 Rautenstrauch was instrumental in the creation of Columbia University's Department of Industrial Engineering, which is said to be the first such department in the United States.One of his most important students and colleagues was Seymour Melman, who went on to be a professor in this department.Rautenstrauch, together with Howard Scott, formed the Committee on Technocracy in 1932, which advocated a more rational and productive society headed by technical experts.