This document discusses facility location and layout. It begins by defining facility location as the place where a facility will be set up to produce goods or services. Key factors that affect facility location decisions are then outlined, including availability of power, transportation, climate, government policy, competition, and labor. The document also discusses the need for facility location planning to reduce costs and identify proximity to resources. Facility layout is then defined as the arrangement of machinery, equipment and amenities to ensure smooth material flow. Common types of facility layouts described include process, product, fixed position, cellular manufacturing, and combination layouts. Procedures and techniques for selecting optimal facility locations are also provided.