Industrial Engineering: Increasing Efficiency through Time Management & Process Optimization

Industrial engineering translates your operations strategy into consistent, high-performing shop floor. While lean manufacturing identifies and eliminates waste in processes, industrial engineering provides structured methods, standardized data collection, and detailed time studies needed to optimize workflows and establish reliable performance standards.

By breaking down processes into measurable time modules, a database is created that enables objective cycle and target time calculations and provides a reliable basis for scaling, automation, and digital control.

What is industrial engineering?

Industrial engineering (IE) is the methodical design, planning, and optimization of production systems and processes. Through objective time recording and process modules, industrial engineering creates a reliable data foundation for capacity planning, costing, and ergonomics to support long-term productivity improvements in production.

Lack of Transparency in Production: Why Traditional Time Models and Target Times Fall Short

Many companies recognize a gap between the high level of commitment from their workforce and the actual output achieved in daily operations. The reason for this usually exists deep in organizational structures. Outdated planning values that have been maintained for years without being updated to reflect new processes or continuous improvement measures (CIP) distort the overall picture. As a result, theoretical production planning and reality on the shop floor are drifting further and further apart.

Especially in cases of high product variety or complex series start-ups, an unclear database leads to unstable processes. Planners are forced to operate in a constant reactive mode, while production teams become overloaded at critical points.

 

Does unclear process data slow down your daily production flow, or do you manage your value creation based on data? Take the quick self-test for your production:

Symptom checklist: Do you recognize these challenges?

  • Unstable cycle times: Are there regular unplanned downtimes at key points or do the actual cycle times deviate from defined targets?
  • Planning based on assumptions: Are your staffing and capacity planning decisions based primarily on experience rather than standardized time data?
  • Outdated work schedules: Do target times, stored in your ERP system, come from estimates or previous recordings that no longer reflect the current CIP status?
  • Organizational misalignment: Are there regular discussions about the feasibility of the time limits between work preparation and operational production?
  • Non-transparent overtime: Do the causes of organizational disruptions, material bottlenecks, or logistical search times remain unclear?

     

    If you recognize one or more of these symptoms, this is the ideal time to realign your manufacturing.

An aircraft section in a production hall during the assembly and integration of components in aircraft manufacturing.

Ensuring Scalability: Industrial Engineering Concepts for Greenfield Projects and Inventory Optimization

Industrial Engineering operates at the interface between your strategic business goals and the operational reality of the shop floor. Whether redesigning an entire factory or improving the efficiency of existing operations, the focus is always on creating an economical and highly flexible production concept.

Industrial Engineering Concepts for Greenfield Projects

If industrial engineering is applied in the early phase of factory planning, this prevents expensive planning errors in the implementation phase (plant design) later on. To achieve this, internal production and material flows are precisely synchronized from the beginning through material flow optimization and efficient material supply concepts (material flow optimization). This procedure minimizes start-up times and guarantees a scalable production concept that can be adapt flexibly to future product generations.

Inventory Optimization: Value Stream Mapping and Process Optimization for Brownfield Factory Layout

In existing plant structures (brownfield), targeted layout optimization creates valuable space and flexibility. Using value stream mapping, we identify unused space potential and uncover hidden waste. Data-based process optimization can also be used to seamlessly integrate new product launches into existing lines and sustainably increase space productivity. Layout optimization can also reduce throughput times.

Process Validation Instead of Estimates: Time Management and Objective Data for Consistent Cycle Times

A core element of industrial engineering is determining the actual production time required for a product. Modern time recording methods enable objective measurement of work steps instead of estimates. This precise data becomes the foundation for your digital planning systems.

A reliable data foundation enables digital control across your entire value chain, from automated capacity planning to real-time shop floor control.

Calculating Cycle Times and Standard Times: Transparency for Capacity and Workforce Planning

Reliable cycle and target time determination is based on objective data. By accurately measuring process times, management gains a clear understanding of available capacity. This makes personnel planning more precise and helps prevent costly bottlenecks or excess capacity.

At the same time, transparent time management fosters trust and collaboration. Realistically defined cycle times help prevent workforce overload and enable fair performance evaluations, creating greater planning reliability while supporting employee satisfaction.

Time Analyses According to the MTM Method

According to the MTM method, through standardized time analyses we establish consistent and uniform workflows across different shifts, lines, and locations. To achieve this, complex workflows are broken down into standardized, reproducible process building blocks, which turn flow into detailed standard worksheets (SAB). 

This exact process documentation enables complete traceability of internal production processes, increases component quality, and minimizes the potential for conflict between work preparation and operational production. In addition, precise descriptions can be used as materials for new employees to shorten training periods.

Efficiency in Production Flow: Timing, Line Balancing, and Ergonomic Workstation Design

Once process times have been determined using reliable methods, the balancing phase begins. The goal is to create a synchronized production flow in which all work steps are optimally coordinated. By combining precise time data with ergonomic principles, we translate theoretical potential into efficient, reliable value creation on the shop floor.

Line Balancing Method: Eliminating Bottlenecks and Stabilizing Cycle Times

With line balancing, the production cycle is systematically optimized. The entire assembly process is broken down into individual work steps and evenly distributed across available stations along the line. This ensures that faster stations are not forced to wait for slower processes and helps prevent bottlenecks at critical points in production.

Calculating the optimal cycle time harmonizes the entire production flow. This ensures reliable production cycles, prevents logistical and process bottlenecks and stabilizes throughput times. The result is a workforce that is utilized effectively while overall equipment performance is maximized through improved OEE.

Improving Ergonomics in the Workplace: Productivity and Employee Well-Being

A future-oriented workstation design puts people at the center of value creation. Through ergonomically optimized workplaces, physical strain is reduced while unnecessary searching, reaching, and walking distances are minimized. This supports consistently high-quality work and stabilizes cycle times. At the same time, this approach provides a strong response to the skilled labor shortage by protecting your workforce from overload, reducing illness-related absences, and making jobs more attractive.

To improve ergonomics in production, we use the digital analysis method EMA (Ergonomic Work Evaluation). It enables the precise simulation of human motions and the early identification of potential physical strain. Based on the simulation results, we derive optimizations for fixtures, gripping distances, and material supply logistics. This ensures that every movement is designed to be value-adding and ergonomically sustainable before a production line is even built.

From Analysis to Rollout: How We Introduce Industrial Engineering in Your Organization

We implement our industrial engineering methods using a reliable strategy model that has proven itself in numerous cross-industry business cases. We provide you with comprehensive support from the initial determination of potential to practical testing in the plant to the introduction of time analyses according to the MTM method for the standardization of international production sites.

  1. The Preliminary Analysis: Identifying Unused Capacity and Potential

    Every production and assembly optimization begins with a targeted look at real manufacturing practice: In a four-to-six week preliminary analysis, we methodically illuminate your processes on the shop floor, locate structural bottlenecks and occurring time losses, and determine untapped potential and productivity reserves. The results of the preliminary analysis serve as a basis for decision-making for further measures to increase productivity and capacity.

  2. From Successful Pilot to Company-Wide Standard: Industrial Engineering Strategies

    Time analyses introduction, according to the MTM method, will take place gradually. In a pilot phase, we first optimize a representative production area, create process modules, set up workstations ideally, test new target times in shop floor , and then involve all stakeholders in partnership. After successful validation, then follows the final rollout, which permanently anchors the new time management methods for continuous improvement in your organization.

Increasing ROI and Productivity Through Industrial Engineering

Industrial engineering is a direct lever for reducing manufacturing costs by eliminating waste and optimizing the production system. With this, it is possible to achieve double-digit improvements in productivity, throughput time, and ergonomics.

The following key figures reflect real experience from numerous successfully implemented industrial engineering projects:

Typical results of completed projects:

  1. Productivity increase:

    +15 % in operating value added

  2. Increased efficiency:

    +15 % through time analyses using the MTM method

  3. Time reduction:

    –10 % by eliminating search, travel and waiting times in the direct process

  4. Accelerated production flow:

    –5 % reduction in throughput time

  5. Capacity increase without investment:

    +10 % through process optimization

  6. Health-promoting working environment:

    reduced ergonomic strain on the workforce

  7. More consistent cycle times:

    reliable cycles and avoidance of bottlenecks on assembly lines

Further Information about Industrial Engineering

An aerial view of a large-scale production plant with factory buildings and logistics areas, serving as an example of modern factory planning.

Strategic Factory Planning and Design

Whether automation is implemented in a brownfield or greenfield setting, every decision is made within the context of the overarching factory concept.

Production Concepts

Anyone who wants to evaluate automation from an economic perspective needs a sound production plan as a starting point.

Autonomous transport vehicles move goods through a high-bay warehouse using automated logistics processes.

Material Flow Design

Automation is effective only if the material flow is also strategically considered—from the AGV layout to the handoff between process stations.
 

An automated production line featuring several industrial robots, designed to ensure precise and efficient production processes in modern manufacturing.

Automation in Production

How automation is increasingly determining the future viability of manufacturing companies, and how you can solve key challenges in your production and intralogistics.

A production hall containing several production lines, workstations and machines in an industrial setting.

Operational Excellence

How strategic goals are transformed into sustainable, high-performance production processes.

Contact us

Johann Kablutschkin
Johann Kablutschkin
Associate Partner

FAQ - Industrial Engineering: Expert Knowledge for Your Production

How does industrial engineering ensure the scalability of new sites (e. g., Gigafactories)?

In production planning for large-scale, dynamic projects, industrial engineering lays the foundation for a rapid, risk-free production ramp-up. Through modular factory layouts and cross-site process standards, we ensure that manufacturing capacities can be flexibly expanded as needed. This reduces the investment risk for new locations and enables long-term scalability of production.

Why are time analyses according to the MTM method (Methods-Time Measurement) still relevant in the age of Industry 4.0?

Every factory simulation and every digital twin is only as precise as the underlying data. Time analyses using the MTM method provide the mathematically valid database that is absolutely necessary for automated performance control and error-free capacity planning in networked production.

What role does industrial engineering play in the transformation to electromobility or battery production?

In highly volatile markets such as battery production, industrial engineering enables quick transitions between product generations (e.g., through flexible production line concepts). It forms the interface between product development (Design for Manufacturing) and the implementation of large-scale production, and enables competitive manufacturing costs even with high technical complexity.

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