Chapter 7

Facilities
Operations Management - 5th Edition
Roberta Russell & Bernard W. Taylor, III

Copyright 2006 John Wiley & Sons, Inc.

Beni Asllani University of Tennessee at Chattanooga

Lecture Outline
 Basic Layouts  Designing Process Layouts  Designing Service Layouts  Designing Product Layouts  Hybrid Layouts

Copyright 2006 John Wiley & Sons, Inc.

7-2

Facility Layout
Arrangement of areas within a facility to:
 Minimize material­handling  costs  Utilize space efficiently  Utilize labor efficiently  Eliminate bottlenecks  Facilitate communication and  interaction  Reduce manufacturing cycle  time  Reduce customer service time  Eliminate wasted or redundant  movement  Increase capacity
Copyright 2006 John Wiley & Sons, Inc.

 Facilitate  entry, exit, and  placement of material, products,  and people  Incorporate safety and security  measures  Promote product and service  quality  Encourage proper maintenance  activities  Provide a visual control of  activities  Provide flexibility to adapt to  changing conditions
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BASIC LAYOUTS
 Process layouts

 Product layouts

group similar activities together  according to process or function they  perform arrange activities in line according to   sequence of operations for a particular  product or service are used for projects in which  product  cannot be moved
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 Fixed­position layouts

Copyright 2006 John Wiley & Sons, Inc.

Process Layout in Services
Women’s lingerie Shoes Housewares

Women’s dresses

Cosmetics and jewelry

Children’s department

Women’s sportswear

Entry and display area

Men’s department

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7-5

Manufacturing Process Layout
Lathe Department Milling Department Drilling Department

L L L L L

L L L L L

M M G G

M M G G
Grinding Department Receiving and Shipping

D D G G

D D P P

D D

D D

Painting Department

A

A
Assembly

A

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A Product Layout
In

Out

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7-7

Comparison of Product and Process Layouts
Product
 Description  Sequential  arrangement of  activities  Continuous, mass  production, mainly  assembly

Process

 Type of process

 Product  Demand  Volume  Equipment

 Functional  grouping of  activities  Intermittent, job  shop, batch  production, mainly  fabrication  Standardized, made   Varied, made to  to stock  order   Stable  Fluctuating  High  Low  Special purpose  General purpose
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Copyright 2006 John Wiley & Sons, Inc.

Comparison of Product and Process Layouts
Product
 Workers  Inventory  Limited skills  Low in­process, high  finished goods  Storage space  Small  Material handling  Fixed path (conveyor)  Aisles  Narrow  Scheduling  Part of balancing  Layout decision  Line balancing  Goal  Equalize work at each  station  Advantage  Efficiency

Process

 Varied skills  High in­process, low  finished goods  Large  Variable path (forklift)  Wide  Dynamic  Machine location  Minimize material  handling cost  Flexibility

Copyright 2006 John Wiley & Sons, Inc.

7-9

Fixed-Position Layouts
 Typical of projects  Equipment, workers,  materials, other  resources brought to the  site  Highly skilled labor  Often low fixed   Typically high variable  costs
Copyright 2006 John Wiley & Sons, Inc. 7-10

Designing Process Layouts
  Goal: minimize material handling costs Block Diagramming
 

 Relationship Diagramming
 

minimize nonadjacent loads  use when quantitative data is available

based on location preference between areas use when quantitative data is not available

Copyright 2006 John Wiley & Sons, Inc.

7-11

Block Diagramming
 Unit load
 STEPS  create load summary chart   quantity in which   calculate composite (two  material is normally  moved way) movements  develop trial layouts   Nonadjacent load minimizing number of   distance farther  nonadjacent loads than the next block

Copyright 2006 John Wiley & Sons, Inc.

7-12

Block Diagramming: Example
Load Summary Chart
1 2 3 FROM/TO DEPARTMENT

Department 1 1 2 3 4 5 — 60

2 100 — 100

3 50 200 — 50

4 50 40 —

5

4

5

50 60 —

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7-13

Block Diagramming: Example (cont.)
2     3    200 loads 2     4    150 loads 1     3    110 loads 1     2    100 loads 4     5      60 loads 3     5      50 loads 2     5      50 loads 3     4      40 loads 1     4        0 loads 1     5        0 loads
Copyright 2006 John Wiley & Sons, Inc.

Nonadjacent Loads: 110+40=150 0
110 100 150 200

1

2

3 4

4
2 Grid 1

150 200 50 50 40 60 50 110 50 60

3 5

5

40

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Block Diagramming: Example (cont.)
(a) Initial block diagram (b) Final block diagram

1

2

4

1

2

4

3

5

3

5

Copyright 2006 John Wiley & Sons, Inc.

7-15

Relationship Diagramming
 Schematic diagram that  uses weighted lines to  denote location preference  Muther’s grid  format for displaying 
manager preferences for  department locations

Copyright 2006 John Wiley & Sons, Inc.

7-16

Relationship A    Absolutely necessary E    Especially important I     Important Diagramming: Example O   Okay
Production Offices Stockroom Shipping and receiving Locker room Toolroom U   Unimportant X   Undesirable

O U A U O

A O U O

I X O

E U

A

Copyright 2006 John Wiley & Sons, Inc.

7-17

Relationship Diagrams: Example (cont.)
(a) Relationship diagram of original layout

Offices

Locker room

Shipping and receiving Key: A E I Production O U X 7-18

Stockroom

Toolroom

Copyright 2006 John Wiley & Sons, Inc.

Relationship Diagrams: Example (cont.)
(b) Relationship diagram of revised layout

Stockroom Shipping and receiving

Offices

Toolroom

Production

Locker room

Key: A E I O U X 7-19

Copyright 2006 John Wiley & Sons, Inc.

Computerized layout Solutions
 CRAFT

 CORELAP
  

Computerized Relative Allocation of Facilities  Technique Computerized Relationship Layout Planning visual feedback allow user to quickly test a variety of scenarios integrated layout analysis available in VisFactory and similar software

 PROMODEL and EXTEND

 Three­D modeling and CAD 
 

Copyright 2006 John Wiley & Sons, Inc.

7-20

Designing Service Layouts
 Must be both attractive and functional  Types  Free flow layouts

Grid layouts

encourage browsing, increase impulse purchasing, are flexible  and visually appealing encourage customer familiarity, are low cost, easy to clean and  secure, and good for repeat customers both increase customer sightlines and exposure to products,  while encouraging  customer to circulate through the entire  store
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Loop  and Spine layouts

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Types of Store Layouts

Copyright 2006 John Wiley & Sons, Inc.

7-22

Designing Product Layouts
 Objective

 Line balancing

Balance the assembly line tries to equalize the amount of work at each  workstation physical restrictions on the order in which operations  are performed  maximum amount of time a product is allowed to  spend at each workstation
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 Precedence requirements

 Cycle time

Copyright 2006 John Wiley & Sons, Inc.

Cycle Time Example
production time available desired units of output

Cd = Cd =

(8 hours x 60 minutes / hour) (120 units)

Cd =

480 120

= 4 minutes

Copyright 2006 John Wiley & Sons, Inc.

7-24

Flow Time vs Cycle Time
 Cycle time = max time spent at any station   Flow time = time to complete all stations
1
4 minutes

2
4 minutes

3
4 minutes

Flow time = 4 + 4 + 4 = 12 minutes Cycle time = max (4, 4, 4) = 4 minutes
Copyright 2006 John Wiley & Sons, Inc. 7-25

Efficiency of Line
Efficiency Minimum number of workstations
i i

E = nC a
where

∑t
i=1

i

N=

∑t
i=1

i

Cd

ti j n Ca Cd

= completion time for element i = number of work elements = actual number of workstations = actual cycle time = desired cycle time
7-26

Copyright 2006 John Wiley & Sons, Inc.

Line Balancing Procedure
1. Draw and label a precedence diagram 2. Calculate  desired cycle time required for the line 3. Calculate  theoretical minimum number of  workstations 4. Group elements into workstations, recognizing cycle  time and precedence constraints 5. Calculate  efficiency of the line 6. Determine if the theoretical minimum number of  workstations or an acceptable efficiency level has  been reached. If not, go back to step 4.
Copyright 2006 John Wiley & Sons, Inc. 7-27

Line Balancing: Example
WORK ELEMENT A B C D Press out sheet of fruit Cut into strips Outline fun shapes Roll up and package PRECEDENCE — A A B, C TIME (MIN) 0.1 0.2 0.4 0.3

B
0.1

0.2

A C
0.4

D 0.3

Copyright 2006 John Wiley & Sons, Inc.

7-28

Line Balancing: Example (cont.)
WORK ELEMENT A B C D Press out sheet of fruit Cut into strips Outline fun shapes Roll up and package PRECEDENCE — A A B, C TIME (MIN) 0.1 0.2 0.4 0.3

Cd =

40 hours x 60 minutes / hour 2400 = = 0.4 minute 6,000 units 6000 0.1 + 0.2 + 0.3 + 0.4 1.0 = = 2.5  3 workstations 0.4 0.4
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N=

Copyright 2006 John Wiley & Sons, Inc.

Line Balancing: Example (cont.)
WORKSTATION 1 2 3 ELEMENT A B C D REMAINING TIME 0.3 0.1 0.0 0.1 REMAINING ELEMENTS B, C C, D D none Cd = 0.4 N = 2.5

B
0.1

0.2

A C
0.4

D 0.3

Copyright 2006 John Wiley & Sons, Inc.

7-30

Line Balancing: Example (cont.)
Work station 1 Work station 2 Work station 3

A, B
0.3 minute

C
0.4 minute

D
0.3 minute

Cd = 0.4 N = 2.5

E=

1.0 0.1 + 0.2 + 0.3 + 0.4 = = 0.833 = 83.3% 1.2 3(0.4)

Copyright 2006 John Wiley & Sons, Inc.

7-31

Computerized Line Balancing
 Use heuristics to assign tasks to  workstations
    

Longest operation time Shortest operation time Most number of following tasks Least number of following tasks Ranked positional weight

Copyright 2006 John Wiley & Sons, Inc.

7-32

Hybrids Layouts
 Cellular layouts

 Flexible manufacturing system

group dissimilar machines into work centers  (called cells) that process families of parts with  similar shapes or processing requirements automated machining and material handling  systems which can produce an enormous variety  systems of items processes more than one product model in one  line

 Mixed­model assembly line

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7-33

Cellular Layouts
1. Identify families of parts with similar  flow paths 2. Group machines into cells based on  part families 3. Arrange cells so material movement  is minimized 4. Locate large shared machines at  point of use
Copyright 2006 John Wiley & Sons, Inc. 7-34

Parts Families

A family of similar parts
Copyright 2006 John Wiley & Sons, Inc.

A family of related grocery items
7-35

Original Process Layout
Assembly

4 5 2 1

6

7 8 10

9

12 11

3

A

B

C

Raw materials
7-36

Copyright 2006 John Wiley & Sons, Inc.

Part Routing Matrix
Parts A B C D E F G H 1 x 2 x x x x x x x x x x x x 3 Machines 4 5 6 7 x x x x x x x x x
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8 9 10 11 12 x x x x x x x

x

Figure 5.8 Copyright 2006 John Wiley & Sons, Inc.

Revised Cellular Layout
Assembly 8 10 9 12 11 4 Cell 1 Cell 2 6 Cell 3 7 2 1 3 5

A B C Raw materials
Copyright 2006 John Wiley & Sons, Inc. 7-38

Reordered Routing Matrix
Parts A D F C G B H E 1 x x x 2 x x 4 x x x Machines 8 10 3 6 x x x x x x x x x x x x x x x x x x x x x x
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9 5

7 11 12

Copyright 2006 John Wiley & Sons, Inc.

A Manufacturing Cell  with Worker Paths

Direction of part movement within cell HM VM
Worker 3

Source: J.T. Black, “Cellular Manufacturing Systems Reduce Setup Time, Make Small Lot Production Economical.” Industrial Engineering (November 1983).

VM L
Paths of three workers moving within cell Material movement Key: S L HM VM G = Saw = Lathe = Horizontal milling machine = Vertical milling machine = Grinder

Worker 2

G

L
Final inspection

S

Worker 1

Finished part

In

Out
7-40

Copyright 2006 John Wiley & Sons, Inc.

Automated Manufacturing Cell

Source: J. T. Black, “Cellular Manufacturing Systems Reduce Setup Time, Make Small Lot Production Economical.” Industrial Engineering (November 1983)

Copyright 2006 John Wiley & Sons, Inc.

7-41

Advantages and Disadvantages of Cellular Layouts
 Advantages

 

 

Reduced material  handling and transit time Reduced setup time Reduced work­in­  process inventory Better use of human   resources Easier to control Easier to automate

 Disadvantages
  

Inadequate part families Poorly balanced cells Expanded training and  scheduling  of workers Increased capital  investment

Copyright 2006 John Wiley & Sons, Inc.

7-42

Flexible Manufacturing Systems (FMS)
 FMS consists of numerous programmable  machine tools connected by an automated  material handling system and controlled by  a common computer network  FMS combines flexibility with efficiency  FMS layouts differ based on
  

variety of parts that the system can process size of  parts processed average processing time required for part  completion

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7-43

Full-Blown FMS

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7-44

Mixed Model Assembly Lines
 Produce multiple models in any order  on one assembly line  Issues in mixed model lines
   

Line balancing U­shaped line Flexible workforce Model sequencing

Copyright 2006 John Wiley & Sons, Inc.

7-45

Balancing U-Shaped Lines
Precedence diagram: A B C

Cycle time = 12 min

D

E (b) Balanced for a U-shaped line
A,B

(a) Balanced for a straight line
A,B C,D E

9 min Efficiency =

12 min

3 min

24 24 = = .6666 = 66.7 % 3(12) 36
E

C,D

24 24 = = 100 % 12 min 2(12) 24 Copyright 2006 John Wiley & Sons, Inc. Efficiency =

12 min 7-46

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