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121 Production and Operation Management UNIT8: PLANT LAYOUT AND MATERIALS HANDLING UNIT STRUCTURE 8.1 Learning Objectives 8.2 Introduction 8.3 Plant Layout 8.4 Classification of layout 8.4.1 Process Layout 8.4.2 Product Layout 8.4.3 Cellular Layout/ Group Layout/ Combination Layout 8.4.4 Fixed Position Layout/ Static Layout 8.5 Layout design procedures 8.5.1 Systematic layout design procedures 8.5.2 Computerized Relative Allocation of Facilities Technique (CRAFT) 8.5.3 Automated Layout Design Program (ALDEP) 8.5.4 Computerized Relationship Layout Planning (CORELAP) 8.5.5 Algorithm and Models for Group Technology 8.6 Materials Handling Systems 8.7 Let Us Sum Up 8.8 Further Reading 8.9 Answers to Check Your Progress 8.10 Model Questions 8.1 LEARNING OBJECTIVES After going through this unit, you must be able to: explain the basic concept of plant layout explain the various types of plant layout describe the various modern computerized methods of plant layout explain the various materials handling systems

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Page 1: Plant Layout and Materials Handling Unit 8 UNIT8: PLANT ... 3rd Sem/Master Degree/MBA 3rd Sem/Pr… · 8.5.4 Computerized Relationship Layout Planning (CORELAP) 8.5.5 Algorithm and

121Production and Operation Management

Plant Layout and Materials Handling Unit 8

UNIT8: PLANT LAYOUT AND MATERIALSHANDLING

UNIT STRUCTURE8.1 Learning Objectives

8.2 Introduction

8.3 Plant Layout

8.4 Classification of layout

8.4.1 Process Layout

8.4.2 Product Layout

8.4.3 Cellular Layout/ Group Layout/ Combination Layout

8.4.4 Fixed Position Layout/ Static Layout

8.5 Layout design procedures

8.5.1 Systematic layout design procedures

8.5.2 Computerized Relative Allocation of Facilities Technique

(CRAFT)

8.5.3 Automated Layout Design Program (ALDEP)

8.5.4 Computerized Relationship Layout Planning (CORELAP)

8.5.5 Algorithm and Models for Group Technology

8.6 Materials Handling Systems

8.7 Let Us Sum Up

8.8 Further Reading

8.9 Answers to Check Your Progress

8.10 Model Questions

8.1 LEARNING OBJECTIVES

After going through this unit, you must be able to:

• explain the basic concept of plant layout

• explain the various types of plant layout

• describe the various modern computerized methods of plant layout

• explain the various materials handling systems

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Unit 8 Plant Layout and Materials Handling

8.2 INTRODUCTION

In this unit, we are going to discuss the concept of plant layout,

various types of plant layout, various modern computerized methods of

plant layout, and various Materials Handling Systems. Proper

implementation of these concepts can play an important role in the

production of any goods or in the delivery of any service. In fact, these

concepts can lead to effective production process or service delivery

process.

8.3 PLANT LAYOUT

Plant layout is a floor plan for determining and arranging the

designed machinery and equipment of a production or service delivery

plant, whether established or contemplated, in the optimum place, to

enable the fastest flow of material in the lowest possible cost and with

the minimum handling in processing of the product or service, from the

receipt of raw material to the shipment of finished product. In other

words, plant layout is defined as the plan of or the act of planning, an

optimum arrangement of facilities, including personnel, operating

machines and/or equipment, storage space, materials handling

equipment and all other supporting services along with the design of the

best structure to accommodate these facilities. Plant layout involves

knowledge of the space requirements for the facilities and also involves

their proper arrangement so that continuous and steady movement of the

production cycle takes place.

Need of Plant layout: Plant layout problems are present and

experienced in every type of organizations/ firms. It is an important pre-

requisite for efficient operations and also has a great deal in common

with many problems. In fact, the success of such layout influences the

efficiency of all succeeding activities. Initially any organisation/firm will

normally take a decision regarding the site of its production/ service

delivery plant. Thereafter, its management takes decision regarding a

suitable layout for the plant. Numerous happenings or situations give rise

to the problem of plant layout. There may be two such plants having

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similar operations. However, they may not have similar layout. This may

be due to size of the plant, nature of the production or service delivery

process and the nature of its management. As such, it may be stated

that the plant layout is important owing to the following reasons:

(i) Presence of design changes in the product or service.

(ii) Expansion of the enterprise.

(iii) Presence of proposed variation in the size of the departments.

(iv) Addition of some new product(s) added to the existing product

line.

(v) Addition of some new department in the organisation/firm

enterprise and subsequent reallocation of the existing

department.

(vi) Setting up of a new plant.

Features of a good Plant Layout: The features of a good plant layout

are as follows:

(i) Ease of working, maximum safety and minimum health hazards

for people working in/ using the facility

(ii) Minimum handling of materials.

(iii) Minimum damage and spoilage of materials.

(iv) Reduced congestion of materials, machinery and men.

(v) Flexibility with regard to changing production conditions.

Basic Principles of Plant Layout: The basic principles of plant layout

are as follows:

(i) Total movement of materials should be minimum.

(ii) The arrangement of the work area should have much congruence

as possible with the flow of materials within the plant (from the

stage of raw materials to the stage of finished goods).

(iii) The layout should ensure adequate safety and healthy working

conditions for all the employees.

(iv) A good layout should take into account all the three dimensions of

space available.

A good layout should satisfy availability of spacer, the size and work

area requirements, type and number of movement of material,

workers and also future anticipated changes.

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8.4 CLASSIFICATION OF LAYOUT

The different types of plant layout are as follows in sections 5.4.1

to 5.4.4:

8.4.1 Process Layout

Process Layout is also called Functional Layout. Here,

similar machines and equipments are located together. It is used

when the volume of production is not sufficient. These layouts are

very suitable when the products being prepared are non –

standard or involve wide variations in times of processing of the

individual operations.

Process layouts are able to make better use of the

available machines and/or equipment with greater flexibility in

allocation of work to these machines and/or equipment as well as

for the workers. The following diagram indicates a process layout

comprising of various operations like Turning, Shaping, Drilling,

Miling and Grinding. Here, all machines performing drilling

operation are placed with the Drilling area as shown in Figure 8.1

below. Likewise, others machines and/or equipments are placed

in areas earmarked as Turning, Shaping, Miling and Grinding

areas.

The major business sectors that utilize process layouts

include hospitals, banks, automobile repair firms, libraries,

colleges and universities.

Advantages of Process Layout: The possible Advantagesof Process Layout are:

(i) Very high degree of variety in products is possible.

(ii) There is increased flexibility and adaptability to various

changes.

8.1

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(iii) There are no critical production stoppages due to

machine breakdowns.

(iv) Here, lesser number of maintenance crew is normally

required.

(v) There are possibilities of greater product or service

varieties.

(vi) There are possibilities of high requirement of skills

due to the above varieties and, therefore, higher job

satisfaction.

(vii) Due to processes being similar and presence of

skilled staff, coordination and supervision is simpler.

Disadvantages of Process Layout: The possible

disadvantages of Process Layout are:

(i) There is higher flow time of products or services

due to intermittent flows of the material and

numerous machine set-ups.

(ii) There is need for increased necessary paper work

due to complicated production planning and control.

(iii) There is a requirement of higher skills on the part of

the workers so as to complete all parts of any job.

(iv) There is a necessity of higher inventories of basic raw

materials due to higher uncertainty of demand.

(v) There is accumulation of increased work-in-process

inventories due to necessary intermediate storages.

(vi) There is a requirement of increased handling of

materials.

Optimization in a Process Layout:

In case of Process layout, the primary issue is related to

arrangement of different work areas in a manner so as to

minimize the inter-area material movement costs. However, in

such a case one has to consider simultaneously the total available

area of the production or service delivery plant. Besides, one also

has to consider the following:

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(i) Any constraints on the individual area requirements, or(ii) Position requirements of the work centers.Here, it is to be noted that most of the mathematical

optimizing models normally consider only the cost of materialhandling. It may be assumed that this optimizing procedure willalso reduce other relevant costs of such a layout. Here, thematerial handling costs between two work areas (departments) isthe product of the distance between the two work areas and thenumber of loads that are handled between the two departmentsduring a unit period of time. The sum of these products, for all thecombinations of departments, should be minimum for an optimalplant layout. Therefore, at the initial stage, such a mathematicaloptimization procedure for the Process layout should involvegathering of required such data (called “load summary”) on thenumber of loads per unit time moved between differentcombinations of the work areas. This data is usually presented inthe form of a matrix.

8.4.2 Product Layout

Product Layout is also called Line Layout. They are alsocalled the layout by sequence. In such a layout, machines andauxiliary services/equipments are located according to theprocessing sequence of the product. It is used when the volumeof production is high. Here, the manufacturing cycle is small withminimal material handling. Besides, in such layouts, the requiredspace for production or service delivery is normally less witheasier quality control. Figure 8.2 indicates a product layoutcomprising of various operations like Turning, Shaping, Drillingand Miling. Here, all machines or equipments performing theseoperations are placed in the processing/ manufacturing sequenceof the final product.

The major business sectors that utilize process layouts

include automobile manufacturing firms, information and

communication technology manufacturing firms etc.

Advantages of Product Layout: The possible Advantages

of Product Layout are:

8.2 :

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(i) There is lesser total flow time of the final product from

the input stage to the output stage (i.e. higher rates of

output) due to:

(a) Continuous flow without intermediate stoppages and

storages,

(b) Repetitive, small, fragmented jobs learnt to perfection

by the concerned workers,

(c) Minimum set-up times of machines.

(ii) Simplistic production planning and control and

therefore, there is less paper work

(iii) There is lesser requirement of inspection

(iv) The skills required may be lower level/ degree

(v) There may be better planning of raw materials and

other inputs leading to lower inventories.

(vi) There is lower requirement of work-in-process

inventories.

(vii) The costs of material handling are less.

(viii) There may be higher labour utilization by proper

balancing of the production line.

Disadvantages of Product Layout: The possible

disadvantages of Product Layout are:

(i) There is possibility of negligible or very little variety in

case of products.

(ii) There is lesser flexibility to changes.

(iii) If any equipment in the line breaks down, the entire

production line or significant portions of it may come

to a halt leading to higher stoppage costs.

(iv) Maintenance crew needed to run any such production

line should be large.

(v) There is very lesser low job variety leading to lower

job satisfaction of the workers.

(vi) More coordination required by supervisors.

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(vii) There is higher necessity of duplication of machines

and equipments leading to higher capital investment.

(viii) There is requirement of larger space for production.

Optimization in a Product Layout:

The entire planning process of product or line layout is

simple because the layout is according to the production

sequence of the final product right from the raw material stage to

the finished goods stage. In such a layout, the machines or

equipments are laid out according to the sequence of the

operations involved in the entire process, i.e., conversion of the

raw material to the finished product. The main issue in this layout

is not determining the means of sequencing above such

machines or equipments, grouping the work elements in a

manner that permits little idle time at any of the grouped work

centers. On the other hand the main priority in this type of layout

is to balance the flow line of work (and also of the material) in

order to minimize the idle time at the different work centers/work

stations. In technical terms of Production and Operations

Management, this is called Assembly Line Balancing.

8.4.3 Cellular Layout/Group Layout/Combination Layout

Cellular Layout/ Group Layout/ Combination Layout is the

combination of process layout and product layout with the main

objective of minimizing the sum of transportation cost and

equipment cost. This form of layout takes into account the

advantages of both process layout and product layout.

Figure 8.3 shows a combination layout comprising of two

cells. Raw materials are transported to the first cell where they

are subjected to the following operations (in order):

(i) Milling

(ii) Welding

(iii) Painting

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(iv) Drilling

(v) Grinding

(vi) Slotting

(vii) Welding (again)

(viii) Painting (again)

Thereafter, work-in-progress as produced are transported

to the second cell where they are subjected to the

following operations (in order):

(i) Boring

(ii) Welding

(iii) Turning

(iv) Fitting

At the end of these operations in the second cell, the

finished product is obtained.

8.4.4 Fixed Position Layout / Static Layout

Fixed Position Layout/ Static Layouts are applied in case of

product whose physical characteristics are such that it remains in

a fixed position and all machinery and equipments, workers etc.

have to be brought to the site of manufacturing/ construction. In

other words, in these layouts, the components, heavy materials,

sub assemblies – all remain fixed at one place and the job is

completed by movement of machines, men and tools to the

location of the operations. Such layouts are also called Project

Layouts. Ships, houses, and aircraft are examples.

Advantages of Fixed Position Layout: The possible

Advantages of Fixed Position Layout are:

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(i) Reduction of material movement because the

production process is located in one place / location.

(ii) The production being located in one place, there are

minimal chances of damages during transportation.

(iii) The production being located in one place, there is

minimal costs in movement.

(iv) Such layouts are highly flexible. There can be higher

accommodate changes in product design, product mix

and production volume.

(v) Here, there may be continuity of operations and

resultant responsibility whenever a team approach is

used.

Disadvantages of Fixed Position Layout: The possible

disadvantages of Fixed Position Layout are:

(i) There is increased personal and equipment

movement.

(ii) It requires greater skill for personnel since the same

workers are involved in more operations. Therefore

competent workers are required and they may be

scarce and may require higher pay.

(iii) It requires higher level of general supervision

(iv) It may lead to increased space and greater work-in

process.

It requires close control and coordination while scheduling

production.

CHECK YOUR PROGRESSQ 1: Which of the following is not a type

of plant layout?

(a) Process layout (b) Product

layout

(c) Fixed layout (d) None of

these

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Q 2: Which of the following is an example of Fixed layout?

(a) Car production (b) Construction of a bridge

(c) Aircraft assembly (d) None of these

Q 3: Which of the following layout is also called cellular

layout?

(a) Process layout (b) Product layout

(c) Fixed layout (d) Combination layout

8.5 LAYOUT DESIGN PROCEDURES

MRP is required for the following reasons:

(i) It forces the planner to determine the total material required during

the year, to examine its required specifications and fixing of

acceptable limits of the materials.

(ii) It helps in the development of procedures and systems and also

helps in improving the existing procedures and systems.

(iii) It focuses on the control parameters and helps in fixing and

revising them to suit the changing situation

(iv) It helps in the classification of spare parts and consumables.

(v) It helps in fixing norms for shelf life and in avoiding the spoilage

of materials.

(vi) It helps in arranging items of correct specifications at the right

time and in the right quantity.

8.5.1 Systematic Layout Design Procedures

Systematic layout planning (SLP) method is applied in the

case of basic industrial layout planning of any company/

organisation. This method involves step-by-step process of

production plant layout and design right from input data and

activities upto evaluation of this layout. Systematic Layout

Planning (SLP) procedure is shown in Figure 5.4.

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It is noticed from the above diagram that the first step in

Systematic Layout Planning Procedure is collection of required

data and information. The data were collected and the number of

tools/ equipment for manufacturing was counted in terms of the

direction for raw materials and product. Such data collection

process is a continuing function. Initially, the data for overall plan

is collected while the data for detailed layouts may be obtained at

a later stage. This also involves collection of facts obtained

regarding various materials and processes, the flow routing and

sequencing, space requirements and different activities and

relationships. This analysis involves the operation process chart,

flow of material and activity relationship chart. Then, the problem

of the plant was identified and analyzed. The flow of material and

activity relationships are identified based on the data such as

product, quantity, route, support, time and relationships between

material flow. The relation between each operation unit can be

observed from the material flow and relationship activity in the

production process. Then based on comparison between the

existing manufacturing process and the proposed way, the results

are drawn. Thereafter, a flow analysis is combined with activity

relationships to develop the relationship diagram. Space

considerations in the form of space requirements and space

8.4:

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availability are combined with the above relationship diagram

leading to the formation of the space relationship diagram. Next,

on the basis of the space relationship diagram, modifying

considerations and practical limitations, a number of alternative

layouts are developed and designed. Finally these alternative

layouts are evaluated and the optimal layout is selected. In this

way, the new optimal plant layout is selected that improves the

process flow through the plant, and help to increase space in

industries.

8.5.2 Computerized Relative Allocation of FacilitiesTechnique (CRAFT)

Computerized Relative Allocation of Facilities Technique

(CRAFT) was introduced in 1963 by Armour, Buffa, and Vollman.

The main purpose of CRAFT is improve the existing layout of

production or service delivery facilities of any company/firm. This

process involves switching two or three departments to help

arrange the facility in an optimal floor plan. Any such procedure

involves the following inputs:

(i) From-To Chart,

(ii) Cost Matrix,

(iii) Distances (determined for a given layout) and an Initial

layout.

In any company/firm CRAFT is used when the number of

departments is so numerous that any mathematical calculation by

hand becomes very cumbersome and any further improvement

becomes unworthy.

Major characteristics of CRAFT:

The major characteristics of CRAFT are:

(i) It tries to minimize transportation cost (TC) where TC=

flow × distance × unit cost

(ii) It is a path-oriented method wherein, the final layout is

dependent on the initial layout.

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(iii) It is based on the following assumptions:

(a) Costs of movement are not dependent on equipment

utilization, and

(b) Costs of movement are linearly related to the distance

of movement.

Main prerequisites of CRAFT:

The main prerequisites of CRAFT are:

(i) Initial layout

(ii) Flow data

(iii) Cost per unit distance

(iv) Total number of departments

(v) Fixed departments and their location

(vi) Area of departments.

Primary procedures adopted for using CRAFT:

The primary procedures adopted for using CRAFT are:

(i) Determination of departmental centroids.

(ii) Calculation of rectilinear distance between centroids.

(iii) Calculation of transportation cost for the layout.

(iv) Consideration of department exchanges of either equal

area departments or of departments sharing a

common border.

Major disadvantages of using CRAFT:

The major disadvantages of using CRAFT are

(i) It takes into account only production departments and

not service departments because the basis is the cost

of material handling.

(ii) It requires an initial idea of the production layout. As

such, it is only applicable for modification of an existing

layout.

It assumes that the distances between the departments

are straight lines. This contradicts the actual movement, which in

practice, are normally rectangular along orthogonal lines.

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8.5.3 Automated Layout Design Profram (ALDEP)

The Automated Layout Design Program (ALDEP) is similar

to CORELAP. However, the following points differ it from

CORELAP:

(i) Randomness

(ii) Multi floor capability

(iii) Production of many layout (CORELAP attempts to

produce the best layout)

The basic idea behind ALDEP was that it is based on the

activity relationship chart. ALDEP uses the following activity

relationships. These activity relationships are called A for

absolutely essential, E for essential, I for important, O for ordinary

closeness is okay, U for unimportant and X undesirable.

Procedure for ALDEP: The main procedure for ALDEP is

explained as follows:

A) Procedure for production department selection

1) Random selection of the first department.

2) Out of those departments which have “A” relationship

with the first one (or “E”, “I”, etc. – min level of

importance is determined by the user) it selects

randomly the second department.

3) If no such department exists it selects the second one

a complete random basis

4) The selection procedure is repeated until all the

departments are selected

Procedure of production department placement in

ALDEP:

The procedure of department placement in ALDEP is

as follows:

(i) It starts from upper left corner and extends it

downward

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(ii) It then follows a vertical sweep pattern with the sweep

width determined by the user

ALDEP uses adjacency based evaluation based on the

following:

(i) If minimum requirements are met, the layout and the

scores are printed

(ii) The procedure is repeated with maximum 20 layouts

per run

(iii) Thereafter, the entire process is left for user evaluation

8.5.4 Computerized Relationship Layout Planning

(CORELAP)

The Computerized Relationship Layout Planning

(CORELAP) was developed to be used in main frame computers.

It is an Adjacency based method. In other words, CORELAP uses

A=4, E=3, I=2, O=1, U=0 and X= 1 values. Here, selection of the

departments to enter the production layout is based on Total

Closeness Rating (TCR). TCR for a department is the sum of the

numerical values assigned to the closeness relationships

between the department and all other departments.

Procedure for selection of department using

CORELAP:

In Computerized Relationship Layout Planning

(CORELAP), the following procedure is used for selection of

department:

(i) Initially, the first production department placed in the

layout is the one with the greatest TCR value. If there is a tie, then

the one with more A’s (E’s, etc.). 2. If a department has an X

relationship with the first one, it is placed last in the layout. If a tie

exists, choose the one with the smallest TCR value. 3.

(ii) The second department is the one with an A relationship

with the first one (or E, I, etc.). If a tie exists choose the one with

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the greatest TCR value exists, choose the one with the greatest

TCR value.

(iii) If a department has an X relationship with the second

one, it is placed next to the last or last in the layout. If a tie exists,

choose the one with the smallest TCR value.

(iv) The third department is the one with most A (E, I, etc.)

relationships with the already placed departments. If a tie exists,

choose the one with the greatest TCR value.

(v) The procedure continues until all departments have

been placed.

Department placement in CORELAP:

Placing rating (PR) is the sum of the weighted closeness

ratings between the department to enter the layout and its

neighbors.

The placement of departments is based on the following

steps:

(i) The first department selected is placed in the middle.

(ii) The placement of a department is determined by

evaluating PR for all possible locations around the current layout

in counterclockwise order beginning at the “western edge

(iii) The new department is located based on the greatest

PR value.

8.5.5 Algorithm and Models for Group Technology

Group Technology (GT) or cellular manufacturing is an

important part of management science. GT is based on the

principle that “similar things should be done similarly”. In the

context of production and operations management, such “things”

include product design, process planning, fabrication, assembly,

and production control. But, concept of GT may be applicable

even to service operations including logistics and administrative

functions. The main basis of group technology is to divide the

manufacturing facility into small groups or cells of machines.

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Normally, a cell is a small group of machines not more than five

as usually applied. An example would be a machining center with

cutting and finishing devices, tool and part storage, and the related

control hardware. In case of Group Technology (GT) or cellular

manufacturing, each such cell is dedicated to a specified family or

set of part types.

There are three basic steps in group technology planning:

(i) Coding: In case of Group Technology, coding of a

machine part is the process of assigning symbols to it. These

symbols should have meanings that reflect the attributes of the

part, thereby facilitating analysis (information processing).

Although this does not sound very difficult, classification and

coding are very complex problems.

(ii) Classification: In case of Group Technology,

classification of machine parts is the process of categorizing

parts into groups or families as per a set of rules or principles.

The main aim of this activity is to group together similar parts and

to differentiate among dissimilar parts.

(iii) Layout.

Some Modern Algorithm and Models for Group

Technology:

1) A study by Sharif, El-Kilany and Helaly (2008) has

established that Genetic Algorithms (GA) may be used to solve

Group Technology (GT) problems using Genetic Algorithms (GA).

To solve the GA problem, a two step procedure is used. These

steps are:

(i) The first step is selection of the best machine(s) for

each part.

(ii) The second step is grouping of the machines and parts

into different number of sets or groups.

2) As per a study by Ghosh and Dan (n.d.), effective

clustering methodology that blends Pearson’s correlation

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coefficient and Weighted Average Linkage Clustering technique

can be used as a model for Group Technology.

8.6 MATERIAL HANDLING SYSTEMS

Material handling happens to be an important area of production

and operations management. Material handling is the combination of art

and science of moving, storing, protecting and controlling any material in

a production process.

Material handling aims at providing the right amount of the right

material, in the right condition, at the right place, in the right position, in

the right sequence, in the right time, in the right price and by the right

method.

Objectives of material handling:

The main objectives of material handling are:

(i) Reduction of unit costs of production

(ii) Maintaining or improving product quality,

(iii) Reduction of damages,

(iv) Ensuring protection of materials

(v) Promoting safety and improvement of working conditions

(vi) Promoting productivity

(vii) Promoting optimal utilization of production facilities

(viii) Management and control of inventory

Material Handling Planning Chart:

Material Handling Planning Chart involves the following:

(i) Collection of information relating to material handling

(ii) Carrying out analysis of the data so obtained in order to develop

alternative improved solutions for material handling.

Material handling systems classification:

Material handling systems may be classified as follows:

(i) Mechanized

(ii) Semi-automated

(iii) Automated

(iv) Information-directed

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Material handling equipments:

Material handling equipments are indispensable for any material

handling process in any company/ firm. These may be categorized into

the following:

(i) Containers and unitizing equipment

(ii) Material transport equipment

(iii) Storage and retrieval equipment

(iv) Automatic identification and communication equipment

CHECK YOUR PROGRESS

Q 4: Which of the following is the full form of

ALDEP?

(a) Automated Layout Design Program

(b) Axial Layout Design Program

(c) Automated Layout Design Process

(d) None of these

Q 5: Which of the following is a basic step in group technology

planning?

(a) Inventory Control

(b) Manufacturing Resource Planning

(c) Coding

(d) Enterprise Resource Planning

Q 6: What is the full form of CORELAP?

(a) Computerized Resource Layout

(b) Computerized Relationship Planning Layout Planning

(b) Computerized Relationship Layout

(c) Computerized Relationship Planning Level Planning

(d) None of these

8.7 LET US SUM UP

In this unit, we have discussed the following– Plant layout isdefined as the plan of or the act of planning, an optimum arrangement of

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facilities, including personnel, operating machines and/or equipment,

storage space, materials handling equipment and all other supporting

services along with the design of the best structure to accommodate

these facilities. The following points are important relative to plant layout:

• In process layout similar machines and equipments are located

together.

• In product layout machines and auxiliary services/equipments are

located according to the processing sequence of the product..

• Cellular Layout/ Group Layout/ Combination Layout is the combination

of process layout and product layout with the main objective of

minimizing the sum of transportation cost and equipment cost.

• Fixed Position Layout/ Static Layouts are applied in case of product

whose physical characteristics are such that it remains in a fixed

position and all machinery and equipments, workers etc. have to be

brought to the site of manufacturing/ construction.

8.8 FURTHER READINGS

• A Genetic Algorithm Approach to the Group Technology Problem by

Hatim H. Sharif, Khaled S. El-Kilany, and Mostafa A. Helaly in the

Proceedings of the International MultiConference of Engineers and

Computer Scientists (IMECS 2008), Hong Kong, March, 2008, Vol

II, pp.19-21.

• Effective Clustering Method for Group Technology Problems: A Short

Communication by Tamal Ghosh and Pranab K. Dan, e -Journal of

Science & Technology (e-JST), pp.23-28.

• Industrial Engineering and Production Management by M.S. Mahajan,

Dhanpat Rai and Company Private Limited, pp.780-784.

• Operations Management by M.S. Mahadevan, Pearson Education,

pp.474-508.

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8.9 ANSWERS TO CHECK YOUR PROGRESS

Ans to Question No.1: (d) None of these

Ans to Question No.2: (b) Construction of a bridge

Ans to Question No.3: (d) Combination layout

Ans to Question No.4: (a) Automated Layout Design Program

Ans to Question No.5: (c) Coding

Ans to Question No.6: (b) Computerized Relationship Layout Planning

8.10 MODEL QUESTIONS

Q.1) State the differences between process layout and product layout

with the help of suitable examples.

Q.2) What is cellular layout? How is it different from a process layout?

Explain with the help of suitable examples.

Q.3) What is plant layout? Explain the different types of plant layout with

the help of suitable examples.

* * *

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References:

K. Aswathappa K.S. Bhat(2015),Production and Operations

Management, Himalaya Publishing House.

K. Bedi(2013),Production and Operations Management, Oxford

University Press.

S.N. Chary(2017), Production and Operations Management, Tata-

McGraw Hill Publishing Company Limited.

R. Panneerselvam(2012),Production and Operations Management,

Prentice Hall of India Private Limited.

B Mahadevan (2010), Operations Management-Theory and Practice,

Pearson India, India

*** ***** ***

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