1 FACILITY LAYOUT – Part 1

 Introduction
 Types of layouts
 Service facility layouts

Source: [1] Chapter 8

IE 323 Lecture Notes - 5-Part 1 31/10/2022 - 3/11/2022

 FACILITY LAYOUT –
introduction
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 The physical organization of the operational functions

(process, storage, rest, administrative) and recipient
contacts.
 Layout design: the physical placement of resources such
as equipment and storage facilities.
 The layout is designed to facilitate the efficient flow of
customers or materials through the manufacturing or
service system.

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introduction
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 Needs from a layout:

 Effectiveness of operations: meet space/shape requirements,
facilitate flow, provide flexibility, improve quality, reduce
lead time.
 Efficiency of operations: improve use to reduce layout related
costs (handling, space use, cost of additional facilities)
 Other purposes: reducing safety or health hazards;
minimizing interference between different operational areas.
 If all effectiveness-related concerns are met, efficiency
criterion reduces to interrelations between operations.
IE 323 Lecture Notes - 5-Part 1 31/10/2022 - 3/11/2022
 FACILITY LAYOUT –
introduction
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 Examples for such interrelations between operations:

 Cost of materials handling when the main flows
between operations are materials
 Staff time when the major flows are of people

 Costs of lost or delayed information when the main

flows are of paperwork

IE 323 Lecture Notes - 5-Part 1 31/10/2022 - 3/11/2022

The relationship between process type and layout type

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 FACILITY LAYOUT –
Types of layout
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 The choice of layout type will follow from the

process design choice:

 Product layout (also called flow shop layout)

 Process layout (also called functional layout, job shop
layout)
 Fixed-position layout (also called project layout)
 Cellular layout
 Hybrid layout
IE 323 Lecture Notes - 5-Part 1 31/10/2022 - 3/11/2022
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Product layout
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 Also termed as line layouts.

 Arrange the resources required for a product or service
around the needs of that product or service.
 Examples:
 Car assembly lines with a high volume of a standard
product: products move from one processing station to
the next.
 Self-service cafes

IE 323 Lecture Notes - 5-Part 1 31/10/2022 - 3/11/2022

 FACILITY LAYOUT –
Product layout
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 example: car assembly line

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 FACILITY LAYOUT –
Product layout
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 Assembly line

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Product layout
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 Key issue: stages in the line must be ‘balanced’

assembly line balancing.
 A much faster flow time than in a process layout.
 But less flexibility than a process layout:
 only produces a standard product or service.
 lacks the robustness to loss of resources (equipment failure)
that the process layout can provide.
 Waste of space
 Better control (scheduling) possible
 Not only a line configuration but also other designs like
‘U-shape’ layout.
IE 323 Lecture Notes - 5-Part 1 31/10/2022 - 3/11/2022
 FACILITY LAYOUT –
Product layout
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‘U-Shape’ Product layout

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 FACILITY LAYOUT –
product layout – assembly lines
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 Assembly Line – Set of sequential workstations,

connected by a continuous material handling system.

 Workstation: A collection of machines, equipment and

workers/operators performing a set of tasks on the
product under the same control mechanism

 Material handling system: Conveyors, overhead monorails

 A set of tasks is assigned to each workstation.

 work content of each workstation
IE 323 Lecture Notes - 5-Part 1 31/10/2022 - 3/11/2022
 FACILITY LAYOUT –
product layout – assembly lines
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 Processing Times (Task Times)

 Precedence Relationships
 Due to technological and organizational conditions,
precedence constraints exist among the tasks
 Restrict the order in which the tasks can be carried out
 Represented as a directed acyclic graph
 Nodes  tasks
 Arcs  constraints
 Zoning Restrictions for the workstations and/or tasks

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product layout – assembly lines
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Example: Tasks for a speaker module.

Produce 450 units in each 7.5-hour shift.

Task Description Task Time Immediate

(seconds) Predecessors
a Mount bracket to baseboard 10 -
b Mount baseboard to frame 45 a
c Insert two-way speaker 30 a
d Insert and test circuit card 25 b
e Connect power cables 25 c, d
f Test assembly 20 e
g Enclose and seal 20 d, f
h Pack 10 g
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product layout – assembly lines
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 Cycle time (çevrim süresi): Time interval between two units

coming off the line.

 Takt time: Required maximum cycle time is defined by the

demand rate for product.
 Net time available / demand

 e.g. Takt time= (450 min/shift)/(450 units/shift)=1 min.

 Cycle time ≤ takt time

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product layout – assembly lines
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Assembly line balancing problem:

 Assign the tasks to the workstations so that some measure

of performance is optimized as:

 Number of workstations
 Cycle time

 Constraints in the assignment of tasks

 Precedence relationships
 Work content of a workstation ≤ cycle time
 Cycle time or number of workstations

 Zoning restrictions, …

IE 323 Lecture Notes - 5-Part 1 31/10/2022 - 3/11/2022

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product layout – assembly lines
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The work contents of the stations are to

be balanced.

Precedence relationship diagram

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 FACILITY LAYOUT –
Fixed-position layout (project layout)
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 The good or service cannot be moved  the transforming

process must take place at the location of good
manufacturing or service delivery.
 All resources for producing the product -equipment,
labor- must move to the site of the product.
 Key issues: staging of the materials around the project
site; scheduling and coordination of resources to ensure
their availability in the required amounts at the required
time. Constraints: Precedence relationships among the
activities, space availability on the site.

IE 323 Lecture Notes - 5-Part 1 31/10/2022 - 3/11/2022

 FACILITY LAYOUT –
Fixed-position layout (project layout)
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Example: Aircraft production in a fixed position layout

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 FACILITY LAYOUT –
Fixed-position layout (project layout)
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 Example: Fixed-Position layout in a full service restaurant

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 FACILITY LAYOUT –
Process (job shop) layout
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 In job shops, resources (equipment and people) with

similar processes or functions are grouped together in
departments.
 The interrelationships are departmental.
 A variety of important factors in the interrelationships
among the departments (operations).

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Process (job shop) layout
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 Layout design is very complex due to a large variety in

the products having different
 processing requirements
 production volumes
 routes
 A job shop layout is based on the historically stable
product mix and their routings, and expected changes
in that mix, rather than the current operations or
products.

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Process (job shop) layout
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 Advantages:
 in service systems a wide variety of routes that may be
chosen by customers depending on their needs.
 Product mix (variety) can be extended.
 Key issues: management of the flow of products among
departments.
 Transportation time and handling cost among departments
 Number of products with different routes in the shop 
queueing times, long flow times.

IE 323 Lecture Notes - 5-Part 1 31/10/2022 - 3/11/2022

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Process (job shop) layout
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 FACILITY LAYOUT – Process (job shop) layout
Operations sequence (TVD approach)
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IE 323 Lecture Notes - 5-Part 1 31/10/2022 - 3/11/2022

 FACILITY LAYOUT – Process (job shop) layout
Operations sequence (TVD approach)
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Process layout
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 Heuristics to develop a layout design:

 Place departments on a grid one by one.
 Start with the department with the largest
interrelationship and place in the middle. 3 3
 Next pick up the department with the
largest relationship to the existing
and place.
1 3 3
 Repeat as long as space
4 4
in the neighborhood of
2 5 5
existing remains: 6, 5, 2, 4. 2 5 5
IE 323 Lecture Notes - 5-Part 1 31/10/2022 - 3/11/2022 1 3 3 6
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Process layout
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Criterion:
 Dij: center-to-center euclidean/rectilinear

distance
 k: route


k
V k Tk  D(i,
(i, j)
j)k

Using rectilinear distances

IE 323 Lecture Notes - 5-Part 1 31/10/2022 - 3/11/2022

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Process layout
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k V kT k (i,j) D(i,j)k VkTk ΣD(i,j)k

1 200 (1,2) 1.5
(2,5) 1.5 4 4
(5,6) 3 1200 2 5 5
2 500 (1,3) 1.5 2 5 5
(3,6) 1.5 1500 1 3 3 6
3 200 (1,2) 1.5
(2,4) 2
(4,5) 2.5
(5,6) 3 1800
Total: 4500

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Process layout
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Q: try pairwise exchanges fixing 4 4

lower-left corners. 2 5 5

2 5 5
e.g. 35 or
1 3 3 6
25
35
4 4

Storage areas are included into the 2 3 3

space needs 2 5 5

1 5 5 6
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 FACILITY LAYOUT –
Cellular layout
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 A cellular layout combines the efficiency of a product

layout with the flexibility of a process layout.
 Cells are created by placing together resources which
service a subset of the total range of products. When
grouping products together in this way, the grouping is
termed a family.
 The process of grouping the products in families and the
resources into cells is termed as group technology.

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 Moving from a process to a cellular layout

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Cellular layout
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 In cellular manufacturing, group technology (GT) principle

is physically realized
 Not all applications of GT are cellular manufacturing. Cells
need to be formed for cellular manufacturing layout
 GT has three aspects
 Grouping parts into families: grouping parts or customers into
families with the objective of reducing the changeover time
between batches, allowing smaller batch sizes and thus
improving flexibility. Based on grouping according to processing
similarity.

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Cellular layout
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 GT has three aspects (cont’d)
 Grouping physical facilities into cells: to reduce transportation time
between processes. A cell comprises all the facilities required to
manufacture a family of components or deliver a service. Movements
are within the cell and throughput times are therefore reduced. Cells
can be U-shaped
 Creating groups of multi-skilled workers. Increased autonomy and
flexibility on the part of operators. Easier changeovers from one part
to another, increased job enrichment
 Reduced throughput time by reducing the queueing time;
opportunity for automation due to close proximity of the process
stages. But a disadvantage: extra investment in resources; some
machines hard/impossible to include in cells, like heat treatment
ovens.
IE 323 Lecture Notes - 5-Part 1 31/10/2022 - 3/11/2022
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Cellular layout
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 Examples: Maternity unit in a hospital. A retail department

store (sections like men, women, children,...). Cafeteria with
multiple serving areas. An insurance company organized by
type of claim such as car, home or travel
 Find out similarities (of components, finished products,
machines ?).
 Production Flow Analysis (PFA) (Burbidge, 1996) is a GT
technique that clusters components of similar machining
requirements.
 PFA is the most common and simple approach to determine
families.
IE 323 Lecture Notes - 5-Part 1 31/10/2022 - 3/11/2022