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Presentation on
Facility layout
8
M.B.A I, SEMESTER - II
Dr. J. K. Patel Institute of Management Vadodara Parul Group of Institutes Affiliated to Gujarat Technological University
Process Layout
Used when the operations system must handle a wide variety of products in relatively small volumes (i.e., flexibility is necessary). The layouts include departments or other functional groupings in which similar kinds of activities are performed. A manufacturing example of a process layout is the machine shop, which has separate departments for milling, grinding, drilling, and so on.
Product Layout
Product layout is used to achieve a smooth and rapid flow of large volumes of products or customers through a system. For instance, if a portion of a manufacturing operation required the sequence of cutting, sanding, and painting, the appropriate pieces of equipment would be arranged in that same sequence.
Combination Layout
It is a type of layout in which a process layout is combined with a product layout. For instance, supermarket layouts are fundamentally of a process nature, and however we find most use fixed-path material-handling devices such as rollertype conveyors both in the stockroom and at checkouts, and belt-type conveyors at the cash registers.
Fixed-Position layout
In fixed-position layouts, the item being worked on remains stationary, and workers, materials, and equipment are moved as needed. Fixed-position layouts are widely used for farming, firefighting, road building, home building, remodeling and repair, and drilling for oil,buildings, ships, aircrafts.
4. Output needsThe facility should be laid out in a way that is conducive to helping the business meet its production needs. 5. Space utilizationThis aspect of facility design includes everything from making sure that traffic lanes are wide enough to making certain that inventory storage warehouses or rooms utilize as much vertical space as possible. 6. Shipping and receiving small business owners to leave ample room for this aspect of operations. "While space does tend to fill itself up, receiving and shipping rarely get enough space for the work to be done effectively," it said in How to Run a Small Business. 7. Ease of communication and supportFacilities should be laid out so that communication within various areas of the business and interactions with vendors and customers can be done in an easy and effective manner. Similarly, support areas should be stationed in areas that help them to serve operating areas. 8. Impact on employee morale and job satisfactionSince countless studies have indicated that employee morale has a major impact on productivity. Some ways layout design can increase morale are obvious, such as providing for light-colored walls, windows, space. Other ways are less obvious and not directly related to the production process. Some examples are including a cafeteria or even a gymnasium in the facility design. Again, though, there are costs to be traded off. That is, does the increase in morale due to a cafeteria increase productivity to the extent that the increased productivity covers the cost of building and staffing the cafeteria." 9. Promotional valueIf the business commonly receives visitors in the form of customers, vendors, investors, etc., the small business owner may want to make sure that the facility layout is an attractive one that further burnishes the company's reputation. Design factors that can influence the degree of attractiveness of a facility include not only the design of the production area itself, but the impact that it has on, for instance, ease of fulfilling maintenance/cleaning tasks.
10. SafetyThe facility layout should enable the business to effectively operate in accordance with Occupational Safety and Health Associationguidelines and other legal restrictions.
Difference
between
office
and
factory
Layout
Factory layout Offices and manufacturing facilities are typically designed in much different waysa reflection of the disparate products that the two entities make. "A factory produces things. These things are moved with conveyors and lift trucks; factory utilities include gas, water, compressed air, waste disposal, and large amounts of power as well as telephones and computer networks. A layout criterion is minimization of transportation cost. However, that the mandate of business offices is to produce information, whether disseminated in physical (reports, memos, and other documents), electronic (computer files), or oral (telephone, face-to-face encounters) form. "Office layout criteria, although hard to quantify, are minimization of communication cost and maximization of employee productivity.
Manufacturer industry:
. Manufacturers may also have significantly different facility layouts, depending on the unique needs that they have. After all, the production challenges associated with producing jars of varnish or mountaineering equipment are apt to be considerably different than those of making truck chassis or foam beach toys. Retail Industry: Retail outlets comprise yet another business sector that have unique facility layout needs. Such establishments typically emphasize sales floor space, inventory logistics, foot traffic issues, and overall store attractiveness when studying facility layout issues.
Example
One example of facility layout that I have been involved in was to do with check-in desk allocation in Terminal 3 (usually referred to as T3) at Heathrow airport for British Airports Authority (BAA), the operators of Heathrow. T3 is used solely for international (mostly longhaul) flights. At the time of this study T3 had 134 check-in desks arranged in 5 cul-de-sacs (denoted by A to E respectively). A diagrammatic representation of the check-in area is given below. -------------------------------------------------------xddxddxddxddxd dx xddxddxddxddxd dx xddxddxddxddxd dx xddxddxddxddxd dx xddxddxddxddxd dx xd A dxd B dxd C dxd D dxd E dx d is a check-in desk area, x a baggage conveyor area
Cul-de-sac's A and E had 28 check-in desks, cul-de-sacs B, C and D had 26 check-in desks. For various reasons too complex to explain here the desks were effectively allocated to a single airline (or handling agent). For example cul-de-sac A was allocated to American Airlines (AA) and Saudi Airlines (SV). This meant that, even when these airlines had no flights scheduled, the check-in desks were not available to be used by other airlines. Now from the airport operators point of view check-in is not where they make money from passengers, that occurs after they check-in, in the duty-free area, the restaurants and shops. Also many of the problems of operating an airport come down to managing fixed capacity well. There are only so many check-in desks, only so many terminals, only so many runways, etc. The point of this study was to see what could be gained if BAA effectively took control of the desks and allocated them to airlines on a time basis (the allocation changing every half-hour). Effectively the flight schedule repeats on a weekly basis so BAA needed an algorithm that would allocate each of the 134 check-in desks, seven days a week, by half-hour periods. The key question that needs to be answered before attempting to allocate desks is: How many desks does each airline actually need? Obviously an airline would like as many desks as possible - this gives them maximum flexibility and also means their competitors cannot have the desks! To answer this question logically we need to consider factors like:
flight schedule size (capacity) of the plane used for each flight load factor for a flight (percentage full) arrival pattern for check-in (i.e. the statistical distribution of how passengers turn up for a flight) queueing time at check-in.
Airports are data-rich environments and data was not a problem in this study. The last factor queuing time at check-in is a key one. For example suppose airline X is twice as quick at processing passengers checking in as airline Y. Does this mean that BAA should allocate X only half as many desks as Y? To do so would be to penalise efficiency and the solution adopted was to set a standard for queueing time (the same for all airlines) and to allocate desks based on this standard. As BAA was only concerned with desk allocation (airlines could choose to man the desks or not!) airlines which were more efficient than the standard could use less personnel and/or have shorter queueing times, airlines which were less efficient than the standard would have longer queueing times. The algorithmic solution I adopted was a heuristic algorithm which built up a check-in desk allocation pattern over the course of time. It used a number of rules and restrictions not detailed here. The diagram below shows example output from that algorithm for cul-de-sac A (desks A1 to A28) on day 1 (Monday) over 24 hours at half-hour intervals. Recall that cul-de-sac A was
shared between AA and SV. You will see in the diagram below how the desks are allocated over time to AA and SV. building up as their flights build up and falling off as their flights fall off. For example at 5am AA is allocated three desks A1 to A3, at 5.30am there are allocated one more desk (A4), at 6am three more desks (A5 to A7), etc. Note too how some desks (e.g. desk A23) are allocated to one than one airline. HOUR 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 A1 --AA AAAAAAAAAAAAAAAAAAAAAAAAAAAAAAAAAAAAAAAAAAAAAA -- -- -- -- -- --- -- -- -- -- -- -- -- -A2 -- -- AA AAAAAAAAAAAAAAAAAAAAAAAAAAAAAAAAAAAAAAAAAAAA --- -- -- -- -- -- -- -- -- -- -- -- -- -- -A3 -- -- AA AAAAAAAAAAAAAAAAAAAAAAAAAAAA -- -- -- AAAAAAAAAA -- --- -- -- -- -- -- -- -- -- -- -- -- -- -A4 -- -- -- AA AAAAAAAAAAAAAAAAAAAAAAAA -- -- -- -- -- AAAAAA -- -- -- -- -- - -- -- -- -- -- -- -- -- -- -- -A5 -- -- -- -- AA AAAAAAAAAAAAAAAAAAAAAA -- -- -- -- -- -- AAAA -- -- -- -- -- -- - -- -- -- -- -- -- -- -- -- -A6 -- -- -- -- AA AAAAAAAAAAAAAAAA -- AAAA -- -- -- -- -- -- AAAA -- -- -- -- -- -- --- -- -- -- -- -- -- -- -- -A7 -- -- -- -- AA AAAAAAAAAAAAAA -- -- AAAA -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- --- -- -- -- -- -- -- -A8 -- -- -- -- -- AA AAAAAAAAAAAA -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- --- -- -- -- -- -A9 -- -- -- -- -- AA AAAAAAAAAAAA -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- --- -- -- -- -- -A10 -- -- -- -- -- AA AAAAAAAAAAAA -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- --- -- -- -- -- -A11 -- -- -- -- -- AA AAAAAAAAAAAA -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- --- -- -- -- -- -A12 -- -- -- -- -- AA AAAAAAAAAAAA -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- --- -- -- -- -- -A13 -- -- -- -- -- AA AAAAAAAAAA -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- --- -- -- -- -- -A14 -- -- -- -- -- -- AA AAAAAAAA -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- --- -- -- -- -A15 -- -- -- -- -- -- AA AAAAAAAA -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- --- -- -- -- -A16 -- -- -- -- -- -- AA AAAAAAAA -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- --- -- -- -- -A17 -- -- -- -- -- -- AA AAAAAAAA -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- --- -- -- -- -A18 -- -- -- -- -- -- AA AAAAAAAA -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- --- -- -- -- --
A19 -- -- -- -- -- -- AA AAAAAAAA -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- --- -- -- -- -A20 -- -- -- -- -- -- -- AA AAAA -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- SV -- -- -- -- -- -- -- - -- -- -- -A21 -- -- -- -- -- -- -- AA AAAA -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- SV SVSV -- -- -- --- -- -- -- -- -A22 -- -- -- -- -- -- -- AA AAAA -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- SV SVSVSVSV -- -- -- - -- -- -- -- -- -A23 -- -- -- -- -- -- -- AA AAAA -- -- -- -- -- -- -- -- -- -- -- -- -- -- SV SVSVSVSVSVSV -- -- --- -- -- -- -- -- -A24 -- -- -- -- -- -- -- -- AA -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- SV SVSVSVSVSVSV -- -- -- --- -- -- -- -- -A25 -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- SV SVSVSVSVSVSVSV -- -- -- - -- -- -- -- -A26 -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- SV SVSVSVSVSVSVSV -- -- -- - -- -- -- -- -A27 -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- --- -A28 -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- --- -Note the number of times above above when desks are not allocated to an airline. There is a lot of spare check-in desk capacity in this cul-de-sac on this day. This could potentially be used for other airlines. More airlines using T3 means more money for BAA and better use of their fixed capacity.
Conclusion
Facility layout and design is an important component of a business's overall operations, both in terms of maximizing the effectiveness of production processes and meeting employee needs and/or desires. The criteria for a good layout necessarily relate to people (personnel and customers), materials (raw, finished, and in process), machines, and their interactions."