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FacilityDecisions:Layouts

The McGraw-Hill Companies, Inc., 2003

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Fundamentals of Operations Management 4e The McGraw-Hill Companies, Inc., 2003 82

Objectives

Introduce the different types of facility layouts that canbe used in designing manufacturing and service

operations.

Present a methodology for designing a process-

oriented layout. Introduce the concept of takt time and its relationship

to the output capacity of a product-oriented layout.

Identify the various steps and elements that are

involved in balancing an assembly line. Discuss the current trends in facility layouts given

todays shorter product life cycles and the customers

increasing desire for customized products.

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Managerial Issues

Recognizing that many factors must be considered inchoosing how to layout a facility.

Understanding the significant impact that choosing a

particular type of layout has on the firms ability to

compete in the market and its long-term success. Developing estimates of the investment costs of time

and money associated with installing a particular

layout.

Attaining the goal of a smooth flow of material throughthe process through the choice of a layout that is both

efficient and effective.

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Types of Manufacturing Layouts

Layout Type

Process Similar operations are performed in acommon or functional area, regardless ofthe product in which the parts are used.

Product(Flow-shop layout)

Equipment/operations are locatedaccording to the progressive steps requiredto make the product.

Group Technology(GT) or Cellular

Groups of dissimilar machines are broughttogether in a work cell to perform tasks on afamily of products that share common

interests.

Fixed-Position The product, because of its size and/orweight, remains in one location andprocesses are brought to it.

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Characteristics of a Good Layout

Exhibit 8.1

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Product Layout: Key Terms

Product Interval TimeThe time between products being completed

(processed through) at a single station (process

step). Also cycle time or takt time.

Product Duration (Throughput) Time.The overall time required to entirely complete an

individual product.

Assembly Line BalancingAssignment of tasks to workstations within agiven cycle time and with minimum idle worker

time.

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Assembly Line Balancing Steps

1. Specify the sequential relationships among tasksusing a precedence diagram.

2. Determine the required takt (T) time.

3. Determine the theoretical minimum number of

workstations (Nt) required to satisfy the takt time

constraint.

4. Select a primary rule by which tasks are to be

assigned to workstations and a secondary rule to

break ties.

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Assembly Line Balancing Steps (contd)

5. Assign tasks, one at a time, to the first workstationuntil the sum of the task times is equal to the takt

time. Continue assigning tasks to other workstations

until all tasks are assigned.

6. Evaluate the efficiency of the resulting assembly line.

7. If efficiency is unsatisfactory, rebalance the line using

a different decision rule in step 4.

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Takt Time and Throughput Timeon an Assembly Line

Matching task time to takt time:1. Split the task

2. Duplicate the station

3. Share the task4. Use a more skilled worker

5. Work overtime

6. Redesign the product

Exhibit 8.9

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Flexible

LineLayouts

Exhibit 8.13Source: Robert W. Hall,Attaining Manufacturing Excellence

(Homewood, IL: Dow Jones-Irwin, 1987), p. 125.

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Group Technology (Cellular) Layout

BenefitsBetter human relations in small work teams.

Improved operator expertise from the limited

number of parts and quick production cycle.

Less work-in-process inventory and material

handling due to reduced number of production

stages.

Faster production setup from faster tooling

changes.

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Group Technology (GT) Layout

Developing a GT LayoutGrouping parts into families that follow a

common sequence of steps.

Identifying dominant flow patterns of parts-

families for location of processes.

Physically grouping machines and processes

into cells.

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Facilities Layout for Services

Goals of Service Facility LayoutsMinimize travel time for workers and customers

Maximize revenues from customers

Types of Service Layouts

Process layoutemergency rooms

Product layoutcafeteria line

Fixed-position layoutautomobile repair shop

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Facilities Layout for Services

ServicescapeThe aspects of the physical surroundings in a

service operation that can affect a customers

perception of the service received.

Ambient conditions Noise, lighting, and temperature

Spatial layout and functionality

Minimizing employee travel time and maximizing

revenue opportunities from customers

Signs, symbols, and artifacts

Objects that create positive images of the firm