LAYOUTS PRODUCT & PROCESS LAYOUTS: IMPACT ON OPERATIONS Productions & Operations Management Facility Layout Definition ■ A facility layout is an arrangement of everything needed for production of goods or delivery of services. A facility is an entity that facilitates the performance of any job. It may be a machine tool, a work centre, a manufacturing cell, a machine shop, a department, a warehouse, etc. (Heragu, 1997). ■The layout design generally depends on the products variety and the production volumes. Four types of organization are referred to, namely fixed product layout, process layout, product layout and cellular layout (Dilworth, 1996). Quantity Product Layouts Fixed Position Layouts Mixed Layouts Process Layouts Number of Different Products Objectives of Plant Layout ■ The main objective consists of organizing equipment and working areas in the most efficient way, and at the same time satisfactory and safe for the personnel doing the work. ❑ Sense of Unity ■ ❑ ❑ Minimum Movement of people, material and resources. Safety ■ ❑ The feeling of being a unit pursuing the same objective. In the movement of materials and personnel work flow. Flexibility ■ In designing the plant layout taking into account the changes over short and medium terms in the production process and manufacturing volumes. Product Layouts 2 ◻ ◻ Part of the manufacturing process which allows for the repetitive assembly of highly standardized products. When a manufacturing operation utilized product layout, production work can be layout in a straight line with labor and equipment subdivided in a smooth line. Productions & Operations Management Example 3 ◻ Fora garment manufacturer,stations for sewing cloth, sewing on buttons, inspecting seams, wrapping finished garments and boxing them up would all be located within close proximity for an individual clothing item, allowing individual garments to pass from one station to another quickly. Productions & Operations Management Flow 4 Turning Operations Milling Machines Drilling Machines Package Dispatch Inspection Assembly Productions & Operations Management Advantages 5 ◻ ◻ ◻ ◻ ◻ ◻ Easy production Handling cost reduces Less in-process inventory Less supervision Efficient space utilization Higher productivity/Cycle time is short Productions & Operations Management Disadvantages 6 ◻ ◻ ◻ ◻ ◻ Expensive Breakdown(stops entire process if breaks down) Lack of flexibility Output quantity fixed, no alterations possible Specialized superiors not present Productions & Operations Management Impact on Operations 7 ◻ ◻ ◻ ◻ ◻ Mass production Heavy financial back-up Less employees(if no. of products are less) Cycle time less Product specialization Productions & Operations Management Process Layout 8 ◻ A process layout is a type of facility layout in which the floor plan is arranged with similar processes or machines located together. Productions & Operations Management Example 9 ◻ Again using the garment manufacturing example, a process layout would group multiple sewing stations together for different clothing items in one area, then locate inspection, wrapping and packaging stations for different items together in different areas. Productions & Operations Management Flow 10 Milling Machines Inspection Assembly Welding Grinding & Inspection Shipping Productions & Operations Management Advantages 1 1 ◻ ◻ ◻ ◻ Capital investment lower Specialization Efficient utilization of production facility Effective supervision Productions & Operations Management Disadvantages 12 ◻ ◻ ◻ ◻ Complexity Greater floor area Larger stock of raw materials Handling cost increases Productions & Operations Management Impact on Operations 13 ◻ ◻ ◻ ◻ ◻ Possibility of change in the process Cost effective as space utilization Complexity Cycle time is more Process specialization Productions & Operations Management Difference 14 Product Layout Process Layout Single product can be produced Multiple products can be produced simultaneously Cycle time is less Cycle time is more Expensive Relatively cheaper Lower space requirements Higher space requirements Product specialization Process specialization Productions & Operations Management