DAVIS

F O U R T H E D I T I O N

AQUILANO CHASE

chapter 8

Facility Decisions: Layouts

PowerPoint Presentation by Charlie Cook

The McGraw-Hill Companies, Inc., 2003

Chapter Objectives
Introduce the different types of facility layouts that can be used in designing manufacturing and service operations. Present a methodology for designing a processoriented layout. Introduce the concept of takt time and its relationship to the output capacity of a product-oriented layout. Identify the various steps and elements that are involved in balancing an assembly line. Discuss the current trends in facility layouts given todays shorter product life cycles and the customers increasing desire for customized products.
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Managerial Issues
Recognizing that many factors must be considered in choosing how to layout a facility. Understanding the significant impact that choosing a particular type of layout has on the firms ability to compete in the market and its long-term success. Developing estimates of the investment costs of time and money associated with installing a particular layout. Attaining the goal of a smooth flow of material through the process through the choice of a layout that is both efficient and effective.

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Types of Manufacturing Layouts

Layout Type
Process Similar operations are performed in a common or functional area, regardless of the product in which the parts are used. Equipment/operations are located according to the progressive steps required to make the product. Groups of dissimilar machines are brought together in a work cell to perform tasks on a family of products that share common interests. The product, because of its size and/or weight, remains in one location and processes are brought to it.

Product (Flow-shop layout) Group Technology (GT) or Cellular

Fixed-Position

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Characteristics of a Good Layout

Exhibit 8.1
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Interdepartmental Flow

Exhibit 8.2
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Building Dimensions and Departments

Exhibit 8.3
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Interdepartmental Flow Graph with Number of Annual Movements

Exhibit 8.4
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Cost MatrixFirst Solution

Exhibit 8.5
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Revised Interdepartmental Flowchart*

*Only interdepartmental flow with effect on cost is depicted.

Exhibit 8.6
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Cost MatrixSecond Solution

Exhibit 8.7
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Revised Building Layout

Exhibit 8.8
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Product Layout
Assembly Lines
A progressive paced assembly linked by some sort of material handling device.

Assembly Line Type Differences

Material handling devices Line configuration Pacing (machine or human) Product mix Workstation characteristic Length of line
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Product Layout: Key Terms

Product Interval Time
The time between products being completed (processed through) at a single station (process step). Also cycle time or takt time.

Product Duration (Throughput) Time.

The overall time required to entirely complete an individual product.

Assembly Line Balancing

Assignment of tasks to workstations within a given cycle time and with minimum idle worker time.
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Assembly Line Balancing Steps

1. Specify the sequential relationships among tasks using a precedence diagram. 2. Determine the required takt (T) time. 3. Determine the theoretical minimum number of workstations (Nt) required to satisfy the takt time constraint. 4. Select a primary rule by which tasks are to be assigned to workstations and a secondary rule to break ties.

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Assembly Line Balancing Steps (contd)

5. Assign tasks, one at a time, to the first workstation until the sum of the task times is equal to the takt time. Continue assigning tasks to other workstations until all tasks are assigned. 6. Evaluate the efficiency of the resulting assembly line.

7. If efficiency is unsatisfactory, rebalance the line using a different decision rule in step 4.

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Takt Time and Throughput Time on an Assembly Line

Matching task time to takt time:
1. 2. 3. 4. 5. 6. Split the task Duplicate the station Share the task Use a more skilled worker Work overtime Redesign the product

Exhibit 8.9
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Assembly Line Balancing Formulas

Production time per day Takt time (T) = Output per day (in units)

Sum of task times (S) Number of workstations = Takt time (T)

Efficiency =
Sum of task times (S) Actual number of workstations (Na) Takt time (T)

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Assembly Steps and Times for Model J Wagon

Exhibit 8.10
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Precedence Graph for Model J Wagon

Exhibit 8.11
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A Balance Made According to Largest Number of Following Tasks Rule

Exhibit 8.12a
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Precedence Graph for Model J Wagon

Exhibit 8.12B
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Efficiency Calculation

S Efficiency = NT 195 Efficiency = = 0.77, or 77% 550.4

Exhibit 8.12C
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Flexible Line Layouts

Source: Robert W. Hall, Attaining Manufacturing Excellence (Homewood, IL: Dow Jones-Irwin, 1987), p. 125.

Exhibit 8.13
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Group Technology (Cellular) Layout

Benefits
Better human relations in small work teams. Improved operator expertise from the limited number of parts and quick production cycle. Less work-in-process inventory and material handling due to reduced number of production stages. Faster production setup from faster tooling changes.

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Group Technology (GT) Layout

Developing a GT Layout
Grouping parts into families that follow a common sequence of steps. Identifying dominant flow patterns of partsfamilies for location of processes. Physically grouping machines and processes into cells.

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Facilities Layout for Services

Goals of Service Facility Layouts
Minimize travel time for workers and customers Maximize revenues from customers

Types of Service Layouts

Process layoutemergency rooms Product layoutcafeteria line Fixed-position layoutautomobile repair shop

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Facilities Layout for Services

Servicescape
The aspects of the physical surroundings in a service operation that can affect a customers perception of the service received. Ambient conditions
Noise, lighting, and temperature

Spatial layout and functionality

Minimizing employee travel time and maximizing revenue opportunities from customers

Signs, symbols, and artifacts

Objects that create positive images of the firm
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