Financial System Industrial Engineering - Online Book

Financial system  industrial engineering is the study of resource use in various accounting and finance mobilization, allocation and payment and repayment activities with a view to increasing the efficiency or eliminating the waste wherever possible. While the finance activities are designed to account for financial resources and procure and use them, variety of others resources namely, manpower, data processing equipment, information and others are used in these activities. The use of resources in finance activities is carefully investigated by the industrial engineering to identify and remove waste. Industrial engineering succeeded in reducing the cost of many processes designed in the first iteration by the managers up to 50% and hence it is a very important activity in systems design or systems engineering.

Famous example of industrial engineering, is Henry Ford's production system redesign, that reduced the price of the automobile by half. Taylor reduced cost of many manufacturing activities. Gilbreth and Harrigton Emerson also achieved similar cost reduction in construction activity and rail road operations.




System Industrial Engineering - System Human Effort Engineering - System Efficiency Engineering


Human Effort Engineering - Techniques

1. Principles of Motion Economy
2. Motion Study
3. Workstation Design
4. Application of Ergonomics and Biomechanics
5. Fatigue Studies
6. Productivity/Safety/Comfort Device Design
7. Standardization of  Methods
8. Operator training
9. Incentive Systems
10. Job Evaluation
11. Learning effect capture
12. Work Measurement


EFFICIENCY IMPROVEMENT TECHNIQUES OF INDUSTRIAL ENGINEERING


1. Process Analysis
2. Operation Analysis
3. Layout Efficiency Analysis
4. Value engineering
5. Statistical quality control
6. Statistical inventory control and ABC Classification Based Inventory Sytems
7. Six sigma
8. Operations research
9. Variety reduction
10. Standardization
11. Incentive schemes
12. Waste reduction or elimination
13. Activity based management
14. Business process improvement
15. Fatigue analysis and reduction
16. Engineering economy analysis
17. Learning effect capture and continuous improvement (Kaizen, Quality circles and suggestion schemes)
18. Standard costing


Applications in Finance Function

Manpower planning in Finance departments
Cash flow models
Furniture selection for the department
Office processes improvement studies