Why is it important to work with engineering economics for a civil engineer?

Answer 1

Engineering economics is the application of economic techniques to the evaluation of design and engineering alternatives. The role of engineering economics is to assess the appropriateness of a given project, estimate its value, and justify it from an engineering standpoint.

Answer 2

Today more then ever, engineers are asked or required to choose the best approach in their designs based on factors within a volatile economy. These decisions that were basically made by senior leadership before, are now given to engineers. Engineers must now base their decisions on material, human, financial, and informational resources. A solid knowledge of economics is critical to the stability, survivability, and accomplishment of the goals and objectives of the organization.

Answer 3

Engineering economics is the practical application of economic principles in the field of engineering technology. While engineers look for solutions to problems, engineering economists look at the economic appropriateness of the project objectively and assesses the value of the project. It simply helps to choose a more economically viable solution among all potential solutions. Principles of engineering economics is a course that introduces a student to this vast subject through a few introductory techniques that can then be directly applied to real world situations.

RequirementAn introductory course to economics engineering is quite often a required course in the U.S. undergraduate engineering curriculum. The subject matter of this course has wide applicability and questions will be asked in tests pertaining to the engineering registration process. Significance1. Principles of engineering economics have significance for any engineer who hopes to apply his education to real-world scenarios. As the name suggests, it continues with economics principles, and applies them to the completely separate field of technology to optimize decisions and selection of solutions. The principles. once learned. can then be applied to daily life as well, as cost engineering, depreciation and the time value of money are integral concepts of this topic. Concepts2. The major concept engineering economics covers is the consideration of the time value of money. It understands cash flows and how they can be discounted through an interest rate. Manufacturing economy is also considered and various industrial economics topics are covered. These concepts relate directly to assessment of management, growth and profit of an industry. Process1. The principles of engineering economics state that out of all the alternatives available in a given situation, there is one option that must be considered in all cases. All the choices available are then evaluated through attributes that directly or indirectly affect the cost of choosing one of them. Then, costs and revenues for each choice are considered, and each alternative is also denoted a salvage value, which is the decommissioning cost involved in the case that the project fails after an observation period called the analysis period. FunctionsThis subject is involved in many economic analysis, which include simple and discounted paybacks, inflation, depreciation, taxes, resource utilization, accounting, present and future worth, rate of returns and cost estimations. It also applies to the manufacturing industry through analysis of profitability and growth, trends and issues in the field of industrial engineering economics, market demand and supply influences, and the development and marketing of new technologies.

Answer 4

Any engineering problem may have a number of viable solutions. Each possible solution must be evaluated to the triple constraints of cost, quality, and time to market. Each of these constraints will have an economic impact which must be balanced.

Cost is the COGS or cost of goods sold. this one is self explanatory.

Quality is how the customer perceives the product. If it is poor quality, there will be costs associated with product failures, returns and bad customer relations.

Time to Market is how long it takes you to complete a new engineering project. You may want to add just one more feature but if you do not beat your competition to the market place, you lose.

Answer 5

The economy is important because it helps society decide the best way to determine specifics about their resources. It helps to decide what and how to produce something.

Answer 6

it's explain "time money value"