LECTURE 5

INE 121: DR. GHADA MOHAMED

ELGOHARY

INTRODUCTION
Zagazig University, Industrial
Engineering Dep.

TO IE
1
 Book:
Introduction to Industrial & Systems
2 Engineering, 3rd edition
Authors: Wayne C. Turner et al.
 ONLINE/OFFLINE CHAPTER TOPIC

OFFLINE 17/10 INTRODUCTION DEFINITION & APPLICATION

OF IE

ONLINE 24/10 CHAPTER 3 MANUFACTURING

ENGINEERING

TimeLine
OFFLINE 31/10 CHAPTER 6 WORK DESIGN &
ORGANIZATION
PERFORMANCE

of ONLINE 7/11 CHAPTER 7 OPERATIONS PLANNING &

CONTROL

Lectures OFFLINE 14/11 CHAPTER 17 PROJECT MANAGEMENT

ONLINE 28/11 CHAPTER 4 FACILITIES LOCATION &

LAYOUT

OFFLINE 5/12 CHAPTER 5 MATERIAL HANDLING

ONLINE 12/12 CHAPTER 8 QUALITY CONTOL

OFFLINE 19/12 CHAPTER 11 HUMAN FACTORS

ONLINE 26/12 CHAPTER 12 RESOURCE MANAGMENT

3
Chapter 4
Facilities Location
and Layout

4
 5

Outline

▪ Definitions
▪ Main Factors of Facility Location/Site
▪ Illustrative Example1
▪ Euclidean and Rectilinear Distances
▪ Analytical Techniques
▪ Transportation Method of Linear Programming
▪ Public-Sector Location Problem
▪ Illustrative Example2
▪ Internal Layout of the Facility
▪ Types of Layout
▪ Product layout
▪ Process layout
▪ Fixed-position Layout
▪ Systematic Layout Planning
▪ Operation/Flow Process chart
▪ Activity Relationship Diagram Dr. Ghada Elgohary
 6

Definitions

➢ Facility, it is a built to produce products or serve a

purpose.

➢ Facilities management ,is a location decision for a

facility and the composition or internal layout of it
once located.

Dr. Ghada Elgohary

 7

Main factors of facility location/site

 8

Main factors of facility location/site

There are many factors of choosing

Site/Location:-
• Market
• Raw Materials
• Transportation
• Power
• Climate and Fuel
• Labor and Wages
• Laws and Taxation
• Community Services and Attitude
• Water and Waste
 9

Illustrative Example1

Location of a Manufacturing Facility in

Egypt:-
a. The map of Egypt
b. The locations of exiting facilities
c. The check for main factors
d. A measuring tool for traveling distances

Dr. Ghada Elgohary

 10

Euclidean and Rectilinear Distance

Dr. Ghada Elgohary

 11

Euclidean and Rectilinear Distance

The distance measure may be (𝑋1, 𝑌1)

➢ A rectilinear measure
➢ Euclidean Distance

If two facilities are located at points

represented by
(𝑋1 , 𝑌1 ) and (𝑋2 , 𝑌2 ),
The rectilinear distance is (𝑋2, 𝑌2)
𝑿𝟏 −𝑿𝟐 + 𝒀𝟏 −𝒀𝟐

And
The Euclidean distance is

[ 𝑿𝟏 −𝑿𝟐 𝟐 + 𝒀𝟏 −𝒀𝟐 𝟐 ]𝟏/𝟐

 12

Analytical Techniques

Analytical Techniques are solution procedures that

involves examination the problem by breaking the
problem into components and utilizing mathematics
to search for a good solution.
The objective is to minimize some cost function, the
distance traveled is chosen as the cost function,
(Minimize the maximum distance traveled).

Analytical Techniques can be classified into:

1. Transportation Method of Linear Programming
2. Multiple Objectives
3. Mathematical Programming
Dr. Ghada Elgohary
 13
Transportation Method of Linear
Programming

𝒊 𝒋
𝒄𝒊𝒋

𝒙𝒊𝒋

Dr. Ghada Elgohary

 Transportation Method of Linear 14

Programming

To
Weekly
From Warehose1 Warehose2 Warehose3
Capacity

Factory1 4 6 10 30
Factory2 2 7 8 30
Forecasted
10 30 20 --
Demand

The linear program consists of:-

1. Objective Function (Minimize Total Cost)
2. Constraints (Capacity & Demand)
3. Variables are the Quantities Transported between
Factories and Warehouses.
 15

Formulation of Transportation
Problem

Where,
𝒄𝒊𝒋 = 𝒄𝒐𝒔𝒕 𝒐𝒇 𝒕𝒓𝒂𝒏𝒔𝒑𝒐𝒓𝒕 𝒐𝒏𝒆 𝒖𝒏𝒊𝒕 𝒇𝒓𝒐𝒎 𝒊 𝒕𝒐 𝒋
𝒙𝒊𝒋 = 𝒒𝒖𝒂𝒏𝒕𝒊𝒕𝒚 𝒕𝒓𝒂𝒏𝒔𝒑𝒐𝒓𝒕𝒆𝒅 𝒇𝒓𝒐𝒎 𝒊 𝒕𝒐 𝒋
𝒂𝒊 = 𝑪𝒂𝒑𝒂𝒄𝒊𝒕𝒚 𝒐𝒇 𝒊
𝒃𝒋 = 𝑫𝒆𝒎𝒂𝒏𝒅 𝒐𝒇 𝒋
𝒎 = Factories (Sources)
𝒏 = Warehouses (Destinations) Dr. Ghada Elgohary
 Formulation of Transportation 16

problem

Objective Function:
𝐌𝐢𝐧. 𝒄𝟏𝟏 𝒙𝟏𝟏 + 𝒄𝟏𝟐 𝒙𝟏𝟐 + 𝒄𝟏𝟑 𝒙𝟏𝟑 + 𝒄𝟐𝟏 𝒙𝟐𝟏 + 𝒄𝟐𝟐 𝒙𝟐𝟐 + 𝒄𝟐𝟑 𝒙𝟐𝟑
Subject to:
Demand 𝑥11 + 𝑥21 = 10
constraints
𝑥12 + 𝑥22 = 30

𝑥13 + 𝑥23 = 20
Capacity
constraints 𝑥11 + 𝑥12 + 𝑥13 = 30

𝑥21 + 𝑥22 + 𝑥23 = 30

Dr. Ghada Elgohary
 17

Public-Sector Location Problems

The location of public-sector service agencies such as:-

➢ Fire stations
➢ Hospital
➢ Emergency centers
➢ Equipment yards and Landfills.
The objective in the private sector:-
➢ Minimize Total cost of Traveling
➢ ( Minimize Maximum Response Time)
➢ Distance measured by Euclidean distance.

Dr. Ghada Elgohary

 18

Illustrative Example2

Example 4.3 A typical public-sector location problem

A new blood bank is to be constructed somewhere in a
city that will serve 15 existing hospitals and research
centers.

➢ Given the number of trips between the Blood Bank and

any given facility is relatively constant and known as in
Table 4.3.

➢ The Red Cross wants to locate the blood bank such

that
➢ Minimize the total distance traveled by the truck
Dr. Ghada Elgohary
 19

Illustrative Example2
Hospital or Map Number of Trips,
Research Center Location Weekly
1. Hillcrest (22.5, 5.5) 10
2.South Community (26.5, 9.5) 10
3. Capital Hill (29.5, 14.0) 5
4. St. Anthony (28.5, 24.0) 3
5. Bone and Joint (28.5, 24.5) 1
6.Mercy (29.0, 25.0) 3
7. Polyclinic (30.0, 25.0) 1
8. Wesley (29.5, 24.5) 1
9. University (32.0, 24.5) 3
10. Medicine School (32.0, 25.0) 1
11. Oklahoma (32.5, 25.0) 1
Medical (33.0, 25.0) 1
12.Veteran’s (32.0, 24.5) 1
Hospital (16.0, 36.5) 5
13.Crippled Children (18.0, 37.5) 4
14.Deaconess
15. Baptist Memorial Total 50
Table 4.3. Information for the Blood Bank Location Study
 20

Illustrative Example2

Algorithm for the solution:-

Location of a new facility with respect to several facilities by
following steps:
1- Arrange all facilities in increasing order of the X coordinates.
Add up the number of trips for that same order.
➢ The optimum X location is such that no more than half the
trips are to the left and no more than half to the right.
2- Repeat for the Y coordinate
3- The X and Y coordinates just chosen are the optimum
locations.

Dr. Ghada Elgohary

 21

Illustrative Example2

The calculation of X and Y coordinates are:

X Coordinate
Increasing
16 18 22.5 26.5 28.5 29 29.5 30 32 32.5 33
Order
Number of
5 4 10 10 4 3 6 1 4 2 1
trips
Cumulative 5 9 19 29 33 36 42 43 47 49 50

Y Coordinate
Increasing Order 5.5 9.5 14 24 24.5 25 36.5 37.5
Number of trips 10 10 5 3 6 7 5 4
Cumulative 10 20 25 28 34 41 46 50
Dr. Ghada Elgohary
 22

Illustrative Example2

The calculation of X and Y coordinates are:

X Coordinate
16 18 22.5 26.5 28.5 29 29.5 30 32 32.5 33
Number of
5 4 10 10 4 3 6 1 4 2 1
trips
Cumulative 5 9 19 29 33 36 42 43 47 49 50
50

The total number of trips 50.

The optimum 𝑿 Location then is that location where
no more than 25 trips before it and after it.
This occurs exactly at 𝑿∗ = 𝟐𝟔. 𝟓

Dr. Ghada Elgohary

 23

Illustrative Example2

Y Coordinate
5.5 9.5 14 24 24.5 25 36.5 37.5
Number of trips 10 10 5 3 6 7 5 4
Cumulative 10 20 25 28 34 41 46 50

The total number of trips 50.

The optimum 𝒀 Location then is that location where
no more than 25 trips before it and after it.
This occurs exactly at 𝒀∗ = 𝟏𝟒.0 and at 𝒀∗ = 𝟐𝟒.0
so that, 𝟏𝟒. 𝟎 ≤ 𝒀∗ ≤ 𝟐𝟒.0
Dr. Ghada Elgohary
 24

Illustrative Example2

Conclusion
➢ The facility may be located at (26.5,14.0),
(26.5,24.0), or any point between .
The other considerations factors as
➢ price of the land,
➢ The neighborhood
➢ The cost of construction.
The American Red Cross should take it before making
a final decision.

Dr. Ghada Elgohary

 25

The Internal Layout of The

Facility
Objective is to minimize total cost of following list:
1- Construction cost
2- Installation cost
3- Material handling cost (30-95% of total production cost)
4- Ease of future expansion
5- Production cost
6- Machine downtime cost
7- In-process storage cost
8- Safety cost
9- Ease of supervision

Dr. Ghada Elgohary

 26

Types of Layout

Layout has three essential types:

1) Product Layout Flow
2) Process Layout Flow
3) Fixed-position Layout

Dr. Ghada Elgohary

 27

Product Layout

Dr. Ghada Elgohary

 28

Process Layout

Dr. Ghada Elgohary

 29

Fixed-position Layout

In a fixed-position layout,
personnel, supplies, and
equipment are brought to
the site of the product
where it is assembled,
rather than being moved
through an assembly line.
Such as the assembly of
airplane

Dr. Ghada Elgohary

 30

Layout Flow

There are two essential types of layout flow: Product and Process.
➢ A product layout flow is used when there is a large volume of one or
similar products. In this the machinery or equipment is arranged so
that there is a continuous flow of material in an orderly fashion
throughout the plant. Paper mills, Dairies, Cement Factories, and
Automotive Assembly Plants are good examples of product layout.
➢ A Process layout flow is needed for operations involving a small
volume of many different products. This type of operation is called
job-lot manufacturing.

Dr. Ghada Elgohary

 31

Systematic Layout Planning

Systematic Layout Planning SPL is organized approach to
layout planning that was developed by Richard Muther.
Steps of SPL procedure:-
Step 1: Preparation of Process/Flow Charts to present flow
of the material through the plant.
Step 2: Preparation of an Activity Relationship Diagram to
show the desired closeness of departments and areas within
the plant.
Step 3: Preparation of String Diagram to show the near
optimal placement of the facilities within consideration of
space requirements.
Step 4: Adjustment step
Steps 5 to 10 cancelled. Dr. Ghada Elgohary
 32

Operation/Flow Process Chart

Dr. Ghada Elgohary

 The Operation Process
Chart of processing milk
in a Dairy

Dr. Ghada Elgohary 33

Flow Process Chart

Dr. Ghada Elgohary 34

 35

Activity Relationship Diagram

Letter Closeness
A Absolutely
Necessary
E Especially
important
I Important
O Ordinary
Closeness
U Unimportant
X Not Desirable
Fig. 4.20. Activity relationship
diagram Symbols