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7. Facilities layout. Definition Waller describes facility layout as Waller describes facility layout as the arrangement of machines, workstations, storage.

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Presentation on theme: "7. Facilities layout. Definition Waller describes facility layout as Waller describes facility layout as the arrangement of machines, workstations, storage."— Presentation transcript:

1 7. Facilities layout

2 Definition Waller describes facility layout as Waller describes facility layout as the arrangement of machines, workstations, storage areas etc to enable an operation to function efficiently, safely and in a cost-effective manner the arrangement of machines, workstations, storage areas etc to enable an operation to function efficiently, safely and in a cost-effective manner

3 Layout Strategies Many cited by material, but one presented here Many cited by material, but one presented here Heizer & Render suggest that in most cases, layout will strive to accommodate the following criteria: Heizer & Render suggest that in most cases, layout will strive to accommodate the following criteria: Higher utilization of space, equipment and people Higher utilization of space, equipment and people Improved flow of information, materials or people Improved flow of information, materials or people Improved staff morale and safer working conditions Improved staff morale and safer working conditions Improved customer interaction Improved customer interaction Flexibility, i.e. whatever the layout is now it will need to change Flexibility, i.e. whatever the layout is now it will need to change

4 Layout & Flow There are direct links between layout and the flow of operations with a logical flow of materials/components with value being added at each part of the transformation. There are direct links between layout and the flow of operations with a logical flow of materials/components with value being added at each part of the transformation.

5 Types of Layouts Fixed position Fixed position Process-orientated Process-orientated Office Office Retail Retail Warehouse Warehouse Product-orientated Product-orientated

6 Fixed Position For large bulky projects such as ships and buildings For large bulky projects such as ships and buildings The operation remains static and workers and materials come to the site, e.g. chemical plant, new building, shipbuilding, and highway. The operation remains static and workers and materials come to the site, e.g. chemical plant, new building, shipbuilding, and highway. Many fixed positions are characterized by lack of space and limitations on resources for the workers and their operations. Many fixed positions are characterized by lack of space and limitations on resources for the workers and their operations. Project management is therefore essential to co- ordinate activities e.g. consider the access, use of resources by the operators. Project management is therefore essential to co- ordinate activities e.g. consider the access, use of resources by the operators.

7 Process Oriented Design places departments with large flows of material or people together or areas having similar processes located in close proximity Design places departments with large flows of material or people together or areas having similar processes located in close proximity This operation can simultaneously handle a wide range of products or services. This operation can simultaneously handle a wide range of products or services. Good for processes which have a low volume, high variety set of customers needs. Good for processes which have a low volume, high variety set of customers needs. The advantage of process-orientated layouts is the flexibility. The advantage of process-orientated layouts is the flexibility.

8 Emergency Room Layout Surgery Radiology E.R. bedsPharmacyBilling/exit E.R.Triage room E.R. Admissions Patient B - erratic pacemaker Patient A - broken leg Hallway

9 Office Arranged by process or product Arranged by process or product Example: Payroll dept. is by process Example: Payroll dept. is by process Typically, small teams of workers will share a work cell and each may either initiate or add value to the work of the others. Typically, small teams of workers will share a work cell and each may either initiate or add value to the work of the others. Examples: R & D, production, operations, sales, finance. Examples: R & D, production, operations, sales, finance.

10 Office Accounting Manager Brand X Finance Fin.Acct.

11 Retail Retail layout is concerned with maximizing profitability per square foot of floor space. Retail layout is concerned with maximizing profitability per square foot of floor space. Retail outlets attempt to expose customers to as many products as possible, e.g. cashier stations are often at the rear or side of stores so we have to pass through merchandise before payment. Retail outlets attempt to expose customers to as many products as possible, e.g. cashier stations are often at the rear or side of stores so we have to pass through merchandise before payment. Where products are stocked denotes their selling strategy. E.g. immediately beyond the entrance, at the end of aisles, at eye height on the shelves. Where products are stocked denotes their selling strategy. E.g. immediately beyond the entrance, at the end of aisles, at eye height on the shelves.

12 Office Carts Check- out Grocery Store MeatBread Milk Produce Frozen Foods

13 Warehouse The key to warehousing is to find the optimum between storage and layout. Many warehouses are now highly automated and characterized by height ceilings, multiple stacking bins and automated lifts / picking equipment. The key to warehousing is to find the optimum between storage and layout. Many warehouses are now highly automated and characterized by height ceilings, multiple stacking bins and automated lifts / picking equipment. The warehouse managers job is to utilize as much of the cube space as possible while minimizing material handling costs and optimising the flow of goods in & out The warehouse managers job is to utilize as much of the cube space as possible while minimizing material handling costs and optimising the flow of goods in & out

14 Warehouse Zones Conveyor Truck Order Picker

15 Product Oriented Facility organized around product Facility organized around product These layouts are organized to maximize cost-effectiveness on similar goods manufactured on repetitive and continuous production. These layouts are organized to maximize cost-effectiveness on similar goods manufactured on repetitive and continuous production. There are two main types of product layout – There are two main types of product layout – Fabrication builds components which form part of a larger operation. Fabrication builds components which form part of a larger operation. Assembly places the fabricated parts together to complete the operation Assembly places the fabricated parts together to complete the operation An important element of both fabrication and assembly is that each part of the operation must be balanced with all others otherwise gaps and bottlenecks will occur. An important element of both fabrication and assembly is that each part of the operation must be balanced with all others otherwise gaps and bottlenecks will occur. Managements goal is to create a smooth flow of work. Managements goal is to create a smooth flow of work.

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