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9 - 1© 2014 Pearson Education, Inc. Layout Strategies PowerPoint presentation to accompany Heizer and Render Operations Management, Eleventh Edition Principles.

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Presentation on theme: "9 - 1© 2014 Pearson Education, Inc. Layout Strategies PowerPoint presentation to accompany Heizer and Render Operations Management, Eleventh Edition Principles."— Presentation transcript:

1 9 - 1© 2014 Pearson Education, Inc. Layout Strategies PowerPoint presentation to accompany Heizer and Render Operations Management, Eleventh Edition Principles of Operations Management, Ninth Edition PowerPoint slides by Jeff Heyl 9 © 2014 Pearson Education, Inc.

2 9 - 2© 2014 Pearson Education, Inc. Outline ► Strategic Importance of Layout Decisions ► Types of Layout ► Fixed-Position Layout ► Process-Oriented Layout ► Product-Oriented Layout ► Use Line Balance Analysis for Product Layout

3 9 - 3© 2014 Pearson Education, Inc. TURNING MACHINE MILLING MACHINE DRILLING MACHINE INDUCTION HARDENING MACHINE GRINDING MACHINE Strategic Importance of Layout Decisions

4 9 - 4© 2014 Pearson Education, Inc. Strategic Importance of Layout Decisions Objective of layout strategy is to develop an effective and efficient layout that will meet the firm’s competitive requirements. Layout refers to the specific configuration of physical facilities in an organization.

5 9 - 5© 2014 Pearson Education, Inc. Layout Design Considerations ► Higher utilization of space, equipment, and people ► Improved flow of information, materials, or people ► Improved employee morale and safer working conditions ► Improved customer/client interaction ► Flexibility

6 9 - 6© 2014 Pearson Education, Inc. Types of Layout 1.Fixed-position layout 2.Process-oriented layout 3.Product-oriented layout

7 9 - 7© 2014 Pearson Education, Inc. Fixed-Position Layout ▶ Deal with large, bulky projects, e.g., ship & building ▶ Product remains in one place ▶ Workers and equipment come to site ▶ Complicating factors ▶ Limited space at site ▶ Different materials required at different stages of the project ▶ Volume of materials needed is dynamic

8 9 - 8© 2014 Pearson Education, Inc. ▶ As much of the project as possible is completed off-site in a product-oriented facility ▶ This can significantly improve efficiency but is only possible when multiple similar units need to be created Fixed-Position Layout

9 9 - 9© 2014 Pearson Education, Inc. Process-Oriented Layout ▶ Similar machines and equipment are grouped together ▶ To deal with low-volume, high-variety production ▶ Each product / service undergoes a different sequence of operations ▶ Example: Job shop

10 9 - 10© 2014 Pearson Education, Inc. L L L L L L L L L L M M M M D D D D D D D D G G G G G G A AA Receiving and Shipping Assembly Painting Department Lathe Department Milling Department Drilling Department Grinding Department P P Process-Oriented Layout

11 9 - 11© 2014 Pearson Education, Inc. Surgery Radiology ER triage room ER BedsPharmacy Emergency room admissions Billing/exit Laboratories Process-Oriented Layout Patient A - broken leg Patient B -erratic heart pacemaker Figure 9.3

12 9 - 12© 2014 Pearson Education, Inc. Product-Oriented Layout 1.Volume is adequate for high equipment utilization 2.Product demand is stable enough to justify high investment in specialized equipment 3.Product is standardized or approaching a phase of life cycle that justifies investment 4.Supplies of raw materials and components are adequate and of uniform quality 5.Repetitive or continuous process Organized around products or families of similar high-volume, low-variety products

13 9 - 13© 2014 Pearson Education, Inc. Product-Oriented Layout

14 9 - 14© 2014 Pearson Education, Inc. Product-Oriented Layout Cafeteria serving Line

15 9 - 15© 2014 Pearson Education, Inc. LINE BALANCE IN PRODUCT- ORIENTED LAYOUT

16 9 - 16© 2014 Pearson Education, Inc. Line Balancing in Product Layouts ▶ Central problem in product layout is to balance the output at each work station along the production line ▶ Line Balancing is the process of assigning tasks to workstations in such a way that the workstations have approximately equal time requirements

17 9 - 17© 2014 Pearson Education, Inc. General Procedure for Line Balancing 1.Determine precedence relationships 2.Calculate Takt time = 3.Determine minimum number of work stations = 4.Determine the candidate list which includes the following tasks a)The task whose immediate predecessors have been assigned to a workstation b)The task for which adequate time is available at the work station 5.Decision rule: task with the longest processing time 6.Determine efficiency = Total work time available Units required

18 9 - 18© 2014 Pearson Education, Inc. Task Immediate Predecessor Time (Min) APress out sheet of fruit— 0.1 BCut into stripsA 0.2 COutline fun shapesA 0.4 DRoll up and packageB, C D B C A There are 240 productive minutes available per day. The production schedule requires to complete 600 units each day. Arrange the work activities into workstations so as to balance the assembly line. Line Balancing (Example 1)

19 Task Immediate Predecessor Time (Min) APress out sheet of fruit— 0.1 BCut into stripsA 0.2 COutline fun shapesA 0.4 DRoll up and packageB, C 0.3 Takt time = = = 0.4 min/unit Production time available per day Output needed per day Round up Line Balancing (Example 1) There are 240 productive minutes available per day. The production schedule requires to complete 600 units each day. Arrange the work activities into workstations so as to balance the assembly line.

20 9 - 20© 2014 Pearson Education, Inc. StationCandidateTaskTaskTotal Idle Number list assigned time time time 1 A A B B C C D D Takt time = 0.4 min/unit D B C A Line Balancing (Example 1)

21 9 - 21© 2014 Pearson Education, Inc. A, B C D Work station 1 Work station 2 Work station minute 0.4 minute 0.3 minute Efficiency = Total task times (# of actual workstations) x Takt time = 83.33% = (3 stations) x (0.4 minutes) Line Balancing (Example 1)

22 9 - 22© 2014 Pearson Education, Inc.Performance TimeImmediate Task(minutes)predecessor A5— B3A C4B D3B E4C F1C G4D, E, F H7G Total time 31 (1) Draw a precedence diagram for the assembly line A 5 B 3 E 4 C 4 D 3 F 1 G 4 H 7 Line Balancing (Example 2)

23 9 - 23© 2014 Pearson Education, Inc. (2) Assuming 500 productive minutes available per day, compute the takt time needed to obtain an output of 65 units per day. Takt time = Production time available per day output required per day = 500 / 65 = 7.7 minutes per unit Line Balancing (Example 2)

24 9 - 24© 2014 Pearson Education, Inc. StationCandidateTaskTaskTotal Idle Number list assigned time time time 1 A A B B C, D C D, E, F E D, F D F F G G H H A 5 B 3 E 4 C 4 D 3 F 1 G 4 H 7 Takt time = 7.7 min/unit

25 9 - 25© 2014 Pearson Education, Inc. AB,C D, E Work station 1 Work station 2 Work station 3 5 minute7 minute Efficiency = Total task times (# of actual workstations) x Takt time = 80.52% = 31 minutes (5 stations) x (7.7 minutes) Work station 4 5 minute G, F Work station 5 7 minute H Line Balancing (Example 2)

26 9 - 26© 2014 Pearson Education, Inc. EX 1 in Class Balance the assembly line for the Tourist T-Shirt Company. The operations run continuously for 8 hours per day. Each day, 80 T-shirts must be produced to meet customer demand.

27 9 - 27© 2014 Pearson Education, Inc. EX 2 in Class Task Processing time Immediate predecessor A12- B6A C6B D2B E3B F B G7C, D H5G I4E J4F, I K6H, J L7K Total 74 The assembly of Noname personal computers, a generic mail-order PC clone, requires a total of 12 tasks, and the job times (in minutes) along with the precedence relationships are summarized in the table. Suppose that the company is willing to hire enough workers to produce one assembled machine every 18 minutes. Perform a line balancing analysis.

28 9 - 28© 2014 Pearson Education, Inc. Summary 1.Fixed-position layout: Addresses the layout requirements of large, bulky projects such as ships and buildings 2.Process-oriented layout: Deals with low- volume, high-variety production (also called job shop or intermittent production) 3.Product-oriented layout: Seeks the best personnel and machine utilizations in repetitive or continuous production


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