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1)Basic steps
2) different types of layout
3) factors affecting plant layout
4) objectives of plant layout
5) problems related to plant layout
6) symptoms of a good plant layout
7) advantages of a good layout
8) alternative layout
The factors affecting plant layout can be grouped
into 7 categories:
Materials
The layout of the productive equipment will
depend on the characteristics of the product
to be managed at the facility, as well as the
different parts and materials to work on.
Main factors to be considered: size, shape,
volume, weight, and the physical-chemical
characteristics, since they influence the
manufacturing methods and storage and
material handling processes.
The sequence and order of the operations will
affect plant layout as well, taking into account
the variety and quantity to produce.
Machinery
 Having information about the processes, machinery, tools
and necessary equipment, as well as their use and
requirements is essential to design a correct layout.
 The methods and time studies to improve the processes
are closely linked to the plant layout.
 Regarding machinery, we have to consider the type, total
available for each type, as well as type and quantity of
tools and equipment.
 It’s essential as well to know about space required, shape,
height, weight, quantity and type of workers required, risks
for the personnel, requirements of auxiliary services, etc.
Labor
 Labor has to be organized in the production
process (direct labor, supervision and auxiliary
services).
 Environment considerations: employees’ safety,
light conditions, ventilation, temperature, noise,
etc.
 Process considerations: personnel
qualifications, flexibility, number of workers
required at a given time as well as the type of
work to be performed by them.
Material Handling
 Material handling does not add value to the
product; it’s just waste.
 Objective: Minimize material handling as well
as combining with other operations when
possible, eliminating unnecessary and costly
movements.
Auxiliary Services
 Support the main production activities at the plant:
 Related to labor: Accessibility paths, fire protection
installations, supervision, safety, etc.
 Related to material: quality control.
 Related to machinery: maintenance and electrical
and water lines.
 The auxiliary services represent around 30% of the
space at a facility.
 The space dedicated to auxiliary services is usually
considered as waste.
 It’s important to have efficient services to insure that
their indirect costs have been minimized.
The building
 If it has been already selected, its
characteristics will be a constraint at the
moment of designing the layout, which is
different if the building has to be built.
Future Changes
 One of the main objectives of plant layout is flexibility.
 It’s important to forecast the future changes to avoid
having an inefficient plant layout in a short term.
 Flexibility can be reached keeping the original layout as
free as possible regarding fixed characteristics, allowing
the adjustment to emergencies and variations of the
normal process activities.
 Possible future extensions of the facility must be taken
into account, as well as the feasibility of production during
re-layout.
To arrange departments ,consisting of like
processes in such a way that optimizes their
relative placement…….
To minimize the interdepartmental
material handling cost….
Example of a Toy factory..
Departments like printing , painting ,
sewing,
major assembly , minor assembly,
shipping
160 ft
80 ft
Good solution on the basics of
MATERIAL HANDLING but not on the
basics of feasibility and practicality……
Sewing department next to painting
department may cause hazard
Major assembly and minor assembly
unit at opposite ends will
increase the time of transportation
( Computerized Relative Allocation
Of Facilities Technique )
A computerized technique to
handle large layouts ..
Simple rule :-
Compare two departments and exchange
them if they reduces the total handeling cos
Does not guarantee an optimal solution
Can handle upto 40 departments and
rarely exceeds 10 iterations.
Involves developing a relationship cha
showing the importance of
each departmental location adjoining
to the other department..
An activity relationship diagram is draw
Provide feasible layout
Advantages of Process Layout
• Flexibility: equipment and personnel can be
used where they are needed.
• Smaller investment in equipment: duplication
is not necessary unless volume is large.
• Expertise: supervisors for each department
become highly. knowledgeable about their
functions
• Diversity of tasks: changing work
assignments make work more satisfying for
people who prefer variety
DisAdvantages of Process Layout
• Lack of process efficiency: backtracking and long
movements may occur in the handling of materials.
• Lack of efficiency in timing: workers must wait
between tasks.
• Complication of production planning and control.
• Cost: workers must have broad skills and must be
paid higher wages than assembly line workers.
• Lowered productivity: because each job is different
it requires different setups and operator training.
Equipments or departments
are dedicated to a particular
product line.
Duplicate equipment is employed
to avoid backtracking.
Straight line flow of material
is achievable.
A special case of product layout
Refers to progressive assemblies
linked by some material handling devi
Group machines in a line to
make a certain product -
Assembly lineA C B F G
A D E
Pallet from Group Layout
PRODUCT LAYOUT
Advantages of Product Layout
• Best for products made in large quantities
• Low cost per unit
• Fast
• Low material handling costs
• Low storage & inventory
• Simplified training of new workers
• Fewer personnel
Disadvantages of Product
Layout
• Large initial investment
• Vulnerable to stoppage
• Inflexible – new designs not introduced
• Parts must fit exact – no rework along line
• Not suitable for incentive pay
• Absenteeism hard to handle
• All stations must take same time
Allocates different machines in cells.
To work on product having similar
shapes n processing requirements
Widelly used in metal fabricating,
chip manufacturing , assembly work .
Grouping parts into families that follows a common
sequence of steps
(PART FAMILIES)…
Identifying dominant flow pattern of part families on the
basics of location and Relocation of processes..
Physically grouping parts n machinery into cells….
Often there will be such parts or such specialized
machinery that cannot be placed into
a particular cell…..
Such are placed into “REMAINDER CELLS” ..
Developing of group technology …
A plant producing 10,000 part numbers may be able
to group the parts into 50 or 60 families. Each family
would possess similar design and manufacturing
characteristics.
Hence, the processing of each member of a given
family would be similar, and this results in
manufacturing efficiencies in the form of:
Reduced set-up,
Lower in-process inventories,
Better scheduling,
Improved tool control,
Standard process plan.
“Dell computer’s server plant “
The one-person build cell that populate the heart of the plant
Enhance flexibility
A critical element of Dell computer’s direct build-to-order model
Assisted by web based online work instructions
An experienced worker in a standard cell can assemble any of the
10 basic
server platforms..
In a cell it can have a high end machinery followed by a low end
machinery
This kind of flexibility allows a much shorter cycle time for all the
platforms
Advantages
– Implied reduction of necessary control
– Reduced material handling
– Reduced set-up time
– Reduced tooling
– Reduced in-process inventory
– Increase operator expertise
– Improved human relations.
Disadvantages
– Reduced shop flexibility
– Possible reduced machine utilization
– Possible extended job flow times
– Possible increased job tardiness.
• Implementation Issues
– Reorganization - machine layout need reorganization
every so often.
– Work cell supervision - supervisors must be expert in
several field (milling, turning, grinding, etc.) represented
in the cell.
– Shop floor control / production planning - cell concept
leads to unbalanced workload on machines.
Fixed Position Layout
• Manufacturing and non-manufacturing
operations of bulky or fragile products,
e.g. ships and planes.
• Move machines and/or workers to the site;
products normally remains in one location
for its entire manufacturing period.
Advantages of Fixed Layout
– Reduces movement of work items; minimizes
damage or cost of moving.
– More continuity of the assigned work force
(since the item does not go from one department
to another). This reduces the problems of re-
planning and instructing people each time a new
type of activity is to begin.
Disadvantages of Fixed Layout
– Since the same workers are involved in more operations,
skilled and versatile workers are required. The
necessary combination of skills may be difficult to find
and high pay levels may be necessary.
– Movement of people and equipment to and from the
work site may be expensive.
– Equipment utilization may be low because the
equipment may be left at a location where it will be
needed again in a few days rather than moved to
another location where it would be productive.
Applicable in banks , stores , restaurants…..
Main objective :- maximize the net
profit per square foor of store space
The best orientation of such a layout is done
by TACO BELL RESTAURANTS
Change in layout
Companies success stratergy…
 The changed layout of the resaurt in 1991 supports the companies
value stratergy of speed and low price
• modification includes elimination of many on site food preperation
steps which the speed and n reduces the working space needed
 Pre heating is done by suppliers or at other place..major task at
restaurant is to heat n assemble only
 Structural change :- single line running parallel to the counter
to double line running parallel to it
 Concept of maximum product exposure makes stores to look
like warehouses sometimes
 Service space refers to the physical surroundings in which the
service takes place and how these surroundings affects customers
and employees
 Three elements of consideration are :-
ambient conditions,spacial layout,and functionality
Angular
layout
Rectangular layout
• Towards open offices
• Personal work spaces separated by
low divider walls
• Enhances communication and team work
• Offices are laid to convey
the desired image of the company
•Scandinavian Airlines System’s administrative
office complex outside Stockholm is a
two-storey collection of glass-wallled pods
•Feeling of an open communication system and
flat hierarchy
• A view of company’s management philosophy
Product
Layouts
Fixed
Position
Layouts Mixed Layouts Process Layouts
Quantity
Number of Different Products
P - q Analysis
The front page article in The Wall Street
Journal (Dec.27,2010) details two brand
new strategies–the 1st a product
decision and the 2nd yet another layout
change.
Innovation at MC-Donalds
Innovation at McDonald's
Indoor seating(1950s)
Drive-through window(1970s)
Adding breakfast to the menu(1980s)
Adding play areas(1990s)
Three out of the 4 are layout decisions!!
Fifth major Innovation
New kitchen layout
Sandwiches assembled in order
Elimination of some steps, shortening of others.
No food prepared ahead except patty
New bun toasting machine and new bun
formulation
Repositioning condiment containers
Result
 Savings of $100,000,000 per year in
food costs
Innovation at McDonald's
Plant layout and its types

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Plant layout and its types

  • 1.
  • 2. 1)Basic steps 2) different types of layout 3) factors affecting plant layout 4) objectives of plant layout 5) problems related to plant layout 6) symptoms of a good plant layout 7) advantages of a good layout 8) alternative layout
  • 3.
  • 4. The factors affecting plant layout can be grouped into 7 categories: Materials The layout of the productive equipment will depend on the characteristics of the product to be managed at the facility, as well as the different parts and materials to work on. Main factors to be considered: size, shape, volume, weight, and the physical-chemical characteristics, since they influence the manufacturing methods and storage and material handling processes. The sequence and order of the operations will affect plant layout as well, taking into account the variety and quantity to produce.
  • 5. Machinery  Having information about the processes, machinery, tools and necessary equipment, as well as their use and requirements is essential to design a correct layout.  The methods and time studies to improve the processes are closely linked to the plant layout.  Regarding machinery, we have to consider the type, total available for each type, as well as type and quantity of tools and equipment.  It’s essential as well to know about space required, shape, height, weight, quantity and type of workers required, risks for the personnel, requirements of auxiliary services, etc.
  • 6. Labor  Labor has to be organized in the production process (direct labor, supervision and auxiliary services).  Environment considerations: employees’ safety, light conditions, ventilation, temperature, noise, etc.  Process considerations: personnel qualifications, flexibility, number of workers required at a given time as well as the type of work to be performed by them.
  • 7. Material Handling  Material handling does not add value to the product; it’s just waste.  Objective: Minimize material handling as well as combining with other operations when possible, eliminating unnecessary and costly movements.
  • 8. Auxiliary Services  Support the main production activities at the plant:  Related to labor: Accessibility paths, fire protection installations, supervision, safety, etc.  Related to material: quality control.  Related to machinery: maintenance and electrical and water lines.  The auxiliary services represent around 30% of the space at a facility.  The space dedicated to auxiliary services is usually considered as waste.  It’s important to have efficient services to insure that their indirect costs have been minimized.
  • 9. The building  If it has been already selected, its characteristics will be a constraint at the moment of designing the layout, which is different if the building has to be built.
  • 10. Future Changes  One of the main objectives of plant layout is flexibility.  It’s important to forecast the future changes to avoid having an inefficient plant layout in a short term.  Flexibility can be reached keeping the original layout as free as possible regarding fixed characteristics, allowing the adjustment to emergencies and variations of the normal process activities.  Possible future extensions of the facility must be taken into account, as well as the feasibility of production during re-layout.
  • 11.
  • 12.
  • 13. To arrange departments ,consisting of like processes in such a way that optimizes their relative placement……. To minimize the interdepartmental material handling cost….
  • 14. Example of a Toy factory.. Departments like printing , painting , sewing, major assembly , minor assembly, shipping
  • 16.
  • 17.
  • 18. Good solution on the basics of MATERIAL HANDLING but not on the basics of feasibility and practicality…… Sewing department next to painting department may cause hazard Major assembly and minor assembly unit at opposite ends will increase the time of transportation
  • 19. ( Computerized Relative Allocation Of Facilities Technique ) A computerized technique to handle large layouts ..
  • 20. Simple rule :- Compare two departments and exchange them if they reduces the total handeling cos Does not guarantee an optimal solution Can handle upto 40 departments and rarely exceeds 10 iterations.
  • 21. Involves developing a relationship cha showing the importance of each departmental location adjoining to the other department.. An activity relationship diagram is draw Provide feasible layout
  • 22.
  • 23. Advantages of Process Layout • Flexibility: equipment and personnel can be used where they are needed. • Smaller investment in equipment: duplication is not necessary unless volume is large. • Expertise: supervisors for each department become highly. knowledgeable about their functions • Diversity of tasks: changing work assignments make work more satisfying for people who prefer variety
  • 24. DisAdvantages of Process Layout • Lack of process efficiency: backtracking and long movements may occur in the handling of materials. • Lack of efficiency in timing: workers must wait between tasks. • Complication of production planning and control. • Cost: workers must have broad skills and must be paid higher wages than assembly line workers. • Lowered productivity: because each job is different it requires different setups and operator training.
  • 25.
  • 26. Equipments or departments are dedicated to a particular product line. Duplicate equipment is employed to avoid backtracking. Straight line flow of material is achievable.
  • 27. A special case of product layout Refers to progressive assemblies linked by some material handling devi
  • 28. Group machines in a line to make a certain product - Assembly lineA C B F G A D E Pallet from Group Layout PRODUCT LAYOUT
  • 29. Advantages of Product Layout • Best for products made in large quantities • Low cost per unit • Fast • Low material handling costs • Low storage & inventory • Simplified training of new workers • Fewer personnel
  • 30. Disadvantages of Product Layout • Large initial investment • Vulnerable to stoppage • Inflexible – new designs not introduced • Parts must fit exact – no rework along line • Not suitable for incentive pay • Absenteeism hard to handle • All stations must take same time
  • 31.
  • 32. Allocates different machines in cells. To work on product having similar shapes n processing requirements Widelly used in metal fabricating, chip manufacturing , assembly work .
  • 33. Grouping parts into families that follows a common sequence of steps (PART FAMILIES)… Identifying dominant flow pattern of part families on the basics of location and Relocation of processes.. Physically grouping parts n machinery into cells…. Often there will be such parts or such specialized machinery that cannot be placed into a particular cell….. Such are placed into “REMAINDER CELLS” ..
  • 34.
  • 35. Developing of group technology …
  • 36.
  • 37. A plant producing 10,000 part numbers may be able to group the parts into 50 or 60 families. Each family would possess similar design and manufacturing characteristics. Hence, the processing of each member of a given family would be similar, and this results in manufacturing efficiencies in the form of: Reduced set-up, Lower in-process inventories, Better scheduling, Improved tool control, Standard process plan.
  • 38. “Dell computer’s server plant “ The one-person build cell that populate the heart of the plant Enhance flexibility A critical element of Dell computer’s direct build-to-order model Assisted by web based online work instructions An experienced worker in a standard cell can assemble any of the 10 basic server platforms.. In a cell it can have a high end machinery followed by a low end machinery This kind of flexibility allows a much shorter cycle time for all the platforms
  • 39. Advantages – Implied reduction of necessary control – Reduced material handling – Reduced set-up time – Reduced tooling – Reduced in-process inventory – Increase operator expertise – Improved human relations.
  • 40. Disadvantages – Reduced shop flexibility – Possible reduced machine utilization – Possible extended job flow times – Possible increased job tardiness. • Implementation Issues – Reorganization - machine layout need reorganization every so often. – Work cell supervision - supervisors must be expert in several field (milling, turning, grinding, etc.) represented in the cell. – Shop floor control / production planning - cell concept leads to unbalanced workload on machines.
  • 41.
  • 42. Fixed Position Layout • Manufacturing and non-manufacturing operations of bulky or fragile products, e.g. ships and planes. • Move machines and/or workers to the site; products normally remains in one location for its entire manufacturing period.
  • 43. Advantages of Fixed Layout – Reduces movement of work items; minimizes damage or cost of moving. – More continuity of the assigned work force (since the item does not go from one department to another). This reduces the problems of re- planning and instructing people each time a new type of activity is to begin.
  • 44. Disadvantages of Fixed Layout – Since the same workers are involved in more operations, skilled and versatile workers are required. The necessary combination of skills may be difficult to find and high pay levels may be necessary. – Movement of people and equipment to and from the work site may be expensive. – Equipment utilization may be low because the equipment may be left at a location where it will be needed again in a few days rather than moved to another location where it would be productive.
  • 45. Applicable in banks , stores , restaurants….. Main objective :- maximize the net profit per square foor of store space The best orientation of such a layout is done by TACO BELL RESTAURANTS
  • 47. Companies success stratergy…  The changed layout of the resaurt in 1991 supports the companies value stratergy of speed and low price • modification includes elimination of many on site food preperation steps which the speed and n reduces the working space needed  Pre heating is done by suppliers or at other place..major task at restaurant is to heat n assemble only  Structural change :- single line running parallel to the counter to double line running parallel to it
  • 48.  Concept of maximum product exposure makes stores to look like warehouses sometimes  Service space refers to the physical surroundings in which the service takes place and how these surroundings affects customers and employees  Three elements of consideration are :- ambient conditions,spacial layout,and functionality
  • 50.
  • 51. • Towards open offices • Personal work spaces separated by low divider walls • Enhances communication and team work • Offices are laid to convey the desired image of the company
  • 52. •Scandinavian Airlines System’s administrative office complex outside Stockholm is a two-storey collection of glass-wallled pods •Feeling of an open communication system and flat hierarchy • A view of company’s management philosophy
  • 53. Product Layouts Fixed Position Layouts Mixed Layouts Process Layouts Quantity Number of Different Products P - q Analysis
  • 54.
  • 55. The front page article in The Wall Street Journal (Dec.27,2010) details two brand new strategies–the 1st a product decision and the 2nd yet another layout change. Innovation at MC-Donalds
  • 56. Innovation at McDonald's Indoor seating(1950s) Drive-through window(1970s) Adding breakfast to the menu(1980s) Adding play areas(1990s) Three out of the 4 are layout decisions!!
  • 57.
  • 58. Fifth major Innovation New kitchen layout Sandwiches assembled in order Elimination of some steps, shortening of others. No food prepared ahead except patty New bun toasting machine and new bun formulation Repositioning condiment containers
  • 59. Result  Savings of $100,000,000 per year in food costs Innovation at McDonald's