Chapter 5 FacilitiesOperations Management - 5th EditionOperations Management - 5th Edition

Chapter Facilities Operations Operations Management Management 55thth Edition Edition Roberta Russell & Bernard W Taylor, III Copyright 2006 John Wiley & Sons, Inc Beni Asllani University of Tennessee at Chattanooga Lecture Outline  Basic Layouts  Designing Process Layouts  Designing Service Layouts  Designing Product Layouts  Hybrid Layouts Copyright 2006 John Wiley & Sons, Inc 7-2 Facility Layout Arrangement of areas within a facility to:  Minimize material-handling costs  Utilize space efficiently  Utilize labor efficiently  Eliminate bottlenecks  Facilitate communication and interaction  Reduce manufacturing cycle time  Reduce customer service time  Eliminate wasted or redundant movement  Increase capacity  Facilitate entry, exit, and placement of material, products, and people  Incorporate safety and security measures  Promote product and service quality  Encourage proper maintenance activities  Provide a visual control of activities  Provide flexibility to adapt to changing conditions Copyright 2006 John Wiley & Sons, Inc 7-3 BASIC LAYOUTS  Process layouts  group similar activities together according to process or function they perform  Product layouts  arrange activities in line according to sequence of operations for a particular product or service  Fixed-position layouts  are used for projects in which product cannot be moved Copyright 2006 John Wiley & Sons, Inc 7-4 Process Layout in Services Women’s lingerie Shoes Housewares Women’s dresses Cosmetics and jewelry Children’s department Women’s sportswear Entry and display area Men’s department Copyright 2006 John Wiley & Sons, Inc 7-5 Manufacturing Process Layout Lathe Department L L L L L L L L L L Milling Department Drilling Department M M D D D D M M D D D D G G G P G G G P Grinding Department Receiving and Shipping Copyright 2006 John Wiley & Sons, Inc Painting Department A A Assembly 7-6 A A Product Layout In Out Copyright 2006 John Wiley & Sons, Inc 7-7 Comparison of Product and Process Layouts Product  Description Description  Type Type of of process process  Sequential arrangement of activities  Continuous, mass production, mainly assembly  Product Product        Demand Demand Volume Volume Equipment Equipment Process  Functional grouping of activities  Intermittent, job shop, batch production, mainly fabrication Standardized, made  Varied, made to to stock order  Fluctuating Stable  Low High  General purpose Special purpose Copyright 2006 John Wiley & Sons, Inc 7-8 Comparison of Product and Process Layouts Product  Workers Workers  Inventory Inventory  Limited skills  Low in-process, high finished goods  Storage  Small Storage space  Material Material handling handling  Fixed path (conveyor)  Aisles  Narrow Aisles  Scheduling  Part of balancing Scheduling  Layout Layout decision decision  Line balancing  Goal  Equalize work at each Goal station  Advantage  Efficiency Advantage Copyright 2006 John Wiley & Sons, Inc Process  Varied skills  High in-process, low finished goods  Large  Variable path (forklift)  Wide  Dynamic  Machine location  Minimize material handling cost  Flexibility 7-9 Fixed-Position Layouts  Typical of projects  Equipment, workers, materials, other resources brought to the site  Highly skilled labor  Often low fixed  Typically high variable costs Copyright 2006 John Wiley & Sons, Inc 7-10 Hybrids Layouts  Cellular layouts  group dissimilar machines into work centers (called cells) that process families of parts with similar shapes or processing requirements  Flexible manufacturing system  automated machining and material handling systems which can produce an enormous variety of items  Mixed-model assembly line  processes more than one product model in one line Copyright 2006 John Wiley & Sons, Inc 7-33 Cellular Layouts Identify families of parts with similar flow paths Group machines into cells based on part families Arrange cells so material movement is minimized Locate large shared machines at point of use Copyright 2006 John Wiley & Sons, Inc 7-34 Parts Families A family of similar parts Copyright 2006 John Wiley & Sons, Inc A family of related grocery items 7-35 Original Process Layout Assembly A B 12 10 C 11 Raw materials Copyright 2006 John Wiley & Sons, Inc 7-36 Part Routing Matrix Figure 5.8 Parts A B C D E F G H x x Machines 10 11 12 x x x x x x x x x x x x x x x x x x x x x x x Copyright 2006 John Wiley & Sons, Inc x x x 7-37 x x Revised Cellular Layout Assembly 10 12 11 Cell Cell Cell A B C Raw materials Copyright 2006 John Wiley & Sons, Inc 7-38 Reordered Routing Matrix Parts Machines 10 A D F C G B H E x x x x x x x x x x x x x x x Copyright 2006 John Wiley & Sons, Inc x x 11 12 x x x x x x x 7-39 x x x x x x Direction of part movement within cell A Manufacturing Cell with Worker Paths HM Source: J.T Black, “Cellular Manufacturing Systems Reduce Setup Time, Make Small Lot Production Economical.” Industrial Engineering (November 1983) VM Worker VM L Paths of three workers moving within cell Material movement Worker G L Key: S L HM VM G Final inspection = Saw = Lathe = Horizontal milling machine = Vertical milling machine = Grinder S Finished part Worker Out In Copyright 2006 John Wiley & Sons, Inc 7-40 Automated Manufacturing Cell Source: J T Black, “Cellular Manufacturing Systems Reduce Setup Time, Make Small Lot Production Economical.” Industrial Engineering (November 1983) Copyright 2006 John Wiley & Sons, Inc 7-41 Advantages and Disadvantages of Cellular Layouts  Advantages        Disadvantages Reduced material handling and transit time Reduced setup time Reduced work-inprocess inventory Better use of human resources Easier to control Easier to automate Copyright 2006 John Wiley & Sons, Inc     Inadequate part families Poorly balanced cells Expanded training and scheduling of workers Increased capital investment 7-42 Flexible Manufacturing Systems (FMS)  FMS consists of numerous programmable machine tools connected by an automated material handling system and controlled by a common computer network  FMS combines flexibility with efficiency  FMS layouts differ based on    variety of parts that the system can process size of parts processed average processing time required for part completion Copyright 2006 John Wiley & Sons, Inc 7-43 Full-Blown FMS Copyright 2006 John Wiley & Sons, Inc 7-44 Mixed Model Assembly Lines  Produce multiple models in any order on one assembly line  Issues in mixed model lines     Line balancing U-shaped line Flexible workforce Model sequencing Copyright 2006 John Wiley & Sons, Inc 7-45 Balancing U-Shaped Lines Precedence diagram: A Cycle time = 12 B C D E (a) Balanced for a straight line A,B Efficiency = C,D 12 E (b) Balanced for a U-shaped line A,B 24 24 = = 6666 = 66.7 % 3(12) 36 C,D E Efficiency = 24 24 = = 100 % 12 2(12) 24 Copyright 2006 John Wiley & Sons, Inc 12 7-46 Copyright 2006 J ohn Wiley & Sons, Inc All rights reserved Reproduction or translation of this work beyond that permitted in section 117 of the 1976 United States Copyright Act without express permission of the copyright owner is unlawful Request for further information should be addressed to the Permission Department, J ohn Wiley & Sons, Inc The purchaser may make back-up copies for his/her own use only and not for distribution or resale The Publisher assumes no responsibility for errors, omissions, or damages caused by the use of these programs or from the use of the information Copyright 2006herein John Wiley & Sons, Inc 7-47 [...]... Department 5 1 2 3 4 5 — Copyright 2006 John Wiley & Sons, Inc DEPARTMENT 1 2 — 3 100 — 60 4 50 200 — 100 50 7-1 3 5 50 40 — 50 60 Block Diagramming: Example (cont.) 2 2 1 1 4 3 2 3 1 1 3 4 3 2 5 5 5 4 4 5 200 loads 150 loads 110 loads 100 loads 60 loads 50 loads 50 loads 40 loads 0 loads 0 loads Nonadjacent Loads: 110+40= 150 0 110 1 4 100 2 150 200 150 200 50 50 50 40 60 110 50 60 3 5 5 40 Grid 2 1 Copyright... Sons, Inc 3 4 7-1 4 Block Diagramming: Example (cont.) (a) Initial block diagram 1 (b) Final block diagram 2 4 3 5 Copyright 2006 John Wiley & Sons, Inc 1 2 3 4 5 7- 15 Relationship Diagramming  Schematic diagram that uses weighted lines to denote location preference  Muther’s grid  format for displaying manager preferences for department locations Copyright 2006 John Wiley & Sons, Inc 7-1 6 Relationship... 0.0 0.1 B 0.1 B, C C, D D 0.2 A Cd = 0.4 N = 2 .5 D 0.3 C 0.4 Copyright 2006 John Wiley & Sons, Inc REMAINING ELEMENTS 7-3 0 Line Balancing: Example (cont.) E= Work station 1 Work station 2 Work station 3 A, B C D 0.3 minute 0.4 minute 0.3 minute Cd = 0.4 N = 2 .5 1.0 0.1 + 0.2 + 0.3 + 0.4 = = 0.833 = 83.3% 1.2 3(0.4) Copyright 2006 John Wiley & Sons, Inc 7-3 1 Computerized Line Balancing  Use heuristics... Sons, Inc 7-3 3 Cellular Layouts 1 Identify families of parts with similar flow paths 2 Group machines into cells based on part families 3 Arrange cells so material movement is minimized 4 Locate large shared machines at point of use Copyright 2006 John Wiley & Sons, Inc 7-3 4 Parts Families A family of similar parts Copyright 2006 John Wiley & Sons, Inc A family of related grocery items 7- 35 Original... 4, 4) = 4 minutes Copyright 2006 John Wiley & Sons, Inc 7- 25 Efficiency of Line Efficiency Minimum number of workstations i ∑t i=1 i i E = nC a ∑t i=1 N= i Cd where ti = completion time for element i j = number of work elements n = actual number of workstations Ca = actual cycle time Cd = desired cycle time Copyright 2006 John Wiley & Sons, Inc 7-2 6 Line Balancing Procedure 1 Draw and label a precedence... John Wiley & Sons, Inc 7-2 8 Line Balancing: Example (cont.) A B C D WORK ELEMENT PRECEDENCE TIME (MIN) Press out sheet of fruit Cut into strips Outline fun shapes Roll up and package — A A B, C 0.1 0.2 0.4 0.3 Cd = 40 hours x 60 minutes / hour 2400 = = 0.4 minute 6,000 units 6000 N= 0.1 + 0.2 + 0.3 + 0.4 1.0 = = 2 .5  3 workstations 0.4 0.4 Copyright 2006 John Wiley & Sons, Inc 7-2 9 Line Balancing: Example... Inc 7-1 1 Block Diagramming  STEPS  create load summary chart  quantity in which  calculate composite (two material is normally moved way) movements  develop trial layouts  Nonadjacent load minimizing number of  distance farther nonadjacent loads than the next block  Unit load Copyright 2006 John Wiley & Sons, Inc 7-1 2 Block Diagramming: Example Load Summary Chart 1 4 2 3 FROM/TO Department 5 1... O U X 7-1 9 Computerized layout Solutions  CRAFT  Computerized Relative Allocation of Facilities Technique  CORELAP  Computerized Relationship Layout Planning  PROMODEL and EXTEND   visual feedback allow user to quickly test a variety of scenarios  Three-D modeling and CAD   integrated layout analysis available in VisFactory and similar software Copyright 2006 John Wiley & Sons, Inc 7-2 0 Designing... workstations 4 Group elements into workstations, recognizing cycle time and precedence constraints 5 Calculate efficiency of the line 6 Determine if the theoretical minimum number of workstations or an acceptable efficiency level has been reached If not, go back to step 4 Copyright 2006 John Wiley & Sons, Inc 7-2 7 Line Balancing: Example A B C D WORK ELEMENT PRECEDENCE TIME (MIN) Press out sheet of fruit... layouts  both increase customer sightlines and exposure to products, while encouraging customer to circulate through the entire store Copyright 2006 John Wiley & Sons, Inc 7-2 1 Types of Store Layouts Copyright 2006 John Wiley & Sons, Inc 7-2 2 Designing Product Layouts  Objective  Balance the assembly line  Line balancing  tries to equalize the amount of work at each workstation  Precedence requirements