S. college graduates are in Engineering? 4.5%

• What about China? 33%

I will talk about…

• What is facing the next generation?– New industrial/economic realities

– New technological frontiers

– Grand challenges of our time

• How do IE’s make an impact?

• Examples and initiatives

5

Automobile

Years

TelephoneElectricity

Radio

Television

VCR

PC

Cellular

% A

do

pti

on

Innovation Cycle

100

50

0 25 50 75 100 125 150

• Technology: Innovation “clock speed”

• Employment: U.S. and Global Labor Trends

– Agriculture: Value from harvesting nature

– Goods: Value from making products

– Services: Value from enhancing the capabilities of things (customizing, distributing, etc.) and interactionsbetween things

• Productivity: What drives competitiveness

Industrial/Economic Realities- Three Lenses

2013

Agriculture:Value from

harvesting nature

Goods:Value from

making products

Services:Value from enhancing the

capabilities of things (customizing,

distributing, etc.) and interactions between things

U.S. Labor Trend

Source: IBM

Ten Nations: Total 50% of World Wide Labor

Source: International Labor Organization

Global Labor Trend

Nation Labor%

Agro. %

Goods%

Services%

ServicesGrowth

China 21.0 50 15 35 191%

India 17.0 60 17 23 28%

U.S. 4.8 3 27 70 21%

Indonesia 3.9 45 16 39 35%

Brazil 3.0 23 24 53 20%

Russia 2.5 12 23 65 38%

Japan 2.4 5 25 70 40%

Nigeria 2.2 70 10 20 30%

Bangladesh 2.2 63 11 26 30%

Germany 1.4 3 33 64 44%

Where did the JOBS go?

• Technology: Innovation “clock speed”

• Employment: U.S. and Global Labor Trends

– Agriculture: Value from harvesting nature

– Goods: Value from making products

– Services: Value from enhancing the capabilities of things (customizing, distributing, etc.) and interactions between things

• Productivity: What drives competitiveness

Industrial/Economic Realities- Three Lenses

The “Productivity” View

Source: US Bureau of Economic Analysis

The % of GDP growth has been driven by increases in the Workforce and value added per worker (Productivity)

• To match the GDP growth of the past 20 years and the rising living standards of past generations, the United States needs to boost productivity growth from 1.7 to 2.3% a year.

– Slower growth in workforce >> needs higher growth in productivity

• There is large untapped potential to increase productivity and growth in the United States

The “Productivity” View

Source: MGI 2011 Report

Productivity Growth by Industry Sectors

Source: MGI 2011 Report

• Productivity gains in the public/regulated sectors,

– Healthcare delivery systems reform

– Energy productivity challenges

– Renew aging Infrastructure, e.g., over the past decade, the U.S. slipped from the 7th to 23rd in the quality of infrastructure

• Doubling down the investment on innovation

- e.g., to match the innovations from 1850-1950?

• Education: Develop the U.S. talent pool to match the economy of the future

To Boost Productivity Growth..

Source: MGI 2011 Report

Productivity & Competitiveness

Source: World Economic Forum

Engineering Degrees in the U.S.

National Need and Future Competitiveness

• OECD ranked the U.S. 27th out of 29 industrialized countries in the % of students in ENG– U.S. (4.5%)

– Singapore (39.1%), China (33.3%), Korea (25.4%), Japan (17.3%)

– Finland (20.9%), Germany (12.8%), France (13.8%)

– U.S. has 600,000 unfilled positions in tech fields

• A National Call to Action– U.S. Council on Jobs and Competitiveness

– Calling for 10,000 More Engineers/Year

– Led by CEO’s of Intel, GE, and DuPont, with more than 65 companies committed

What is facing the next generation?

–New industrial/economic realities

–New technological frontiers

–Grand challenges of our time

Big Data: What it is?

• Datasets whose size is beyond the ability of current database software to capture/store/manage/analyze.

• It’s not defined in terms of being larger than a certain number of terabytes.

• As technology advances over time, the size of datasets that qualify as “big data” will also increase.

• Vary by industry sector; depending on software tools commonly available and sizes of datasets handled

• “Big data” in many sectors today will range from a few dozen terabytes to several petabytes.

Source: McKinsey Global Institute

Big Data and Analytics

• Coupled with sophisticated analytics can substantially improve decision-making.

• Create, store, and analyze massive transactional data to make better management decisions

• Allow ever-narrower segmentation of customers and much more precisely tailored products/services.

• Improve the development of the next generation of products and services

Source: McKinsey Global Institute

Big Data and Analytics

• The use of big data will underpin new waves of productivity growth and consumer surplus.

• While the use of big data will matter across sectors, some sectors are set for greater gains, e.g., finance/insurance; government; healthcare; manufacturing

• By 2018, the U.S. alone could face a shortage of 140,000 to 190,000 people with deep analytical skills as well as 1.5 million managers and analysts with the know-how to use the analysis of big data to make effective decisions.

Source: McKinsey Global Institute

Big Data Potentialsby Industry Sectors

Source: US Bureau of Labor Statistics, MGI

His

tori

c P

rod

uct

ivit

y G

row

th %

Big Data Potential Index

Bubble Size: Relative size of GDP

Other major technological frontiers

Biotechnology

Nanotechnology

Photonics & Nanoelectronics

What is facing the next generation?

–New industrial/economic realities

–New technological frontiers

–Grand challenges of our time

Energy, Health, Security, Sustainability, Joy of Living

1. Make solar energy economical2. Provide energy from fusion3. Provide access to clean water4. Reverse-engineer the brain5. Advance personalized learning6. Develop carbon sequestration methods7. Restore/improve urban infrastructure8. Engineer tools of scientific discovery9. Advance health informatics10.Prevent nuclear terror11.Engineer better medicines12.Manage the nitrogen cycle13.Enhance virtual reality14.Secure cyberspace

NAE Engineering’sGrand Challenges

Source: National Academy of Engineering

How do IE’s make an impact?

Examples and initiatives

–Healthcare Delivery

–Energy Systems Engineering

–Sustainable Development

Healthcare Delivery

• The healthcare delivery system requires drastic reform to enhance its productivity

• Healthcare delivery organizations see significant opportunities to gain share,preserve revenue, manage margins, and minimize risk.

Designing Tomorrow's Healthcare Systems

Healthcare Systems Engineering

• Key elements of the Healthcare Systems Engineering program include the following:

• Core Healthcare Systems Courses

• ISE Foundation Courses

• Industry Projects

• Electives

Program Design

Healthcare Modeling

Where is the Beef?

• A 3-6 credit hour “capstone” project to be completed in collaboration with industry partners and under the supervision of faculty.

• Students work in small groups on projects in the healthcare industry.

Capstone Design Requirement

Operational Mgt.

Projects

Capacity and patient flow optimization

Optimal methods to support patient care delivery

Operation room scheduling

Healthcare supply chains

Data mining and health informatics

Human Factors/Ergonomics Engineering

Hospital Occupancy Planning

ER patient throughput optimization

Match hospital inpatient staffing to demand

Optimal Allocation of Surgery Blocks to Operating Rooms

Capstone Design Projects

Clinical Applications

Therapeutic Optimization

Knowledge-Based Risk Assessment

Evidence-Based Cost-Effective Diagnosis

Predictive care modeling

Chronic care modeling

Medical decision making

Organ transplant assignment

Laboratory control and stability studies

Optimal selection of screening assays for infectious agents in blood

Risk-adjusted Statistical Monitoring

Capstone Design Projects

Introduction to Healthcare Systems

Quality and Process Improvement in Healthcare

Information Technology in Healthcare

Financial Management in Healthcare

Healthcare Systems Engineering Capstone Project

Healthcare Systems Project

Healthcare DeliveryProgram Tracks

Healthcare Systems Engineering

Current Track

Simulation

Design of Experiments

Optimization Modeling

Stochastic Models & Applications

Healthcare Informatics

Track in progress

CSE 347 - Data Mining

GBUS 458. Strategic

Information Systems

CSE 347 - Data Mining

BIS 324 Business Data Management

Healthcare Executive Leadership

Future Track

MSE - Technology, Operations and

Competitive Strategy

MBA 402 -Managing

Financial and Physical Resources

BIS 350 - Project Management

ECO 425 Cost-Benefit Analysis

Healthcare Supply Chain Management

Future Track

MSE - Technology, Operations and

Competitive Strategy

SCM 340

Demand and Supply Chain

Planning

MBA 402 -Managing Financial

and Physical Resources

SCM 354

Integrated Logistics and

Transportation Management

• 25 affiliated industry partners

– Mayo clinic: founding partnership

– Hospitals/Health Networks: Geisinger, LVHN, SLUHN, EH, etc.

– Insurance: Highmark, Capital BC, Independent BC, Cigna

– Medical Schools: Mayo, Temple, Thomas Jefferson

– Government/Associations: FDA, PADOH, HHAP

– Medical Devices: B. Braun, Abbott Labs

– Consulting Firms

Industry Partnership

An Innovative Approach to Healthcare: Building a Better Delivery System”

Healthcare Systems Engineering

Examples and initiatives

–Healthcare Delivery

–Energy Systems Engineering

–Sustainable Development

• Research- Power Systems Engineering- Systems Integration/Optimization- Smart Grid Cluster

• Education– Multidisciplinary curricula– Produces a new generation of technical leaders

for the energy industry (Pipeline Building) – Required industry projects provided by

partner companies or focused research projects

• Services

Energy Systems Engineering Institute (ESEI)

Smart Grid Cluster

Source: Energy Trend Insider

Smart Grids of the future will require advanced system components and communications technologies

Smart Grid Cluster

• Research- Power Systems Engineering- Systems Integration/Optimization- Smart Grid Cluster

• Education– Multidisciplinary curricula– Produces a new generation of technical leaders

for the energy industry (Pipeline Building) – Required industry projects provided by

partner companies or focused research projects

• Services

Energy Systems Engineering Institute (ESEI)

The Aging Energy Workforce

Demand in Energy Workforce

• Vintage Conductors and Lines

• New Transmission Line Builds

• Substation Design

• Aging Infrastructure

• Advanced Cooling andClean Water Supplies for Nuclear Plants

• Coal Fired Boilers / Fuel Analyses

• Marcellus Shale and Natural Gas for Carbon Reduction

• Integrated Renewables (US DOE Smart Grid Fellows)

• Smart Campus

• Alternative Energy Strategies and Water Trading in Delaware Watershed (NJ/PA)

Sample Research/Student Projects

Examples and initiatives

–Healthcare Delivery

–Energy Systems Engineering

–Sustainable Development

Sustainable DevelopmentProgram

“Development that meets the needs of the present without compromising the ability of future generations to meet their own needs” -The Brundtland Commission

Three Pillars:• Environmental Protection • Economic Well-Being• Social Inclusion

• Cambodia- Develop customized school

management systems

• Haiti- Business plans for high-value crops

and agro processing

• Kenya- Address poverty through

entrepreneurial job creation

• Nicaragua- Clean water supply system, eco-

stove, composting latrines

• Marcellus Shale, Pennsylvania

Sustainable DevelopmentProjects at Lehigh

• Research in Humanitarian Engineering, Environmental Sustainability, and Social Entrepreneurship

• University as an UN NGO• Connectivity to UN Sustainable Development

Solutions Network

Sustainable DevelopmentInitiative

How do next generation of IE’s make an impact?

Conclusions

• What is facing the next generation?– New industrial/economic realities

– New technological frontiers

– New grand challenges

• How do IE’s make an impact?

• Examples and initiatives– Healthcare Delivery

– Energy Systems Engineering

– Sustainable Development

• Questions and Comments

Have a GREAT conference!!