Process Selection and Facility

Layout

Chapter 6
 Learning Objectives
Explain the strategic importance of process selection
Explain the influence that process selection has on an organization
Describe the basic processing types
Discuss automated approaches to processing
Explain the need for management of technology
Describe the basic layout types
List the main advantages and disadvantages of product layouts and process
layouts
Solve simple line balancing problems
Develop simple process layout

2
 1.
Process Selection
Refers to the way production of goods or service is organized.

3
 Process Strategy
Key aspects of process strategy
• Capital Intensity: Mix of equipment and labor
• Process flexibility: Adjust to changes in Design, Volume, and
technology
• Make or buy decisions: The extent to which the organization
`
will produce goods or provide services in-house as opposed to
relying on outside organizations to produce or provide them.
4
“
Process Types

5
 Process Selection
✘ Variety- How much
✘ Flexibility- What degree
✘ Volume- Expected output

6
 Three primary questions bear on process selection:

1. How much variety in products or services will the system

need to handle?
2. What degree of equipment flexibility will be needed?
3. What is the expected volume of output ?

7
 2.

Automation
Machinery that has sensing and control devices that enables
it to operate automatically.

8
 3 Kinds of Automation
• Fixed
• Programmable
CAD/CAM
Numerically Controlled (N/C)
Robot
• Flexible
FMS
CIM

9
 Fixed Automation
 Is the most rigid of the three types.
 It uses high-cost, specialized equipment for a fixed sequence of
operation.
 Low cost and high volume are its primary advantages: minimal
variety and the high cost of making major changes in either
product or process are its primary limitations.

10
 Programmable Automation

 It involves the use of high-cost, general-purpose equipment controlled by

computer program that provides both the sequence of operation and specific
details about each operation.
 It has the capability of economically producing a fairly wide variety of low-
volume products in small batches.

11
 Applications of programmable automation:
 Computer-aided Manufacturing (CAM)- The use of computers in
process control.
 Numerically Controlled (N/C)- Machines that perform operarions by
following mathematical processing instruction.
 Robots- A machine consisting of mechanical arm, power supply, and
controller.

12
 Flexible Automation
 Evolved from programmable automation.
 It uses equipment that is more customized than programmable
automation.
 A key difference between the two is that flexible automation
requires significantly less changeover time

13
 different formats of flexible automation:

 Flexible Manufacturing System (FMS)- grouped of machines designed

to handle intermittent processing requirements and produce a variety of
similar products.
 Computer-integrated Manufacturing (CID)- a system for linking a
broad range of manufacturing activities through an integrating computer
system.

14
 3.
Service Process Design
Focuses on the delivery system (i.e., the facilities, processes,
and personnel requirements needed to provide the service.)

15
 Service process design often begins with service blueprinting, which
is a method for describing and analyzing a service process.

Major Steps in Service Blueprinting:

1. Establish boundaries for the process and decide

on the level of detail that will be needed.
2. Identify the steps involved and describe them.
3. Prepare a flowchart of major process steps.

16
4. Identify potential failure points.

5. Establish a time service execution and an

estimate of variability in processing time
requirements.

6. Analyze profitability

17
 Management Technology

Technological innovations have had a widespread impact on

businesses, and ill continue to do so. And although technology offers
numerous benefits for business organizations, it also presents
numerous risks

18
 Technology
y  Technology- The application of
scientific discoveries to the
development and improvement
of products and services and
operation processes.

 Technology Innovation-The
discovery and development of
new or improved products,
services or processes for
producing or providing them.

19
Kinds of Technology
1.) Product and service technology
2.) Process technology
3.) Information Technology

All three have major impact on:

Cost
Productivity
Competitiveness

20
 4.
Layout
Layout refers to the configuration of departments, work
centers and equipment with particular emphasis on movement
of work through the system.

21
Layout decisions are important for
three basic reasons:
1. They require substantial investments of money
and effort
2. they involve long-term commitments, which
makes mistakes difficult to overcome
3. They have a significant impact on the cost and
efficiency of operations.
 Basic Layout Types

 Product Layouts
 Process Layout
 Fixed-Position Layout
 Combination Layout
 Cellular Layouts
 Other Service Layouts

23
 Product Layouts
Product layouts are used to achieve a smooth and rapid flow of
large volumes of goods or customers through a system.

Advantages Disadvantages
 Highly rate of output  Creates dull, repetitive jobs
 Low unit cost  Poorly skilled worker may not
 Labor specialization maintain the quality
 Low material handling cost  Fairly inflexible to change in
 High utilization of labor and equipment volume
 Highly susceptible to
shutdowns
24
PRODUCT LINE
- STANDARDIZED LAYOUT arranged according to a fixed
sequence of production task

ASSEMBLY LINE
- STANDARDIZED LAYOUT arranged according to a fixed
sequence of assembly tasks.
 Process layouts
- Are designed to process items to provide services that involve
a variety of processing requirements.
- Quite common in service environments.
- INTERMITTENT PROCESSING – nonrepetitive processing.

26
 Fixed Position Layouts
Layout in which the product or project remains stationary, workers,
materials and equipment are moved as needed

- Used in large construction projects, shipbuildings, and

production of large aircraft

- Widely used is farming, firefighting, road building, home

building, remodeling, and repair.
27
 Combination layouts

The three basic layout types are ideal models, which

may be altered to satisfy the needs of a particular
situation.
Ex. Supermarket and Hospitals

28
 Cellular layouts
CELLULAR PRODUCTION - is a type of layouts in which machines are
grouped into a cell that can process items that have similar processing
requirements.

GROUPINGS– determined by the operations needed to perform work for a

set of similar items.

GROUP TECHNOLOGY – the grouping into part families of items with

similar design or manufacturing characteristrics.
29
 SERVICE LAYOUTS
Can often be categorized as product, process or fixed-position layouts

 WAREHOUSE AND STORAGE LAYOUTS

- The design of storage facilities presents a different set of factors than the
design of factory layouts. Frequency of order is an important
consideration.

30
 Service layouts
 RETAIL LAYOUTS
- Such as department stores, supermarkets, and specialty stores, designers
must take into account the presence of customers and the opportunity to
influence sales volume and customer attitudes.

 OFFICE LAYOUTS
- Undergoing transformations as the flow of paperwork is replaced with the
increasing use of electronic communication.

31
 Service layouts

 HOSPITAL LAYOUTS
- Key elements of hospital layouts design are patient care and safety, with
easy access to critical resources such as X-ray, CAT scan, and MRI
equipment.

 AUTOMATION SERVICES
- One way to improve productivity and reduce costs in services is to remove
the customer from the process as much as possible.

32
 5.
Design Product Layouts: Line
Balancing

33
 Line Balancing
Line balancing is the process of assigning tasks to workstations in such a
way that the workstations have approximately equal time requirements

34
 Assembly line balancing operates under to constraints,
precedence requirements and cycle time restrictions’

 Precedence requirements are express in the form of a

precedence diagram-network

 Cycle time is calculated by dividing the time available for

production by the number of units to produce- Time taken to
completed item rolling off the assembly line.

35
 Cycle Time

Cycle Time is the maximum time allowed at each workstation to

complete it’s set of task on a unit.

36
 Determine Maximum Output

37
✘ Assume that the line will operate for ✘ With the desired output of 480 units,
eight hours (480 mins.). With a cycle with the use of output capacity formula
time of 1.0 minute, output rate would the necessary time is;
be;

480 mins. per day / 1.0 per unit ✘ 480 mins. per day / 480 units per day
= 480 units per day = 1.0 minute per unit

38
Determine the Minimum Number of
Workstation Required :
Efficiency

39
40
 Precedence Diagram

Tool used in line balancing to display elemental tasks and

sequence requirements

41
 A Simple Precedence Diagram

42
 thanks!
Any questions?

43