UNIT 3

PLANT LAYOUT AND MATERIAL HANDLING

3.1 SITE SELECTION

Choice of site, in a given location, for erecting the plant involves selection from available
alternatives, with due consideration for the terrain, transport facilities, water supply, power
supply, manpower availability, etc. Site preparation and development, in some instances, can
be a very expensive proposition and this aspect has to be assessed carefully. The cost estimates
should take note of the magnitude of work involved in preparing the site for plant erection.

Specific requirements that the locations have to fulfil for smooth plant operations have to be
spelt out. Alternative locations that are likely to be suitable should be identified. The reasons
for the choice of the optimal location from among considered alternatives should be
substantiated.

A good understanding if the local conditions in terms of infrastructure and socio-economic

environment is very essential and the relevant information has to be gathered for the feasibility
study. Infrastructural investment is a very essential precondition for the operation of any
project. It is interesting to note that some of the State Industrial Development Corporations,
that build international estates and invite promoters to set up units, work on the premise that it
is sufficient of the land for the factory structure is made available initially and that the
infrastructure facilities such as roads, water, drainage, transports, etc., can be developed in due
course as the number of units in the estate increases. The consequence has been that the earlier
units in these industrial estates were starved of essential infrastructure facilities and had to
struggle for survival. The socio-economic environment is another factor that has to be
considered. Waste disposal, if not properly organized, will pose an environmental hazard and
it is essential that the location study determines the extent of effluents and the possible manner
of disposal in the locational alternatives under consideration. There are State legislations on
effluent disposal, and the required investments for effluent treatment and disposal have to be
planned and incorporated in the project estimates.

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 3.2 TYPES OF PROJECT LAYOUT

Just as it is important to determine the composition and cost of equipment, materials, services,
land, etc., in great detail, it is also necessary to consider the requirements or structures and civil
works for the considerable construction and erection work that has to be undertaken during
project implantation. Such constructions/erections have to be defined and their costs estimates
prepared. Project layouts have to be determined with reference to:

➢ The production programme;

➢ The procurement programme for materials, supplies and services;
➢ The technology chosen;
➢ The equipment selected;
➢ The civil work involved; and
➢ Significant factors, if any, with reference to the local conditions.
Alternative project layouts should be considered, and the optimal layout chosen. To highlight
the scope of the project and project components, the physical layout drawings have to be drawn
up.

Keeping in view the type of industry and volume of production, Project layouts have to be
determined with reference the following:

a. Product or Line Layout

b. Process or Functional Layout
c. Fixed Position Layout.
d. Combination type of Layout.

a. Product or Line Layout

If all the processing equipment and machines are arranged according to the sequence of
operations of the product, the layout is called product type of layout. In this type of layout, only
one product of one type of products is produced in an operating area. This product must be
standardized and produced in large quantities in order to justify the product layout.

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The raw material is supplied at one end of the line and goes from one operation to the next
quite rapidly with a minimum work in process, storage and material handling. Figure below
shows product layout for two types of products A and B.

Fig 16- Product layout or Line layout

Advantages offered by Product Layout:

(i) Lowers total material handling cost.
(ii) There is less work in processes.
(iii) Better utilization of men and machines
(iv) Less floor area is occupied by material in transit and for temporary storage
(v) Greater simplicity of production control.
(vi) Total production time is also minimized

Limitations of Product Layout:

(i) No flexibility which is generally required is obtained in this layout.
(ii) The manufacturing cost increases with a fall in volume of production.
(iii) If one or two lines are running light, there is a considerable machine idleness.
(iv) A single machine break down may shut down the whole production line.
(v) Specialized and strict supervision is essential

b. Process or Functional Layout

The process layout is particularly useful where low volume of production is needed. If the
products are not standardized, the process layout is lower desirable, because it has creator
process flexibility than other. In this type of layout, the machines and not arranged according
to the sequence of operations but are arranged according to the nature or type of the operations.
This layout is commonly suitable for non-repetitive jobs.

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Same type of operation facilities are grouped together such as lathes will be placed at one place,
all the drill machines are at another place and so on. Therefore, the process carried out in that
area is according to the machine available in that area.

Fig 17- Process layout

Advantages
(i) There will be less duplication of machines. Thus, total investment in equipment purchase
will be reduced.
(ii) It offers better and more efficient supervision through specialization at various levels.
(iii) There is a greater flexibility in equipment and man power thus load distribution is easily
controlled.
(iv) Better utilization of equipment available is possible.
(v) Break down of equipment can be easily handled by transferring work to another
machine/work station.
(vi) There will be better control of complicated or precision processes, especially where much
inspection is required.
Limitations
(i) There are long material flow lines and hence the expensive handling is required.
(ii) Total production cycle time is more owing to long distances and waiting at various points.
(iii) Since more work is in queue and waiting for further operation hence bottle necks occur.
(iv) Generally, more floor area is required.
(v) Since work does not flow through definite lines, counting and scheduling is more tedious.
(vi) Specialization creates monotony and there will be difficult for the laid workers to find job
in other industries.

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c. Fixed Position Layout
This type of layout is the least important for today’s manufacturing industries. In this type of
layout the major component remain in a fixed location, other materials, parts, tools, machinery,
man power and other supporting equipment’s are brought to this location.
The major component or body of the product remain in a fixed position because it is too heavy
or too big and as such it is economical and convenient to bring the necessary tools and
equipment’s to work place along with the man power. This type of layout is used in the
manufacture of boilers, hydraulic and steam turbines and ships etc.
Advantages
(i) Material movement is reduced
(ii) Capital investment is minimized.
(iii) The task is usually done by gang of operators, hence continuity of operations is ensured
(iv) Production centres are independent of each other. Hence, effective planning and loading
can be made. Thus, total production cost will be reduced.
(v) It offers greater flexibility and allows change in product design, product mix and production
volume.
Limitations
(i) Highly skilled man power is required.
(ii) Movement of machines equipment’s to production centre may be time consuming.
(iii) Complicated fixtures may be required for positioning of jobs and tools. This may increase
the cost of production.

d. Combination type of Layout.

Now a days in pure state any one form of layouts discussed above is rarely found. Therefore,
generally the layouts used in industries are the compromise of the above mentioned layouts.
Every layout has got certain advantages and limitations. Therefore, industries would to like use
any type of layout as such.
Flexibility is a very important factory, so layout should be such which can be molded according
to the requirements of industry, without much investment. If the good features of all types of
layouts are connected, a compromise solution can be obtained which will be more economical
and flexible.

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 3.3 FACTORS AFFECTING LAYOUT

Some of the major factors which affect plant layout are:

a) Policies of management
b) Plant location
c) Nature of the product
d) Volume of production
e) Availability of floor space
f) Nature of manufacturing process and
g) Repairs and maintenance of equipment and machines.

a) Policies of Management
It is important to keep in mind various managerial policies and plans before deciding plant
layout. Various managerial policies relate to future volume of production and expansion, size
of the plant, integration of production processes; facilities to employees, sales and marketing
policies and purchasing policies etc. These policies and plans have positive impact in deciding
plant layout.
b) Plant location
Location of a plant greatly influences the layout of the plant. Topography, shape, climate
conditions, and size of the site selected will influence the general arrangement of the layout
and the flow of work in and out of the building.
c) Nature of the product
Nature of the commodity or article to be produced greatly affects the type of layout to be
adopted. In case of process industries, where the production is carried in a sequence, product
layout is suitable. For example, soap manufacturing, sugar producing units and breweries apply
product type of layout. On the other hand, in case of intermittent or assembly industries, process
type of layout best suited. For example, in case of industries manufacturing cycles, typewriters,
sewing machines and refrigerators etc., process layout method is best suited.
Production of heavy and bulky items need different layout as compared to small and light items.
Similarly, products with complex and dangerous operations would require isolation instead of
integration of processes.

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d)Volume of production
Plant layout is generally determined by taking into consideration the quantum of production to
be produced. There are three systems of production viz.

Job production
Under this method peculiar, special or non- standardized products are produced in accordance
with the orders received from the customers. As each product is non- standardized varying in
size and nature, it requires separate job for production. The machines and equipment’s are
adjusted in such a manner so as to suit the requirements of a particular job.
Job production involves intermittent process as the work is carried as and when the order is
received. Ship building is an appropriate example of this kind. This method of plant layout viz.,
Stationery Material Layout is suitable for job production.

Mass production
This method involves a continuous production of standardized products on large scale. Under
this method, production remains continuous in anticipation of future demand. Standardization
is the basis of mass production. Standardized products are produced under this method by using
standardized materials and equipment. There is a continuous or uninterrupted flow of
production obtained by arranging the machines in a proper sequence of operations. Product
layout is best suited for mass production units.

Batch production
It is that form of production where identical products is produced in batches on the basis of
demand of customers or of expected demand for products. This method is generally similar to
job production except the quality of production.
Instead of making one single product as in case of job production a batch or group of products
is produced at one time, It should be remembered here that one batch of products has no
resemblance with the next batch. This method is generally adopted in case of biscuit and
confectionary manufacturing, medicines, tinned food and hardware’s like nuts and bolts etc
e) Availability of floor space
Availability of floor space can be other decisive factor in adopting a particular mode of layout.
If there is a scarcity of space, product layout may be undertaken. On the other hand more space
may lead to the adoption of process layout.

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f) Nature of manufacturing process
The type of manufacturing process undertaken by a business enterprise will greatly affect the
type of layout to be undertaken.
A brief mention of various processes is given us under:
(i) Synthetic process
Under this process two or more materials are mixed to get a product. For example, in the
manufacture of cement, lime stone and clay are mixed.
(ii) Analytical process
This is just the reverse of synthetic process. Under this method different products are extracted
from one material. For example, from crude oil, petroleum, gas, kerosene and coal tar etc. are
extracted.
(iii) Conditioning process
Under this process the original raw material is given the shape of different products and nothing
is added to it. Jute is an important example of this kind.
(iv) Extractive process
This method involves the extraction of a product from the original material by the application
of heat or pressure. This involves the process of separation, for example, aluminium is
separated from bauxite.
g) Repairs and maintenance of equipment and machines
The plant layout should be designed in such a manner as to take proper care with regard to
repairs and maintenance of different types of machines and equipment being used in the
industry. The machines should not be installed so closely that it may create the problems of
their maintenance and repairs. It has been rightly said that “Not only should access to parts for
regular maintenance such as oiling, be considered in layout but also access to machine parts
and components when replacement and repair are fairly common”

3.4 FACTORY BUILDING DESIGN CONSIDERATIONS

The following factors should be considered while planning a factory building

i. Nature of Manufacturing Process
ii. Flexibility
iii. Expandability or Future Expansion
iv. Service Facilities
v. Employee Facilities
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 vi. Lighting
vii. Heating
viii. Ventilating
ix. Air-Conditioning
x. Other Consideration

i) Nature of Manufacturing Process

Buildings required to house continuous or intermittent production processes differ quite a lot
in their design. Seldom the same building is suitable for both these types of productions.
Building design varies with the type of product to be manufactured and the equipment utilised.
Buildings manufacturing rubber tyres, clothes, machine tools, glass bottles, presses or steel
plates possess designs which differ as regards floor loading, height of the ceiling, bay size,
ventilation and humidity requirements, etc.
ii) Flexibility
Suppose a factory owner is interested to leave his original product and decides to manufacture
another product which he feels is probably more profitable. He cannot construct another
building and thinks of using the same old factory building for making the new product.
This is not strange; many old cotton mills and sugar factories are now being used for light
engineering works. At this stage the question arises, whether the old factory building is flexible
enough to be used for manufacturing the new product?
Thus, flexibility in the factory building avoids it from becoming obsolete and imparts to it (i.e.,
to the building) the same operating efficiency even when there is a change in product, process
or technology.
The flexibility of a factory building can be increased by
Providing a large floor area unobstructed by pillars, columns, etc., so that processes and layouts
can be changed easily.
 Keeping adequate roof truss strength and ceiling height so that newer material handling
equipment can be installed and inside building temperatures may be controlled.
 Erecting no permanent obstruction such as walls and partitions on the production floor.
 Providing individual motor drives for the machines
 Providing overhead electrical grid so that electrical supply (at various voltage levels)
can be tapped near the equipment.
 Making heavy duty floors to accommodate even heavier machines;

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  Making machine installations such that the machines can be moved easily when layout
changes are required.
iii) Expandability or Future Expansion
Keeping provision for future expansion has become very necessary because of the enormous
expansion of industry in recent years. Due consideration is being given to future expansions
while designing a new building; but before that a plant site size large enough for current needs
and for future expansion requirements should be purchased. While designing the factory
building, it is thought of carefully that in future, whether the building will expand length or
breadth-wise or more number of floors will be constructed.
If it is decided to expand length- and breadth-wise, false and non-load bearing end walls are
constructed to make expansion easier. If more floors are to be added in the building above the
ground floor, adequate foundations, supports, etc., should be provided in the original structure
to carry the weight of added floors. Where processes are housed in separate buildings, certain
plan shapes have become popular due to their ease of extension (expansion) and they are in the
form of the letters F, E, H, L, U, T, etc.; (refer figure below) original building is in full lines
and extensions are shown dotted.

Figure 18- Factory buildings & Proposed Expansions (in dotted lines)

iv) Service Facilities

Service facilities such as firefighting equipment, sewage-treating systems, emergency and
stand-by power equipment, compressed-air equipment, heating, lighting, ventilating and air-
conditioning equipment, etc., should be housed separately and suitably.
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v) Employee Facilities
Good employee facilities are incentives to the employees of an organisation and they build up
the morale of the employees. Adequate provision should be kept as regards washroom and
toilet facilities, dispensaries, cafeterias, recreation rooms, parking areas etc.

vi) Lighting
One of the most important environmental factors is Lighting which increases productivity,
reduces accidents and adds to employee satisfaction.

vii) Heating:
In a factory, heating is required for following purposes:
Processing- Heating is required for melting metals and alloys, making forging, etc
Work-place heating-Work-place is heated for improving the efficiency of the workers in the
winter season. The temperature maintained is within the comfort zone of about 60-65° F.
Cooking and preparation of factory meals

viii) Ventilating
Ventilating is basically replacing stale air (of the factory building) by fresh air. If the stale air
is not removed, it will smell bad and the concentration of carbon-dioxide, humidity and
tempera-ture will rise. Inadequate ventilation results in discomfort and fatigue. Modern plants
provide ample ventilation by increasing the number of air changes per hour.

ix) Air-Conditioning
Air-conditioning is the control of air temperature, humidity, cleanliness and distribution of air.
Temperature control involves heating the air in winter and cooling it in summer. Heat may be
generated from a central heating plant using hot water or steam as a heating medium. Cooling
may be caused by piping the coolant from a centralized compressor plant to local areas where
air is run through the coils. Self-contained air-conditioners may be installed directly in the
rooms to be cooled. Humidity of the air is adjusted by adding moisture to it in winter and by
removing moisture from the moist summer air.
x) Other Considerations
 Good Appearance- Good appearance can be achieved by making use of appealing
colours, more glass and metal sections. The style of architecture and building materials
are responsible for the good appearance of a factory building.
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  Strong, Durable, Economical and Safe Construction- Make use of steel structures
for roofing and supports. Use prefabricated doors, windows etc. Precast concrete
construction may be advantageous.
 Security Measures-It include providing fencing wires, laying broken pieces of glass
on the boundary walls, keeping explosive and inflammable materials outside the factory
building in separate enclosures, etc.
 Noise Control-Noise control i.e., minimizing undesirable noises to reduce mental
fatigue of the workers (resulting in) accidents and industrial deafness.

3.5 PRINCIPLES OF MATERIAL HANDLING

The principles of materials handling ensure effective and efficient handling of material are as
follows:

1. Planning Principle

All material handling should be the result of a deliberate plan. Non-plan movement of
materials should be avoided as far as possible.

2. Standardization Principle

Material handling equipment, controls, and software should be standardized. While

standardizing it should be ensured that performance objectives and flexibility in
operations are not sacrificed.

3. Work Principle

Material handling work should be minimized without sacrificing productivity.

4. Ergonomic Principle

Human capabilities and limitations must be taken into consideration while designing
material handling tasks and equipment.

5. Unit Load

Unit load should be properly determined so that it accommodates all materials and
material handling becomes easier.

6. Space Utilization Principle

Effective and efficient use must be made of all available space.

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 7. System Principle

Material handling and storage should be fully integrated so that there is a smooth
flow of materials in the warehouse.

8. Automation Principle

Material handling operations should be mechanized and/or automated where feasible

in order to improve operational efficiency. This will reduce potentially unsafe manual
labor operations.

9. Environmental Principle

Environmental impact and energy consumption such as petrol, diesel, should be

considered as criteria when designing or selecting material handling systems.

10. Life Cycle Cost Principle

Cost of equipment throughout its entire lifecycle and not only its initial cost should
be considered before selecting it.

3.6 SELECTION OF MATERIAL HANDLING EQUIPMENT

3.6.1 Selection of Material Handling equipment

This is an important decision as it affects both the cost and efficiency of the handling system.
The following factors are to be taken into account while selecting material handling equipment.

a) Properties of the Material

b) Layout and Characteristics of the Building
c) Production Flow
d) Cost Considerations
e) Nature of Operations
f) Engineering Factors
g) Equipment Reliability

a) Properties of the Material

Whether it is solid, liquid or gas, and in what size, shape and weight it is to be moved, are
important considerations and can already lead to a preliminary elimination from the range of

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available equipment under review. Similarly, if the material is fragile, corrosive or toxic this
will imply that certain handling methods and containers will be preferable to others.
b) Layout and Characteristics of the Building
Another restricting factor is the availability of space for handling. A low-level ceiling may
preclude the use of hoists or cranes, and the presence of supporting columns in awkward places
can limit the size of the material-handling equipment. If the building is multi-storied, chutes or
ramps for industrial trucks may be used. The layout itself will indicate the type of production
operation (continuous, intermittent, fixed position or group) and can indicate some items of
equipment that will be more suitable than others. Floor capacity also helps in selecting the best
material handling equipment.
c) Production Flow
If the flow is fairly constant between two fixed positions that are not likely to change, fixed
equipment such as conveyors or chutes can be successfully used. If, on the other hand, the flow
is not constant and the direction changes occasionally from one point to another because several
products are being produced simultaneously, moving equipment such as trucks would be
preferable.
d) Cost Considerations
This is one of the most important considerations. The above factors can help to narrow the
range of suitable equipment, while costing can help in making a final decision. Several cost
elements need to be taken into consideration when comparisons are made between various
items of equipment that are all capable of handling the same load. Initial investment and
operating and maintenance costs are the major cost to be considered. By calculating and
comparing the total cost for each of the items of equipment under consideration, a more rational
decision can be reached on the most appropriate choice.
e) Nature of Operations
The selection of equipment also depends on the nature of operations like whether handling is
temporary or permanent, whether the flow is continuous or intermittent and material flow
pattern-vertical or horizontal.
f) Engineering Factors
The selection of equipment also depends on engineering factors like door and ceiling
dimensions, floor space, floor conditions, and structural strength.
g) Equipment Reliability
The reliability of the equipment and supplier reputation and the after-sale service also plays an
important role in selecting material handling equipment.
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3.6.2 Types of Material Handling Equipment
Material handling equipment can be classified into two categories, namely:
a) Fixed path equipment, and
b) Variable path equipment.
a) Fixed path equipment
Fixed path equipment are those which moves in a fixed path. Conveyors, monorail devices,
chutes, and pulley drive equipment belong to this category. A slight variation in this category
is provided by the overhead crane, which though restricted, can move materials in any manner
within a restricted area by virtue of its design. Overhead cranes have a very good range in terms
of hauling tonnage and are used for handling bulk raw materials, stacking and at times
palletizing

b) Variable Path equipment

Variable path equipment has no restrictions in the direction of movement although their size is
a factor to be given due consideration trucks, forklifts mobile cranes and industrial tractors
belong to this category. Forklifts are available in many ranges; they are manoeuvrable and
various attachments are provided to increase their versatility.
Material Handing Types of equipment may be classified into five major categories.
a) Conveyors
b) Industrial Trucks
c) Cranes And Hoists
d) Containers
e) Robots
a) Conveyors
Conveyors are useful for moving material between two fixed workstations, either continuously
or intermittently. They are mainly used for continuous or mass production operations indeed,
they are suitable for most operations where the flow is more or less steady. Conveyors may be
of various types, with rollers, wheels or belts to help move the material along: these may be
power-driven or may roll freely. The decision to provide conveyors must be taken with care
since they are usually costly to install; moreover, they are less flexible and, where two or more
converge, it is necessary to coordinate the speeds at which the two conveyors move.
b) Industrial Trucks
Industrial trucks are more flexible in use than conveyors since they can move between various
points and are not permanently fixed in one place. They are, therefore, most suitable for
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intermittent production and for handling various sizes and shapes of material. There are many
types of a truck- petrol-driven, electric, hand-powered, and so on. Their greatest advantage lies
in the wide range of attachments available; these increase the truck’s ability to handle various
types and shapes of material.
c) Cranes And Hoists
The major advantage of cranes and hoists is that they can move heavy materials through
overhead space. However, they can usually serve only a limited area. Here again, there are
several types of crane and hoist, and within each type, there are various loading capacities.
Cranes and hoists may be used both for intermittent and for continuous production.
d) Containers
These are either ‘dead’ containers (e.g. Cartons, barrels, skids, pallets) that hold the material to
be transported but do not move or ‘live’ containers (e.g. wagons, wheelbarrows or computer
self-driven containers). Handling equipment of this kind can both contain and move the
material and is usually operated manually.
e) Robots
Many types of robots exist. They vary in size, and in function and manoeuvrability. While
many robots are used for handling and transporting material, others are used to perform
operations such as welding or spray painting. An advantage of robots is that they can perform
in a hostile environment such as unhealthy conditions or carry on arduous tasks such as the
repetitive movement of heavy materials.
The choice of material-handling equipment among the various possibilities that exist is not
easy. In several cases, the same material may be handled by various types of equipment, and
the great diversity of equipment and attachments available does not make the problem any
easier. In several cases, however, the nature of the material to be handled narrows the choice.

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