Facility Layouts

Dr. R K Singh
Professor
MDI, Gurgaon

1
Locate All Areas In and Around
Buildings
 Equipment
 Work stations
 Material storage
 Rest/break areas
 Utilities
 Eating areas
 Aisles
 Offices

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Layout Planning
 Layout planning in manufacturing & service
organisations
 deals with physical arrangement of various resources
that are available in the system
 with an objective to improve the performance of the
operating system
 Benefits of good layout design
 Higher utilization of space, equipments and people.
 Customers spend less time in service systems.
 Costs & Lead time come down.
 Improved quality and flexibility.

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Characteristics of the Facility
Layout Decision
 Location of these various areas impacts the flow through
the system.
 The layout can affect productivity and costs generated by
the system.
 Layout alternatives are limited by
 the amount and type of space required for the various
areas
 the amount and type of space available
 the operations strategy

. . . more

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Materials Handling
 The central focus of most manufacturing layouts is to minimize the cost
of processing, transporting, and storing materials throughout the
production system.

 Materials used in manufacturing include:

 Raw material
 Purchased components
 Work-in-progress
 Finished goods
 Packaging material
 Maintenance, repair, and operating supplies

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Types of Layout
 Process Layout
 arrangement of resources on the basis of the process
characteristics of the resources available
 Product Layout
 Resources are placed according to sequence of operations
dictated by a product
 Group Technology (GT) Layout
 seeks to exploit commonality in manufacturing and uses this
as the basis for grouping components and resources
 Fixed Position Layout
 emphasis is not so much on optimum position of resources
required for the process, since the product itself largely
dictates this; the focus is on gaining better control of
material flow and reducing delays
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 Process Layout
An example

Product A
Product B L L L L D D

Product C D D
L L L L
D D
M M

G G G
M M

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 Process Layout of an Automobile Service Station

Final Underbody Engine Paint

Inspection Repairs Repairs Booth Car
washing &
cleaning

Office

Dents
Spare Interiors, Repair
Oil Wheel Electrical
Parts Replacement Alignment Repairs Door
Store Repairs, etc.

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Process-Oriented Layout

Patient A - broken leg

ER
triage Emergency room admissions
room
Patient B - erratic heart
Surgery pacemaker

Laboratories

Radiology ER Beds Pharmacy Billing/exit

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Product Layout
An example

Product A
L D M G

Product B
L D L G

Product C
L D M L G

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 An Assembly Line (Product Layout)

Racks containing Racks containing

Racks containing
headlight sub-assembly steering wheels
backlight sub-assembly
sub-assembly
Workstation 1 Workstation 2
Workstation 3

Car 1 Car 2 Car 3

Conveyor

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McDonald’s Assembly Line

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Product & Process Layout
Pros & Cons

Process Layout Product Layout

Sharing of specialised and Standardised product/ process
costly equipments routing
Advantages More flexibility Operational Control is simpler

Less vulnerable to breakdowns High output rate is possible

Large Inventory buildup Low tolerance for breakdowns
Duplication of equipments
Disadvantages Operational control difficult leading to high cost
Less flexibility due to
Excess Material Handling dedication of resources

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Schematic Diagram to show Fixed-position Layout of a Space Shuttle

Raw Computer
Materials Experts

Equipments Assemblies

Technicians Fuel

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Group Technology Scheme
(b) Grouped Cylindrical Parts (families of parts)
(a) Ungrouped Parts
Grooved Slotted Threaded Drilled Machined
Group Technology Layout
An example

Cell 1 Cell 2

L M D M D L

D L G G D L

L D L D
M L G L M
Cell 4 Cell 3

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Group Technology Layout-Example
111 Lathe 2222 Fitting 2222 Paint 111
3333 Machines shop Shop 2222
3333

1 1
1 3 1
1 1
2 1 3 1
1 1
2 1 3
1
2
2222 Drilling 3333 Welding 3333
4444 Foundry 4444 Machines 4444 Shop 4444

Process Layout of a Factory

Manufacturing Cell 1

111 Lathe Drilling Fitting Welding Paint 111

Manufacturing Cell 2

2222222222 Foundry Lathe Fitting Paint 2222

Manufacturing Cell 3

3333333333 Lathe Fitting Drilling Welding 3333

Manufacturing Cell 4

444444444444444444444 Foundry Drilling Welding 4444

Cellular Layout
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Volume – Variety – Flow
Implications for layout planning

Variety
Medium One off
Very low variety Variety High Variety execution
Multiple flow Dis-organised
Flow attributes Stream lined flow Jumbled flow
paths flow
Volume attributes High Volume Mid-volume Low volume One piece
Job shops;
Process industry; Batch
Customised Project
Mass Product/ Manufacturing
Examples of Product/ Service Shops
Service provider firms
operating systems Provider
Group Fixed
Types of layout Line Layout;
Technology Process Layout Position
used Product Layout
Layout Layout

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Layout Design
Performance Measures
Performance Measure Basis for measurement
Distance travelled by jobs in the Kg - Metres of job movement for
shopfloor each product
Minimum space required to actual
Space utilisation index
space utilised
Material Handling costs Rupees per month
Lead time of the processes Hours per average product
Investment in work-in-progress Rupees per month
Number and quantum of inter-
Inter-departmental moves
departmental moves
Utilisation of the resources Percent to total capacity
Number of job cards and control
Ease of production control documents generated; Size of the
progress chasing staff
Number of times the responsibility
Number of ownership changes
for the job changes hands
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Design of Process-Oriented Layout

 Arrange work centers so as to

minimize the costs of material
handling
 Basic cost elements are
 Number of loads (or people) moving
between centers
 Distance, loads (or people) move
between centers
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Process-Oriented Layout

n n

Minimize cost = ∑ ∑ Xij Cij

i=1 j=1

where n = total number of

work centers or departments
i, j = individual
departments
Xij = number of loads
moved from department i to
department j
Cij = cost to move a load 21

between department i and

Process Layout Example
Arrange six departments in a factory to
minimize the material handling costs.
Each department is 20 x 20 feet and the
building is 60 feet long and 40 feet wide.
1. Construct a “from-to matrix”
2. Determine the space requirements
3. Develop an initial schematic diagram
4. Determine the cost of this layout
5. Try to improve the layout
6. Prepare a detailed plan 22
 Process Layout Example
Number of loads per week
Department Assembly Painting Machine Receiving Shipping Testing
(1) (2) Shop (3) (4) (5) (6)

Assembly (1) 50 100 0 0 20

Painting (2) 30 50 10 0

Machine Shop (3) 20 0 100

Receiving (4) 50 0

Shipping (5) 0

Testing (6)

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Process Layout Example
Area 1 Area 2 Area 3

Assembly Painting Machine Shop

Department Department Department
(1) (2) (3)

40’

Receiving Shipping Testing

Department Department Department
(4) (5) (6)

Area 4 Area 5 Area 6

60’ 24
Process Layout Example
Interdepartmental Flow Graph
100

50 30
1 2 3
20 20
10
50 100

4 5 6
50
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Process Layout Example
n n

Cost = ∑ ∑ Xij Cij

i=1 j=1

Cost = $50 + $200 + $40

(1 and 2) (1 and 3) (1 and 6)
+ $30 + $50 + $10
(2 and 3) (2 and 4) (2 and 5)
+ $40 + $100 + $50
(3 and 4) (3 and 6) (4 and 5)

= $570
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Process Layout Example
Revised Interdepartmental Flow Graph
30

50 100
2 1 3

10
50 20 50 100

50
4 5 6

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Process Layout Example
n n

Cost = ∑ ∑ Xij Cij

i=1 j=1

Cost = $50 + $100 + $50

(1 and 2) (1 and 3) (1 and 6)
+ $60 + $50 + $10
(2 and 3) (2 and 4) (2 and 5)
+ $40 + $100 + $50
(3 and 4) (3 and 6) (4 and 5)

= $510
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Process Layout Example
Area 1 Area 2 Area 3

Painting Assembly Machine Shop

Department Department Department
(2) (1) (3)

40’

Receiving Shipping Testing

Department Department Department
(4) (5) (6)

Area 4 Area 5 Area 6

60’ 29
Design of Product Layout
 Several Mass Production Systems are in operation
today
 Various sub-assemblies in a mass producer need to be
configured to match the production rate
 Similarly, the final assembly stations also need to have
the required number of resources at each station to
meet the targeted demand
 A product layout design
 seeks to identify the minimum number of resources
required to meet a targeted production rate and the
order in which these resources are to be arranged
 Technique employed for designing of product layout is
known as line balancing
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Assembly-Line Balancing
 Objective is to minimize the imbalance
between machines or personnel while
meeting required output
 Starts with the precedence
relationships
1. Determine cycle time
2. Calculate theoretical
minimum number of
workstations
3. Balance the line by
assigning specific
tasks to workstations 31
 Line Balancing
Some measures of interest

Available Time
Actual ( Desired ) Cycle Time 
Actual ( Desired ) Pr oduction

Sum of all task times

Minimum No. of work stations required 
Cycle Time

Sum of all task times

Average Re source Utilisation 
Number of workstations * Cycle time

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Example
 A factory working in 2 shifts each of 8 hours produces
24,000 electric bulbs using a set of workstations. Using
this information compute the actual cycle time of the
plant operation.
 There are 8 tasks required to manufacture the bulb. The
sum of all task times is equal to 12 seconds. How many
workstations are required to maintain this level of
production if combining of tasks into that many
workstations is a feasible alternative?

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Solution to example

 Available time = 2*8*60*60 = 57,600 seconds

 Actual production = 24,000 electric bulbs
 Therefore, using equation
57,600
Cycle time for each bulb is  2.4 seconds
24,000
 This means that the factory is producing a bulb every
2.4 seconds.
12
 No. of work stations required = 5
2 .4
 Therefore the tasks are to be split among the five
stations such that each workstation will have sum
of the task times to be 2.4 seconds.
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 Wing Component Example
Performance Task Must Follow
Time Task Listed
Task (minutes) Below
A 10 —
B 11 A This means that
C 5 B tasks B and E
cannot be done
D 4 B until task A has
E 12 A been completed
F 3 C, D
G 7 F
H 11 E
I 3 G, H
Total time 66

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 Wing Component Example
Performance Task Must Follow
Time Task Listed
Task (minutes) Below
A 10 —
B 11 A
C 5 B
D 4 B
E 12 A
F 3 C, D 5

G 7 F 10 11
C
3 7
H 11 E
A B F G
I 3 G, H 4
3
Total time 66 12
D
11 I
E H

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 Wing Component Example
Performance Task Must Follow 480 available
Time Task Listed mins per day
Task (minutes) Below 40 units required
A 10 —
B 11 A Production time
C 5 B available per day
D 4 CycleB time = Units required per day
E 12 A = 480 / 40
F 3 C, D = 12 minutes per unit
G 7 F
H 11 E n
Minimum ∑ Time for task i
I 3 G, H
number of = i = 1
Total time 66 workstations Cycle time

= 66 / 12
= 5.5 or 6 stations
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 Wing Component Example
Performance Task Must Follow 480 available
Time Task Listed mins per day
Task (minutes) Below 40 units required
A 10 — Cycle time = 12 mins
B 11 A Minimum
Station
workstations = 5.5 or 6
5
C 52 B
D 4 C B
E 10 11
12 A 3 7
F A B3 C, D F G
4 3
G 7 F
H 11 D E Station 3 I
I 3 12 G, H 11
Station 6
Total
Stationtime 66
1 E H
Station Station
4 5
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 Wing Component Example
Performance Task Must Follow 480 available
Time Task Listed mins per day
Task (minutes) Below 40 units required
A 10 — Cycle time = 12 mins
B 11 A Minimum
C 5 B workstations = 5.5 or 6
D 4 B
E 12 A
F 3 C, D
G 7 F ∑ Task times
Efficiency =
H (Actual number ofEworkstations) x (Largest cycle time)
11
I 3 G, H
= 66 minutes / (6 stations) x (12 minutes)
Total time 66
= 91.7%

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 Example
 A computer manufacturer needs to design the assembly stations in the
factory where the cabinet housing the hard disk, motherboard and other
accessories are to be done. The factory currently works for one shift of 8
hours. The tasks, their duration and their precedence relationships are
given below:

Task Description Duration Precedence relationship among the tasks

(seconds) B
A Assemble and position the base unit 70
F
B Install Hard disk 80
C Install Mother Board 40
A C
D Insert Ports 20 G H
E Install speaker 40
F Connect relevant modules to mother board & Disk 30 D
G Install controller 50
H Visually inspect & close with a cover plate 50
 If the cycle time is 80 seconds, what will be the daily production of cabinets?E
 If the desired production rate is 320 cabinets per day, what is the maximum permissible cycle time?
 What is the maximum and minimum number of workstations required to maintain this daily
production rate?
 Design an assembly setup with 5 workstations and 6 workstations.

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Solution to example
 Total available time per day = 8*60*60 = 28,800 seconds
 If the cycle time is 80 seconds, then

 Daily production rate = Total Available Time 28,800

  360
Cycle Time 80
 Since the desired production rate is only 320 cabinets, one can
obtain the maximum permissible cycle time for the assembly
stations
 Maximum Cycle Time = Total Available Time 28,800
  90 Seconds
Desired Pr oduction Rate 320
 Minimum number of workstations is dictated by the maximum
cycle time permissible

 Sum of all task times = 380 seconds

 Minimum number of workstations = 380
 4.22  5
90 41
Solution to example
Design with 5 work stations
 We assign tasks to the five workstations on the basis of the
following two criteria:
 Workstation times should not exceed maximum permissible cycle
time of 90 seconds
 The precedence relationships need to be honoured
Workstation Workstation Workstation Workstation Workstation
1 2 3 4 5
Tasks A,D B C,G E,F H
Assigned
Workstation 90 80 90 70 50
Times
Cycle time 90 90 90 90 90
Workstation 0 10 0 20 40
idle time
Workstation 100% 89% 100% 78% 56%
utilization

Average Utilisation = Sum of all task times 380

  84.4%
No. of work stations *Cycle time 5 * 90
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Solution to example
Design with 6 work stations
Work Work Work Work Work Work
station station station 3 station 4 station 5 station 6
1 2
Tasks A B C,D E,F G H
Assigned
Workstation 70 80 60 70 50 50
Times
Cycle time 80 80 80 80 80 80
Workstation 10 0 20 10 30 30
idle time

Workstation 87.5% 100% 75% 87.5% 62.5% 62.5%

utilisation

Sum of all task times 380

Average Utilisation =   79.2%
No. of work stations * Cycle time 6 * 80
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Design of Cellular
Manufacturing Layouts
Cell Formation Procedure
1. Form the Parts-Machines Matrix.

2. Rearrange the Rows.

 Place the machines that produce the same
parts in adjacent rows.

3. Rearrange the Columns.

 Place the parts requiring the same machines in
adjacent columns.
4. Use the rearranged parts-machines matrix to
identify cells, the machines for that cell and the
parts that will be produced in that cell.
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Example: Maxx Superchargers
Cell Formulation
Maxx produces superchargers for high
performance cars and trucks. Maxx has
implemented a group technology program in its
shop and now must formulate the manufacturing
cells. Maxx has identified six parts that meet the
requirements for CM.
The parts-machines matrix on the next
slide identifies the 6 parts and 5 machines.
machines on which the parts are presently
produced.
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Example: Maxx Superchargers
Cell Formulation – Original Matrix
Parts
1 2 3 4 5 6
A X X X
B X X X X
Machines C X X
D X X
E X X X

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Example: Maxx Superchargers
Cell Formulation – Rows Rearranged
Parts
1 2 3 4 5 6
A X X X
E X X X
Machines D X X
C X X
B X X X X

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Example: Maxx Superchargers
Cell Formulation – Columns
Rearranged Parts
3 5 6* 1 2 4
A X X X
E X X X
Machines D X X
C X X
B X X X X
* exceptional part

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Example: Maxx Superchargers
Cell Formulation – Summary
 2 manufacturing cells (MC1, MC2) will be
used.
 Parts 3 and 5 will be produced in MC1 on
machines A and E.
 Parts 1, 2 and 4 will be produced in MC2
on machines B, C and D.
 Part 6 is an exceptional part that cannot
be produced within a single cell.
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One man multiple machine layout
An example from Lucas TVS

4 way 4 way
Lathe Drill Drill
Press
SS
  Drill  SS
Press
Drill
Bench 
Lathe Bench

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Layout Design in Service Systems
 Two important factors
 Degree of customer contact
 Line of visibility

 Customer convenience is of paramount importance

and firms may have to forego efficiency aspects of
layout design

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 Concluding Points
 Volume, variety and flow exert significant influence on the
layout problem in organisations.
 Product layouts are useful for high volume – low variety
situations.
 At the other extreme, fixed position and project layouts are
useful for high variety situations.
 Product layout and process layouts are used in discrete
manufacturing industry.
 Mid-volume and mid-variety manufacturing systems can
benefit from a Group Technology (GT) layout.
 Quantitative approaches to design of process layouts
typically make use of some measure of inter-departmental
flow and material handling cost for assessing the
suitability of a layout.
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Concluding Points

 Several computer packages are available for designing

process layouts. Popular among them include CORELAP,
ALDEP COFAD and CRAFT.
 Product layout design seeks to identify the minimum
number of resources required to meet a targeted
production rate and the tasks to be assigned to each of
these resources using a technique called line balancing.
 GT layouts are designed with the objective of sub-dividing
a universe of machines and components into sub-groups
such that each sub-group consists of part families and
machine groups.
 Two important factors that could influence the layout
design problem in a service organisation are degree of
customer contact and line of visibility.
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