Minimax model

Objective of the minimax model

To determine the location of the new facility to minimize the maximum distance to
the existing facilities.

Example of minimax model

To determine the location of hospital,transmitter, work area.

To identify the optimum location to be minimized for new facility X (x*,y*) that have
activity relationship with current facility Pi (ai,bi)
The optimum location must satisfy the median and cost function f(x).

Cost function f(x) : max ([ x ai ] + [ y bi ])

Where ;
f(X)

: The total of movement cost within the new facility and current facility.

: coordinate x for new facility.

: coordinate y for new facility.

ai

: coordinate x for current facility.

bi

: coordinate

y for current facility.

The minimax solution should satisfy this condition :

C1 = min ( ai + bi )
C2 = max ( ai + bi )
C3 = min (- ai + bi )
C4 = max (- ai + bi )
C5 = max ( c2 - c1 , c4 c3 )

The optimum solution will be occurring at a line that connecting this two point using this
method :
First point

: ( xi ,y1 ) = 0.5 ( c1 c3 , c1 + c3 + c5 )

Second point : ( x2 ,y2 ) = 0.5 ( c2 c4 , c2 + c4 - c5 )

The maximum distance between the new facility and the current facility is given as :
C5/2.

TRANSPORTATION METHOD

The transportation problem involves determining a minimum-cost plan for shipping

from multiple sources to multiple destination.
It is relatively simple to formulate a manufacturing plant location problem as a
transportation linear programming problem involving minimization of total cost to distribute
the product.
In this case, the transportation linear programming formulation is used to determine
the best distribution pattern for the plant in a certain location. Then, total cost can be
calculated, various locations tried, and the location with the least total cost chosen.
As example, there are 3 demand from the factory in the area and three supply factory
in the area. The supplier will provide the factory with their demand until it reach the total
supply.

Facilities location and layout design

Introduction to facilities location

A facility is something built or established to serve a purpose. Facilities management
is a location decision for that facility and the composition or internal layout of the facility
once located. This chapter discusses the location and layout of a facility.

Facilities layout

Developing a facilities layout is a critical step in the facilities planning process.

Industrial engineer must be creative and comprehensive in generating layout
alternatives.
The layout must be systematic and in ergonomic way to increase the productivity.

Layout is the configuration of departments, work centers and equipment with

particular emphasis on movement of work (customers or materials ) through the system.

Objective of layout design

Use workers and space efficiently

Avoid bottleneck among process
Minimize production time or customer service time.
Minimize unnecessary material handling costs
Eliminate unnecessary movement of workers or materials.

Situation when we need layout decisions

Inefficient operations such as high cost and bottleneck process occur

Changes in the design of products or services
The introduction of new products or services
When accident occur and safety hazards doesnt work.
Changes in environmental or other legal requirements.
Changes in volume of output or mix of products.
Changes in methods and equipment
When morale problem occur in a workplace.

Important point to consider during layout decisions

1. Requires substantial investments of money and effort
2. Involves long-term commitments
3. Has significant impact on cost and efficiency of short-term operations.

Layout design
Affected by:

Centralized vs decentralize storage of WIP, Tooling & supplies.

Fixed path vs variable path handling
Unit load size
Degree of automation
Type and level of inventory and control of materials.

Basic layout types

Product layouts
Layout that uses standardized processing operations to achieve smooth, rapid, highvolume flow.
Process layout
Layout that can handle varied processing requirements
Fixed position layout
Layout in which the product or project remains stationary and workers, materials and
equipment are moved as needed.

Product layout
Found in continuous production line flow of repetitive assembly or process.
Suitable to produce high-volume quantity, highly standardized products or repetitive
processes.
In a product layout, resources are arranged sequentially, based on the routing of the
products.
E.g Production assembly for car, electronic device, circuit board.

Product-oriented requirements

Standardized product
High production volume
Stable production quantities
Uniform quality of raw materials & components

Product-oriented layout (advantages)

Lower variable cost per unit

Lower material handling costs
Lower work-in-process inventories (WIP)
Easier training & supervision
Rapid throughput

Product-oriented layout disadvantages

Higher capital investment special equipment

Any work stoppage stops whole process
Lack of flexibility volume, product

Process layout

A type of facility layout in which the floor plan is arranged with similar processes or
machines located together according to its function.
For example, a machine shop with mills located together, lathes located together,
saws located together, and so on, is arranged with a process layout.

E.g Garment manufacturing, Car Workshop

Process oriented requirement