IEN 350:
Facilities Planning
and Asset Management
Spring 2021-2022
IEN 350: Facilities Planning and Asset Management
Spring 2021-2022; Lecture 2
Layout Procedures:
Systematic Layout Planning (SLP)
Primary reference textbooks:
F. Meyers and M. Stephens, Manufacturing Facilities Design & Material Handling: Sixth Edition (2019). Purdue
University Press by Prentice Hall.
College of Engineering
Industrial Engineering Program
Dr. Hadi Jaber
Assistant Professor of Industrial Engineering and Management
Facility Design Process
▪ Combination of art and engineering
▪ Many approaches available, but mostly
similar
▪ Muther’s Systematic Layout Planning
(SLP) Approach (1973)
▪ Apple’s Plant Layout Approach (1977)
▪ a detailed sequence of planning steps
that are similar to SLP
▪ Reed’s Plant Layout Approach (1961)
▪ A procedure that relies heavily on the
layout planning chart.
▪ We will focus on Muther’s SLP
approach
▪ Logical
▪ Structured
▪ Widely accepted and computerized
▪ SLP:
▪ Built around the activity relationship
chart
▪ This procedure is not a mechanical
process. It requires intuition,
judgment, and experience.
▪ But if applied properly, it does provide
a comprehensive layout planning
approach.
3
Muther’s Systematic Layout Planning (SLP)
4
Muther’s Systematic Layout Planning (SLP) ...
105
Example:
Block #1: Flow Materials (From to Chart)
Block #2: Activity Relationship Chart
6
Block #3: Relationship diagram
7
Example …
Block #4 & 5:
Block #6: Space Relationship
Diagram
▪ Combine space requirements (Block
#4&5) with relationship information to
develop space relationship diagram
(Block #6)
▪ Expand sizes of relationship chart nodes
to reflect approximate shape and size of
areas.
▪ Generate multiple alternatives
▪ Same rules apply as in the development
of the original relationship diagram.
8
Block #6: Space Relationship Diagram
9
Example: ...
Block #7: Modifying Considerations:
Block #8: Practical Limitations
▪ Future expansion
▪ Space/boundaries
▪ Flexibility due to changes in
▪ Money
▪ Product
▪ Process
▪ Schedule
▪ Time
▪ Government regulations
▪ Material Handling Systems
10
Block #9:
Generating Layout Alternatives
▪ From Space Relationship Diagram
to Block Diagram
11
Example…
Block #10: Evaluation of Facility Designs
▪ Which layout is best?
▪ Is layout A better than Layout B?
▪ Several Common Methods for Block
Layouts
Critique of SLP
▪ SLP is “informal”
▪ Does not provide a formal
procedure or algorithm for
critical steps
▪ Algorithm: a precise rule (or set of
rules) specifying how to solve some
problem
▪ Has an objective function
▪ Amenable to computer implementation
12
Data necessary for facility layout problems (Information Gathering):
• Product, Process, and Schedule Design
• Flow, Space, & Activity Relationships
• Personnel Requirements
Information Gathering I:
Product, Process, and Schedule
Design
13
Systems Approach
▪ Information Gathering
▪ “What is to be produced? “ = Products
=> Product design
▪ Specify the end product in terms of dimensions, material composition, etc.
▪ “How are the products to be produced?” = Process => Process design
▪ Determines how the product will be produced.
▪ “When are the products to be produced?” = Production scheduling
=> Schedule design
▪ Production planning, Capacity planning
▪ Specifies the production quantities and schedules the production equipment.
▪ “How much of each product will be produced?” = Production planning, forecasting
14
Product Design
It has been estimated that more than 70% of a product’s
manufacturing cost is dictated by design decisions.
15
Product Design
▪ Design of a product is influenced by
▪ Function
▪ Materials
▪ Manufacturing technologies (Dimension & shape)
▪ Aesthetics, Quality
▪ In addition, marketing, purchasing. IE, manufacturing engineering,
product engineering and quality control.
▪ Product Design is described in Engineering Drawings:
▪ Exploded Assembly Drawings
▪ Component part drawings
16
Exploded Assembly Drawing
▪ Useful in designing layout
facility and MH system
▪ Omit specifications
17
Component Part Drawing
▪ Provide specifications and dimensions as well as quality
▪ Multiview drawing: third angle projection
▪ Perspective drawing
18
Process design
19
Process Design
▪ How a product should be produced?
1. Identifying required process
▪ Make or buy decisions
▪ Parts list
▪ Bills of materials
2. Selecting the required processes
▪ Route sheet
3. Sequencing the required processes
▪ Operation process chart
20
1. Identifying the required processes: Parts lists
▪ Name, Descr., Drw. #, Quantity req., Material, Size, Vendor
21
Bill-of Material (BOM)
Assembly structure - Material Requirements
What is the difference between BOM
(bill of materials) and Part list?
22
2. Selecting the required processes:
▪ Define elemental operations
▪ Identify alternative processes for each operation
▪ Analyze alternative processes
▪ Standardize processes
▪ Evaluate alternative processes
▪ Select processes
▪ Output is usually a route sheet.
23
Route Sheet
24
3. Sequencing the required
processes
▪ Assembly chart
▪ Operation process chart
▪ A combination of the assembly chart
and the route sheet.
▪ Provides an overview of the flow within a
facility.
▪ Provides a basis for the layout of a facility.
▪ Precedence Diagram
Assembly chart
25
• The assembly chart and
the operation process
chart depict a single
assembly sequence.
• The particular sequence
can have a major impact
on space and handling
system rrequirements.
Operation process chart
26
Precedence Diagram
• Constructed to show the
necessary ordering without
making
other
implicit
assumptions.
• A
directed
representation
operations.
network
of
the
• A number of alternative
assembly
and
operation
process charts should be
constructed
from
the
precedence diagram.
27
Process Design
▪ Process design
▪ Identify the specific equipment types.
▪ Affect the degrees of flexibility available to facility
planner.
28
Schedule Design
29
Schedule Design
▪ Answer the following
questions:
▪ Schedule design decision
impacts on;
▪ How much to produce (lot sizing)
▪ Machine selection
▪ When to produce (production
scheduling)
▪ Number of machines
▪ How long to produce
▪ Number of shifts
▪ Number of employees
▪ Space requirements
▪ Storage equipment and policies
▪ Material handling equipment
▪ Unit load design
▪ Building size
30
Schedule Design
▪ Marketing information (Demand) includes:
▪ Production volumes, trends, and predictability of future
demands.
▪ Uncertainty associated with future production demands.
▪ Uncertainty: most likely, optimistic, pessimistic
▪ Qualitative information:
▪ Who are the customers?
▪ Where are they located?
▪ Why will they buy the product?
▪…
31
Market analysis
32
Schedule Design determines:
▪ The number of each equipment type required to meet the
production schedule.
▪ Must use aggregate units for aggregate capacity planning decisions.
▪ Capacity requirements
▪ Quantity requirements ( Total available processing time >= workload)
▪ The number of units required per day is a very important number for the facility
designer
▪ Equipment requirements
▪ Space requirements
▪ The number of machines and people for whom we need to provide space.
▪ We’ll discuss it more, later, in that context.
33
Calculating Process Requirements:
▪ Phase I: Calculation of production requirements
▪ Determine quantity of components to be produced
▪ Use BOM structure to identify quantities.
▪ Include scrap allowance based on the estimated production
requirements for each product.
▪ Phase II: Estimation of the number of Machines required
▪ Estimate equipment requirement for each operation
▪ Phase III: Combine operation requirement to obtain overall
equipment requirement
34
Phase I: Calculation of production requirements
Pk : percentage of scrap produced in k-th
operation
Ok : desired non-defective output from k-th
operation
Ik : input requirement to k-th operation
I1 =
On
(1 − P1 )(1 − P2 )......(1 − Pn )
= Ik+1
# of units scheduled for production
I1
1
P1
I2
2
P2
= Market estimate + scrap estimate
I3
•••
In-1
n-1
Pn-1
In
n
On
Pn
35
Phase II: Equipment Requirements - Machine fraction
Phase III: Determining total number of equipments
F = Number of machines required per shift
S = Standard time (minutes) per unit produced
Q = Number of units to be produced per shift
▪ Combine equipment factors for
identical equipment type
E = Efficiency; actual production rate as percent of standard time
H = Time of availability (minutes) per machine
R = Reliability of machine
(percent uptime=uptime/(uptime + downtime)
SQ = Total time required to perform an operation
HER = Time available to complete the operation
36
Example 1
▪ A product has a market estimate of 97,000 components and
requires three processing steps (turning, milling and drilling), having
defective estimates of 0.04, 0.01 and 0.03. the market estimate is
the output required from step 3. what is the amount of raw material
required for operation 1?
I1
1
I2
2
d2=0.01
d1=0.04
I3
3
97,000
d3=0.03
I1=101,010/(1-0.04)=105,219 I2=100,000/(1-0.01)=101,010 I3=97,000/(1-0.03)=100,000
I1=
97,000
(1−0.03)(1−0.01)(1−0.04)
37
Example 2
38
Example 3 For assembled products
39
40
41
Thank You
IEN 350: Facilities Planning and Asset Management
Spring 2021-2022
College of Engineering
Industrial Engineering Program
Dr. Hadi Jaber
Assistant Professor of Industrial Engineering and Management