Layout Strategies

What is Facility Layout?

Location or arrangement of everything within & around
buildings
Pay attention to following to decide layout design

Customer satisfaction

Level of capital investment

Utilization of space, equipment, & people

Ease of equipment maintenance

Amount of flexibility needed

Efficient flow material and worker

Employee safety
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Types of Layouts
Product - Product layout involves locating the machines
and equipment so that each product follows a prearranged route through a series of processes. The
products flow along a line of processes, which is clear,
predictable and relatively easy to control.
Process - In process layout, similar manufacturing
processes (cutting, drilling, wiring, etc.) are located
together to improve utilisation. Different products may
require different processes so material flow patterns
can be complex.
Group Technology / Cellular (HYBRID) product families
Fixed-position - large bulky projects such as ships and
buildings
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Product Layout

Station 1

Station 2

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Station 3

Station 4

Lathe

Lathe

Drill

Weld

Weld

Lathe

Lathe

Drill

Paint

Paint

Mill

Mill

Grind

Assembly

Mill

Mill

Grind

Assembly

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Warehouse

Warehouse

Process Layout

Product Layout - Advantages

Reduces materials handling.
Accommodates small amounts of work in process.
Reduces transit times.
Simplifies production planning and control systems.
Simplifies tasks, enabling unskilled workers to learn task
quickly.

Lamar University

Product Layout - Limitations

Disadvantages of product layout
Lack of process flexibility.
Lack of flexibility in timing: the product can not flow
through the line faster than the slowest task can be
accomplished unless that task is performed at
several stations.
Large investments: special-purpose equipment and
duplication is required to offset lack of flexibility in
timing.
Dependence of the whole on each part: a breakdown
of one machine or absence of enough operators to
staff all work stations may stop the entire line.
Worker fatigue: workers may become bored by the
endless repetition of simple tasks.

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Product Requirements
Standardized product
High production volume
Stable production quantities

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Product-Oriented Layout Types

Assembly Line
Assembles fabricated parts
Uses workstation
Repetitive process
Paced by tasks
Fabrication Line
Builds components
Uses series of machines
Repetitive process
Machine paced

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Process-Oriented Layout
Department areas having similar processes located in close
proximity
Design places departments with large flows of material or
people together

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10

Process Layout - Advantages

Better utilization of machines
Fewer machines required
High degree of flexibility relative to equipment or
manpower allocation for specific tasks
Comparatively low investment in machines is
required
The diversity of the task offers a more interesting
and satisfying occupation for the operator
Specialized supervision is possible
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11

Process Layout - Limitations

Since longer flow lines usually result, material
handling is more expensive
Production planning and control systems are more
involved
Comparatively large amounts of in-process
inventory results
Space and capital are tied up by work-in-process
Because of the diversity of the jobs in specialized
departments, higher grades of skill are required
Total production time is usually longer
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12

Comparison Of Product And

Process Layouts
PRODUCT LAYOUT
Sequential arrangement
of machines

PROCESS LAYOUT
Functional grouping
of machines

2. Type of Process

Continuous, mass
production, mainly
assembly

Intermittent, job shop

batch production,
mainly fabrication

3. Product

Standardized
made to stock

Varied,
made to order

4.
5.
6.
7.

Stable
High
Special purpose
Limited skills

Fluctuating
Low
General purpose
Varied skills

1. Description

Demand
Volume
Equipment
Workers

2000 by Prentice-Hall Inc

Russell/Taylor Oper Mgt 3/e

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13

Comparison Of Product And

Process Layouts
8. Inventory
9. Storage space
10. Material
handling
11. Aisles
12. Layout decision
13. Goal
14. Advantage

2000 by Prentice-Hall Inc

Russell/Taylor Oper Mgt 3/e

PRODUCT LAYOUT
Low in-process,
high finished goods
Small
Fixed path
(conveyor)
Narrow

PROCESS LAYOUT
High in-process,
low finished goods
Large
Variable path
(forklift)
Wide

Line balancing
Equalize work at
each station
Efficiency

Machine location
Minimize material
handling cost
Flexibility

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14

Design Product Layouts:

Line Balancing

Line balancing is the process of

assigning
tasks to workstations in such a way
that the workstations have
approximately
equal time requirements.

6-15

Cycle Time
Cycle time is the maximum time
allowed at each workstation to
complete its set of tasks on a unit.
Maximum cycle time is given by the summation of the task times.
Minimum cycle time is given by the longest of the task times.

6-16

Determine Maximum Output

OT
OT
Output
Output rate
rate==
CT
CT
OT
OT operating
operating time
timeper
perday
day
D
D==desired
desiredoutput
output rate
rate

6-17

OT
OT
CT
CT ==cycle
cycletime
time==
D
D

Steps in Product Layout

Step 1: Develop the precedence diagram showing the sequence and
performance times for each task.
Step 2: Calculate cycle time to meet the output requirement. Take the demand
per day and divide it into the productive time available per day (in minutes or
seconds).
productive time
Cycle time =
Demand per day or production rate per day
Step 3: Determine the theoretical minimum number of workstations. This is
the sum of all task times divided by the cycle time. Fractions are rounded to
the next higher whole number.
Minimum number of workstations =

time for task i

Cycle time
Step 4: Perform the line balance by assign specific assembly tasks to each
workstation. An efficient balance is one that will complete the required
assembly, follow the specified sequence, and keep the idle time at each
workstation to a minimum.

Line-Balancing Heuristics (Rules of Thumb)

Rule

Meaning

1. Longest operating task

time

Choose the available task with the

longest task time

2. Greatest number of
following tasks

Choose the available task with the

largest number of following tasks

3. Ranked positional weight

Choose the available task for which

the sum of following task times is
the longest

4. Shortest operating task

time

Choose the available task with the

shortest task time

5. Least number of following

tasks

Choose the available task with the

least number of following tasks

Precedence Diagram
Figure 6.11

Precedence diagram: Tool used in line balancing

to display elemental tasks and sequence
requirements
0.1 min.
1.0 min.
A Simple
Precedence
a
b
Diagram

c
0.7 min.

6-20

d
0.5
min.

e
0.2 min.

Determine the Minimum

Number
of Workstations Required
N=

( t)
CT

t = sum of task time

What is the minimum number of
workstations for the previous precedence
diagram? (assume minimum cycle time)
6-21

2.5 mins
N=
2.5 3
1 min

t = 2.5 mins

Example 1: Assembly
Line Balancing
Arrange tasks shown in Figure
6.11 into three workstations.

6-23

Use a cycle time of 1.0 minute

Assign tasks in order of the most
number of followers
There is another rule called the
order of greatest positional weight

Example 1 Solution

Eligible

Revised
Assign Time
Task
Remaining

1.0
0.9
0.2

a, c
c
none

a
c

0.9
0.2

1.0

0.0

0.0

1.0
0.5
0.3

d
e

d
e

0.5
0.3

0.3

Time
Workstation Remaining
1

Station
Idle Time

0.2

Total idle time = 0.5

6-24

Calculate Percent Idle Time

Idle time per cycle
% idle time =
* 100%
(N)(CT)

Efficiency = 100% Percent

idle time
Whats the % idle time and efficiency for the above
example?

6-25

0.5
Percent idle time =
*100% 16.7%
(3)(1.0)
Efficiency = 100% - 16.7% =
83.3%

Line Balancing Rules

Some Heuristic (intuitive) Rules:
Assign tasks in order of most
following tasks.

Count the number of tasks that follow

Assign tasks in order of greatest

positional weight.

6-27

Positional weight is the sum of each

tasks time and the times of all
following tasks.

Example
A manager wants to assign workstations
in such a manner that hourly output is
4 units. Working time is 56 minutes
per hour. What is the cycle time?
Cycle time = operating time/output rate
= 14 mins.

Example

Numbers above
the circles indicate
task times

What is the positional weight for each task?

A= 3+2+4+9+5 = 23
E = 4+9+5 = 18
B= 2+4+9+5 = 20
F = 5+6+4+9+5 = 29
C= 9+5 + 4 =18
G= 6 + 4 + 9 + 5 = 24
D= 7+4+9+5 = 25
H = 14

Task - Task time

F
D
G
A
B
C
E
H
I

=
=
=
=
=
=
=
=
=

5
7
6
3
2
4
4
9
5

Assign the tasks above to workstations in the order of greatest

positional weight.
Steps:
1)Arrange the task in the decreasing order of positional weights.
2) Find out the number of workstations
# of workstations = sum of task times/cycle time = 45/14 = 3.2 =4

Task - Task time

F
D
G
A
B
C
E
H
I

=
=
=
=
=
=
=
=
=

5
7
6
3
2
4
4
9
5

11
Percent idle time =
*100% 19.64%
(4)(14)

Bottleneck Workstation
1 min.

30/hr.

1 min.

30/hr.

2 min.

30/hr.

1 min.

30/hr.

Bottleneck

Theoretically, the line should be able

to produce at 60 units per hour.
But the 3rd station has a task time of
2 mins, therefore limiting the output
to 30 units per hour.
6-32

Assembly Line Balancing Illustration

The problem: Pproduce 500 Model J Wagons

per 8-hour day
Setup time and work breaks total 45 minutes
Production time available = 480 45 = 435
minutes
Task Description
Task Time
Tasks That

Assembly
steps
and
times
for
the
Model
J
Must Precede
45
A
Position rear axle support and hand fasten 4 screws to nuts
11
B
Insert rear axle
A
Wagon
are
given
below:
9
C
Tighten rear axle support screws to nuts
A,B

D
E
F
G
H
I
J
K

50
15
12
12
12
12
8
9
195

Position front axle assembly and hand fasten with 4 screws to nuts
Tighten front axle assembly screws
Position rear wheel #1 and fasten hub cap
Position rear wheel #2 and fasten hub cap
Position front wheel #1 and fasten hub cap
Position front wheel #2 and fasten hub cap
Position wagon handle shaft on front axle assembly and fasten bolt and nut
Tighten bolt and nut

D
A,B,C
A,B,C
D,E
D,E
A,B,C,D,E,F,G,H,I
J

Assembly Line Balancing Illustration

Step 1: Draw the precedence diagram
12

45

11

F
12

50

15

12

H
12

Assembly Line Balancing Illustration

Step 2: Calculate the cycle time

Cycle Time = time available / output required

= 435 minutes / 500 units = 0.87 minutes =
52.2 seconds
Step 3: Calculate the minimum number of workstations
Minimum number of work stations = total task time / cycle time
= 195 seconds / 52.2 seconds = 3.74 = 4 stations
Step 4: Balance the line using the following heuristics (rules of thumb):

1. According to Greatest-Number-of-Following-Tasks rule

2. According to the Longest-Operating-Time rule

Assembly Line Balancing Illustration

Step 4: Balancing the line using the Greatest-Number-of-Following-Tasks rule:

Workstation

Task

Task Time

Idle Time

Feasible Remaining
Tasks

Station 1

45

7.2

None

Station 2

50

2.2

None

Station 3

B/E/C/F

11/15/9/12 41.2/26.2/17.2/5.2 C,E/C,H,I/F,G,H,I/None

Station 4

G/H/I/J

12/12/12/8 40.2/28.2/16.2/8.2

Station 5

43.2

H,I/I/J/None
None

Tasks With
Most Followers

C,E/C/F,G,H,I
H,I

Assembly Line Balancing Illustration

Step 4: Balancing the line using the Longest-Operating-Time rule:
Workstation

Task

Task Time

Idle Time

Feasible Remaining
Tasks

Station 1

50

2.2

None

Station 2

45

7.2

None

Station 3

E/H/I/B

15/12/12/11

37.2/25.2/13.2/2.2

H,I,B/I,B/B/None

E/H/I/B

Station 4

C/F/G/J/K

F,G/G/J/K

C/F/G/J/K

9/12/12/8/9 43.2/31.2/19.2/11.2/3.2

Tasks With Longest

Operating Time

Efficiency of the line = total task time / (number of stations * cycle time):
Efficiency of line balance using the greatest-number-of-following-tasks rule
= 195 / (5 x 52.2) = .747 = 74.7%
Efficiency of the line using the longest -operating-time rule
= 195 / (4 x 52.2) = .934 = 93.4%

Facility Layout

Designing Process Layouts

Main issue in the design of process layouts concerns the relative
positioning of the departments involved. Process layouts features:
1. Some departments benefit from adjacent locations.
2. Some departments must be kept separate.
3. External factors such as the location of entrances, loading docks,
elevators, windows, and areas of reinforced flooring have to be
considered.
4. Flow costs for material and personnel within the building are critical.

4 - 38

Facility Layout

Steps for Process Layout

Step 1: Construct a from-to-matrix showing the flow of parts or materials from
department to department.
Step 2: Determine the space requirements for each department.
Step 3: Develop an initial schematic diagram showing the sequence of
departments through which parts will have to move. Try to place
departments with a heavy flow of materials or parts next to one another.
Step 4: Determine the cost of this layout by using the following equation:
Minimize cost = XijCij
where: n = number of work centres or departments
i,j = individual departments
Xij = number of moves between department i and department j
Cij = cost of a move between department i and department

Step 5: Try to improve this layout by trial and error or by use of a computer
program.
Step 6: Prepare a detailed plan considering space or size requirements of
each department.
4 - 39

Facility Layout
Process Layout Illustration - Minimizing Flow Costs for a Toy Company
Step 1

1
1
2
3
4
5
6
7
8

175

25
0

0
100
17

30
75
88
20

200
90
125
5
0

20
80
99
0
180
374

25
90
180
25
187
103
7

Flows Between Departments

(number of moves)

Step 2

40

40

40

40

40
40

160

Activity

40

40

40

40

Shipping & receiving

Plastic molding & stamping
Metal forming
Sewing department
Small toy assembly
Large toy assembly
Painting
Mechanism assembly

Department

40

40

1
2
3
4
5
6
7
8

40

80

40
40

40

4 - 40

Facility Layout
Process Layout Illustration - Minimizing Flow Costs for a Toy Company
Step 3

25

200

Step 4

1
1
2
3
4
5
6
7
8

20

175
100

88

175

25
0

0
100
17

60
150
88
20

400
180
125
5
0

60
240
198
0
180
374

75
270
360
50
187
103
7

Cost Matrix - First Solution

Assume flow cost = 1 for adjacent moves
Assume flow cost = 2 for moves over 1 dept
Assume flow cost = 3 for moves over 2 depts
(Assume diagonal moves are possible)
Sample Calculations:
1 to 2 = 175 x 1 = 175
1 to 6 = 200 x 2 = 400
1 to 8 = 25 x 3 = 75, etc.
Total cost = $3,449

4 - 41

Facility Layout
Process Layout Illustration - Minimizing Flow Costs for a Toy Company
Step 5

Revised Layout
Exchange 1 & 4
Why 1 & 4? You
want to bring 1 and
6 next to each other,
and this is one way
to do it!

Costs affected:
1&5, 1&6, 1&7,
1&8, 4&5, 4&6,
4&7, 4&8
1
1
2
3
4
5
6
7
8

175

50
0

0
100
17

30
150
88
40

200
180
125
10
0

40
240
198
0
180
374

50
270
360
75
187
103
7

Cost Matrix - Second Solution

Cost reductions:
1&5 = 30, 1&6 = 200
1&7 = 20, 1&8 = 25
Cost additions:
4&5 = 20, 4&6 = 5
4&7 = 0, 4&8 = 25
Total cost = $3,234
4 - 42

Facility Layout
Process Layout Illustration - Minimizing Flow Costs for a Toy Company

Step 6

Small Toy
Assembly
5

Mechanism
Assembly
8

Shipping and
Receiving
1

Large Toy
Assembly
6

Metal
Forming
3

Plastic
Mldg. / Assb.
2

Sewing

Painting

A final,
feasible
solution
after several
iterations

4 - 43

Facility Layout

Process Layout Illustration - Systematic Layout Planning

Even though the approach of minimizing flow costs is widely used, it suffers
from the limitation of being able to focus on only one objective, and many
situations involve multiple criteria.
A more general approach, systematic layout planning (SLP), allows for
subjective input from analysts or managers to indicate the relative
importance of each combination of department pairs.
The following is an example of SLP for the floor of a department store:
From
1. Credit dept
2. Toy dept.
3. Wine dept.
4. Camera dept.
5. Candy dept.

To
2
I
6

Area (sq. ft.)

3
U
---

4
A
1,6

5
U
---

U
---

I
1

A
1,6

400

Letter

Closeness Rating

A
2,3

E
1

300

Number

Reason for Rating

X
1

100

100

100

4 - 44

Facility Layout
Code

Reason

Type of customer

Ease of supervision

Common personnel

Contact necessary

Share same space

Psychology

Final layout adjusted

by square footage
and building size

Initial layout based upon

relationship requirements
(ignoring space and building
constraints)

4
20 ft.

50 ft.
4 - 45

Facility Layout
Process Layout - Additional Illustration # 1
A small printing shop wishes to locate its seven departments in a one-floor building that is 40 units
wide and 50 units long. Department sizes are :
Department Length (units)
Layout
Cutting
Shipping
Supply Storage
Printing
Binding
Art

Width (units)
10
20
10
20
25
20
20

10
10
10
15
20
20
20

The average number of loads flowing between departments is expected to be:

From Dept
Layout
Layout
--Cutting
--Shipping
--Supply Storage --Printing
--Binding
--Art
---

Cutting
------600
--100
100

Shipping
------100
--1000
---

Supply Storage
--100
500
---------

Painting
------400
--200
100

Binding
--400
--100
1200
-----

Art
--------100
-----

What is your layout recommendation?

4 - 46

Facility Layout
Process Layout - Additional Illustration # 2
Eight work centres must be arranged in an L-shaped building. The location of centres A and E are
designated as shown in the accompanying diagram. Assuming transportation costs are $2 per load per metre,
develop a suitable layout that minimizes transportation costs using the information below.
Distances (metres)

A*

E*

* cannot be moved

From / To
A
B
C
D
E
F
G
H

A
--

C
40
60
--

40
--

D
60
40
45
--

E
120
60
85
40
--

F
80
140
40
50
90
--

G
100
120
70
40
50
40
--

H
110
130
90
45
40
60
60
--

Loads per day

From / To
A
B
C
D
E
F
G
H

A
-0
0
0
5
0
0
0

C
10
-220
110
40
80
45
0

5
140
-240
100
40
20
0

D
90
10
110
-180
70
50
20

E
365
0
10
10
-0
0
0

F
135
35
0
0
10
-40
0

G
125
0
0
0
40
10
-0

H
0
120
200
170
10
20
20
-4 - 47

Facility Layout
Process Layout - Additional Illustration # 3
Hercules Manufacturing, a producer of corrugated cardboard boxes, is planning a 3600 square foot
layout. The operations manager has obtained SLP ratings for locating departments next to each other.

From / To
Storage
Corrugator
Folder/Gluer
Taper/Bailer
Inspection
Shipping

Storage
-------------

Corrugator
AN
-----------

Folder/Gluer
U
I
---------

Taper/Bailer
U
U
AN
-------

Inspection
I
U
I
U
-----

Shipping
U
X
U
I
AN
---

Area(sq.ft.)
1200
400
400
400
400
800

AN = Absolutely Necessary
I = Important
U = Unimportant
X = Undesirable
What should be the layout used by Hercules Manufacturing?

4 - 48

Before Group Technology

Jumbled flows in a job shop without GT cells
Lathing

Milling

Drilling

M
Grinding

Receiving and
shipping

Lamar University

Assembly
A

49

Group Technology / Cellular

G
A

Cell 1
Receiving

Assembly
area

Cell 2
L

G
Cell 3

Lamar University

Shipping

50

Hybrid Layouts: Cellular

layouts
Original
Process
Layouts

Notice:
The distance that each part must travel before
completion
the irregularity of the part routings
Amount of paperwork needed to direct the flow of each
individual part and to confirm that the right operation has
been performed

Hybrid Layouts: Cellular

layouts
In its current form, there is no
apparent pattern to the
routings.
PRODUCT FLOW ANALYSIS
(PFA) reorders part routing
matrices to identify families
of parts with similar
processing requirements.

Part Routing Matrix

If we reorder the matrix listing

which parts have four
machines in common, three...

Hybrid Layouts: Cellular

layouts

Revised Layout with Three Cells

Part Routing Matrix Reordered to Highlight Cells

Group Technology / Cellular - Advantages

Increased machine utilization
Compromise between product layout and process layout,
with associated advantages
Shorter travel distances and smoother flow lines than for
process layout
Reduced Material flow path

Lamar University

54

Work Cell Advantages

Decreased:
Inventory
Floor space
Direct labor costs
Increased:
Equipment utilization
Employee participation
Quality

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55

Group Technology / Cellular - Limitations

General supervision is required
Higher skill levels required of employees than for product
layout
Depends on balanced material flow through the cell;
otherwise, buffers and work-in-process storage are required
Lower machine utilization than for process layout

Lamar University

56

Fixed Position Layout

Grind

Drill

Paint

Assembly

Lamar University

Warehouse

Press

Warehouse

Lathe

57

Fixed-Position Layout
Design is for stationary project
Workers and equipment come to site
Limited space at site
Changing material needs

Lamar University

58

Fixed-Position Layout - Advantages

Material movement is reduced
Continuity of operations and responsibility results from team
High flexibility; can accommodate changes in product
design, product mix, and production volume
Independent of production centers allows scheduling to
achieve minimum total production time

Lamar University

59

Fixed-Position Layout - Limitations

Increased movement of personnel and equipment
Equipment duplication may occur
Higher skill requirements for personnel
General supervision required
Cumbersome and costly positioning of material and
machinery
Low equipment utilization

Lamar University

60

Types of Layouts

Volume

High

Product
Layout
Group
Technology /
Cellular
Layout

Medium

Low

Fixed
Location
Layout
Low

Lamar University

Process
Layout
Medium

Variety

High
61

Safety Issues
Safety for worker
Safety for machine and
workplace
Lamar University

62

WHY do we need safety

precautions???
Accident must be avoided.
An accident is an unexpected action that results in
injury to people or damage to property.
Causes of accident:
Carelessness
Use of wrong tools
Unsafe work practices
Horseplay
Ignore safety rules
Inadequate maintanence
Lamar University

63

WHY do we need safety

precautions???
Sources of accident:
Machines with moving parts
Electrical equipments
Sharp equipments
Chemicals

Lamar University

64

Safety Issues for Prevention of

accidents
Safety features in machines; Limit switches, part
detector, machine in operation signal, robot teach
pendant normally open switch

Individual attitude towards safety: proper attire,

safety shoes, Knowledge about Standard
Operational Procedure, FIRST AID ect.

Lamar University

65

Safety Issues
Lockout/Tagout
Machine needs maintenance / Servicing must be
locked out .
To minimize injuries.
Machine cannot be used until tagout/lockout device
is removed.
Only authorized service person can use.
If the machine cannot be locked out then go for
tagout option.

Lamar University

66

Lockout procedure
Notification
Understanding about the machine.
Stop the machine with proper procedure if in
operation.
Deactivate energy isolating devices
Lock energy isolating devices with dedicated locks.
Stored energy should be dissipated (ie grounding of
Capacitors)
Final checking
Confirm locked out.
Lamar University

67

Homework
A shop wants an hourly output of 33.5
units per hour. The working time is
60 minutes per hour. Assign the
tasks using the rules:
a)In the order of greatest positional
weight.

Homework

CT

Operating time 60 minutes per hour

1.80 minutes per unit

Desired output 33.33 units per hour