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PROCESS SELECTION, DESIGN & ANALYSIS

Introduction
The primary purpose of any business is to provide products or services to its customers. Irrespective of the
size, or complexity of the product, the biggest challenges these organizations face are designing new products
and launching them in the market. The needs and expectations of the customers are constantly rising as the
society changes drastically. Product design and process selection decisions are typically made together.
Product design and process selection affect:
 Product quality
If the product is not well designed or if the manufacturing process is not true to the product design, the
quality of the product may suffer.
 Product cost
The product has to be manufactured using materials, equipment, and labor skills that are efficient and
affordable; otherwise, its cost will be too high for the market. We call this the product’s manufacturability—the
ease with which the product can be made.
 Customer satisfaction.
If a product is to achieve customer satisfaction, it must have the combined characteristics of good
design, competitive pricing, and the ability to fill a market need.

Product design and process selection decisions are directly associated and cannot be made
individually. The type of product a company creates determines the type of operation needed. The type of
operation needed, in turn, defines many other aspects of the organization. This includes how a company
competes in the marketplace (competitive priorities), the type or equipment and its arrangement in the facility,
the type of organizational structure, and future types of products that can be produced by the facility.

Product design deals with conversion of ideas into reality. Every business organization has to design,
develop and introduce new products as a survival and growth strategy. An organization can gain a
competitive edge through designs that bring new ideas to the market quickly, can satisfy customer needs in a
better way or are easier to manufacture, use and repair the existing products. Organizations are required to
design the new products for the following reasons:
• To be in business on a continuous basis, believing a fact that business is a long lasting institution.
• To satisfy unfulfilled needs of the customers.
• Company’s existing product line becomes saturated and the sales are on the decline.
• To enter into new prospective business through related or unrelated diversification.
• Fierce competition in the existing product line.

Product design is the process of deciding on the unique characteristics and features of the company’s
product. Product design brings together marketing analysts, art directors, sales forecasters, engineers, finance
experts, and other members of a company to think and plan strategically. It is exciting and creative, and it can
spell success or disaster for a company. Product design is the process of defining all the features and
characteristics of just about anything you can think of.

A company’s product designs must also support the company’s business strategy. A company’s business
strategy maps out its business, customers, and competitors. The activities a company engages in and the
decisions a company makes must support this business strategy.

Steps in Product Design

STEP 1 IDEA DEVELOPMENT.


All product designs begin with an idea. Someone thinks of a need and a product design that would satisfy it.
STEP 2 PRODUCT SCREENING.
Once an idea is developed, it needs to be evaluated. Often a business comes up with numerous product
ideas. At this stage we need to screen the ideas and decide which ones have the greatest chance of
succeeding.
STEP 3 PRELIMINARY DESIGN AND TESTING.
This is the stage where preliminary design of the product is made and market testing and prototype analysis are
performed.
STEP 4 FINAL DESIGN.
This is the last stage, where the final design of the product is made. Next we look at these steps in a little more
detail.

Process selection is the development of the process necessary to produce the designed product. Process
selection is necessary to realize the product design. A company can have a highly innovative design for its
product, but if it has not figured out how to make the product cost effectively, the product will stay a design
forever.

TYPES OF PROCESS SELECTION

1. JOB SHOP
A job shop is an intermittent processing in which small batches of a variety of custom products are made
for one customer. Usually, this process is used by businesses involving custom parts manufacturing and those
dealing with customization and relatively small productions. Most manufacturers start with this process until they
grew and became capable of using other manufacturing processes, which produce more products. Most of
the products a job shop produce require a unique set-up and sequencing of process step.

Characteristics

1. High variety of products and low volume


Job shop is a system that renders a small lot production or service with varying specifications based on
customer needs.
2. Use of general-purpose machines and facilities
In a job shop, the products produced are made based on the specifications of the customer; therefore it
must be able to change from one set-up or sequence to another. Hence, general-purpose machines and
equipment must be used in order to perform different operations, which could produce a wide variety of
products. These machines are grouped according to its functions and technological processes involved,
and are effectively utilized. This gives an advantage to the manufacturer, as there would be less cost
because of fewer machines needed.
3. Flexibility
Its production of low volume and a wide variety of products as well as its use of general-purpose machines
gives job shop greater flexibility. This allows manufacturers to meet customer quality standards as job shop
is used to meet customer requirements.

4. Highly skilled operators/employees


There are highly skilled operators and employees in a job shop to operate different machineries. Their skills
and knowledge are developed through working on a department, which enables them to perform and
learn different tasks. The uniqueness of jobs they make improves their skills and knowledge, which make job
shop employees earn higher wages and need less supervision.

5. Large work in process inventory and high production lead time


In a job shop, there is a sequence that must be followed. To complete the process, all parts must be
completed before transferring into another department, which means that there would be work in process
inventory as the remaining parts are being completed. In other terms, this inventory is caused by high
production lead-time on job shops.
6. Complexity and scheduling
It is difficult to measure capacity on job shops as well as predicting the time a customer will place an order,
its due date, quantity and requirements. It is also difficult assessing and measuring the conditions of
machines, labor, mix of jobs and ability to schedule well. Sudden changes could also occur during
operations, which make scheduling complex and demanding.

7. Competition
Job shops compete with other business through quality, speed on delivery, customization and introduction
of new products rather than cost.

2. BATCH
Batch Processing is used when a moderate volume of goods or services is desired. Also, it can handle a
moderate variety in products or services. The equipment need not be as flexible as in a job shop but processing
is still intermittent. The skill level of workers does not need to be as high as in a job shop because there is less
variety in jobs.

Batch Process: Pros


Batch production can be useful for small businesses that don’t have enough capital to run continuous
production lines. It also helps companies avoid large amounts of waste. A bakery business owner, for example,
can take an order for 3,000 cakes and make them in separate batches of 1,000 each. The owner won’t lose all
of the cakes if a manufacturing problem ruins one batch. Batch production is useful for seasonal items as well,
since manufacturing can start and stop in accordance with seasonal production demands. Sometimes retailers
agree to stock new products in their stores that ultimately don’t sell well, so they cancel future orders. In such
cases, batch processing prevents manufacturers from making big investments in new products that may not
sell.

Batch Process: Cons


Producing products in batches is inefficient because of the downtime associated with the process.
Manufacturers usually have to shut down machines and reconfigure them for each new batch they produce.
They also have to be retest machines to ensure their output is on target for the products being made. The
downtime between batch runs can be lengthy if the production process is complicated or involves several
machines.

Characteristics of Batch Production


• Short Runs: Short production runs and frequent changes of setup also characterize batch production. The
equipment and the assembly setup is used for a limited number of parts or assemblies and is then changes to
make a different product. The production is generally made to stock. In project production, each project has a
definite beginning and a definite end.
• Skilled labor in specific trades: The labor force is expected to possess skill in one specific manufacturing
process: turning, milling, drilling, welding, grinding, hobbling, fitting etc. The operator may perform simpler
machine setups but the separate machine tool setter performs those involving complex operations.
Requirement of resources for a project production is not uniform. Generally resource requirement (men,
materials, money etc) in the beginning of the project is low, which builds up fast with the progress of project as
more and more resources are absorbed, then it levels off until there is gradual cutback as the project
approaches completion.
• Limited span of control: The amount of supervision required in batch production is lower than that of jobbing
production. The ration of direct workmen to supervisors is more or less a function of batch size. The smaller the
batch, the lower is ration of direct workers to supervisors, and vice-versa. This is because smaller lots require
each supervisor to spend a great deal of his time in allocating new work, giving instructions, follow up on the
shop floor for proper movement of materials, identifying delays and interruptions and arranging, in consultation
with planning, work load in his section to keep his men busy. In project production layout is fixed. Where the
output of a project is a product, such products are generally characterized by immobility during transformation.
Operations on such products are carried out in fixed position assembly type of layout, which can be observed
in production of ships, locomotive, aircraft, construction of roads/ buildings etc.
• General-purpose machines and process type of layout: Plant and equipment is procured and arranged to
obtain maximum flexibility. General-purpose machines and handling equipment capable of performing variety
of operations with minimum setup times are installed in lieu of variety of products. The machines are arranged
to give process layout by function. Similar machines capable of doing similar types of operations are grouped
together and kept at one place. Presses, for example, are put together and kept at one place; gear-cutting
machines are located at the fourth place and so on. Each group of machines is usually designated as a work
center or a section or a shop.
• Manual materials handling: Materials handling in batch production as compared to jobbing production is
small. Individual components and parts are placed in trolleys or trays and are transported as unit loads.
Materials handling may be mechanized by deploying power driven trucks.
• Flexibility of production schedules: Disruptions due to machine breakdowns or absenteeism do not seriously
affect production as job can be shifted to another machine or another operator. In project production, cost of
overruns is high. Often delays take place in the completion of the projects. Such delays are generally very
expensive due to escalation in the cost of factors of production and incident of penalties.
In batch production because of large number of activities, involvement of different agencies and strict
precedence requirements, scheduling and control assumes great importance. Some network planning
techniques like PERT (Program Evaluation and Review Technique) and CPM (Critical Path Method) have been
found useful to overcome the problems.
CPM (Critical Path Method) is used to assist the project manager in scheduling the activities (i.e., when should
each activity start). It assumes that activity durations are known with certainty.
PERT(Program Evaluation and Review Technique) is used to assist in project scheduling similar to CPM.

3. REPETITIVE
` Repetitive processes are designed to produce a large volume of a standardized product for mass
production. With repetitive processes, the product that is produced is made in high volume with little or no
customization.
Since the product designs are relatively stable and standardized, specialized equipment, human skill
and management systems can be developed and dedicated to the limited range of products and volumes.
Only slight flexibility of equipment is needed and the skill of workers is generally low. Beyond this range, the
system is inflexible.

Characteristics

ACTIVITY FUNCTION
Volume High
Job Variety Low
Process flexibility Low
Cost estimation Routine
Cost per unit Low
Equipment used Special Purpose
Fixed costs High
Variable costs Low
Labor Skills Low
Marketing Promote standardized goods/services
Scheduling Routine
Work-in-process inventory Low

Examples:
Examples of this type of system include production lines and assembly lines. In fact, this type of process is
sometimes referred to as assembly.
Manufacturing: automobiles, television sets, pencils, computers
Service: automatic car wash, cafeteria lines, ticket collectors at sports events and concerts

Advantages
● High Volume and Efficient - An assembly line, or production line, allows manufacturers to produce large
quantities of items quickly and efficiently. Each worker, or machine, performs a specific task to build a portion
of a product as it moves down a production line until the item is complete.
● Low unit cost - Repetitive processes often works in favor of economies of scale, which refers to the
reduction in the average cost to make a product due to an increase in its production. For example,
manufacturers may receive discounts on materials needed to make a product when they buy those materials
in large quantities for big production runs.
● Low product variation - Another benefit in the manufacturing process is that a regimented production
process helps ensure a uniform product. In other words, the products made by an assembly line are not likely to
exhibit much variation. If one worker created an entire good scratch, his product might be significantly
different from the goods produced by another employee.

Disadvantages
● Low flexibility - Assembly lines are geared toward producing a specific type of product in mass
quantities, which can make a company less flexible if it wants to shift production to different types of products.
Shifting operations to produce different products in an assembly line environment can be costly and might
require additional training and the purchase of new machinery.
● High initial cost - While assembly lines can potentially reduce the total cost of product per unit, they can
have a high initial cost. Assembly lines require a significant amount of space to operate, factory floor space to
rent, and expensive specialized machines.
● High cost of downtime - Big production lines often include expensive assembly machines that are only
economical for manufacturers to use at high outputs. Consequently, the idle use of such machines will not stop
the incurrence of unavoidable fixed costs.

4. CONTINUOUS
In continuous manufacturing, the production of the standard products is carried on a flow basis at a
predetermined rate. The mass production is carried on continuously for stock in anticipation of demand. To
efficiently produce a large volume of one type of product these operations tend to be capital intensive rather
than labor intensive.
This process relies on automation and technology to improve efficiency and increase output rather than on
labor skill. Workers’ skill requirements can range from low to high, depending on the complexity of the system
and the expertise workers need. Generally, if equipment is highly specialized, worker skills can be lower.
Due to the production of the standardized products, the product design tends to be constant. The number
of operations and the sequence of operations remain more or less same.
The production schedule is based on the adjusted demand forecasting. The entire production activity is
geared up to the production schedule. The routing is simple due to the standard operations, preset sequence
of operations and automated material handling. The scheduling function is also simple due to the
synchronization of the operations. The periodic production is made according to the master schedule. Some
adjustments in the production schedule would be necessitated on the basis of the fluctuations in demand and
the stockpiling of the finished product. Scheduling would also face a specific problem in case of interruption in
production flow caused by machine breakdown, power cut, material shortage, labor trouble etc.
The machines are arranged on the basis of product layout, i.e. they are arranged in the sequence
according to the operation sequence of the product. The material handling and positioning is mechanized
mostly on the conveyor lines. The machines set-up remains unchanged for a longer-time. Generally, the
machines performing specific operations are used and are operated by semi-skilled operators.
Though the production is made on continuous basis, the operating cycle time i.e. time required to convert
the raw materials into finished products, is relatively short. In the continuous assembling production, a constantly
moving conveyor is employed. The base frame of the product starts from the first stage of the line and other
component parts or sub-assemblies are added at subsequent stages of the line as the product moves. Thus, it
grows on the line and is taken off at the final stage of the line.
Advantages:
The main advantage of continuous system is that work-in-progress inventory is minimum. As the processing
of material is continuous and progressive, there is no waiting period. Each work is passed to the next stage
immediately after the previous operation is complete without waiting for the completion of work on the
total batch. As a result, costs of materials handling are minimized and full use can be made of automation.
Few job instructions are needed and less storage space is required, cost per unit can be minimized by
investing in specialized equipment and overhead cost per unit is reduced due to spreading of large fixed
costs of specialized equipment over a large volume of output.
Disadvantages:
Continuous system, however, is very rigid and if there is a fault in one operation, the entire process is
disturbed. Due to continuous flow, it becomes necessary to avoid piling up of work or any blockage on the
line. Unless the fault is cleared immediately it will force the preceding as well as the subsequent stages to be
stopped.

5. PROJECT
This is a type of process used for work that is non-routine, with a unique set of objectives to be
accomplished in a time frame. With project processes the customer is usually involved in deciding on the
design of the product.

Nature and Characteristics

These processes are used when there is high customization and low product volume, because each
product is different. Note that both project and batch processes have low product volumes and offer
customization. The difference is in the volume and degree of customization. Project processes are more
extreme cases of intermittent operations compared to batch processes.

Examples:

1. publishing a book
2. construction
3. shipbuilding
4. medical procedures/ operation
5. creation of artwork
6. custom tailoring
7. interior design
8. composing/arranging a song
9. baking customized cakes (e.g., wedding cake)

AUTOMATION
Automation is defined as machinery that has sensing and control devices that enable it to operate
automatically. This is a technology used by factories in their operations ranging from a completely automated
to a single automated operation. It is one of the strategies that enable the factory’s operation to compete
amongst others.

Examples:
Its examples includes automated teller machines (ATMs, heating and air conditioning, automated inspection,
automated storage and retrieval systems, package sorting, mail processing, e-mail, online banking, and E-Z
pass.

Advantages of Automation

1. Over Human Labor


The use human labor may have inconsistencies in work performed, while automation promotes low
variability of processes done in the same way, time and on a repetitive basis. This allows the production
of quality products which meets schedules in manufacturing operations avoiding worker problems like
strikes, wage reforms, labor grievances and not getting bored or distracted.
It has low variability, whereas it is difficult for a human to perform a task in exactly the
2. Standardization
Standardization of costs enables organizations to plan the process requirements finding ways to reduce
costs, increase productivity, and improve quality and consistency. Reducing costs includes the
identification and analysis of expenses that might be fetched at a lower price.

Disadvantages of Automation

1. Costly
Automation technology is expensive. This method uses costly machines or programs that would require
high volumes of output to offset high costs.
2. Less Flexible than Human Labor
Workers can change when instructed to do so in organizations, however, automated processes are less
flexible and more difficult to change because of its structured programs, specific specifications or
customizations.
3. Effect on Morale and Productivity
Workers sometimes fear automation. Machines might replace human labor. With this thoughts, these
can hinder workers in performing efficiently and effectively in the organizations.

List of Questions for Organizations Considering Automation

The issue of automation should be carefully considered because of its possible adverse effects on the entity’s
operations including costs and procedures. It carries advantages along with certain limitations and risks in its
performance. An organization should take into consideration the following questions for the careful
examination of the need or degree of automation.

1. What level of automation is appropriate? (Some operations are more suited to being automated than
others, so partial automation can be an option.)
2. How would automation affect the flexibility of an operation system?
3. How can automation projects be justified?
4. How should changes be managed?
5. What are the risks of automating?
6. What are some of the likely effects of implementing automation on market share, costs, quality,
customer satisfaction, labor relations, and ongoing operations?

Kinds of Automation

1. Fixed automation

It is the least flexible. This kind of automation needs high initial investments in the acquisition of specialized
equipment for a fixed sequence integrated on its operations. Advantages include its low cost and higher
production rates because of its standardization. Limitations include inflexibility; minimal variety and high cost in
production and changes in machines or mechanized assembly lines in the manufacturing process.
2. Programmable automation

This kind of automation involves the use of high initial investment for general-purpose equipment controlled by
a computer program providing operation sequence, specific details and processes of the product. This type is
somewhat flexible with regards to product configuration. This is most suitable for the production of lower
production rates in small batches.

Applications of Programmable automation

a. Numerically controlled (N/C) machines


These are machines that are programmed to follow mathematical processing instructions in operations.
Programs include mathematical relationships in processes. Magnetic tapes, and microprocessors are
examples of storage devices containing program instructions.

b. Robots
These are machines that handle a wide variety of tasks. These tasks include welding, assembly, loading
and unloading of machines, painting, and testing. Robots are used to replace humans in heavy or dirty
work in organizational operations. Robots may be sorted into three types – those that follow a fixed set
of instructions, another which are programmable repeating instruction or mechanical sequences, and
lastly is one controlled by computers.

c. Computer-aided manufacturing (CAM)


It refers to the use of computers in process control, ranging from robots to automated quality control.

3. Flexible automation
It evolved from programmable automation. It uses equipment that is more customized than that of
programmable automation. A key difference between the two is that flexible automation requires
significantly less changeover time. This permits almost continuous operation of equipment and product
variety without the need to produce in batches.

Applications of Flexible automation

a. Flexible manufacturing system (FMS)


This is an application of flexible automation which includes a group of machines. This group is controlled
by computers, supervised by program instructions in the automation of material handling, and
processing equipment. These systems are designed to produce a variety of similar products in varying
levels of production using reprogrammable controllers or machine instructions.

Advantages include offering reduced labor costs, efficiency in operations and consistency in product
quality, lower production cost, higher flexibility and enables intermittent operations taking advantage of
a lower changeover time.

Disadvantages include the longer amount of time allotted for planning and development of the flexible
manufacturing system in operations. It is also more expensive and more complex in comparison with
other automation types. This application is also limited with the use of similar processes and materials for
the production of the variety.

b. Computer-integrated manufacturing (CIM)


This application uses an integrated computer system to link manufacturing activities. These activities
encompass different manufacturing areas – design, planning, control, and different processes. This aims
to increase productivity and efficiency by linking and integrating functional operations to achieve
quicker response rates in the processing or customer and purchase orders, product and system design,
inventory management and costing functions with regards to reducing direct and indirect costs existing
in the manufacturing production.

TYPES OF FACILITIES LAYOUT

Facilities layout is the arrangement of resources of a facility to enhance the production process. It can also
be defined as the configuration of departments, work centers, and equipment with particular emphasis on
movement of work (customers or materials) through the system. It provides a vision of the sequence of
individual activities of a project that must be finished on schedule so that the whole project is completed on
time. In simplest terms, it is deciding on the way production of goods or services will be organized.

Importance of Facilities Layout

Operations management considers facilities layout as an integral part of process selection because it is
a deciding factor of the movement of inputs and outputs in the production process. In general, a well-planned
facilities layout is important for increasing production output, decreasing operational costs and enhancing
product quality.

Planning the flow of materials and workers in producing goods and services enhances efficiency and
sets a more strategic use of manufacturing inputs such as resources or materials, labor or manpower, factory
overhead, equipment and machines, and storage areas or warehouses. If the movement of work is planned,
convenience and efficiency are improved.

Also, through minimizing unnecessary material handling costs and the travel or holding time of semi-
finished goods between different stations, a faster production time is the result. As studied before, a
combination of reduced production time and decreased manufacturing expenses equates to increased
productivity, satisfied customers, and higher revenues. In addition, it facilitates the attainment of product or
service quality that creates consumer satisfaction and fits their needs.

Another goal of facility layout is to avoid inefficient decisions and bottlenecks. Bottleneck, as defined, is
the resource that requires the longest time in operations of the supply chain for certain demand, thus affecting
the whole chain. Taking into account the layout of the different processes can increase efficiency as it
minimizes delay caused in the transportation stage. The use of a proper layout can reduce the overhead of
machines and can reduce material handling time.

It also maintains a safe and healthy working environment. For example, locating bulk processes
involving numerous workers in a small area can create noise and air pollution which can affect productivity. In
this case, the operations manager needs to consider spreading out the process in a larger area for a more
conducive production setting. This can apply to large manufacturing firms wherein large factories are needed
to equate the number of products being processed per day and the manpower involved in creating them.

Types of Facilities Layout

 For Manufacturing Entities

Product Layout

Product layout uses standardized processing operations to achieve smooth, rapid, high-volume outputs.
Ideally, it is used by companies with repetitive and continuous processes like the production of commodities,
assembly lines of automobiles, and food chains.

Advantages of product layouts include lower work-in-process inventories, shorter processing times, less
material handling, requires lower labor skills, and simple planning and control systems. On the other hand, its
disadvantages are dull, repetitive jobs, poorly skilled workers who may not maintain equipment or quality of
output, inflexibility to changes in volume, highly susceptibility to shutdowns, consistent need for preventive
maintenance, and impracticality of individual incentive plans for more motivated employees.

Process Layout

Process layout can handle varied processing requirements and is composed of functional activities of
equipment or activities that do similar work. It is ideal for job shop and batch processes that cater small scale
but wide variety of flexible goods like offices and hospitals.

Its advantages include lower work-in-process inventories, shorter processing times, less material handling
costs, lower labor skills requirement, and simpler planning and control systems. However, its disadvantages are
higher in-process inventory costs, challenging routing and scheduling, low equipment utilization rates, slow and
inefficient material handling, complexities often reducing span of supervision, need for special attention for
each product or customer, and more involvement of accounting and purchasing departments that results to
higher administrative costs.

Fixed-position Layout

Fixed-position layout is one in which the product or project remains stationary, and workers, materials and
equipment are moved as needed. It is ideally used if weight, size, bulk, or some other factor makes it
undesirable or extremely difficult to move the product. For example, companies engaged in shipping, aircraft,
firefighting, road-building, home-building, and drilling for oil uses heavy equipment, as such, it is more efficient
for employees to move from process to process instead of carrying those with them. The advantages of this
type of layout is low fixed-costs and high-variety of tasks for staff, while the disadvantage is high variable costs
and more complex scheduling space and activities.

Combination Layout

 Cellular Layout (Cellular Production and Group Technology)

The first type of combination layout combines cellular production and group technology. Cellular
production is a layout in which machines are grouped into a cell that can process items that have similar
processing requirements and group technology involves grouping into part families of items with similar design
or manufacturing characteristics. It is added combined to the former to make it much more effective.

Compared to the first three functional layouts, combination layout involves shorter travel distances, fewer
number of moves between departments, shorter job waiting times, lower amount of work-in-process,
throughput time and supervision difficulty, and higher equipment utilization.

 Flexible Manufacturing Systems

This type of layout calls for a group of machines designed to handle intermittent processing requirements
and produce a variety of similar products. This provides long-term advantage, though it may be costly to
implement. It reduces the costs of operation because of its ability to adapt to changes, helping to prevent
defective products as well as wasted time and resources. On top of that, it requires fewer workers so labor costs
will be decreased. The biggest benefit of this layout is the efficiency it provides. With minimal supervision, it
maintains the smooth flow of operations and can easily adapt changes resulting to less delays and bottlenecks.
It helps to create faster production time and, as a result, increased customer service and satisfaction.

On the other hand, its implementation can be complicated and thus requires extensive planning, which
can involve creating detailed designs and schedules. It also requires highly skilled employees with, of course,
greater compensation to operate the machinery. Also, because these systems are so complicated, a different
set of skilled workers is needed for maintenance and repairs, doubling the salaries and wages expense of the
firm. Above all, purchasing machinery is expensive and investment in those can only be available to large and
established manufacturing firms.

 For Service Entities

Warehouse/Storage Layout
This type of layout considers order frequency as a key factor. Items that are ordered frequently should be
placed close together near the entrance of the facility, while those ordered less frequently remain in the rear of
the facility. In this way, picking up of orders for shipping is made more efficient.
Retail Layout
Businesses involved in retail such as convenience stores and grocery shops must take into consideration the
presence of customers and the accompanying opportunities to influence sales and customer attitudes. For
example, supermarkets place dairy products near the rear of the store so that customers who run into the store
for a quick gallon of milk must travel through other sections of the store. Also, candies are placed near the
entrance so that children will see it and insist to buy them. These strategies increase the chance of the
customer seeing an item of interest and making an impulse buy. Retail chains are able to take advantage of
standardized layouts, which give the customer more familiarity with the store when shopping in a new location.
Office Layout

Office layouts must be configured so that the physical transfer of information and paperwork is
optimized. Communication also can be enhanced through the use of low-rise partitions and glass walls.
Employees must be given ample space to respect their privacy while enhancing group effort and effective
communication within the team. Moreover, those with higher positions like company executives are given
exclusive rooms with reception area because they handle more complex information and are visited by bigger
bosses. Office staff are normally given cubicles to work with.