Reid10 s08

1. Facility Layout
Chapter 10
pages 345-349, 359-360, 367-368

2. MGMT 326
Foundations Products & Quality Planning
Facilities
of Operations Processes Assuranc & Control
e
Managing Managing Capacit
Introduction y
Projects Quality
and
Strategy Product Statistical Location
Design Process Facility
Control Layout
Process
Design
Just-in-Time & Lean
Systems

3. Presentation Outline
 Importance of layout planning
 Process and product layouts
 Office layouts
 Designing cellular layouts

4. What Is Layout Planning?
 Layout planning is determining the best
physical arrangement of resources
within a facility

5. Why is layout planning important?
 Eliminates unnecessary costs for space and
materials handling
 Reduces work-in-process inventory
 Produces goods and services faster
 Reduces distances that workers must travel
in the workplace
 Improves communication and morale
 Increases retail sales
 Improves brand image

6. Types of Layouts
 Process layouts: Group similar resources together
 Product layouts: Designed to produce a specific product,
or a small number of products efficiently
 Hybrid layouts: Combine aspects of both process and
product layouts
 Example: cellular layout
 Fixed-Position layouts: Product is too large to move
 Examples: building construction, shipyard
 Resources must be brought to where they are needed

7. Process and Product Layouts

8. Process Layouts
 Used in project and batch manufacturing
(intermittent processes)
 Also used in department stores, offices,
hospitals, and universities
 Able to make or sell a variety of products
 Use general purpose resources
 Less automation than in product layouts

9. Process Layouts (2)
 Material handling costs per unit are higher
than in product layouts
 Scheduling production is more complex than
in product layouts

10. Product Layouts
 Used in assembly lines and continuous
manufacturing (repetitive processes)
 A cafeteria line is a product layout
 In manufacturing, product layouts are used to
produce one product, or a small group of
products, efficiently
 Uses special purpose resources
 More automation than in process layouts

11. Product Layouts (2)
 Material handling costs per unit are lower
than in process layouts
 Scheduling production is simpler than in
process layouts

12. Designing Process Layouts
 Step 1: Gather information:
 Space needed, space available, importance of proximity
between various units
 Step 2: Develop alternative block plans:
 Using trial-and-error or decision support tools
 2 approaches
 Relationship (REL) chart
 From-to matrix
 Can use both
 Decision support systems are heuristic methods

Usually give a "good" solution

Solution may not be optimal (best solution)

13. Designing Process Layouts (2)
 Step 3: Develop a detailed layout
 Consider exact sizes and shapes of
departments and work centers including
aisles and stairways
 Tools like drawings, 3-D models, and
computer-assisted design (CAD) software
are often used

14. Process Layout Example
Block layout for a sports medicine clinic
A B C
Radiology Laboratory Lobby &
Waiting
D E F
Examining Surgery & Physical
Rooms Recovery Therapy

15. Process Layout Example (2)

16. Process Layout Example (3)

17. Process Layout Example (4)
Proposed Layout
A B C
Radiology Examining Lobby &
Rooms Waiting
D E F
Surgery & Laboratory Physical
Recovery Therapy

18. Process Layout Example (5)

19. Designing Product Layouts
 Objectives
 Produce the required number of units to
meet demand
 Use workers and equipment efficiently

High utilization of workers and equipment
 Balance workload among employees

20. Designing Product Layouts (2)
 Based on a precedence diagram
 Assign tasks to work stations
 Assign work stations to locations

21. Office Layouts
 Almost half the U. S. work force works in an
office
 Human interaction and communication are
the primary considerations in office layouts
 People who need to interact frequently should
be close to each other
 One key layout tradeoff is between closeness
and privacy

22. Office Layouts (2)
 Open concept offices promote understanding
and trust.
 A few closed rooms are needed for private
discussions, such as personnel matters.
 Moveable walls provide flexibility to change
the layout when needed.

23. Office Layout Example
3D Systems
 Hi-tech company – provides equipment and
materials for rapid product design and
manufacturing
 Rock Hill headquarters handles product design,
sales, training, and administration
 Open office plan
 Conference room
 Areas for informal meetings
 Product showroom for customers
 Cyber café and fitness center for employees