6-1

Process Selection and Facility Layout

Operations Management

William J. Stevenson

8th edition
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6-2

Process Selection and Facility Layout

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6-3

Process Selection and Facility Layout

Introduction

Process selection

Deciding on the way production of goods or services will be organized Capacity planning Layout of facilities Equipment Design of work systems

Major implications
   

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Process Selection and System Design Figure 6.1
Forecasting Capacity Planning Facilities and Equipment

6-4

Process Selection and Facility Layout

Product and Service Design Process Selection

Layout

Technological Change

Work Design

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6-5

Process Selection and Facility Layout

Process Strategy
• Key aspects of process strategy
– – –

Capital intensive – equipment/labor Process flexibility Adjust to changes
– – –

Design Volume technology

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6-6

Process Selection and Facility Layout

Process Selection

Variety

Batch Job Shop Repetitive Continuous

How much What degree Expected output

Flexibility

Volume

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6-7

Process Selection and Facility Layout

Process Types

Job shop

Small scale Moderate volume High volumes of standardized goods or services Very high volumes of non-discrete goods

Batch

Repetitive/assembly line

Continuous

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6-8

Process Selection and Facility Layout

Figure 6.2

Product – Process Matrix
Process Type

Job Shop Batch

Appliance repair Emergency room Commercial bakery Classroom Lecture

Not feasible

Repetitive

Automotive assembly Automatic carwash

Continuous (flow)

Not feasible

Oil refinery Water purification

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6-9

Process Selection and Facility Layout

Figure 6.2 (cont’d)
Dimension Job variety Process flexibility Unit cost Volume of output

Product – Process Matrix
Very High Very High Very High Very High Moderate Moderate Moderate Low Low Low Low High Very low Very low Very low Very low

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6-10 Process Selection and Facility Layout

Automation

Automation: Machinery that has sensing and control devices that enables it to operate
 

Fixed automation Programmable automation

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6-11 Process Selection and Facility Layout

Automation
• Computer-aided design and manufacturing systems (CAD/CAM) • Numerically controlled (NC) machines • Robot • Manufacturing cell • Flexible manufacturing systems(FMS) • Computer-integrated manufacturing (CIM)

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6-12 Process Selection and Facility Layout

Facilities Layout

Layout: the configuration of departments, work centers, and equipment, with particular emphasis on movement of work (customers or materials) through the system

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6-13 Process Selection and Facility Layout

Importance of Layout Decisions

 

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

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6-14 Process Selection and Facility Layout

The Need for Layout Decisions
Inefficient operations
For Example:

High Cost Bottlenecks
The introduction of new products or services

Changes in the design of products or services

Accidents

Safety hazards
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6-15 Process Selection and Facility Layout

The Need for Layout Design (Cont’d)
Changes in environmental or other legal requirements Changes in volume of output or mix of products Morale problems Changes in methods and equipment

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6-16 Process Selection and Facility Layout

Basic Layout Types
   

Product layouts Process layouts Fixed-Position layout Combination layouts

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6-17 Process Selection and Facility Layout

Basic Layout Types

Product layout

Layout that uses standardized processing operations to achieve smooth, rapid, high-volume flow Layout that can handle varied processing requirements Layout in which the product or project remains stationary, and workers, materials, and equipment are moved as needed

Process layout

Fixed Position layout

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6-18 Process Selection and Facility Layout

Figure 6.4

Product Layout
Station 1 Material and/or labor Station Station 22 Material and/or labor Station Station 33 Material and/or labor Station Station 44
Finished item

Raw materials or customer
Material and/or labor

Used for Repetitive or Continuous Processing

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6-19 Process Selection and Facility Layout

Advantages of Product Layout 
     

High rate of output Low unit cost Labor specialization Low material handling cost High utilization of labor and equipment Established routing and scheduling Routing accounting and purchasing

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6-20 Process Selection and Facility Layout

Disadvantages of Product Layout
 

   

Creates dull, repetitive jobs Poorly skilled workers may not maintain equipment or quality of output Fairly inflexible to changes in volume Highly susceptible to shutdowns Needs preventive maintenance Individual incentive plans are impractical
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6-21 Process Selection and Facility Layout

Figure 6.6

A U-Shaped Production Line
In

1

2

3

4 5

Workers

6
Out

10

9

8

7

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6-22 Process Selection and Facility Layout

Figure 6.7

Process Layout
Process Layout (functional)
Dept. A Dept. B Dept. C Dept. D Dept. E Dept. F

Used for Intermittent processing Job Shop or Batch

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6-23 Process Selection and Facility Layout

Figure 6.7 (cont’d)

Product Layout
Product Layout (sequential)

Work Work Work Station 1 Station 2 Station 3

Used for Repetitive Processing Repetitive or Continuous

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6-24 Process Selection and Facility Layout

Advantages of Process Layouts 

 

Can handle a variety of processing requirements Not particularly vulnerable to equipment failures Equipment used is less costly Possible to use individual incentive plans

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6-25 Process Selection and Facility Layout

Disadvantages of Process Layouts
      

In-process inventory costs can be high Challenging routing and scheduling Equipment utilization rates are low Material handling slow and inefficient Complexities often reduce span of supervision Special attention for each product or customer Accounting and purchasing are more involved

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6-26 Process Selection and Facility Layout

Cellular Layouts

Cellular Production

Layout in which machines are grouped into a cell that can process items that have similar processing requirements The grouping into part families of items with similar design or manufacturing characteristics

Group Technology

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6-27 Process Selection and Facility Layout

Functional vs. Cellular Table 6.3 Layouts
Dimension Functional
Number of moves between many departments Travel distances Travel paths Job waiting times Throughput time longer variable greater higher few shorter fixed shorter lower lower lower lower higher

Cellular

Amount of work in process higher Supervision difficulty Scheduling complexity Equipment utilization higher higher lower

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6-28 Process Selection and Facility Layout

Other Service Layouts
  

Warehouse and storage layouts Retail layouts Office layouts

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6-29 Process Selection and Facility Layout

Design Product Layouts: Line Balancing
Line Balancing is the process of assigning tasks to workstations in such a way that the workstations have approximately equal time requirements.

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6-30 Process Selection and Facility Layout

Cycle Time
Cycle time is the maximum time allowed at each workstation to complete its set of tasks on a unit.

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6-31 Process Selection and Facility Layout

Determine Maximum Output
OT Output cap acity = CT OT = operating time per day D = Desired o utput rate OT CT = cycle tim e = D

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6-32 Process Selection and Facility Layout

Determine the Minimum Number of Workstations Required
N = (D)(∑ t) OT

∑t

= sum of ta times sk

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6-33 Process Selection and Facility Layout

Figure 6.10

Precedence Diagram
Precedence diagram: Tool used in line balancing to display elemental tasks and sequence requirements
0.1 min. 1.0 min.

a c
0.7 min.

b d
0.5 min.

A Simple Precedence Diagram

e
0.2 min.

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6-34 Process Selection and Facility Layout

Example 1: Assembly Line Balancing

Arrange tasks shown in Figure 6.10 into three workstations.
 

Use a cycle time of 1.0 minute Assign tasks in order of the most number of followers

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6-35 Process Selection and Facility Layout

Example 1 Solution
Revised Time Assign Time Station Workstation Remaining Eligible Task Remaining Idle Time
1 1.0 0.9 0.2 1.0 1.0 0.5 0.3 a, c c none b d e a c b d e 0.9 0.2 0.2 0.0 0.5 0.3 0.0 0.3 0.5

2 3

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6-36 Process Selection and Facility Layout

Calculate Percent Idle Time
Idle time per cycle Percent idle time = (N)(CT)

Efficiency = 1 – Percent idle time

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6-37 Process Selection and Facility Layout

Line Balancing Rules
Some Heuristic (intuitive) Rules:

Assign tasks in order of most following tasks.

Count the number of tasks that follow

Assign tasks in order of greatest positional weight.
Positional

weight is the sum of each task’s time and the times of all following tasks.
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6-38 Process Selection and Facility Layout

Example 2
0.2 0.2 0.3

a
0.8

b
0.6

e

c

d

f
1.0

g
0.4

h
0.3

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6-39 Process Selection and Facility Layout

Solution to Example 2
Station 1 Station 2 Station 3 Station 4

a c

b

e f d g h

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6-40 Process Selection and Facility Layout

Parallel Workstations
1 min. 30/hr. 1 min. 30/hr. 2 min. 30/hr. 1 min. 30/hr.

Bottleneck
30/hr. 1 min. 60/hr. 1 min. 30/hr. 1 min. 30/hr. 1 min. 30/hr. 1 min. 60/hr.

Parallel Workstations

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6-41 Process Selection and Facility Layout

Designing Process Layouts
Information Requirements: 1. List of departments 2. Projection of work flows 3. Distance between locations 4. Amount of money to be invested 5. List of special considerations 6. Location of key utilities

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Example 3: Interdepartmental Work Figure 6.12 Flows for Assigned Departments
30 1 170 3 100 2

6-42 Process Selection and Facility Layout

A

B

C

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6-43 Process Selection and Facility Layout

Author’s note:

The following three slides are not in the 8e, but I like to use them for alternate examples.

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6-44 Process Selection and Facility Layout

Process Layout
Milling Assembly & Test Grinding

Drilling

Plating

Process Layout - work travels to dedicated process centers

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6-45 Process Selection and Facility Layout

Functional Layout
222 444

Mill

Drill
1111 222 2

22 22 2

222 111 444
3 33 33 33 33

222

Grind

3333

111

33 33 33

111333

Assembly
111 444

4 44 44

Lathes 333

Heat treat

111 Gear cutting

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6-46 Process Selection and Facility Layout

Cellular Manufacturing Layout
-1111 Lathe Mill Drill Heat treat Heat treat Heat treat Drill Gear -1111 cut 222222222

3333333333

Lathe Mill

Grind - 3333 Gear - 4444 cut

44444444444444

Mill

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Assembly

Mill

Drill

Grind - 2222

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