Over 40 years, the domestic manufacturing industry of Korea played the vital role in creating national wealth, employment and innovation in its economy. In 2011, industrial products made up 99.7 percent of exports, and formed 31.2 percent of GDP. Given those facts, the research of manufacturing systems engineering for higher manufacturing efficiency and its industrial applications have been essential for Korea’s economic growth. In this paper, for celebrating the 40th anniversary of the foundation of Korea institute of industrial engineers(KIIE), the research results and its industrial applications of KIIE are reviewed and summarized in the area of manufacturing systems engineering over past 40 years. Directions of future manufacturing system and the role of industrial engineers for our continuous economic growth are also mentioned.