Current survey shows there are 1 out of 5 graduates are unemployed (Site, 2018). Lack of non technical skills among graduates be one of the main reason for unemployment.Data shows Problem Solving Skills is the second most important non technical skill sought by employers (To et al., 2019); The studies show that the problems cannot be solved by using the same kind of thinking approach applied at the moment it was created. Therefore, a systematic analytical skill is required to handle the engineering related problems happening at manufacturing environment or engineering workplace. The purpose of this paper is to analyze the existing literature about Problem Solving skills for graduate engineers through a systematic literature review. This paper analyses literature through electronic databases mainly from Scopus and Web of Science. This paper summarizes types of problem solving skills applied in the engineering field as of now. Based on that, engineers can differentiate and understand the approach of the problem solving skills in the industrial environment to improve the failures and increase productivity.