Facility Layout Planning

8/3/2019 Facility Layout Planning

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Facility Layout Planning

Introduction.

Objectives of Plant Layout.

Factors affecting Plant Layout.

Types of Plant Layout.

Plant Layout for a Service business.

Plant Layout for a Warehouse.


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Facility Layout Planning

Introduction

Objectives

Factors Affecting Layout Selection andDesign

Types of Plant Layout

Product Layout

Process Layout Cell Layout

Layout for Services


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Introduction Plant layout planning includes decisions regarding the physical

allocation of the economic activity centers in a facility. An economic activity center is any entity occupying space.

The objective of plant layout planning is a more effectivework flow at the facility, allowing workers and equipmentbeing more productive.

Facility layout techniques apply to the case where several physicalmeans have to be located in a certain area, either industrial processesor services.

The objective of the chapter is not only Plant layout but re-layout also(most common situation for a company).

To carry out an appropriate plant layout, its important to take intoaccount the business strategic and tactical objectives

Example: space requirements/cost per m2 in Malls;accessibility/privacy in offices.


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Introduction The plant layout process starts at an aggregate level, taking into

account the different departments. As soon as we get into the details,the different issues arise, and the original configuration may be

changed through a feedback process.

Most (if not all of them) layouts are designed properly for the initial

conditions of the business, although as long as the company grows

and has to be adapted to internal and external changes, a re-layout isnecessary.

DETALLE

TIEMPO

GRADO DE DETALLE SEGN

AVANCE DEL PROYECTO

Fase I

Localizacin

Fase IV

Instalacin

Fase III

Distribucin Detallada

Fase II

Distribucin General


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Introduction

The reasons for a re-layout are based on 3 types ofchanges:

Changes in production volumes.

Changes in processes and technology.

Changes in the product. The frequency of the re-layout will depend on the

requirements of the process.


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Introduction Symptoms that allow us to detect the need for a re-layout:

Congestion and bad utilization of space.

Excessive stock in process at the facility.

Long distances in the work flow process.

Simultaneous bottle necks and workstations with idle time.

Qualified workers carrying out too many simple operations.

Labor anxiety and discomfort. Accidents at the facility. Difficulty in controlling operations and personnel.


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Lay Out

Introduction

Objectives



Product Layout

Process Layout

Layout for Services


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Facility Layout Definition

A facility layoutis an arrangement of everythingneeded for production of goods or delivery of

services. A facilityis an entity that facilitates the

performance of any job. It may be a machine tool, a

work centre, a manufacturing cell, a machine shop,

a department, a warehouse, etc. (Heragu, 1997).

Product

Layouts

FixedPositionLayouts

Mixed Layouts Process Layouts

QuantityQuantity

Number of Different ProductsNumber of Different Products

The layout design generally

depends on the products variety

and the production volumes. Four

types of organization are referred

to, namelyfixed product layout,

process layout,product layoutand

cellular layout(Dilworth, 1996).


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Objectives of Plant Layout The main objective consists of organizing equipment

and working areas in the most efficient way, and atthe same time satisfactory and safe for the personneldoing the work.

Sense of Unity

The feeling of being a unit pursuing the same objective. Minimum Movement of people, material and

resources.

Safety In the movement of materials and personnel work flow.

Flexibility In designing the plant layout taking into account the changes

over short and medium terms in the production process andmanufacturing volumes.


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Objectives of Plant Layout These main objectives are reached through the attainment of the

following facts: Congestion reduction.

Elimination of unnecessary occupied areas.

Reduction of administrative and indirect work.

Improvement on control and supervision.

Better adjustment to changing conditions. Better utilization of the workforce, equipment and services.

Reduction of material handling activities and stock in process.

Reduction on parts and quality risks.

Reduction on health risks and increase on workers safety.

Moral and workers satisfaction increase. Reduction on delays and manufacturing time, as well as increase

in production capacity.

All these factors will not be reached simultaneosly, so the bestsolution will be a balance among them.


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Lay Out

Introduction

Objectives



Product Layout

Process Layout

Layout for Services


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Factors affecting Plant Layout The final solution for a Plant Layout has to take into account a

balance among the characteristics and considerations of allfactors affecting plant layout, in order to get the maximumadvantages.

The factors affecting plant layout can be grouped into 8categories:

Materials Machinery

Labor

Material Handling

Waiting Time

Auxiliary Services The building

Future Changes


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Factors affecting Plant Layout The factors affecting plant layout can be grouped into

8 categories:

Materials

The layout of the productive equipment will depend on the

characteristics of the product to be managed at the facility, as

well as the different parts and materials to work on. Main factors to be considered: size, shape, volume, weight, and

the physical-chemical characteristics, since they influence the

manufacturing methods and storage and material handling

processes.

The sequence and order of the operations will affect plant layoutas well, taking into account the variety and quantity to produce.


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8 categories:

Machinery

Having information about the processes, machinery, tools and

necessary equipment, as well as their use and requirements is

essential to design a correct layout. The methods and time studies to improve the processes are

closely linked to the plant layout.

Regarding machinery, we have to consider the type, total

available for each type, as well as type and quantity of tools and

equipment. Its essential as well to know about space required, shape,

height, weight, quantity and type of workers required, risks for

the personnel, requirements of auxiliary services, etc.


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8 categories: Labor

Labor has to be organized in the production process (directlabor, supervision and auxiliary services).

Environment considerations: employees safety, light conditions,

ventilation, temperature, noise, etc. Process considerations: personnel qualifications, flexibility,

number of workers required at a given time as well as the typeof work to be performed by them.

Material Handling

Material handling does not add value to the product; its justwaste.

Objective: Minimize material handling as well as combining withother operations when possible, eliminating unnecessary andcostly movements.


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8 categories: Labor

Labor has to be organized in the production process (directlabor, supervision and auxiliary services).

Environment considerations: employees safety, light conditions,

ventilation, temperature, noise, etc. Process considerations: personnel qualifications, flexibility,

number of workers required at a given time as well as the typeof work to be performed by them.

Material Handling

Material handling does not add value to the product; its justwaste.

Objective: Minimize material handling as well as combining withother operations when possible, eliminating unnecessary andcostly movements.


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8 categories:

Waiting time - Stock

Objective: Continuous Material Flow through the facility,

avoiding the cost of waiting time and demurrages that happen

when the flow stops. On the other hand, the material waiting to flow through the

facility not always represents a cost to avoid. As stock

sometimes provides safety to protect production, improving

customer service, allowing more economic batches, etc.

Its necessary then to consider space for the required stock at the

facility when designing the layout.

Resting time to cool down or heating up


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8 categories:

Auxiliary Services

Support the main production activities at the plant:

Related to labor: Accessibility paths, fire protection installations,

supervision, safety, etc. Related to material: quality control.

Related to machinery: maintenance and electrical and water lines.

The auxiliary services represent around 30% of the space at a

facility.

The space dedicated to auxiliary services is usually consideredas waste.

Its important to have efficient services to insure that their indirect

costs have been minimized.


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8 categories:

The building

If it has been already selected, its characteristics will be a

constraint at the moment of designing the layout, which is

different if the building has to be built.

Future changes

One of the main objectives of plant layout is flexibility.

Its important to forecast the future changes to avoid having an

inefficient plant layout in a short term.

Flexibility can be reached keeping the original layout as free aspossible regarding fixed characteristics, allowing the adjustment

to emergencies and variations of the normal process activities.

Possible future extensions of the facility must be taken into

account, as well as the feasibility of production during re-layout.


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Lay Out

Introduction

Objectives



Product Layout

Process Layout

Layout for Services


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Types of Plant Layout The production process normally determines the type

of plant layout to be applied to the facility:

Fixed position plant layout

Product stays and resources move to it.

Product oriented plant layout

Machinery and Materials are placed following the

product path.

Process oriented plant layout (Functional Layout).

Machinery is placed according to what they do and

materials go to them. Cell Layout

Hybrid Layout that tries to take advantage of different

layouts types.


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Product Oriented LayOut

CamionesCamiones

Espuela de Ferrocarril


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Types of Plant Layout Product oriented plant layout

This type of plant layout is useful when the production

process is organized in a continuous or repetitive way.

Continuous flow: The correct operations flow is reached through

the layout design and the equipment and machinery

specifications.

Repetitive flow (assembly line): The correct operations flow will

be based in a line balancing exercise, in order to avoid

problems generated by bottle necks.

The plant layout will be based in allocating a machine as

close as possible to the next one in line, in the correctsequence to manufacture the product.


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Types of Plant Layout Product oriented plant layout

Advantages:

Reduced material handling activities.

Work In Process almost eliminated.

Minimum manufacturing time.

Simplification of the production planning and control systems. Tasks simplification.

Disadvantages:

No flexibility in the production process.

Low flexibility in the manufacturing times.

High capital investment.

Every workstation is critical to the process.- The lack of

personnel or shut down of a machine stops the whole process.

Monotonous work.


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a) Flujo en lnea recta

b) Flujo en U

c) Flujo en serpentn

d) Flujo en L

d) Flujo circular en O

e) Flujo en S


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Process layout

Espuela de Ferrocarril

CamionesCamiones

Recepcin

Fresadoras

Almacn

Materia Prima

Planeacin

Maquinaria

Automtica

Tornos

Esmeriladoras

Inspeccin

Ensamble

Almacn

Producto

Acabado

E

mbarque


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Types of Plant Layout Process oriented plant layout (Functional Layout)

This type of plant layout is useful when the production

process is organized in batches.

Personnel and equipment to perform the same function are

allocated in the same area.

The different items have to move from one area to anotherone, according to the sequence of operations previously

established.

The variety of products to produce will lead to a diversity of

flows through the facility.

The variations in the production volumes from one period to

the next one (short periods of time) may lead to

modifications in the manufactured quantities as well as the

types of products to be produced.


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Product

Flow

P-Q Analysis

Diagram activity relationships

Chart relationship (flow, functional)

Establish space requirements Space Availability

Diagram space relationships

Practical Limitations

Maintenance

QC

Mat. HandlingSpace Availability

Project Project ProjectA B C

Evaluate alternative arrangements

Detail selected layout, install

INSTALACION

Definition

Analysis

Synthesis

Evaluation

Selection

Implementation

Adjustment

SLP Method

Muther (1973)


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Cellular Layout

Process (Functional) Layout Group (Cellular) Layout

Similar resources placed

together

Resources to produce similar

products placed together

T T T

MM M T

M

SG CG CG

SG

D D D

D

T T T CG CG

T T T SG SG

M M D D D

M M D D D

A cluster

or cell


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Types of Plant Layout Work cells

Definition:

Group of equipment and workers that perform a sequence of

operations over multiple units of an item or family of items.

Looks for the advantages of product and process

layouts: Product oriented layout: Efficiency

Process oriented layout: Flexibility

Group Technology

Grouping outputs with the same characteristics to families, andassigning groups of machines and workers for the production of

each family.


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Lay Out

Introduction

Objectives



Product Layout

Process Layout

Layout for Services


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Plant Layout for a Service Business Most of the concepts and techniques explained here

can be applied to any plant layout, including services.

Examples: Line Balancing for Restaurant self-services;

Process oriented layout for Hospitals.

Service Businesses have a more direct customer

focus: Sometimes, the customer is required at the facility for the

company to be able to perform the service.

Frequently, the layout is focused on the customer satisfaction

than on the operation itself. Some of the objectives include comfortability during the

performance of the service, as well as making attractive

those areas in direct contact with the customer.


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Plant Layout for a Service Business Service Businesses have a more direct customer

focus:

The customer, with his/her presence, creates the work flow.

The workload forecast and the activities planning is not as

accurate as it is in a manufacturing environment.

Queues: Seasonal and heterogeneous demand: execution time can be

variable.

Services are intangible: adjustment between demand and production

can not be done through inventory management.

Queues are formed by people: higher implications for the layout.


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Plant Layout for a Service Business Plant layout for an office:

The material that flows among departments and workstations

is basically information. This can be done through:

Individual conversations face to face.

Individual conversations through telephone or computer.

Mail and other physical documents. Electronic mail.

Meetings and discussion groups.

Interphones.

The layout solution is dictated by workers and physical

documentation movements.


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Plant Layout for a Service Business Plant layout for a commerce:

Objective: Maximize the net benefit per m2 of shelves.

If sales are directly related to the exposition of products to the

customer, the objective will consist of exposing as many

products as possible to the customers in the available space.

This has to take into account to leave enough space for themovement among shelves, not making the layout uncomfortable

for the customer.

Aspects:

Allocation of daily consumption products at the periphery.-

Allocation of impulsive purchase and high profit margin productsin prominent places.

Eliminate aisles that allow the customers to go from one row to

other without going through them completely.


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Plant Layout for a Service Business Plant layout for a commerce:

Aspects:

Global organization of the available space: Allocation of attraction products on both sides of a row, and

dispersion of them to increase the exposition of adjacent products.

Use the end of a row as a place for exposition. Creation of the business image through a careful selection of the first

section where the customers are getting into the facility.

Allocation of products in the exposition areas: This aspect remains within the commercial function. It is called

merchandising.


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Cafetera

Cafetera

Three Retail Layout Patterns

Grid Rectangular with parallel

aisles; formal; controlstraffic flow; uses sellingspace efficiently.

Free-Form

Free-flowing; informal;creates "friendly"environment; flexible.

Boutique

Divides store into a seriesof individual shoppingareas, each with its owntheme; unique shoppingenvironment.


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Plant Layout for a Warehouse Objective: Optimal relationship between space and material handling costs.

Aspects to be considered: cubic space utilization, storing equipment and methods,material protection, allocation of different parts, etc.

A warehouse layout is more complicated when:

The different customer orders take into account a high number of references.

There are frequent orders of low number of units for the same product.

In this cases, the material handling costs for each roundtrip move would be excessively high.

Solutions for this problem: Aggregation of units for several orders, or establishment ofoptimal routes for each order.

Click to add title

Zones Zones Control

station Shipping

doors

Tractortrailer

Tractor

trailer

Overflow

Feeder

lines

Feeder

lines


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Lay Out

Introduction

Objectives



Product Layout

Process Layout

Layout for Services


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Systematic Layout Planning


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Product

Flow

P-Q Analysis

Diagram activity relationships

Chart relationship (flow, functional)

Establish space requirements Space Availability

Diagram space relationships

Practical Limitations

Maintenance

QC

Mat. HandlingSpace Availability

Project Project ProjectA B C

Evaluate alternative arrangements

Detail selected layout, install

INSTALACION

Definition

Analysis

Synthesis

Evaluation

Selection

Implementation

Adjustment

SLP Method

Muther (1973)


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Types of Plant Layout Process oriented plant layout

Its essential to design a flexible plant layout, taking into

account as well the need of flexibility for the material

handling equipment to be used.

Main disadvantage of this layout:

Low operations and material handling efficiency whencomparing to a plant layout oriented to the product.

On the other hand, technology development is facilitating

getting over this disadvantage (i.e.- CNC Equipment).

Analysis

Decision to be made: Relative location of the different workingareas (same type of equipment).

Criteria: reduction of distance and material handling costs:

Increase of operations efficiency.


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Analysis

If it exists a clear material flow that carries out more volume

than anyone else, the layout could be similar to a Product

oriented plant layout.

The main factor for the analysis is the material handling andtransportation costs among the different working areas.

Sometimes, quantitative information relative to material handling

flows is not available, or its not the main factor to be

considered, being the qualitative factors the most important

ones in this case.


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Analysis

Process:

Information gathering.

Plan development.

Quantitative criteria: transportation costs. Qualitative criteria: closeness priorities.

Information gathering

We have to know the space requirements by working area.

Demand forecast production plan working hours number of

workers and equipment. Consider demand and production fluctuations.


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Analysis


Working area space.

Static area (Se): Physical space for equipment and

workstations. Gravitation area (Sg): Allocation of tools and materials.

Area where operators develop their work.

Evolution area (Sv): Space to allow operators and material

movements.

St=Se+Sg+Sv

Sg=Se*n Sv=(Se+Sg)*k

n=number of accessible sides k=industry coefficient (0,05-3)


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Analysis


Available space.

Total available area at the plant.

Divide the area at a first approach to estimate eachsection.

When performing the detailed layout, its required to have

more accurate shapes adjusted to the reality.

When the objective is the reduction of material handling

costs, we can solve the problem in quantitative terms: Its required to know the material flow among departments

or areas, distances among them and means of

transportation.


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Analysis


When the objective is the reduction of material handling

costs, we can solve the problem in quantitative terms:

Traffic intensity matrix: Number of material handlingmoves among departments (information provided by

historical data, route sheets and production plans).

Distance matrix: Distances among areas at the plant and

places where the different working areas could be

allocated. Cost matrix: Cost of material transportation.- It depends

on the type of equipment to be used.


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Analysis


Sometimes, quantitative information is not available, or the

importance of distance among areas depends on qualitative

factors (i.e.- a hospital X-ray room may be close to thetrauma medicine room).

Plan development

Once the size of the different areas have been determined,

the next step is to organize the different areas within the

existent facility, or to determine the desired shape for thefacility construction.

There are multiple possible solutions, so the selected one will

be the a good one that complies with the max. number of

constraints.


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P-Q Analysis

ProductLayouts

Fixed

Position

Layouts Mixed Layouts Process Layouts

QuantityQuantity

Number of Different ProductsNumber of Different Products


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WAREHOUSE

DIRTY

EMPTY

BOTTLES

UNCASERWASHER

QC

EBIMANUAL

SIGHTING

FILLER/

CROWNERPASTEURIZER

COMPLEMENTARY ACTIVITIES

BI-DIRCTIONAL TABLE

FGIMANUAL

SIGHTING

COMPLEMENARY ACTIVITIES

LABELLER

LABELLER

PACKER

PACKER

PALLETIZER

MANUAL PACKING

WAREHOUSE DISTRIBUTORCUSTOMERS


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Analysis

Quantitative criteria: Transportation costs.

With the information gathered in the previous 3 matrixes, the

objective is to minimize the transportation costs.

Total Transportation Cost:

Objective: Finding the combination ofdij that minimizes TTC.

This formula is complicated for common cases, due to the

number of different possibilities (i.e.- for 10 sections, the

alternatives would be 3,628,000).

TTC= tij dij cij


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Analysis


Use of heuristics: Algorithm of basic transposition

Initial arbitrary layout: base permutation.

Transportation cost calculation for this layout. Generation of all possible permutations among activities,

interchanging the ones in the initial arbitrary layout 2 to 2:

Transportation cost calculation for each of the generated

permutations: If we get one with a lower cost than the

base, this last one becomes the base permutation and the

process starts again until there is no one with a lower cost.

Number of permutations =(n*(n-1))/2


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Analysis


In practice, we have to take into account certain constraints

and circumstances that have to be considered, apart from the

quantitative criteria of the transportation costs. Once this information is taken into account, the next step will

be to perform the spatial design of the different departments.


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Analysis

Qualitative criteria: Closeness priorities.

Technique: Systematic Layout Planning (SLP)

Closeness priorities have a letter code:


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Analysis


Technique: Systematic Layout Planning (SLP): Example.


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Analysis



S1

S6S5S4

S3S2

Initial Diagram


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Analysis



S1

S4S6S5

S2S3

First iteration


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Analysis



S3

S5S6S2

S1S4

Second iteration (might be the optimum)


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Detailed layout

Equipment and machinery layout within each area or

department, getting a detailed layout of installations and all

elements.

There could appear some issues like scales, elevators, columns,

floor resistance, roof height, etc. not considered in previous

stages, that could make necessary the review of the solution.


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Cellular Layout


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Definition:

Group of equipment and workers that perform a sequence of

operations over multiple units of an item or family of items.

Looks for the advantages of product and process

layouts: Product oriented layout: Efficiency

Process oriented layout: Flexibility

Applies the principles of Groups Technology to

Manufacturing:

Grouping outputs with the same characteristics to families, and

assigning groups of machines and workers for the production of

each family.


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Manufacturing:

Sometimes, these outputs will be final products or services;

some other times, they will need to integrate to a final product.

In this case, the work cells would need to be located close to themain production line, to facilitate the assembly of the component at

the moment and place required.

Real Work Cells: the grouping of workers and equipment is a

fact:

At the same time as identifying family of products and grouping of

equipment, its essential to perform an internal layout of the cell (byproduct, by process or a combination of bothgenerally by product).


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Manufacturing:

Virtual Work Cells: identifying and dedicating certain equipment

to the production of certain families of outputs, but without

grouping them physically within the cell:

The only issue is the identification of equipment and families of

products, without performing an internal layout of the cell.

Residual Work Cells: only used when there is a specific item that

has not been associated to any family, or a specialized

equipment can not be included within a work cell due to its

general use.

Advantages: lower production cost and better supply and

customer service time.


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Manufacturing:

Steps to follow:

Select product families.

Determine work cells. Detail the work cells internal organization or layout.

Regarding product grouping to be produced at the same work

cell, we need to determine which is the condition that allows

such grouping.

Once product families are determined, creating a work cell foreach family might be the best solution, although is not always

like that (sometimes its even impossible).


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Manufacturing:

Approaches used to identify families and work cells:

Classification and codification of all items to be manufactured, and

comparison among them to define families. After that, its required to

identify the cells and equipment to manufactured those families.

Creation of work cells by grouping of equipment. In this case, we still

need to define the families.

Definition of families by similar manufacturing routes. Still pending

the cells identification.

Simultaneous identification of families and cells, based on thesimilarity of products and their needs of equipment and vice versa.


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Manufacturing:

A component that does not use all machines within its work cell

can be accepted, as well as a machine that does not process all

components in its group.

However, its essential to avoid that a component or machine

interacts with other machine or component outside of its cell.

If its not possible avoid this situation, the solution will be duplicating

the piece of equipment, or process the item in more than one cell.-

Sometimes a residual cell might be needed to absorb a component

like this or to include a general type of equipment that we can notduplicate.


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Manufacturing:

In general, the steps to follow to reorganize the layout will be:

Incompatible equipment must be located in separate cells.

Each component should be produced only in 1 cell. Each type of equipment should be located only in 1 cell.

Investment in duplicating equipment should be minimized.

The work cell should be limited to a reasonable size.

Facility Layout Planning

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