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Chapter 1:

Introduction to Industrial Management

LIM Soon Chong, Johnson (Ph.D.)

Universiti Tun Hussein Onn Malaysia (UTHM)

BBT 41002 (PPG), v1.0

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Outline I

1 The Industry

Introduction

National Manufacturing Industries

2 Importance of Industrial Studies

3 Industrial Management

Three basic elements

Framework

4 References

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The Industry Whats Industry?

What is Industry?

DefinitionIndustry is the production of a good or service within an economy [2]. Industry

is a place wherevaluesare added to raw materials, goods or products with

profit as the main objective.

In the context of this course, industry refers specifically toproduction and

manufacturingindustry.

Manufacturing is the use of machinery, tools and labor to produce goods

for use or sale.

According to Annual Survey of Manufacturing Industries[1], The share of

manufacturing industries to Gross Domestic Product (GDP) in 2009 is

25.5%, and the number of persons engaged in manufacturing industries

in 2009 is about1.6 millionpersons.

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The Industry National Manufacturing Industries

Overview

Figure 1 : Major Contributors of Manufacturing Groups to Gross Output, Year 2009[1]

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The Industry National Manufacturing Industries

Overview

Figure 2 : Contribution to Total Employment by Group, Year 2009[1]

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Importance of Industrial Studies

The importance of manufacturing industry

Economic purposes: to generate income that contributes to the GDP of

a country

National status: to showcase the capabilities of a country in terms of

technology and manufacturing capabilities

National interest: to maintain the paoples standard of living and

safeguard national policies

Imagine what would have happened if we dont have certain

manufacturing industries? Think about how it may impact our life in termsof product prices, job opportunities, economy, etc.

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Industrial Management Three basic elements

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Industrial Management Three basic elements

Figure 3 : The Industrial Management Operation and Framework

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Industrial Management Framework

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Industrial Management Framework

Figure 4 : The Industrial Management Operation and Framework

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References

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References

References I

[1] STATISTICS DEPARTMENT, M. Annual survey of manufacturing industries 2009.Tech. rep., Jabatan Statistik Malaysia, http://www.statistics.gov.my, 2010.

[2] WIKIPEDIA. Industry.

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References

The End

Thank You.

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