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Facility Layout decisions translate the broader decisions about a firm’s strategy such as competitive priorities, process, and capacity into actual physical arrangements of people, equipment, and space . Facility Layout. Emphasis: On flexibility and change.

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Facility Layout

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facility layout
Facility Layout decisions translate the broader decisions about a firm’s strategy such as competitive priorities, process, and capacity into actual physical arrangements of people, equipment, and space.Facility Layout
emphasis on flexibility and change
Emphasis: On flexibility and change

Determine:·Placement of departments·Workgroups within departments·Workstations·Machines·Stock-holding pointsFactory: smooth work flow Service: traffic pattern

inputs to layout decisions
Inputs to layout decisions:
  • specification of the objectives
  • estimates of product or service demand
  • processing requirements
  • space requirements
      • space availability – existing facility
      • building configuration – new facility
basic production layout formats
Basic Production Layout Formats

Process Layout - Job shop/functional layout

Similar equipment or functions are grouped together

Tools:Interdepartmental Flow Systematic Layout Planning Distance/Load Basis

Product Layout - Assembly Line

Equipment is arranged according to the steps in which the product is madeTools:Line balancing Group Technology (cellular) Fixed-position layout

retail service layout
Retail Service Layout
  • Stores, banks, restaurants Goal: maximize net profit per square foot of floor space

1.Ambient conditions 2.Spatial layout and functionality3.Signs, symbols, and artifacts

office layout
Office Layout


  • more open offices
  • removed fixed walls to foster communication and teamwork
  • size and orientation of desks
  • often designed and laid out to convey a desired image
marks of a good layout
Marks of a Good Layout:

Manufacturing & Back-Office Operations1.Straight line flow patterns2.Backtracking minimized3.Production time predictable4.Little inter-stage storage of materials5.Open plant floors so everyone can see what is happening

6.Bottleneck operations under control7.Workstations close together8.Orderly handling and storage of materials9.No unnecessary re-handling of material10.Easily adjustable to changing conditions

face to face services
Face-to-face services

1.easily understood service flow pattern2.adequate waiting facilities3.easy communication with customers4.easily maintained customer surveillance5.clear exit and entry points with adequate checkout capabilities6.departments and processes arranged so that customers only see what you want them to see7.balance between waiting areas and service areas8.minimum walking and material movement9.lack of clutter

10.high sales volume per square foot of facility

conditions that drive layout decisions
Conditions that drive layout decisions

-reduce unnecessary activities-prevent damage to inventory-enhance communication-prevent rework-provide privacy-provide for employee safety-provide for security of resources-enhance labor skills and functional excellence-enhance the quality of work life-provide for customer involvement

The goal of layout planning is to allow workers and equipment to operate most effectively
  • Economic activity center – anything in your facility that consumes space
questions to ask
Questions to ask:
  • What centers to include?
  • How much space and capacity does each center need?
  • How should each center’s space be configured?
  • Where should each center be located?
Relative location – placement relative to other centers – based on:
    • Travel time
    • Material handling costs
    • Communication needs
  • Absolute location – particular space it will occupy
designing a process layout
Designing a Process Layout
  • Gather information
  • Develop a block plan
  • Design a detailed layout
gather information
Gather information
  • Space requirements for each center
  • Available space
  • Closeness factors
    • Trip matrix
    • REL (relationship chart)
  • What centers need fixed locations
develop a block plan
Develop a block plan
  • Trial and error for acceptable plan
  • LOAD-DISTANCE method
detailed representation
Detailed representation
  • Exact size and shape of each center
  • Arrangement of elements
designing a product layout
Designing a Product layout
  • Arranges work stations in sequence
  • LINE BALANCING – assignment of work to stations
  • Goal: Obtain workstations with well-balanced workloads
  • Work element – smallest unit of work that can be performed independently
  • Develop a precedence diagram
  • Determine the desired output rate
  • Determine cycle time and related measures
  • Find an appropriate solution
Cycle time – 1/r where r is the desired output rate
    • Maximum time allowed for work on a unit at each station
  • Theoretical Minimum Number of Workstations
    • TM = t / c
  • Idle Time = n * c - t
    • where n = number of stations
  • Efficiency (%) = t / nc (100)
  • Balance Delay (%) = 100 - Efficiency
finding a solution
Finding a Solution
  • Begin with station k = 1
    • Make a list of candidates to assign to station k
  • Pick a candidate
    • Longest work-element rule
    • Largest number of followers
  • Calculate cumulative time for all tasks assigned to station k
  • If some work elements are still unassigned, but none are candidates for station k, create a new station k+1
  • Continue until all work elements are assigned