1 facility design and layout creating the right environment

1

Facility Design and Layout

Creating the Right Environment

2

Facility Design and the Servicescape

Designing Physical Surroundings to Affect Employee and Customer Behavior

3

4

5

6

7

Facility Design and the Servicescape

The servicescape must be in line with the service concept– Self-service: it must guide customers (signs,

hot buttons on website)– Remote service: motivate employee and

achieve operational efficiency– Professional services: project competence and

authority

8

Servicescapes

Ambient Conditions: noise, music (tempo), lighting,

temperature, scent (cookies), color (performance). Spatial Layout and Functionality: reception area,

circulation paths of employees and customers, and focal points. (efficiency/uncertainty)

Signs, Symbols, and Artifacts: selection, orientation, location, and size of objects.

9

Environmental Orientation Considerations

Need for spatial cues to orient visitors Formula facilities draw on previous

experience Entrance atrium allows visitors to gain a

quick orientation and observe others for behavioral cues

Orientation aids and signage such as “You Are Here” maps reduce anxiety

10

Strategic Role of Servicescapes

Visually conveys usage and quality of service Facilitates the delivery of the service (employees

& customers) (floorplan, layout of website); can encourage social interaction (waiting room)

Acts as a market differentiator by signalling the intended market segment (signs of restaurants); conveys distinctiveness from competitors

11

Facility Design Considerations Nature and Objectives of Service

Organization: internal as well as external design (church, mosque, ski lodge, Chinese restaurant)

Land Availability and Space Requirements (future expansion, parking)

Flexibility for changes in demand or service specification (Burger King walk-in+drive through) Cost of initial excess capacity for growth vs cost of later adjustments)

Aesthetic Factors The Community and Environment: Impact on traffic,

noise, pollution, waste disposal. zoning regulations, action groups

12

Facility Layout Volume of demand Variability in the service provided Degree of personalization Skills, attributes of employees Nature of consumer interaction (self-service) Cost of providing the service Implicit and explicit cost to the customer Flexibility Consistency (reproducibility)

13

Product Layout

Limited variety of services to a large number of customers

Operations are arranged in the sequence of their performance

Series and parallel arrangements

14

Product Layout

Single server

Parallel

Series

Series+parallel

15

Product Layout Line-balancing Problem

Automobile Driver’s License Office

Review Payment Violations Eye Test Photograph Issue

In Out1 240 15

2 120 30

3 60 60

4 90 40

5 180 20

6 120 30

Activitynumbers Flow rate per hour Time in seconds

16

Automobile Driver’s License Office (Improved Layout)

1,4 65 55

3 60 60

3 60 60

1,4 65 55

6 120 30

5 180 20

2 120 30

In

In

Out

17

Process Layout

Similar ops grouped together– Employee skills or equipment– Type of service– Attitude/expectations of customers

Intermittent flow– Variability in type of service– Variability in sequence of service delivery

18

Process Layout

Point of control: scheduling Flexibility through:

– Employees with broad skills– General purpose equipment

Labour intensive Capacity to privide wide variety of services Cater for individual needs

19

Process Layout How will layout affect attitude of customers?

(Distance walked, proximity to rest rooms, view from window)

How will layout affect quality of service? (attitude of employees, communication with other depts, compatibility with organizational hierarchy)

Costs associated with layout (fixed & variable costs, cost to customer)

n! Possible layouts (n=10; 3 128 800)

20

Process LayoutRelative Location Problem

Ocean World Theme Park Daily Flows

10

0

6

60

10

7 5

0

6020

43

6

6201

7

010

15

2

8

3

10

15

8820

630

15030

8104012

6

8

530

10

10

A B C D E F A B C D E F

A

B

C

D

E

F

Netflow

Flow matrix Triangularized matrix

Description of attractions: A=killer whale, B=sea lions, C=dolphins, D=water skiing, E=aquarium, F=water rides.

21

Ocean World Theme Park (Proposed Layout)(a) Initial layout (b) Move C close to A

Pair Flow distances Pair Flow distances

AC 30 * 2 = 60 CD 20 * 2 =40

AF 6 * 2 = 12 CF 8 * 2 =16

DC 20 * 2 = 40 DF 6 * 2 = 12

DF 6 * 2 = 12 AF 6 * 2 = 12

Total 124 CE 8 * 2 = 16

Total 96

(c ) Exchange A and C (d) Exchange B and E and move F

Pair Flow distances Pair Flow distances

AE 15 * 2 = 30 AB 15 * 2 =30

CF 8 * 2 = 16 AD 0 * 2 = 0

AF 6 * 2 = 12 FB 8 * 2 = 16

AD 0 * 2 = 0 FD 6 * 2 = 12

DF 6 * 2 = 12 Total 58

Total 70

A B C

D E F

A

C

D

B

E F

C

A

D

B

FE

A F

C E

D B

22

Process Flow Charting Symbols

Category Symbol Description

Operation An operation performed by the server off-line or customers

self-service. A possible service failure point.

Customer An occasion when server and customer interact. An

contact opportunity to influence customer service perceptions.

Travel The movement of customers, servers, or information

between operations.

Delay D Delay resulting in a queue and a need for waiting space for

customers.

Inspection An activity by customer or server to measure service quality.

23

Credit Card Processing (Before)Distance Time Activity

Customer requests check

30 ft. 0.5 min. D Server walks

0.5 min. D Server prepares check

30 ft. 0.5 min. D Server walks

0.25 min. D Server presents check

30 ft. 0.5 min. D Server walks

0.5 min. D Customer inspects, puts card out

30 ft. 0.5 min. D Server returns to table

0.25 min D Server picks up card

30 ft. 0.5 min. D Server walks to process

0.5 min D Server fills out slip

0.5 min. D Server processes slip

1.0 min. D Server obtains preauthorization

30 ft. 0.5 min. D Server walks

0.25 min. D Server presents slip

30 ft. 0.5 min. D Server walks

0.5 min. D Customer signs (leaves)

30 ft. 0.5 min. D Server walks

0.25 min. D Server picks up slip

30 ft. 0.5 min. D (Customer leaves) Server walks

Total time: Server:9 min. (270 ft.) Customer: 7.75 min.

24

Credit Card Processing (After)

Distance Time Activity

Customer requests check

30 ft. 0.5 min. D Server walks

0.5 min. D Server prepares check

0.5 min. D Server fills out slip

30 ft. 0.5 min. D Server walks

0.25 min. D Server presents check and slip

30 ft. 0.5 min. D Server returns to table

0.5 min D Customer inspects, puts card out, signs slip

30 ft. 0.5 min. D Server returns to table

0.25 min D Server picks up card and slip

30 ft. 0.5 min. D Server walks

0.5 min. D Server processes slip an card

1.0 min. D Server obtains authorization

30 ft. 0.5 min. D Server walks

0.25 min. D Server presents card and receipt

30 ft. 0.5 min. D Server walks

D Customer leaves

Total time: Server: 7.5 min. (210 ft.) Customer: 6.75 min.

25

Topics for Discussion Compare the attention to aesthetics in waiting rooms

that you have visited. How did the different environments affect your mood?

Give an example of a servicescape that supports the service concept and another that detracts. Explain the success or failure in terms of the servicescape dimensions

Based on your work experience, contrast a supportive servicescape with a poor one in terms of job satisfaction and productivity.