Operations Management: Processes and

Supply Chains
Thirteenth Edition, Global Edition

Supplement K
Layout

Copyright © 2022 Pearson Education Ltd

Learning Goals

1. Identify the information requirements for designing a

layout.
2. Develop and evaluate a block plan for a layout.
3. Describe what is needed to arrive at a detailed layout
plan.

Copyright © 2022 Pearson Education Ltd

Layout

• Layout
– The positioning of departments (or operations)
relative to each other
• Layout involves three basic steps
1. Gather information
2. Develop a block plan
3. Design a detailed layout

Copyright © 2022 Pearson Education Ltd

Step 1: Gather Information (1 of 3)

• Three types of information are needed to design a

revised layout:
1. Space requirements by center
2. Closeness factors
3. Constraints on the relative locations of departments

Copyright © 2022 Pearson Education Ltd

Step 1: Gather Information (2 of 3)

• OBM Space Requirements

Department Area Needed (ft²) f t squared

1. Administration 3,500
2. Social services 2,600
3. Institutions 2,400
4. Accounting 1,600
5. Education 1,500
6. Internal audit 3,400
Total 15,000

Copyright © 2022 Pearson Education Ltd

Step 1: Gather Information (3 of 3)

• Use a Closeness Matrix

• Constraints
– Technical or physical constraints
Copyright © 2022 Pearson Education Ltd
Step 2: Develop a Block Plan (1 of 4)

• Block Plan – Allocates available space to operations and

indicates their placement relative to each other

Figure K.1 Current Block Plan for the Office of Budget

Management

Copyright © 2022 Pearson Education Ltd

Step 2: Develop a Block Plan (2 of 4)

• Weighted-Distance Method
– A mathematical model used to evaluate layouts based
on closeness factors
▪ Similar to Load-Distance Method (Chapter 13)

Copyright © 2022 Pearson Education Ltd

Step 2: Develop a Block Plan (3 of 4)

• Weighted-Distance Method
– Rectilinear distance measures the distance between
two possible points with a series of 90-degree turns
dAB = | x A – xB + y A – yB |

where
dAB = distance between points A and B
xA = x-coordinate of point A
yA = y-coordinate of point A
xB = x-coordinate of point B
yB = y-coordinate of point B
Copyright © 2022 Pearson Education Ltd
Step 2: Develop a Block Plan (4 of 4)

• Evaluating Block Plans

– Minimize the weighted-distance (wd) score by
locating departments that have high closeness ratings
close together.
– To calculate a layout’s wd score, multiply the
closeness factors by the distances between
departments.
– The sum of those products becomes the layout’s final
wd score – the lower the better.

Copyright © 2022 Pearson Education Ltd

Example 1 (1 of 4)
The initial block plan shown below was developed using trial and
error. A good place to start was to recognize the constraints and
fix Departments 1 and 5 in their current locations. Then, the
department pairs that had the largest closeness factors were
positioned. The rest of the layout fell into place rather easily.
Figure K.2 Proposed Block Plan

Copyright © 2022 Pearson Education Ltd

Example 1 (2 of 4)
How much better, in terms of the wd score, is the proposed block
than the current block plan?
The following table lists pairs of departments that have a
nonzero closeness factor and the rectilinear distances between
departments for both the current plan and the proposed plan.

Current Plan Proposed Plan

Copyright © 2022 Pearson Education Ltd

Example 1 (3 of 4)

Current Plan Proposed Plan

Current Weighted- Proposed Weighted-
Closeness Plan Distance Plan Distance Score
Department Pair Factor (w) Distance (d) Score (wd) Distance (d) (wd)
1, 2 3 1 3 2 6
1, 3 6 1 6 3 18
1, 4 5 3 15 1 5
1, 5 6 2 12 2 12
1, 6 10 2 20 1 10
2, 3 8 2 16 1 8
2, 4 1 2 2 1 1
2, 5 1 1 1 2 2
3, 4 3 2 6 2 6
3, 5 9 3 27 1 9
4, 5 2 1 2 1 2
5, 6 1 2 2 3 3
Blank Blank Blank Total 112 Blank Total 82

Copyright © 2022 Pearson Education Ltd

Example 1 (4 of 4)

Figure K.3 Second Proposed Block Plan (Analyzed with

Layout Solver)

Copyright © 2022 Pearson Education Ltd

Step 3: Design a Detailed Layout

• Translate block plan into a detailed representation

showing:
– Exact size and shape of each department
– Arrangement of elements within the department
– Location of aisles, stairways, and other service space

Copyright © 2022 Pearson Education Ltd

Solved Problem 1 (1 of 3)
A defense contractor is evaluating its machine shop’s current layout. The figure
below shows the current layout, and the table shows the closeness matrix for
the facility measured as the number of trips per day between department pairs.
Safety and health regulations require departments E and F to remain at their
current locations.
a. Use trial and error to find a better layout
b. How much better is your layout than the current layout in terms of the wd
score?

Figure K.4 Current Layout

Copyright © 2022 Pearson Education Ltd

Solved Problem 1 (2 of 3)
a. In addition to keeping departments E and F at their current locations, a
good plan would locate the following department pairs close to each
other: A and E, C and F, A and B, and C and E.
• The below figure was worked out by trial and error and satisfies all these
requirements
– Start by placing E and F at their current locations.
– Then, because C must be as close as possible to both E and F, put C
between them. Place A below E, and B next to A.
– All of the heavy traffic concerns have now been accommodated.
Figure K.5 Proposed Layout

Copyright © 2022 Pearson Education Ltd

Solved Problem 1 (3 of 3)
b. The table reveals that the wd score drops from 92 for the current plan
to 67 for the revised plan, a 27 percent reduction.

Department Number of Current Plan Current Plan Proposed Plan Proposed Plan
Pair Trips (1) Distance (2) wd Score 1(1)  (2)
times 2 Distance (3) wd Score 1(1)  (3)
times 3

A, B 8 2 16 1 8

A, C 3 1 3 2 6

A, E 9 1 9 1 9

A, F 5 3 15 3 15

B, D 3 2 6 1 3

C, E 8 2 16 1 8

C, F 9 2 18 1 9

D, F 3 1 3 1 3

E, F 3 2 6 2 6

Blank Blank Blank wd = 92 Blank wd = 67

Copyright © 2022 Pearson Education Ltd