CH 3

Chapter three
….. Facility
planning and
facility layout
Facility Lay out Design and Material Handling.......... By Sidelil T. 2013 EC 1
Facility Planning and Facility layout
Outlines
 Introduction
 Facility planning
Facility layout
Facility Lay out Design and Material Handling.......... By Sidelil T. 2013 EC

2
Introduction to facility planning
The importance of different philosophies/theories and tools like Just-
in- time, queuing system material handling system, material flow
analysis, line balancing, design of warehousing and so on is based on
the design and analysis of industrial facilities.

Facility planning
Facility planning answer the question:
 where ? (facility location )
What &How ( facility design )
Facility design
Structural design
Layout design
Handling system design
Layout design
Facility layout
Plant layout

Facility planning
Facility planning: is broadly applicable, ranging from considering:
The improvement of the existing operation system, whether

manufacturing or service organization,
To the design of new facility layouts, materials and mechanisms.
5
Facility planning
Facility planning : it can be subdivided in to the subject of
facility location (macro level) and facility design (micro
element) to determine how an activity's tangible fixed assets
best support achieving the activities objectives .
Production planning and control I ............ By Sharmarke A.

12/06/2022 6
2017 GC
Facilities Layout
Definition: Refers to the arrangement of machines, departments,

workstations, storage areas, aisles, and common areas within an existing
or proposed facility.
Plant Layout: is an integration of the physical arrangement of

departments, workstations, machines, equipment's, materials, common
areas etc. within an existing or proposed industry.

Location: is the placement of a facility with respect to customers,
suppliers, and other facilities with which it interfaces.
Structure: consists of the building and services (e.g., gas, water,
power, heat, light, air, sewage).
Layout: consists of all equipment, machinery, and furnishings
within the structure.
Handling System: consists of the mechanism by which all
interactions required by the layout are satisfied (e.g., materials,
personnel, information, and equipment handling systems).

Cont …

9
Objective of Facility Layout Planning
 The basic objective of the layout are:
 Minimize material handling costs;
 Utilize space efficiently;
 Utilize labor efficiently;
 Eliminate bottlenecks;
 Incorporate safety and security measures;

10
Principles of Facility Layout Planning
The primary criteria for evaluating any layout will be the:
minimizing of material handling costs (Kassir,2014- 2015).
MH costs are typically directly proportional to:
a) The frequency of movement of material,
b) The length over which material is moved.

11
Cont. …
1. Principle of Integration: A good layout is one that integrates men,
materials, machines and supporting services
2. Principle of Flow: A good layout is one that makes the materials to

move in forward direction towards the completion stage, i.e., there
should not be any backtracking.

12
Cint. ..
3. Principle of Minimum Distance: This principle is concerned with
the minimum travel (or movement) of man and materials.
4. Principle of Cubic Space Utilization: The good layout is one that

utilize both horizontal and vertical space.

13
Cont. …
5. Principle of Maximum Flexibility: The good layout is one that can
be altered without much cost and time, i.e., future requirements should
be taken into account while designing the present layout.
6. Principle of Minimum Handling: A good layout is one that reduces

the material handling to the minimum.

14
Cont. …
7. Principle of Safety, Security and Satisfaction: A good layout is one
that gives consideration to workers safety and satisfaction and
safeguards the plant and machinery against fire, theft, etc.

15
Factors affecting facility layout planning
The final solution for a Plant Layout has to take into account a
balance among the characteristics and considerations of all factors
affecting plant layout, in order to get the maximum advantages.
The factors affecting plant layout are:
Materials & Machinery,
Labor, Material Handling and Waiting time.

16
Cont. …
• Facility Layout problem involves the location of departments (or
sections) within the facility and the arrangement of people and
equipment within each department.
• The layout decision will certainly affect the flow of materials, in-plant,
transportation cost, equipment utilization, and general productivity
and effectiveness of the business.

Cont…
Therefore, plant layout/facility layout should be carefully arranged,
and it must satisfy specific objectives.Usually the facility layout is
planned based on particular criterion.
Minimization : total traveling time, total cost, total delays,

etc.
Maximization : quality, flexibility, or space utilization.

Reasons for facility layout design
Basically , changes in
Volume of demand
Process and technology
new product
…Are the main reason
In addition :
Facility obsolete
Frequent accident poor worker environment
Change in the location / concentration of market
 cost reduction
Leads to need of facility layout design

Flow VS. Activity analysis
Flow analysis concentrates on some quantitative measure of movement
between department or activities.
Where as activity analysis is primarily concerned with qualitative
factors that influence the location of department or activities.
Two main things accounted for flow analysis
Type of flow pattern and type of layout.

Flow pattern. …
Whatever they are either horizontal or vertical, flow pattern can be
divided as:
1) Flow pattern required for production line
2) Flow patter required for assembly line
There are six basic production line as listed below

a) Straight line flow (I flow)
b) S-shaped flow

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Example :
c) U-shaped flow
d) Circular flow
e) Convoluted type flow
f) Odd angel flow
Home work
Discuss the merits and demerits of each of the above production flow patterns and
draw their shape.

22
Cont….
On the other hand there are four basic assembly line flow patterns as
1) Comb pattern
2) Tree pattern
3) Dendrite pattern
4) Overhead pattern
Discuss again the merit and demerits of each of the above pattern
and their schematic diagram.

23
Type of layout
The second factor that affect flow is type of layout, it is also a
factor that affects facility design problems, whether they are static
or dynamic facility layout problems are strongly dependent on:
i) Specification of manufacturing system,
ii) Facilities shape and dimension

24
Cont. …
iii) Material handling system,
vi)Objectives ,
v) Constraints,
vi) Layout evolution and so on.

Specification of manufacturing system basically depends on product
variety and product volume.

25
Cont. …
• volumes: what is the right measure of volume from a layout
perspective?
• variety  high/low commonality

26
Basic (classification) of facility layout
There are four basic types of layouts (Kassir, 2014- 2015).
a) Process layout,
b) Product layout ,
c) fixed-position layout and
d) cellular (group) layouts,
all of them are discussed in detail as follows:

27
Process Layouts
a) Process layouts, also known as functional layouts, group similar activities
together in departments or work centers according to the process or function they
perform.
For example, in a machine shop, all drills would be located in one work center,
lathes in another work center, and milling machines in still another work center. A
process layout is characteristic of intermittent operations, service shops, job
shops, or batch production, which serve different customers with different needs.
The volume of each customer's order is low

Cont. …

29
Product layout (assembly line layout)
b) Product layouts (assembly lines) arrange activities in a line
according to the sequence of operations that need to be performed to
assemble a particular product. Each product has its own "line“
specifically designed to meet its requirements. The flow of work is
orderly and efficient, moving from one workstation to another down the
assembly line until a finished product comes off the end of the line.

30
Cont.
Product layouts are suitable for mass production or repetitive operations in

which demand is stable and volume is high. The product or service is a standard
one made for a general market, not for a particular customer.

Group layout (or cellular layout)
c) Group Technology (GT) is the analysis and comparisons of items to group
them into families with similar characteristics.
GT can be used to develop a hybrid between pure process layout and pure flow
line (product) layout.
GT is very useful for companies that produce variety of parts in small batches
to enable them to take advantage and economics of flow line layout.

32
33
Fixed-position layouts
d) Fixed-position layouts are typical of projects in which the product produced is
too bulky, or heavy to move.
 Ships, houses, and aircraft are examples.
 The product remains stationary for the entire manufacturing cycle.
 Equipment, workers, materials, and other resources are brought to the
production site.

34
35
36
Information gathering
Vital information for facility layout design (PQRST)
P = product , what is to be produced
Q=quantity, volume to be produced
R= Routing ,how it is to be produced
S= Support service
T=Time /transport , when and how to move parts in & out.
While collecting data caution should be taken for data reliability and its assumption
especially for R.

37
Tools for information gathering
For product
 Photographs about the product’’
 “Exploded” drawings
 Engineering drawings of individual parts
 Parts list
 Bill of materials (structure of product)
 Assembly chart

38
Tools for information gathering
For process :
Route sheet (equipment and operation times)
Precedence Diagram (prerequisite assembly steps before new assembly
step)
Operation process chart (processing operations, assembly operations, and
inspections)

39
flow and activity relationship
Flow analysis is quantitative measure of movements between departments, material

handling costs.
Where as in activity analysis qualitative factors are important as the relationship

between such functional is expressed in terms of desirability.
Flow Patterns could be:
a. Flow within Workstations
b. Flow within Departments.
c. Flow between Departments

40
The reduction of flow can be achieved by work simplification
including:
1. Eliminating flow by planning for the delivery of materials, information, or
people directly to the point of ultimate use and eliminate intermediate steps.
2. Minimizing multiple flows by planning for the flow between two consecutive
points of use to take place in as few movements as possible.
3.Combining flows and operations

41
Minimizing the cost of flow can be achieved as follows:
1.Reduction of manual handling by minimizing walking, manual
travel distances, and motions.
2. Elimination of manual handling by mechanizing or automating
flow

42
In general principles of effective flow is
Minimize flow
Deliver materials, information, or people directly to the point of
ultimate use
Plan for flow between two consecutive points of use to take place in a
few moments as possible.

43
Combine flows and operations
Maximize directed flow path
Minimize the cost of the flow
Minimize manual handling (automate or mechanize the flow)
Minimize trips of empty carriers

44
Measuring Flow
Flow among departments is one of the most important factors in the arrangement
of departments within a facility.
Flows may be specified in a quantitative manner or a qualitative manner.

Quantitative measures may include: pieces per hour, moves per day, pounds
per week.
Qualitative measures may range from an absolute necessity that two

departments show be close to each other to a preference that two departments
not being close to each other.
45
3.In facilities having large volumes of materials, information, a number of
people moving between departments, a quantitative measure of flow will
typically be the basis for the arrangement of departments.
4.Most often, a facility will have a need for both quantitative and
qualitative measures of flow and both measures should be used.
5. Quantitative flow measure: From-to Chart
Qualitative flow measure: Relationship (REL) Chart

46
A. Quantitative Measure
Large volume of material, information, a number of people moving
between departments in terms of amount moved or distance travelled.
The input for quantitative measure is From –To chart.
From-To Chart measures the flows between departments.

47
A from-to chart is constructed as follows
List all departments down the row and across the column following the overall flow
pattern.
Establish a measure of flow for the facility that accurately indicates equivalent flow
volumes.
If the items moved are equivalent (size, weight, value, risk of damage, shape), the
measure could be the number of the trips, if the items moved vary, then equivalent
items may be

48
Cont. …
established so that the quantities recorded in the From-To Chart represent the
proper relationships among the volumes of movement.
iii. Record the flow volumes in the From-To Chart based on the flow paths for the
items to be moved and the established measure of flow.

49
Example of from- to- chart

50
B. Qualitative Measure
Very little actual movement of materials, information, and people flowing
between departments
Significant communication and organizational interrelation between

departments.
In terms of the level of relationship between units
(departments) in the organizations.
The relationship (REL) chart used as input.

51
Relationship chart (REL) chart
Relationship Chart measures the flows qualitatively using the closeness
relationships values. It may include the closeness values in conjunction with reasons
for the value

52
A relationship (REL) chart is constructed as follows
1.List all departments on the relationship chart.
2. Conduct interviews of surveys with persons from each department

listed on the relationship chart and with the management responsible for
all departments.
3. Define the criteria for assigning closeness relationships and itemize

and record the criteria as the reasons for relationship values on the
relationship chart.
53
4.Establish the relationship value and the reason for the value for all
pairs of departments.
5.Allow everyone having input to the development of the relationship

chart to have an opportunity to evaluate and discuss changes in the
chart.

54
Space requirement
It is an analysis stage of SLP and Perhaps the most difficult determination in
facilities planning.
Space requirements should be determined:
for individual workstations
department requirements
The focus is mainly on the necessary production parameters. i.e. staff, equipment
and others from the theoretical perspective.

55
Three things for spaces requirement
Schedule design
Schedule design decisions tell us how much to produce and when to
produce.
Production schedules can be given in Gantt charts.
Producti Number
Market Production
on of
Forecast Rate
Demand Machines
Continuous or
Product Mix
Intermittent Production
+
Production Rate

56
Cont. …
2. Personnel requirement
Both equipment and personnel requirements are based on production schedule,
Production rate, number of machines required, Employee requirements
rate machines employees

machine operators assembly

57
3. Office Planning
As far as space is considered the focuses in different perspective differ. Whether
they are service layout or office layout in both case humanistic aspects must be
considered in the layout.
Ambient condition
Spatial and functionality
Planning circulation path
Grouping merchandize
Eg. IKEA furniture stores are designed to ensure that customer pass every product
before they pay and leave.
58
Relationship Diagram (RD)
Activities relationship , both From-To chart and REL chart, and space relationship
diagram (from space requirement helps planner to develop Relationship Diagram
(RD).
RD is Transformation of the proximity relationships to a spatial organization of

departments.
The number of line in RD represents paths required to be taken in transaction

between departments.
The more the interaction b/n dep’t the more the line

59
Cont….

60
Computer aided layout
While making facility design problems plenty of alternatives have a
chance to be selected with equivalent importance. (for n number of
departments/machines there are n! alternative combinations)
That is why algorithms have been implemented as either :
1) Construction type or
2) Improvement type

61
Computer aided layout
There are different types of computer programming software for facility layout
design problem, depending on input data, algorithm to be used and so on.
Algorithm Approaches

62
Computer aided layout classification based on
algorism
1.Algorithm based on Nature
Qualitative vs. Quantitative
In the qualitative approach, the interdepartmental closeness desirability is

expressed in terms of closeness ratings.
These ratings are decided by the designer after taking into consideration
one or more of the qualitative factors, e.g. noise, heat, dust, flow of
material etc.
63
Cont. …
In solving the problem the overall subjective closeness rating is

maximized. These subjective closeness ratings could be: A, E, I, 0, U,
X. they indicate the respective degrees of necessity that the two
departments be located close to one another. Usually the layout designer
assigns different numerical values to the ratings so that A>E>I>O>U>X.

64
Computer aided layout classification based on algorism
These different qualitative approaches are distinguished by the scoring

methods used for the closeness ratings
e.g. numerical values used for these ratings are A= 4, E = 3, I= 2, 0 = 1,

U = 0 and X = -1. While The ALDEP
procedure used the numerical values A= 64, E= 16, I=4, O= 1, U= 0 and

X= -1024.

65
Construction vs. Improvement based on approach/ layout generation
Construction Algorithms :
Building a block layout by iteratively adding departments or develop
layout from scratch the overall modeling techniques Such as
CORELAP, ALDEP, graph based method, and PLANET.

66
Cont. …
Improvement Algorithms:
Incrementally improving an initial block layout, this algorithm requires an
initial layout in addition to the input needed by the construction techniques.
CRAFT (Computerized Relative Allocation of Facilities Technique) and

MULTIPLE (MULTI-floor Plant Layout Evaluation) are popular
improvement algorithms that uses pair-wise exchange.

67
Cont. …
The basic goal of the algorithm is to minimize total cost (TC) function,
which is specified mathematically as:
Where fij is the number of flows / loads or movements between facilities

i and j, cij unit cost to move material between department i and j dij is
the distance covered between facilities i and j (i=1, 2, n) (j= 1, 2, m).

68
Cont. …
The craft algorithm: requirements and basic assumptions.
Requirements:
The Craft Program requires the following:
a) The initial layout;
b) The flow matrix;
c) The cost matrix; and
d) The number, sizes and locations of departments.

69
Cont. …
Assumptions:
Basic assumptions of the Craft Program assumed in this study include:
a) The flow and distance matrices are symmetrical;
b) A move from one department to the other costs
c) No restriction exists as to where a particular department should be sited
d) And movement costs have linear relationship with distance.

70
End of chapter three!!!

71

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Chapter three

Facility Lay out Design and Material Handling.......... By Sidelil T. 2013 EC

Facility Lay out Design and Material Handling.......... By Sidelil T. 2013 EC 3

Facility Lay out Design and Material Handling.......... By Sidelil T. 2013 EC 4

The improvement of the existing operation system, whether

To the design of new facility layouts, materials and mechanisms.

Production planning and control I ............ By Sharmarke A.

Definition: Refers to the arrangement of machines, departments,

Plant Layout: is an integration of the physical arrangement of

Facility Lay out Design and Material Handling.......... By Sidelil T. 2013 EC 7

Facility Lay out Design and Material Handling.......... By Sidelil T. 2013 EC 8

Facility Lay out Design and Material Handling.......... By Sidelil T. 2013 EC

 Minimize material handling costs;

 Utilize space efficiently;

 Utilize labor efficiently;

 Incorporate safety and security measures;

Facility Lay out Design and Material Handling.......... By Sidelil T. 2013 EC

MH costs are typically directly proportional to:

a) The frequency of movement of material,

b) The length over which material is moved.

Facility Lay out Design and Material Handling.......... By Sidelil T. 2013 EC

2. Principle of Flow: A good layout is one that makes the materials to

Facility Lay out Design and Material Handling.......... By Sidelil T. 2013 EC

4. Principle of Cubic Space Utilization: The good layout is one that

Facility Lay out Design and Material Handling.......... By Sidelil T. 2013 EC

6. Principle of Minimum Handling: A good layout is one that reduces

Facility Lay out Design and Material Handling.......... By Sidelil T. 2013 EC

Facility Lay out Design and Material Handling.......... By Sidelil T. 2013 EC

The factors affecting plant layout are:

Materials & Machinery,

Labor, Material Handling and Waiting time.

Facility Lay out Design and Material Handling.......... By Sidelil T. 2013 EC

Facility Lay out Design and Material Handling.......... By Sidelil T. 2013 EC 17

Minimization : total traveling time, total cost, total delays,

Maximization : quality, flexibility, or space utilization.

Facility Lay out Design and Material Handling.......... By Sidelil T. 2013 EC 18

Facility Lay out Design and Material Handling.......... By Sidelil T. 2013 EC 19

Facility Lay out Design and Material Handling.......... By Sidelil T. 2013 EC 20

1) Flow pattern required for production line

2) Flow patter required for assembly line

There are six basic production line as listed below

Facility Lay out Design and Material Handling.......... By Sidelil T. 2013 EC

Facility Lay out Design and Material Handling.......... By Sidelil T. 2013 EC

Facility Lay out Design and Material Handling.......... By Sidelil T. 2013 EC

i) Specification of manufacturing system,

ii) Facilities shape and dimension

Facility Lay out Design and Material Handling.......... By Sidelil T. 2013 EC

vi) Layout evolution and so on.

Facility Lay out Design and Material Handling.......... By Sidelil T. 2013 EC

• variety  high/low commonality

Facility Lay out Design and Material Handling.......... By Sidelil T. 2013 EC

Facility Lay out Design and Material Handling.......... By Sidelil T. 2013 EC

Facility Lay out Design and Material Handling.......... By Sidelil T. 2013 EC 28

Facility Lay out Design and Material Handling.......... By Sidelil T. 2013 EC

Facility Lay out Design and Material Handling.......... By Sidelil T. 2013 EC

Product layouts are suitable for mass production or repetitive operations in

Facility Lay out Design and Material Handling.......... By Sidelil T. 2013 EC 31

Facility Lay out Design and Material Handling.......... By Sidelil T. 2013 EC

Facility Lay out Design and Material Handling.......... By Sidelil T. 2013 EC

Facility Lay out Design and Material Handling.......... By Sidelil T. 2013 EC

Facility Lay out Design and Material Handling.......... By Sidelil T. 2013 EC

Facility Lay out Design and Material Handling.......... By Sidelil T. 2013 EC