Economic Growth, Business Innovation and Engineering Design

  • Gunnar Sohlenius
  • Leif Clausson
  • Ann Kjellberg

Abstract

Scientific knowledge of engineering within innovative industrial decision processes has a great potential to improve quality and productivity in industrial operations and hence improve profitability. This is a precondition for economic growth, which in turn is necessary to improve welfare. Innovative processes have to combine creativity with quality and productivity in order to achieve profitability and growth. The most important ways to improve profitability in industrial production are through an improved ability to meet more advanced requirements in new products and processes by using new knowledge and inventions and higher productivity through investments in more advanced and automatic tools. This is the fundamental mechanism behind industrial production seen as an engine of welfare. Besides the real world of the products and the production processes, the mechanisms for this development can be classified into three worlds. These are the decision world, the human world and the model world. In striving to obtain increased welfare through industrial production, fundamental knowledge about these worlds and about their relations to the products and processes has to be developed. This paper is a contribution to this understanding, which is necessary in order to combine Total Quality Management, (TQM) and Total Productivity Management (TPM) into Total Effective Management (TEM) by understanding Means.

Keywords

Economic growth Innovation process Decision theory 

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Copyright information

© Springer-Verlag London Limited 2006

Authors and Affiliations

  • Gunnar Sohlenius
    • 1
  • Leif Clausson
    • 2
  • Ann Kjellberg
    • 1
  1. 1.Royal Institute of Technology - KTHStockholms LänSweden
  2. 2.Dept. of Production Engineering School of Industrial Engineering and ManagementRoyal Institute of Technology (KTH)StockholmSweden

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