MODULE 5r

process selection
and
Facility Layout

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 Facility Layout
• Meaning, Reasons and Objectives
of Facility Layout
–Types of Facility Layout
–Tools/Techniques for Designing
Facility Layout
• Load distance analysis
• Systematic layout planning 2
 Meaning, Reasons and Objectives of Facility
Layout
Meaning of plant Layout ?
• Plant layout refers to the optimum physical arrangement of production
facilities.
What is Facility Layout?
– Arrangement of areas within a facility
– Arrangement, Configuration, or placement
of : departments, workstations /work centers,
machines, Personnel, with in productive facility
– It is the configuration of departments, work centers
and equipment in the conversion process. 3
 Facility Layout
• Layout decisions are important for
three basic reasons:
1. Require substantial investments of
money and effort
2. Involve long-term commitments,
which makes mistakes difficult to
overcome
3. Have a significant impact on the cost
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 Facility Layout
• Factors that influence layout include: .
– Volume of items to be produced
– weight of items to be produced
– Nature of the service to be provided
– Cost of the building to house the operation
– The product mix that must have a facility
– The fragility of the product or component
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 Facility Layout
Why Layout & Re-layout ?
– Changes in the level of demand
– The introduction of new products and changes in
the design of existing products
– Obsolescence of processes or machines
– Personnel problems and industrial accident hazards
• i.e., satisfy the needs of all personnel associated with
the production system
– The need for cost reductions

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 Objectives of Facility Layout

• Higher utilization of space, equipment, and

people
• Improved flow of works, information,
materials, or people
• Improved employee morale and safer
working conditions
• Improved customer/client interaction
• High degree of flexibility
• Minimize material-handling costs
• Reduced manufacturing and customer
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 Objectives of Facility Layout

• To facilitate attainment of product or service quality

• To eliminate unnecessary movements of workers or
materials
• To design for safety to avoid hazard to employees
• Provide a visual control of operations
• Provide flexibility to adapt changing condition
• Minimize interferences from machines:
– such as
• excessive noise,
• dust,
• vibration,
• fumes and
• heat that can be emitted from machines
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 Types of Layouts
• Basic Layouts
– Process layouts
– Product layouts
– Fixed-position layouts
• Other types of layouts
– Mixed/Combination/Hybrid layouts
• Cellular Layouts
– Office Layout
– Retail Layout
– Warehousing and Storage Layouts
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 A. Process/Functional Layout
• Group similar equipment's, machines,
knowledge, skill, or functions together
according to process or function they
• perform
Hospital(e.g.,) • In Machine • In clothing
Service Shop Store-
– Maternity – milling, – women’s
Ward – grinding, clothes,
– Intensive Care – drilling, and – men’s clothes,
Units – lathing – shoes,
– Emergency
– cosmetics

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 A. Process/Functional Layout
• Department areas having similar processes
located in close proximity
– group similar activities together in departments
or work centers
• according to the process or function they perform.
• A part worked on then, travels, according to
established sequence of operations, from
area to area, where the proper machines or
equipment's are located for each operation
• Used for 11
 A. Process/Functional Layout

Manufacturing Process Layout

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 A. Process/Functional
Layout
Service Process Layout: Emergency Room
Process Layout

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 A. Process/Functional Layout
Advantages
• It is used for low volume, high variety production
• Resources are general purpose and less capital intensive
• More flexible and less vulnerable to change
• Equipment utilization is higher when volumes are low as
resources can be dedicated to other product lines
• Process layouts are less vulnerable to breakdowns i.e., if
one machine breaks down, the other can continue
processing
• It is possible to isolate machines that create interference
(noise, vibration, heat, …)
• Individual-based incentive pay systems can be used,
since work is usually paced by the employees rather than
by the machine 14
 A. Process/Functional Layout
Disadvantages
• Processing rates tend to be slower
• Productive time is lost changing from one
product to another
• More space and capital are tied up in
inventory as there is large varieties
• Longer production Lead Time (LT)
• Materials handling is costly
• Variable-path devices (which are more costly)
are used
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 B. Product Layout
• Arranges equipment's, machines, and
activities according to the progressive steps
or sequences of operations by which a
particular product or service is made.
• Suitable for continuous production process
– suitable for mass production or repetitive
operations in which demand is stable and volume
is high.
• Also known as:
– Production line layout
– Assembly line layout
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–
 B. Product Layout

• Resources are arranged around

the product route instead shared
across products
• The product flow/path could be:
–A straight line
–U-shaped
–Branched
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 Product Layout: Example

In

Out

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 B. Product Layout
• The previous slide photo shows a
product layout where car bodies are
moving down a paced assembly line
with workers following along completing
their tasks.
• Notice the workstations alongside the
assembly line with tools, materials,
signage, instructions, and on lights (for
signaling line slow down or stoppage).
• Today's factories are clean and orderly;20
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 B. Product Layout
Advantage
• High rate of output
• Faster processing rates due to mechanized fixed-path
and the machine pacing of the production rate
• Routing and scheduling of production are much
simpler
• Low fixed-cost-per-unit due to standardized high
volume products
– Economies of scale
• Reduced work-in-process inventory
• Easier training and supervision…..b/c of labor
specialization
• Less unproductive time due to changes in processes
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 B. Product Layout
Disadvantages
– Machine breakdowns and absenteeism may cause
shutdown of the entire plant
– Less flexible necessitating standardized products
– It demands high-volume to justify the ROI in
special purpose machines
– Difficult to avoid machine interference like
excessive noise
– Difficulty of applying individual-based incentive
plans
– Less employees motivation …repetitive work
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 B. Product Layout
Advantages of u-shaped over long straight-line layout
– There is not interferes with cross travel of workers and
vehicles
– It often requires a little more than half the length of a
straight production line
– It permits increased communication among workers on
the line because workers are clustered and facilitates
teamwork
– It increases flexibility in work assignments because
workers can handle not only adjacent stations, but also
stations on opposite sides
– It minimizes materials handling cost as materials enter
the plant at the same point that finished products leave it
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 C. Fixed Position Layout
• Is a layout in which the product or project remains stationary,
and workers, materials, and equipment are moved as needed
• Typical of projects in which a product produced is too fragile,
bulky, or heavy to move
• Often characterized by:
– Low equipment utilization
– Highly skilled labor requirement
– High variable costs
• It is appropriate for large projects such as:
– Ships
– Planes
– Farming
– Firefighting
– Road building
– Home building
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 C. Fixed Position Layout
Advantages
– Reduces movement of work items;
– Minimizes damage or cost of moving
– More continuity of the assigned workforce since the
item does not go from one department to another
– It reduces the problems of re-planning and instructing
people each time a new type of activity is to begin
– Provides pride for workers as they can apply their skill
to complete the job
– Highly flexible i.e., easy to alter the sequences of
operations when tools, materials, or supplies do not
arrive on time
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 C. Fixed Position Layout
Disadvantages
– Highly skilled and versatile workers are needed
who are difficult to find and demand high pay
– Lack of efficiency i.e., movement of people and
equipment to and from the work site
– Equipment utilization may be low because the
equipment may be left at a location where it will
be needed again in a few days rather than
moved to another location where it would be
productive
– Difficulty in scheduling and communicating with
widely dispersed resources
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– Potential for significant cost overruns and quality
 D. Hybrid/Combination
Layouts
• The two Extreme Layouts:
– Product layouts
– Process layouts
• Hybrid layouts:
– Combine the benefits of both the product and process layouts
• Commonly applied in fabrication and assembly industries
with the help of FMS….. flexible manufacturing system
• They are a combination of process and product layouts
– i.e., some portions of the facility are arranged in a Process Layout
(fabrication) and
– others are arranged in a Product Layout (assembly)
• In a fabrication operation, components are made from raw
materials, then these components are assembled in to
finished products
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 Hybrid/Combination Layouts
Hybrid layouts modify and/or
combine some aspects of product
and process layouts.
Three hybrid layouts:
cellular layouts,
flexible manufacturing systems,
and 36
 Group Technology (GT) / Cellular Layout
• An approach to manufacturing in which
similar parts are identified and grouped
together
– in order to take advantage of their
similarities in design and production
• Similarities among parts permit them to
be classified into part families
– which processing steps are similar
• The improvement is typically achieved
by organizing the production facilities 37
 Group Technology (GT) / Cellular Layout
Part Family
• A group of parts that possess similarities
in
– geometric shape and size, or
– the processing steps used in their
manufacture
• Part families are a central feature of
Group Technology
– There are always differences among parts in
a family, but the similarities are close
enough that the parts can be grouped into 38
 Group Technology (GT) / Cellular Layout
Ways to identify Part Families are:
• Visual inspection:
– using best judgment to group parts into
appropriate families, based on the parts or
photos of the parts
• Production flow analysis:
– using information contained on route sheets to
classify parts
• Parts classification and coding:
– identifying similarities and differences among
parts and relating them by means of a coding
scheme 39
 Group Technology (GT) / Cellular
Layout
Parts Classification and Coding System
a. Based on part design attributes:
– major dimensions,
– basic external shape,
– basic internal shape,
– length/diameter ratio,
– material type,
– part function,
– tolerances,
– surface finish
b. Based on part manufacturing attributes:
– major process,
– operation sequence,
– batch size,
– annual production,
– machine tools, cutting tools, material type
c. Based on both design and manufacturing attributes

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 Group Technology (GT) / Cellular Layout
Shifting from Process Layout to a GT layout:
• Grouping parts into families that follow a
common sequence of steps:
– It requires developing and maintaining a
computerized parts classification and coding
system for identifying parts families
• Identifying dominant flow patterns of parts
families as a basis for location or relation of
processes
– Physically grouping machines and processes into
cells:
• of course, there could be parts that cannot be associated with42a
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 Group Technology (GT) / Cellular Layout
Benefits of GT
–Standardization of tooling, fixtures, and
setups is encouraged
–Material handling cost will be reduced
–Parts are moved within a machine cell
rather than entire factory
–Simplified process planning and
production scheduling
–Reduced work-in-process and
manufacturing Lead Time (LT) 48
 Cellular Layout/Group Technology
Advantages

Reduced material handling and
transit time

Reduced setup time

Reduced work-in- process inventory

Better use of human resources

Easier to control
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
 Group Technology (GT) / Cellular Layout

Problems in Group Technology (GT) .

• Identifying the part families could be
challenging:
– imagine if a plant makes 10,000 different
parts, reviewing all of the part drawings and
grouping the parts into families is a
substantial task
• Rearranging production machines in the
plant into the appropriate machine cells:
– it takes time to plan and accomplish this
rearrangement, and the machines are not
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 Cellular Layout/Group Technology
Disadvantages
 Inadequate part families
 Poorly balanced cells

 Expanded training and scheduling of

workers
 Increased capital investment

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 Flexible Manufacturing System (FMS)

• A flexible manufacturing system (FMS) consists of

numerous programmable machine tools connected
by an automated material handling system and
controlled by a common computer network.
• It is different from traditional automation, which is
fixed or “hard wired” for a specific task.
• Fixed automation is very efficient and can produce in
very high volumes, but is not flexible.
• Only one type or model of product can be produced
on most automated production lines, and a change in
product design would require extensive changes in 52
 Flexible Manufacturing System (FMS)
• An FMS combines flexibility with efficiency.
• Tools change automatically from large storage
carousels at each machine, which hold hundreds of
tools.
• The material-handling system (usually conveyors
or automated guided vehicles) carries work pieces
on pallets, which can be locked into a machine for
processing.
• The efficiency of an FMS is derived from
reductions in setup and queue times.
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 E. Office Layout
• Grouping of workers, their equipment, and spaces to
provide comfort, safety, and movement of information
• Design the positions of people, equipment, & offices
facilities for improved
– communication and
– workflow flow
• The trend in office layout is toward more open offices,
with personal workspace separated only by low-rising
dividing walls to foster:
– Greater communication
– Teamwork
• In office layout, size and orientation of desks can indicate
the importance or professionals of the people behind
them such as Manager, Officer, clerk, . . .
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 Retail Service Layouts
Five considerations in Retail Layout:
– Locate high-draw items around the edge of the
store such as meat and diary
– Use prominent locations such as the first or last
aisle for high-impulse and high margin items such
as beauty aids, and shampoos
– Remove crossover aisles that allow customers the
opportunity to move between aisles
– Distribute what are known in the trade as “power
items” (items that may dominate a shopping trip)
to both sides of an aisle, and disperse them to
increase the viewing of other items 58
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 Warehouse and Storage Layouts
• The objective of warehouse layout is to find optimal trade-off
between handling cost and warehouse space and minimize
the damage and spoilage of materials within the warehouse.
• Materials handling costs related to
– the incoming transport,
– storage, and
– outgoing transport of the materials to be warehoused.
• The costs include
– equipment,
– people,
– material,
– supervision,
– insurance, and
– depreciation
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 Warehouse and Storage Layouts
• An important component of warehouse
layout is the relationship between the
receiving / unloading area and the
shipping/loading area
• Facility designed depends on the type of:
– Store Keeping Units (SKUs) unloaded
– Mode of transportation:
• truck,
• rail cars, . . .
– Where SKUs are unloaded 65
 Warehouse and Storage Layouts
Factors to be considered in the Warehouse
Layout include
– Frequency of order
– Correlations between items
– Widths of aisles
– The height of storage racks
– Rail and/or truck loading and unloading
– Need to periodically make a physical count of
stored items.

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