Facility Design-Week 2

Introduction to Facility
Planning

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Definition of Factory

Factory/Plant:

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Factory/plant
MACHINES/
RESOURCES
MAN EQUIPMENTS

PRODUCTION SYSTEM
MATERIAL
ENERGY

INFORMATION
MONEY

FINISHED GOODS

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Facilities Planning

 Facilities planning determines how an

activity’s tangible fixed assets best support
achieving the activity's objectives

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Facilities Planning

Examples:
a. In manufacturing, the objective is to support
production.

b. In an airport, the objective is to support the

passenger airplane interface.

c. In a hospital, the objective is to provide medical care

to patients.

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Facility Planning-Hierarchy

Facility
Location

Structural
Design
Facility
Planning
Facility Layout
Design Design

Handling
System Design

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Facility Planning

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).

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Typical Design and Planning Problems

Facility Location Type, Number of Material Determining Flow of

Handling Devices Products (People)

Type, Volume of Products Determining Material Scheduling and planning of

to be Manufactured or Handling Methods Jobs (Service steps)
Service to be Provided

Overall System Design

Manufacturing (Service) Layout of Equipment
Processes Required Within Each Cell

Design of Components Layout of Machine Inventory Control

(Service) (Service) Cells

Type, Number of Determination of Machine Distribution of goods

Equipment Required (Service) Cells

Process Planning Tooling, Fixture Quality Control and

Determination Customer Service
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 Facility Planning Objectives

1. Support the organization's mission through improved

material handling, materials control, and good
housekeeping.

2. Effectively utilize people, equipment, space, and energy.

3. Minimize capital investment.

4. Be flexible and promote ease of maintenance.

5. Provide for employee safety and job satisfaction.

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Issues in Facilities Design
 Minimize investment in new equipment
 Maximize production throughput rate
 Utilize space most efficiently
 Provide for the safety and comfort of employees
 Maintain a flexible arrangement
 Minimize materials handling cost
 Facilitate the manufacturing process
 Facilitate the organizational structure
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Facility Plant Layout
 Facility layout: Arrangement of machines,
storage areas, and/or work areas usually within
the confines of a physical structure, such as a
retail store, an office, a warehouse, or a
manufacturing facility.
 for the location of all machines, utilities, employee
workstations, customer service areas, material
storage areas, aisles, restrooms, lunchrooms, internal
walls, offices, and computer rooms
 for the flow patterns of materials and people around,
into, and within buildings
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Why is facilities layout important?

 20-75% of product cost attributed to materials

handling (Sule, 1991 and Tompkins et al. 2003)

 Layout of facilities affects materials handling

costs

 Facilities includes machines, departments,

workstations, locker rooms, service areas, etc.

“You can make as many mistakes as you want in layout

planning, and they’ll all any for themselves if they avoid
mistakes in the physical installation” 12
Types of layout problems

Layout of a service system

Layout of a manufacturing facility
Warehouse layout
Nontraditional layout

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Applications
 Manufacturing
 Healthcare
 Service
 Restaurants
 Banks
 Airports
 Entertainment
 Logistics and
Distribution
 Ports/Terminals
 Distribution Centers 14
Service Layout Problem

 Minimize transportation among personnel

 Communication and privacy
 Conform building codes
 Safety & security for the personnel

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 Retail/Service Layout

 Design maximizes product exposure to

customers
 Decision variables
 Store flow pattern
 Allocation of (shelf) space to products
 Types
 Grid design Video
 Free-flow design

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Service system layout – Grocery store

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Operations review for office layouts
(Suskind, 1989)
 Is the company outgrowing its space?
 Is available space too expensive?
 Is building in the proper location?
 How will a new layout affect the organization and
service?
 Are office operations too centralized or decentralized?
 Does the office structure support the strategic plan?
 Is the new layout in tune with the company’s image
 Does customer physically participate in service delivery?

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Office structures

Closed structure
Semiclosed structure
Open structure
Semiopen structure

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Closed structure

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Semiclosed structure

Teller Teller Teller

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Open structure

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Semiopen structure

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Service Layout

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Service Industry - Bank

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Manufacturing layout
 Minimize transportation cost of raw materials,
sub-assemblies, work-in-process inventory,
tools, parts, finished products, etc.
 Facilitate traffic flow
 Improve employee morale
 Minimize or eliminate risk of injury and property
damage
 Ease of supervision and face-to-face
communication
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Assembly facility layout

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Driveway layout

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Warehouse layout

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Warehouse layout

Warehouse is a facility for storing merchandise,

commodities or other items

4 main warehouse functions

1. Receiving
2. Storing
3. Order picking
4. Shipping

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 Warehouse layout

• Where to locate
receiving and shipping
functions?

• Should the two

functions be combined
at one location or
separated?

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Warehouse Layout Problem

Goal: utilize space effectively to minimize

storage and material handling cost(MHC).

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 Warehouse Layout Problem
Factor: shape and size of aisle,
warehouse height, location and orientation
of docking area, types of rack, storage &
retrieval automation
.

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Warehouse Layout Problem

Shape and size of aisle factor

 MH equipment/ device

 Types of rack

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Warehouse Layout

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Nontraditional layout

Keyboard layout
IC board layout
Computer disk storage layout
Airport gate layout

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Non Traditional Layout Problem

Ex: Control panel LP in the design of a

computer backboard.

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