FACILITY LAYOUT

For an organization to have an effective and efficient manufacturing unit, it is important that special attention is given to facility layout. Facility layout is an arrangement of different aspects of manufacturing in an appropriate manner as to achieve desired production results. Facility layout considers available space, final product, safety of users and facility and convenience of operations. An effective facility layout ensures that there is a smooth and steady flow of production material, equipment and manpower at minimum cost. Facility layout looks at physical allocation of space for economic activity in the plant. Therefore, main objective of the facility layout planning is to design effective workflow as to make equipment and workers more productive.

Facility Layout Objective

A model facility layout should be able to provide an ideal relationship between raw material, equipment, manpower and final product at minimal cost under safe and comfortable environment. An efficient and effective facility layout can cover following objectives:

• To provide optimum space to organize equipment and facilitate movement of goods and to create safe and comfortable work environment.

• To promote order in production towards a single objective

• To reduce movement of workers, raw material and equipment

• To promote safety of plant as well as its workers

• To facilitate extension or change in the layout to accommodate new product line or technology upgradation

• To increase production capacity of the organization

An organization can achieve the above-mentioned objective by ensuring the following:

• Better training of the workers and supervisors.

• Creating awareness about of health hazard and safety standards

• Optimum utilization of workforce and equipment

• Encouraging empowerment and reducing administrative and other indirect work

Factors Affecting Facility Layout

Facility layout designing and implementation is influenced by various factors. These factors vary from industry to industry but influence facility layout. These factors are as follows:

• The design of the facility layout should consider overall objectives set by the organization.

• Optimum space needs to be allocated for process and technology.

• A proper safety measure as to avoid mishaps.

• Overall management policies and future direction of the organization

Design of Facility Layout

Principles which drive design of the facility layout need to take into the consideration objective of facility layout, factors influencing facility layout and constraints of facility layout. These principles are as follows:

• Flexibility: Facility layout should provide flexibility for expansion or modification.

• Space Utilization: Optimum space utilization reduces the time in material and people movement and promotes safety.

• Capital: Capital investment should be minimal when finalizing different models of facility layout.

Types of Facility Layout

There are six types of facility layout, and they are as follows:

• Process Layout

  • Definition: In a process layout, similar machines and equipment are grouped together based on their functions or processes rather than the specific product being manufactured.

  • Advantages: Offers flexibility to handle various products and accommodates changes in production requirements.

  • Examples: Chemical plants, job shops, hospitals.

• Product Layout 

  • Definition: In a product layout, machines and equipment are arranged according to the sequence of operations required to manufacture a specific product.

  • Advantages: This layout is suitable for industries with standardized production processes, as it ensures a smooth flow of materials and efficient use of specialized machinery.

  • Examples: Assembly lines in automobile manufacturing plants, food processing industries.

• Cellular Technology Layout

  • Definition: Cellular layout involves grouping machines and workstations to create cells, each dedicated to producing a specific set of products.

  • Advantages: Promotes teamwork, reduces material handling, and allows for a more efficient use of resources.

  • Examples: Lean manufacturing cells, small batch production.

• Fixed Position Layout

  • Definition: In a fixed position layout, the product is stationary, and workers, machinery, and equipment are brought to the product’s location.

  • Advantages: Ideal for large and bulky products that cannot be moved easily.

  • Examples: Shipbuilding, construction projects.

• Combined (Hybrid) Layout, and

  • Definition: A hybrid layout combines elements of different types of layouts to meet the specific needs of a particular industry or production process.

  • Advantages: Offers a customized approach, combining the benefits of different layouts.

  • Examples: Flexible manufacturing systems (FMS), which may incorporate aspects of both product and process layouts.

• Computerized Relative Allocation of Facility Technique

  • Computerized Relative Allocation of Facilities Technique (CRAFT) is a method used to determine the most suitable position of two elements in the overall layout and serves to organize the space of a workplace. It was proposed in 1964 by Buffa et al. CRAFT is suitable for use in assembly line plants or mass production plants where multiple component products are assembled. It takes inputs of the load matrix of interdepartmental flow and transaction costs with a representation of a block layout.

The process layout groups together workers or departments that perform similar tasks. Goods in process (goods not yet finished) move from one workstation to another. At each position, workers use specialized equipment to perform a particular step in the production process. To better understand how this layout works, we’ll look at the production process at the Vermont Teddy Bear Company. Let’s say that you just placed an order for a personalized teddy bear—a “hiker bear” with khaki shorts, a white T-shirt with your name embroidered on it, faux-leather hiking boots, and a nylon backpack with sleeping bag. Your bear begins at the fur-cutting workstation, where its honey-brown “fur” coat is cut. It then moves to the stuffing and sewing workstation to get its insides and have its sides stitched together. Next, it moves to the dressing station, where it’s outfitted with all the cool clothes and gear that you ordered. Finally, it winds up in the shipping station and starts its journey to your house.

 “Online Mini-Tour” of this process, log on to the Vermont Teddy Bear Web site at http://www.vermontteddybear.com/Static/Tour-Welcomestation.aspx (or see Figure 11.3 “Process Layout at Vermont Teddy Bear Company”).

In a product layout, high-volume goods are produced efficiently by people, equipment, or departments arranged in an assembly line—that is, a series of workstations at which already-made parts are assembled. Just Born, a candy maker located in Bethlehem, Pennsylvania, makes a product called Marshmallow Peeps on an assembly line. First, the ingredients are combined and whipped in huge kettles. Then, sugar is added for color. At the next workstation, the mixture—colored warm marshmallow—is poured into baby-chick–shaped molds carried on conveyor belts. The conveyor-belt parade of candy pieces then moves forward to stations where workers add eyes or other details. When the finished candy reaches the packaging area, it’s wrapped for shipment to stores around the world. To take an online tour of the Marshmallow Peeps production process, log on to the Just Born Web site at http://www.justborn.com/get-to-know-us/our-factory

Both product and process layouts arrange work by function. At the Vermont Teddy Bear Company, for example, the cutting function is performed in one place, the stuffing-and-sewing function in another place, and the dressing function in a third place. If you’re a cutter, you cut all day; if you’re a sewer, you sew all day: that’s your function. The same is true for the production of Marshmallow Peeps at Just Born: if your function is to decorate peeps, you stand on an assembly line and decorate all day; if your function is packing, you pack all day.

Arranging work by function, however, isn’t always efficient. Production lines can back up, inventories can build up, workers can get bored with repetitive jobs, and time can be wasted in transporting goods from one workstation to another. To counter some of these problems, many manufacturers have adopted a cellular layout, in which small teams of workers handle all aspects of building a component, a “family” of components, or even a finished product. Each team works in a small area, or cell, equipped with everything that it needs to function as a self-contained unit. Machines are sometimes configured in a U-shape, with people working inside the U. Because team members often share duties, they’re trained to perform several different jobs. Teams monitor both the quantity and the quality of their own output. This arrangement often results in faster completion time, lower inventory levels, improved quality, and better employee morale. Cellular manufacturing is used by large manufacturers, such as Boeing, Raytheon, and Pratt & Whitney (Chaneski, 1998), as well as by small companies, such as Little Enterprise, which makes components for robots (Modern Machine Shop Magazine, 2001; Little Enterprises, Inc., 2011).

It’s easy to move teddy bears and marshmallow candies around the factory while you’re making them, but what about airplanes or ships? In producing large items, manufacturers use fixed-position layout in which the product stays in one place and the workers (and equipment) go to the product. This is the arrangement used by General Housing Corporation in constructing modular homes. Each house is constructed at the company’s factory in Bay City, Michigan, according to the customer’s design. Because carpenters, electricians, plumbers, and others work on each building inside the climate-controlled factory, the process can’t be hindered by weather. Once it’s done, the house is transported in modules to the owner’s building site and set up in one day. For a closer view of General Housing Corporation’s production process, go to the General Housing Web site at http://www.genhouse.com.

During the initial stages of a project with a fixed-position design, location is the primary consideration. Once complete, the project setup is essentially permanent, so its location is crucial. Factors include:

• Environmental regulations or zoning restrictions

• Quality of life for residents close to the warehouse or plant

• The potential to expand as the project or business grows

• The location’s proximity to resources, suppliers, customers, and skilled workers

Also, remember that limited space at the project site often means workers must assemble product parts elsewhere. You will then need to transport those parts to the fixed location, and may also need space to put the components together. 

It is vital to design the workflow for smooth operations. Projects using a fixed-position layout usually involve massive machines like cranes for material handling, so the facility must have the space to house and operate this heavy equipment. 

Managers and operations specialists do not usually choose a fixed-position layout — most of the time, projects that include immovable components naturally lend themselves to this arrangement. Still, knowing the pros and cons helps managers adapt operations and optimize processes where possible. 

Benefits 

Some of the most significant advantages of plants with fixed-position layouts are: 

• Lower costs — products move rarely or not at all.

• Projects are simpler to customize — for example, building a house to the client’s desired specifications.

• Product damage from shipping and transportation is less likely.

Downsides

There are also some disadvantages to this arrangement, including:

• Frequent equipment use comes with high costs of moving equipment around the facility.

• There is additional demand for skilled workers.

• Space limitations

• More chance of longer completion times and project delays

• Managers have several production layout choices, including process, product, cellular, and fixed-position.

• The process layout groups together workers or departments that perform similar tasks. At each position, workers use specialized equipment to perform a particular step in the production process.

• In a product layout, high-volume goods are produced in assembly-line fashion—that is, a series of workstations at which already-made parts are assembled.

• In a cellular layout, small teams of workers handle all aspects of building a component, a “family of components,” or even a finished product.

• A fixed-position layout is used to make large items (such as ships or buildings) that stay in one place while workers and equipment go to the product.

As purchasing manager for a company that flies corporate executives around the world, you’re responsible for buying everything from airplanes to onboard snacks. You plan to visit all the plants that make the things you buy: airplanes, passenger seats, TV/DVDs that go in the back of the passenger seats, and the specially designed uniforms (with embroidered company logos) worn by the flight attendants. What type of layout should you expect to find at each facility—process, product, or fixed-position? What will each layout look like? Why is it appropriate for the company’s production process? Could any of these plants switch to a cellular layout? What would this type of layout look like? What would be its advantages?