PROCESS SELECTION AND FACILITY LAYOUT Topic 6-1: Introduction 6-2: Process Selection 6-3: Technology 6-4: Process Strategy 6-5: Strategic Resource Organization: Facility Layouts 6-6: Designing Product Layout: Line Balancing 6-7: Designing Process Layout 6-1 INTRODUCTION Process selection- refers to deciding the way production of goods or services will be organized. It’s been determined by the organization’s process strategy which includes: 1. Capital intensity- The mix of labor and equipment will used by organization. 2. Process flexibility- The degree which the system can be adjusted to changes in process requirements due to such factor. 6-2 PROCESS SELECTION TWO KEY QUESTIONS IN PROCESS SELECTION 1. How much variety will the process need to be able to handle? 2. How much volume will the process need to be able to handle? PROCESS TYPES 1. Job Shop: Operates on relatively low scale. It is used when a low volume of high-variety goods or services needed. Processing is intermittent; work includes small job, each with somewhat different processing requirements. High flexibility using general purpose equipment and skilled workers are important in job shop. 2. Batch: Used when a moderate of goods or services is desired, it can handle a moderate variety in product or services. The equipment may not be flexible like job shop, but processing is intermittent. Does not need high skilled worker. 3. Repetitive: Used when higher volume of more standardized goods or services are needed, repetitive processed is used. The standardized output means only slight flexibility of equipment is needed. Skill of worker is generally low 4. Continuous: Used when a very high volume of nondiscrete and high standardized output is required. Almost no variety of output and no equipment flexibility. The workers skill requirement depends on the complexity and expertise workers needed. 5. Project: Used for a work that is non-routine, with a unique set of objectives to be accomplished in a limited timeframe PRODUCT AND SERVICES PROFILING • • Used to avoid any inconsistencies by identifying key product or service dimensions and then selecting appropriate process. Key dimension often relates to the range of the product or services to be processed, expected order sized, pricing strategy, expected frequency of schedule changes, and order-winning requirement. SUSTAINABLE PRODUCTION OF GOODS AND SERVICES Sustainable production is the creation of goods and services using process and systems that are; non-polluting, conserving energy and natural resources, economically efficient, safe and healthful for workers, communities and consumer, and socially creative and awarding for all working people -Lowell Center Lean Process Design: Focuses on variance reduction in workload over the entire process to achieve level production and improve process flow. 6-3: TECHNOLOGY Technology – Application of scientific knowledge to the development and improvement of goods and services and operation processes. Technological Innovation- the discovery of new or improved product or service Process technology – Methods, procedure, and equipment to use to produce goods and provide services. It has a major impact on cost, productivity, and competitiveness. Information Technology- the science use of computer and other electronic equipment to store, process, and send information Automation- Machinery that has sensing device and control device that enable it to operate automatically. There are three kinds of automation; fixed, programable, and flexible 1. Fixed Automation- is at least flexible. It uses high cost, specialized equipment for a fixed sequence of operations. Low cost and high volume are its primary advantages; minimal variety and high cost of making changes either product or process are its primary limitations. 2. Programmable Automation- Involves the use of high cost, general purpose equipment controlled by a computer program that provides both the sequence of operations and specific detailed of each operation. • Computer-aided Manufacturing- refers to the use of computer in process control, ranging from robots automated quality control. • Numerically Controlled Machines- are program to follow a set of processing instruction based on mathematical relationship that tells the machine the details of operations to be performed. 3. Flexible Manufacturing System- Flexible Manufacturing System- a group of machines that includes supervisory computer control, automatic material handling, and robots or other automated processing equipment. Reprogrammable controllers enable the system to produce a similar variety product • Computer integrated manufacturing- Is a system that used integrated programming computer system to link a broad range of manufacturing activities, including engineering design, flexible manufacturing system, purchasing, order processing, and production planning and control 3D PRINTING A type of industrial robot that is controlled using computer assisted design. AKA Additive Manufacturing, involve the processes that create three-dimensional objects by applying successive layers of materials to create the objects. Drones- are remotely-controlled unmanned aircraft, usually small. An important benefit is providing an “eye-in the sky” to obtained visual detail in places that are hazardous to human or not readily accessible 6-4: PROCESS STRATEGY In process strategy, Flexibility should be adopted with great care; its applications should be matched with situations in which a need for a flexibility clearly exists. 6-5: STRATEGIC RESOURCE ORGANIZATION: FACILITIES LAYOUT Layout- refers to the configuration of the departments, work centers, and equipment with particular emphasis on movement of work (customers or material) through the system. Importance: 1. They required substantial investment of money and effort 2. They involve in long term commitments, which mistakes difficult to overcome 3. They have significant impact on the cost and efficiency of the operations Basic Objectives: To facilitate a smooth flow of work, materials, and information of the system Supporting Objectives: 1. To facilitate attainment of product or service quality 2. To used workers and space efficiently 3. To avoid bottlenecks 4. To minimize material handling cost 5. To eliminate unnecessary movements of workers or materials 6. To minimize production time or customers service time 7. To design for safety TYPES OF LAYOUTS 1. Product layouts- Most conducive in repetitive processing. Product layouts are used to achieve a smooth and rapid flow of large volumes of goods or customers through a system. ADVANTAGE: 1. High rate of output 2. Low unit cost due to high volume 3. Labor specialization, which reduces training costs and time, and results in a wide span of supervision. 4. Low material-handling cost per unit. Material handling is simplified because units follow the same sequence of operations. Material handling is often automated. 5. A high utilization of labor and equipment. 6. The establishment of routing and scheduling in the initial design of the system. These activities do not require much attention once the system is operating. 7. Fairly routine accounting, purchasing, and inventory control. DISADVANTAGE: 1. The intensive division of labor usually creates dull, repetitive jobs that provide little opportunity for advancement and may lead to morale problems and to repetitive stress injuries. 2. Poorly skilled workers may exhibit little interest in maintaining equipment or in the quality of output. 3. The system is fairly inflexible in response to changes in the volume of output or changes in product or process design. 4. The system is highly susceptible to shutdowns caused by equipment breakdowns or excessive absenteeism because workstations are highly interdependent. 5. Preventive maintenance, the capacity for quick repairs, and spare-parts inventories are necessary expenses. 6. Incentive plans tied to individual output are impractical since they would cause variations among outputs of individual workers, which would adversely affect the smooth flow of work through the system. U-SHAPE LAYOUT: Describes the format of the manufacturing or assembly lines of machines and workstations following the principle of one-piece-flow which is laid out in the shape of the letter "U 2. Process layouts- Are designed to process items or provide services that involve a variety of processing requirements. The variety of jobs that are processed requires frequent adjustments to equipment. This causes a discontinuous work flow, which is referred to as Intermittent processing. ADVANTAGE: 1. The systems can handle a variety of processing requirements. 2. The systems are not particularly vulnerable to equipment failures. 3. General-purpose equipment is often less costly than the specialized equipment used in product layouts and is easier and less costly to maintain. 4. It is possible to use individual incentive systems. DISADVANTAGES: 1. In-process inventory costs can be high if batch processing is used in manufacturing system 2. Routing and scheduling pose continual challenges. 3. Equipment utilization rates are low. 4. Material handling is slow and inefficient, and more costly per unit than in product layouts. 5. Job complexities often reduce the span of supervision and result in higher supervisory costs than with product layouts. 6. Special attention necessary for each product or customer (e.g., routing, scheduling.. machine setups) and low volumes result in higher unit costs than with product layouts 7. Accounting, inventory control, and purchasing are much more involved than with product layouts. 3. Fixed-position layouts- Used when projects require layout. In fixed-position layouts, the item being worked on remains stationary, and workers, mate rials, and equipment are moved about as needed. Combination Layout- A combination layout is a blend of process layouts, product layouts and fixed-position layouts. Professionals in manufacturing often call these layouts "hybrid layouts" as they draw components from the various major layout types. Cellular Layout- Cellular productions a type of layout in which workstations are group into what is referred to as a cell. o o (SMED) enables an organization to quickly convert a machine or process to produce a different. Right-sized equipment is often smaller than equipment used in traditional process lay- outs, and mobile, so that it can quickly be reconfigured into a different cellular layout in a different location.) SERVICE LAYOUT The way or arrangement in which service facility is organized. The arrangement could be of service facility area, equipment, workstations or any physical entity. It is important to design a proper facility layout to have smooth flow of work and efficient flow of information, material and people Examples: • Warehouse and Storage Layout - items that are ordered frequently should be placed near the entrance to the facility, and those items ordered infrequently are placed toward the rear of the facility • Retail Layouts- items that are ordered frequently (needs) are placed towards the rear and those items that are ordered infrequently (wants) are placed near the entrance (just to let you know that they have that kind of products). • Office Layouts- create an image of openness; office walls are giving way to low-rise partitions (facilitate communication among workers) • Restaurant Layouts- • Hospital Layouts- The elements of hospital design layout is patient care and safety with easy access to critical resources such-as X-ray, CAT scan, and MRI equipment. Automation in Services. One way to improve productivity and reduce costs in services is to remove the customer from the process as much as possible. Automated services is one increasingly used alternative. 6-6: DESIGNING PRODUCT LAYOUTS: LINE BALANCING Line Balancing- Assigning task to workstations so that each has approx. equal time requirements. 1. Draft Precedence Diagram 2. Compute cycle time using desired output rate 3. Determine the number of workstations required 4. Assign task to workplaces 5. Measure the effectiveness (% idle time and efficiency NOTES: There are station (ex. Used fire and flammable liquids) must not be place near with each other. 6-7: DESIGNING PROCESS LAYOUT INFORMATION REQUIREMENT 1. List the departments 2. Projection of workflow 3. Distance between location 4. Amount of money to be invested 5. List of special consideration 6. Location of key utilities : IA A A . min min . min : I :A I : . min A : A A I . min I A I I