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Facility Layout
Manufacturing Process Layout ..example
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L M
M
M
M
D
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D
D
D
G
G
G
G
G
G
P
P
A A AReceiving and
Shipping Assembly
Painting Department
Lathe Department
Milling
Department Drilling Department
Grinding
Department
Store Layout.. example
Sporting
Goods
Women’s
department
Furniture
Shoes
Cosmetics
& Jewelry
Entry &
display area
House wares
Children’s
department
Men’s
department
When is Facility Layout
Necessary?
• A new facility is constructed.
• Significant changes in production volumes.
• New products introduced.
• New processes and equipment being installed.
Objective of Facility Layout
• Develop an economic layout that will meet
the requirements:
– Product/service cost
– Efficiency of operations
– Flexibility
– Quality
– Building and site constraints
Systematic Layout
A Absolutely necessary
E Especially important
I Important
O Ordinary importance
U Unimportant
X Undesirable
Facility layout enables…
• Placement of departments, workstations,
machines, storage points within a
productive facility.
• Smooth work flow (factory)
• A particular service pattern (service)
Inputs For Facility Layout
• Product/Service
• Demand
• Objective of the system
• Processing requirements
• Space
Some Specific Objectives
• Minimize delays.
• Maintain flexibility.
• Use labor and space effectively.
• Promote high employee morale.
• Provide for good housekeeping and maintenance.
Advantages of Good Layout
• Shorter manufacturing times.
• Reduced work-in-process inventory.
• Reduced floor space.
• Substantially reduced material handling costs.
• Simplified scheduling and control systems.
• Improved product quality.
• Enhanced manufacturing flexibility.
Different Types of Layout
• Fixed position layout
– The equipment is brought to the object being
processed.
• Process oriented layout
– Similar pieces of equipment are grouped
together.
• Product oriented layout
– The pieces of equipment required to make a
particular product are grouped together.
Different Types of Layout
• Cellular (Group Technology) layout
– Pieces of equipment required to make a family
of products are put together.
• Office layout
• Retail/Service
• Warehouse
Work Flow Formats
• Product Oriented - unbroken workflow
beginning to end.
Ex : assembly line.
• Process Oriented - processing components
grouped.
Ex : job shop
• Project oriented - product in a fixed location
Ex : manufactured housing
Work Flow Format ...
• Cellular (Group Technology) Layout -
grouping into part families of items with similar design
or processing characteristics.
• Flexible Manufacturing - fully automated
cellular systems where transfer of parts and work are
automated.
Fixed Position Layout…
• Building a ship, bridge, building, etc.
• Layout is complicated because of
– Limited space
– At different stages in the construction process
different materials are needed.
– Volume of material needed is dynamic.
COMPLETE AS MUCH PROJECT
AS POSSIBLE OFFSITE
Process Layouts…
• Functional groupings of machines or activities
that do similar work.
• Can handle wide variety of products/services.
• Typically low volume, high variety strategy.
• Flexibility in equipment and labour
assignments.
• Compared to product layout, it requires less
investment.
Process Layout
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P
P
A A AReceiving and
Shipping Assembly
Painting Department
Lathe Department
Milling
Department Drilling Department
Grinding
Department
Steps in Process Layouts
• Construct a matrix showing the flow of
materials from department to department.
• Determine the space requirements for each
department.
• Design a trial layout.
• Determine the cost of this layout.
• Improve the trial layout developed.
Disadvantages of Process Layouts
• High handling and material handling costs.
• Longer production time.
• Higher work-in-process inventory.
• Higher worker skill requirement.
• More complicated planning and control
systems, because jobs do not flow the same
routing.
Product Layout…
• Organized around product.
• High volume, low variety.
• Assumptions
– Adequate volume for high equipment
utilization.
– Product demand is stable enough to justify
high investment in specialized equipment.
– Product is standardized.
– Supplies of raw materials and components are
adequate and of uniform quality.
Product Layout …
IN
OUT
Advantages of Product Layouts
• High rate of output.
• Unit cost is low.
• Labor specialization reduces training costs
and time.
• Material handling cost is low.
• High utilization of labor.
• Simple planning and control systems.
Disadvantages of Product Layouts
• Inflexibility.
• Major changes required when product design
changes.
• Little job satisfaction.
Assembly Lines
ASSEMBLY LINE
Raw materials
or customer
Finished
item
Station
2
Station
3
Station
4
Material
and/or
labor
Station
1
Material
and/or
labor
Material
and/or
labor
Material
and/or
labor
For an assembly line, inputs are…
• A set of operations to be performed.
• A precedence relationship among the
operations.
• Zoning restrictions.
Line Balancing
Line Balancing is the process of assigning
tasks to workstations in such a way that the
workstations have approximately equal time
requirements.
Line Balancing Objective
• Minimize the number of stations for a given cycle
time (or output rate).
• Minimize process time for a given number of
stations.
• Find an optimal combination of the flexible cycle
time and the flexible number of stations.
Cycle Time
Cycle time is the maximum time
allowed at each workstation to
complete its set of tasks on a unit.
Process Time Vs Cycle Time
• Process Time = time to complete all stations
• Cycle time = time spent at any station
1 2 3
4 min 5 min 4 min
Process time = 4 + 5 + 4 = 13
Cycle time = 4, 5, 4
Lead Time
• Adding in non-value added time (queue time, wait
or blocked time … etc.) cycle times makes up lead
time.
• Order to delivery lead time is a lead time that the
customer feels.
– From the time the customer places the order to
the time the product is delivered.
– Effective lead time reduction, is lowering order
to delivery lead time, customer feels the
improvement.
Cellular Layouts.. Some issues
• Group parts or products with similar
characteristics into families and set aside
groups of machines for their production.
• Families may be based on size, shape,
manufacturing or routing requirement.
• Cellular layouts improve lead times and
allows speed as a competitive weapon.
Original Layout
12
1
2
3
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5
6 7
8
9
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11
A B C Raw materials
Assembly
Revised Layout
12
12 3
4
5
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8 910
11
A BCRaw materials
Cell1
Cell 2 Cell 3
Assembly
Layout Issues in Service
Organizations
• Volume of demand.
• Range of types of services offered.
• Degree of personalization of the service.
• Skills of employees.
• Cost of services.
Process Layouts in Service
Organizations
• Wide variety of services, use a Process
Layouts
• Libraries
– Reference materials, serials, microfilms in
separate areas.
• Hospitals
– X-ray, Surgery, Oncology, Maternity.
• Insurance
– Claims, underwriting, filing are individual
depts.
Product Layouts in Service
Organizations
• When volume of demand is high.
• Customs and Immigration at Airports.
• Registration.

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Facility layout optimization

  • 2. Manufacturing Process Layout ..example L L L L L L L L L L M M M M D D D D D D D D G G G G G G P P A A AReceiving and Shipping Assembly Painting Department Lathe Department Milling Department Drilling Department Grinding Department
  • 3. Store Layout.. example Sporting Goods Women’s department Furniture Shoes Cosmetics & Jewelry Entry & display area House wares Children’s department Men’s department
  • 4. When is Facility Layout Necessary? • A new facility is constructed. • Significant changes in production volumes. • New products introduced. • New processes and equipment being installed.
  • 5. Objective of Facility Layout • Develop an economic layout that will meet the requirements: – Product/service cost – Efficiency of operations – Flexibility – Quality – Building and site constraints
  • 6. Systematic Layout A Absolutely necessary E Especially important I Important O Ordinary importance U Unimportant X Undesirable
  • 7. Facility layout enables… • Placement of departments, workstations, machines, storage points within a productive facility. • Smooth work flow (factory) • A particular service pattern (service)
  • 8. Inputs For Facility Layout • Product/Service • Demand • Objective of the system • Processing requirements • Space
  • 9. Some Specific Objectives • Minimize delays. • Maintain flexibility. • Use labor and space effectively. • Promote high employee morale. • Provide for good housekeeping and maintenance.
  • 10. Advantages of Good Layout • Shorter manufacturing times. • Reduced work-in-process inventory. • Reduced floor space. • Substantially reduced material handling costs. • Simplified scheduling and control systems. • Improved product quality. • Enhanced manufacturing flexibility.
  • 11. Different Types of Layout • Fixed position layout – The equipment is brought to the object being processed. • Process oriented layout – Similar pieces of equipment are grouped together. • Product oriented layout – The pieces of equipment required to make a particular product are grouped together.
  • 12. Different Types of Layout • Cellular (Group Technology) layout – Pieces of equipment required to make a family of products are put together. • Office layout • Retail/Service • Warehouse
  • 13. Work Flow Formats • Product Oriented - unbroken workflow beginning to end. Ex : assembly line. • Process Oriented - processing components grouped. Ex : job shop • Project oriented - product in a fixed location Ex : manufactured housing
  • 14. Work Flow Format ... • Cellular (Group Technology) Layout - grouping into part families of items with similar design or processing characteristics. • Flexible Manufacturing - fully automated cellular systems where transfer of parts and work are automated.
  • 15. Fixed Position Layout… • Building a ship, bridge, building, etc. • Layout is complicated because of – Limited space – At different stages in the construction process different materials are needed. – Volume of material needed is dynamic. COMPLETE AS MUCH PROJECT AS POSSIBLE OFFSITE
  • 16. Process Layouts… • Functional groupings of machines or activities that do similar work. • Can handle wide variety of products/services. • Typically low volume, high variety strategy. • Flexibility in equipment and labour assignments. • Compared to product layout, it requires less investment.
  • 17. Process Layout L L L L L L L L L L M M M M D D D D D D D D G G G G G G P P A A AReceiving and Shipping Assembly Painting Department Lathe Department Milling Department Drilling Department Grinding Department
  • 18. Steps in Process Layouts • Construct a matrix showing the flow of materials from department to department. • Determine the space requirements for each department. • Design a trial layout. • Determine the cost of this layout. • Improve the trial layout developed.
  • 19. Disadvantages of Process Layouts • High handling and material handling costs. • Longer production time. • Higher work-in-process inventory. • Higher worker skill requirement. • More complicated planning and control systems, because jobs do not flow the same routing.
  • 20. Product Layout… • Organized around product. • High volume, low variety. • Assumptions – Adequate volume for high equipment utilization. – Product demand is stable enough to justify high investment in specialized equipment. – Product is standardized. – Supplies of raw materials and components are adequate and of uniform quality.
  • 22. Advantages of Product Layouts • High rate of output. • Unit cost is low. • Labor specialization reduces training costs and time. • Material handling cost is low. • High utilization of labor. • Simple planning and control systems.
  • 23. Disadvantages of Product Layouts • Inflexibility. • Major changes required when product design changes. • Little job satisfaction.
  • 25. ASSEMBLY LINE Raw materials or customer Finished item Station 2 Station 3 Station 4 Material and/or labor Station 1 Material and/or labor Material and/or labor Material and/or labor
  • 26. For an assembly line, inputs are… • A set of operations to be performed. • A precedence relationship among the operations. • Zoning restrictions.
  • 27. Line Balancing Line Balancing is the process of assigning tasks to workstations in such a way that the workstations have approximately equal time requirements.
  • 28. Line Balancing Objective • Minimize the number of stations for a given cycle time (or output rate). • Minimize process time for a given number of stations. • Find an optimal combination of the flexible cycle time and the flexible number of stations.
  • 29. Cycle Time Cycle time is the maximum time allowed at each workstation to complete its set of tasks on a unit.
  • 30. Process Time Vs Cycle Time • Process Time = time to complete all stations • Cycle time = time spent at any station 1 2 3 4 min 5 min 4 min Process time = 4 + 5 + 4 = 13 Cycle time = 4, 5, 4
  • 31. Lead Time • Adding in non-value added time (queue time, wait or blocked time … etc.) cycle times makes up lead time. • Order to delivery lead time is a lead time that the customer feels. – From the time the customer places the order to the time the product is delivered. – Effective lead time reduction, is lowering order to delivery lead time, customer feels the improvement.
  • 32. Cellular Layouts.. Some issues • Group parts or products with similar characteristics into families and set aside groups of machines for their production. • Families may be based on size, shape, manufacturing or routing requirement. • Cellular layouts improve lead times and allows speed as a competitive weapon.
  • 33. Original Layout 12 1 2 3 4 5 6 7 8 9 10 11 A B C Raw materials Assembly
  • 34. Revised Layout 12 12 3 4 5 6 7 8 910 11 A BCRaw materials Cell1 Cell 2 Cell 3 Assembly
  • 35. Layout Issues in Service Organizations • Volume of demand. • Range of types of services offered. • Degree of personalization of the service. • Skills of employees. • Cost of services.
  • 36. Process Layouts in Service Organizations • Wide variety of services, use a Process Layouts • Libraries – Reference materials, serials, microfilms in separate areas. • Hospitals – X-ray, Surgery, Oncology, Maternity. • Insurance – Claims, underwriting, filing are individual depts.
  • 37. Product Layouts in Service Organizations • When volume of demand is high. • Customs and Immigration at Airports. • Registration.