Chapter 6: Process Selection and Facility Layout
6.1 What is Process Selection?
• It refers to deciding on the way production of goods or services will be organized.
• Forecasts, product and service design, and technological considerations all influence
capacity planning and process selection.
• Moreover, capacity and process selection are interrelated, and are often done in concert.
They, in turn, affect facility and equipment choices, layout, and work design.
• Organization approaches process selection is determined by the organization’s pro cess
strategy. Key aspects include:
1. Capital intensity: The mix of equipment and labor that will be used by the
organization.
2. Process flexibility: The degree to which the system can be adjusted to changes in
processing requirements due to such factors as changes in product or service design,
changes in volume processed, and changes in technology
6.2 Factors that influence Process Selection:
1. Variety – how much. It also means either having dedicated operations for each different
product or service.
2. Volume – expected output
3. Flexibility – level of degree
Volume and Variety are inversely related.
The need for flexibility of personnel and equipment is directly related to the level of variety the
process will need to handle:
Process Types:
1. Job Shop - usually operates on a relatively small scale. It is used when a low volume of
high-variety goods or services will be needed. Process is INTERMITTENT.
2. Batch - used when a moderate volume of goods or services is desired, and it can handle a
moderate variety in products or services. INTERMITTENT
3. Repetitive - when higher volumes of more standardized goods or services are needed.
4. Continuous - When a very high volume of nondiscrete, highly standardized output is
desired.
5. Project (Special) - A nonrepetitive set of activities directed toward a unique goal within a
limited time frame.
Other Notes/Terms:
• Product or service profiling can be used to avoid any inconsistencies by identifying key
product or service dimensions and then selecting appropriate processes.
• Sustainable Production is the creation of goods and ser vices using processes and systems
that are: non-polluting; conserving of energy and natural resources; economically efficient;
safe and healthful for workers, communities, and consumers; and socially and creatively
rewarding for all working people.
• Lean Process design focuses on variance reduction in workload over the entire process to
achieve level production and thereby improve process flow.
6.3 Technology
• Technological innovation refers to the discovery and development of new or improved
prod ucts, services, or processes for producing or providing them.
• Technology refers to applications of scientific knowledge to the development and
improvement of goods and services and/ or the processes that produce or provide them.
• High technology refers to the most advanced and developed equipment and/or methods.
• Process technology includes methods, procedures, and equipment used to produce goods
and provide services.
• Information technology (IT) is the science and use of computers and other electronic
equipment to store, process, and send information.
• Automation is a machinery that has sensing and control devices that enable it to operate
automatically.
3 Kinds of Automation:
1. Fixed Automation is the least flexible. It uses high-cost, specialized equipment for a fixed
sequence of operations.
2. Programmable Automation involves the use of high-cost, general-purpose equipment
controlled by a computer program that provides both the sequence of operations and
specific details about each operation
a. Computer-aided manufacturing (CAM) refers to the use of computers in process
control, ranging from robots to automated quality control.
b. Numerically controlled (N/C) machines are programmed to follow a set of
processing instructions based on mathematical relationships that tell the machine
the details of the operations to be performed.
i. Individual machines often have their own computer; this is referred to as
computerized numerical control (CNC).
ii. one computer may control a number of N/C machines, which is referred to
as direct numerical control (DNC).
3. Flexible Automation evolved from programmable automation. It uses equipment that is
more customized than that of programmable automation. A key difference between the two
is that flexible automation requires significantly less changeover time.
a. Flexible manufacturing system (FMS) is a group of machines designed to handle
intermittent processing requirements and produce a variety of similar products.
b. Computer-integrated manufacturing (CIM) is a system for linking a broad range
of manufacturing activities through an integrating computer system
Other terms:
• The internet of things is the extension of internet connectivity into devices such as cell
phones, vehicles, audio and video device, and much more, some of which you are probably
familiar with.
• 3D printing is a process that creates a three-dimensional object by adding successive layers
of material.
• Drones are unmanned aircraft, usually small, and remotely controlled or programmed to
fly to a specific location.
6.4 Process Strategy
In practice, decision makers choose flexible systems for either of two reasons: Demand variety
or uncertainty exists about demand. The second reason can be overcome through improved
forecasting.
6.5 Strategic Resource Organization: Facilities Layout
Layout refers to the configuration of departments, work centers, and equipment, with particular
emphasis on movement of work (customers or materials) through the system.
Facility Layout refers to the physical arrangement of equipment, work areas, and flow paths.
TYPES OF LAYOUT
1. Product Layout uses standardized processing operations to achieve smooth, rapid, high-
volume flow.
a. Production line is a standardized layout arranged according to a fixed sequence
of production tasks.
b. Assembly line is a standardized layout arranged according to a fixed sequence of
assembly tasks.
2. Process Layout are designed to process items or provide services that involve a variety
of processing requirements.
a. Intermittent Processing is a nonrepetitive processing.
3. U-shaped Layout is more compact; it often requires approximately half the length of a
straight production line.
4. Fixed-position layout is a layout in which the product or project remains stationary, and
workers, materials, and equipment are moved as needed.
5. Cellular Production is a layout in which workstations are grouped into a cell that can
process items that have similar processing requirements.
6. Service Layout can often be categorized as product, process, or fixed-position layouts.
a. Fixed-position service layout (e.g., appliance repair, roofing, landscaping, home
remodeling, copier service), materials, labor, and equipment are brought to the
customer’s residence or office.
b. Process layouts are common in services due mainly to the high degree of variety
in customer processing requirements. Examples include hospitals, supermarkets
and department stores, vehicle repair centers, and banks.
7. Warehouse and Storage Layout storage facilities presents a different set of factors than
the design of factory layouts. Frequency of order is an important consideration. Items that
are ordered frequently should be placed near the entrance to the facility, and those
ordered infrequently should be placed toward the rear of the facility.
8. Retail Layouts must take into account the presence of customers and the opportunity to
influence sales volume and customer attitudes through carefully designed layouts.
9. Office Layouts are undergoing transformations as the flow of paperwork is replaced with
the increasing use of electronic communications.
10. Restaurant Layouts refers to the arrangement and organization of different areas within
a restaurant to ensure smooth operations, good customer experience, and efficient use of
space.
11. Hospital Layouts n are patient care and safety, with easy access to critical resources
such as X-ray, CAT scan, and MRI equipment.
12. Automation in Services is one way to improve productivity and reduce costs in services
is to remove the customer from the process as much as possible. Automated services is
one increasingly used alternative.
6.6 Designing Product Layouts: Line Balancing
Line balancing is the process of assigning tasks to workstations in such a way that the
workstations have approximately equal time requirements.
Cycle time is the maximum time allowed at each workstation to complete its set of tasks on a
unit. The minimum and maximum cycle times are important because they establish the potential
range of output for the line, which we can compute using the following formula:
Precedence diagram is a diagram that shows elemental tasks and their precedence requirements.
Balance delay is a percentage of idle time of a line.
Efficiency is computed as:
6.7 Designing Process Layout
The most common goals in designing process layouts are minimization of transportation costs or
distances traveled.
Information Requirements
The design of process layouts requires the following information:
• A list of departments or work centers to be arranged, their approximate dimensions, and
the dimensions of the building or buildings that will house the departments.
• A projection of future work flows between the various work centers.
• The distance between locations and the cost per unit of distance to move loads between
locations.
• The amount of money to be invested in the layout.
• A list of any special considerations (e.g., operations that must be close to each other or
operations that must be separated).
• The location of key utilities, access and exit points, loading docks, and so on, in existing
buildings
Other Definitions:
Line Balancing
• Process of assigning tasks to workstations to minimize idle time and balance workloads.
• Important for assembly lines.
• Goal: Keep all workstations busy to avoid bottlenecks and maximize throughput.
Cycle Time
• Definition: The time between the completion of successive units on a production line.
• Important for balancing workloads and reducing idle time.
