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OPERATIONS MANAGEMENT
TYPES OF FACILITY LAYOUT
SNEKA R S
I MBA IT & FINANCE
FACILITY LAYOUT
• Facility layout is an arrangement of different aspects of manufacturing in an
appropriate manner as to achieve desired production results
OBJECTIVES
Minimize material handling costs
Eliminate bottlenecks
Utilize labor efficiently
Utilize space efficiently
Facilitate communication
Reduce manufacturing cycle
time / customer service time
TYPES OF FACILITY LAYOUT
1. Product Layout
2. Process Layout
3. Group Layout
4. Fixed Position Layout
5. Cellular Layout
6. Service Layout
PRODUCT LAYOUT
 Straight-line layout or layout for serialized manufacture
 Arrangement of machines in one line, depending upon the sequence of operations
 Materials are fed into first machine and partly finished goods travel automatically and
finished products comes out from the last machine (Output of one machine becoming the
input for the next)
 Eg: Sugarcane mill, Paper mill
TYPES OF FACILITY LAYOUT AND ITS ADVANTAGES AND DISADVANTAGES - OPERATIONS MANAGEMENT
ADVANTAGES
 Avoid production bottlenecks
 Better production control
 Requires less floor area per unit
of production
 Reduction in material handling
cost
DISADVANTAGES
 Known for its inflexibility
 Expensive
 Difficulty of supervision
 Expansion is so difficult
 Any breakdown of equipment
disrupt the whole system
PROCESS LAYOUT
 Functional layout or Job shop layout or batch production layout
 Involves grouping of like machines together in one department
 General purpose machines
 Eg: Process oriented layout for hospital
TYPES OF FACILITY LAYOUT AND ITS ADVANTAGES AND DISADVANTAGES - OPERATIONS MANAGEMENT
ADVANTAGES
 Reduced investment of
machines
 Greater flexibility in production
 More efficient supervision
 Better utilisation of men and
machines
 Easier to handle breakdown of
equipment
DISADVANTAGES
 Requires more floor space
 Difficulty in production control
 Difficulty in movement of
materials
 Production times is more
 Accumulation of WIP at
different places
GROUP LAYOUT
 Combined layout or Hybrid Layout
 A combination of the product and process layouts, with an emphasis on either
(Plants are never laid out in either pure form)
 Fabrication tends to employ the process layout, while the assembly areas often
employ the product layout
 Eg: Soap manufacturing plants, the machinery is arranged in product line where
as ancillary services are arranged in process line
TYPES OF FACILITY LAYOUT AND ITS ADVANTAGES AND DISADVANTAGES - OPERATIONS MANAGEMENT
ADVANTAGES
 Increased job utilization
 Supports the use of general
purpose equipment
 Shorter travel distances and
smoother flow lines than for
process layout
DISADVANTAGES
 General supervision required
 Higher skill level required for
employees
 Depends on balanced material
flow through the cell, orelse
buffers and WIP storage are
required
FIXED POSITION LAYOUT
 Static Layout
 Involves the movement of men and machinery to the product which remains
stationery
 Cost of moving men and machine < Cost of moving the product
 Eg: Ship building, Dam construction, Flyover Construction
TYPES OF FACILITY LAYOUT AND ITS ADVANTAGES AND DISADVANTAGES - OPERATIONS MANAGEMENT
ADVANTAGES
 Men and machines can be used
for a variety of operations
 Invesment on layout is very
small
Flexible : Can accommodate
changes in product design,
product mix and production
volume
DISADVANTAGES
 High capital investment
 Higher skill requirements for
personnel
 Increased movement of
personnel and equipment
CELLULAR MANUFACTURING LAYOUT
 Machines are grouped into cells
 Cells function somewhat like a product layout within a larger shop or process
layout
TYPES OF FACILITY LAYOUT AND ITS ADVANTAGES AND DISADVANTAGES - OPERATIONS MANAGEMENT
ADVANTAGES
 Flexibility
 Small batches of production
 Higher machine utilization
 Workers empowerment
 Low cost of production
DISADVANTAGES
 Poorly balanced cells
 Expanded training and
scheduling of workers
 Increased capital investment
SERVICE FACILITY LAYOUT
 Service facilities exist to bring together customer and services
 Layouts should provide for easy entrance to the facilities from freeways and busy
thoroughfares
 2 types of service facility layouts
 Customer receiving and servicing function (such as banks)
 Designed around the technologies, processing of physical materials and
production efficiency (such as hospitals)
TYPES OF FACILITY LAYOUT AND ITS ADVANTAGES AND DISADVANTAGES - OPERATIONS MANAGEMENT
TYPES OF FACILITY LAYOUT AND ITS ADVANTAGES AND DISADVANTAGES - OPERATIONS MANAGEMENT

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TYPES OF FACILITY LAYOUT AND ITS ADVANTAGES AND DISADVANTAGES - OPERATIONS MANAGEMENT

  • 1. OPERATIONS MANAGEMENT TYPES OF FACILITY LAYOUT SNEKA R S I MBA IT & FINANCE
  • 2. FACILITY LAYOUT • Facility layout is an arrangement of different aspects of manufacturing in an appropriate manner as to achieve desired production results OBJECTIVES Minimize material handling costs Eliminate bottlenecks Utilize labor efficiently Utilize space efficiently Facilitate communication Reduce manufacturing cycle time / customer service time
  • 3. TYPES OF FACILITY LAYOUT 1. Product Layout 2. Process Layout 3. Group Layout 4. Fixed Position Layout 5. Cellular Layout 6. Service Layout
  • 4. PRODUCT LAYOUT  Straight-line layout or layout for serialized manufacture  Arrangement of machines in one line, depending upon the sequence of operations  Materials are fed into first machine and partly finished goods travel automatically and finished products comes out from the last machine (Output of one machine becoming the input for the next)  Eg: Sugarcane mill, Paper mill
  • 6. ADVANTAGES  Avoid production bottlenecks  Better production control  Requires less floor area per unit of production  Reduction in material handling cost DISADVANTAGES  Known for its inflexibility  Expensive  Difficulty of supervision  Expansion is so difficult  Any breakdown of equipment disrupt the whole system
  • 7. PROCESS LAYOUT  Functional layout or Job shop layout or batch production layout  Involves grouping of like machines together in one department  General purpose machines  Eg: Process oriented layout for hospital
  • 9. ADVANTAGES  Reduced investment of machines  Greater flexibility in production  More efficient supervision  Better utilisation of men and machines  Easier to handle breakdown of equipment DISADVANTAGES  Requires more floor space  Difficulty in production control  Difficulty in movement of materials  Production times is more  Accumulation of WIP at different places
  • 10. GROUP LAYOUT  Combined layout or Hybrid Layout  A combination of the product and process layouts, with an emphasis on either (Plants are never laid out in either pure form)  Fabrication tends to employ the process layout, while the assembly areas often employ the product layout  Eg: Soap manufacturing plants, the machinery is arranged in product line where as ancillary services are arranged in process line
  • 12. ADVANTAGES  Increased job utilization  Supports the use of general purpose equipment  Shorter travel distances and smoother flow lines than for process layout DISADVANTAGES  General supervision required  Higher skill level required for employees  Depends on balanced material flow through the cell, orelse buffers and WIP storage are required
  • 13. FIXED POSITION LAYOUT  Static Layout  Involves the movement of men and machinery to the product which remains stationery  Cost of moving men and machine < Cost of moving the product  Eg: Ship building, Dam construction, Flyover Construction
  • 15. ADVANTAGES  Men and machines can be used for a variety of operations  Invesment on layout is very small Flexible : Can accommodate changes in product design, product mix and production volume DISADVANTAGES  High capital investment  Higher skill requirements for personnel  Increased movement of personnel and equipment
  • 16. CELLULAR MANUFACTURING LAYOUT  Machines are grouped into cells  Cells function somewhat like a product layout within a larger shop or process layout
  • 18. ADVANTAGES  Flexibility  Small batches of production  Higher machine utilization  Workers empowerment  Low cost of production DISADVANTAGES  Poorly balanced cells  Expanded training and scheduling of workers  Increased capital investment
  • 19. SERVICE FACILITY LAYOUT  Service facilities exist to bring together customer and services  Layouts should provide for easy entrance to the facilities from freeways and busy thoroughfares  2 types of service facility layouts  Customer receiving and servicing function (such as banks)  Designed around the technologies, processing of physical materials and production efficiency (such as hospitals)