BUSI3020 Plant Location

and Design
Session 9: Layout of manufacturing systems

Dr. Lin Wu
[email protected]
C13 Siyuan Centre, Jubilee Campus
Attendance
 Session objectives

Today we will discuss the following:

▪ Manufacturing process types and
layout types
▪ Implications of operational
policies on facilities design
Manufacturing process
types and layout types
Manufacturing process types
High
Project

Jobbing

Variety Batch

Mass

Continuous
Low

Low Volume High

 Project

• One-off, complex, large scale, high work content “products”

• Specially-made, every one customized
• Defined start and finish: time, quality and cost objectives
• Location of transforming resources?
 Jobbing

• Very small quantities: “one-offs”, or only a few required

• Specially-made. High variety, low repetition.
• Skilled labour + general purpose equipment
 Batch

• Products are grouped into batches whose size can range from two to
hundreds.
• Specialized, narrower skills
• Standard products, repeating demand. But can make specials
 Mass/Line

• Repetitive and largely predictable activities

• Low setting up of equipment and high utilization
• Low and/or narrow skills
 Continuous

• Extremely high volumes and low variety: often single product

• Highly capital-intensive and automated
• Difficult and expensive to start and stop the process
• Few changeovers required
 Process types and layout types
Continuous

Manufacturing Mass
process types Batch
Jobbing
Project

Layout types Fixed Cell

Process Product
position
Professional services

Service process Service shops

types Mass services
 Layout
• The layout concerns the physical placement of resources such as equipment
and storage facilities and is designed to facilitate the efficient flow of
customers or materials through the operations system.

• Four basic layout types: fixed position, process, cell, and product layout.
 Fixed-position layout

• Used when the product or service cannot be moved and so the

transforming process must take place at the location of product
creation or service delivery.

• Emphasis is on the scheduling and

coordination of resources to minimise
delays.

Other examples?
Main benefits and issues?
 Process layout

• Also termed functional layout.

• Requires resources that have

similar processes or functions to
be grouped together.
Traditional machine shops
• Used when there is a large variety
in the products or services being
delivered and it may not be
feasible to dedicate facilities to
each individual product or service.
Other examples?
Main benefits and issues?
 Cell layout

• Attempts to combine efficiency

with flexibility.

• Cells are created from placing L M

D Cell One
Forming Cells GC HT
together resources which according to part
family processing
M D
service a subset of the totalrequirements HT Cell Two

Raw Materials
G

Assembly
range of products or services. L M
D Cell Three
GC HT

M D
Cell Four
GC
 Product layout
• Also termed line layout.

• The requirements of a specific group of

customers are identified and resources setup
sequentially so the customers flow through the
system, moving from one stage to another until
the service is completed. Pie production

Fabrication Line: builds components (on a series of machines)

Assembly Line: puts the fabricated parts together (at a series of workstations)
Layout Characteristics of operations that use the layout type
type
Fixed- • Very high product and mix flexibility, but very high unit cost.
position • Products or customers do not move; the resources are arranged around them.
• There can be a high variety of tasks for staff.
• A major issue for operations is the scheduling and coordination of activities over time.
Process • High product and mix flexibility.
• Complex flow can lead to high levels of work-in-progress and high throughput times.
• Low utilization of resources.
• Flexible in terms of handling additions to the product/service mix.
• Robust in that non-availability of resources does not stop delivery of product/service if other group
resources remain.
Cell • Can provide flexibility and efficiency.
• Resources can be matched to product or service demand so work-in-progress and thus throughput
times are much lower than for process layout.
• Variety of tasks offers opportunity for automation and more variation in duties for personnel.
• Can be costly to move and purchase additional plant – necessary to re-arrange existing layout.
Product/ • Standard product or service in high volumes at low unit cost.
line • Can specialize equipment to product or service needs.
• Allows relatively little variety in product or service.
• Line configuration leads to danger of failure of one process stage effectively stopping output from the
whole line.
• Work can be repetitive if personnel are always based at one process stage.
From functional layout to cells

What improvements can we see?

Images from: https://www.reliableplant.com/Read/14703/one-piece-flow

https://manufacturing-software-blog.mrpeasy.com/cellular-manufacturing/
 Key objectives of layout design

▪ Minimize material handling and transport cost.

▪ Optimize space utilization.
▪ Improve workplace safety and ergonomics.
▪ Enhance production flexibility.
▪ Ensure smooth workflow and reduced bottlenecks.
Operational policies and
facilities design
 Lean manufacturing and JIT principles
• Lean operations is a concept that involves eliminating non value-added activities from the entire
supply chain.
• Two key issues at the core of the lean philosophy are to eliminate waste and to implement a
continuous improvement programme.
• Reduce inventory and warehousing requirements
• Delivered on time
• Having the right part at the right place in the right amount at the right time.
• Ohno (1988) identified seven types of waste in a manufacturing context:
1. Over-production
2. Waiting time
3. Transport
4. Process
5. Inventory
6. Motion
7. Defective goods
 Sources of waste in a manufacturing facility

• Equipment
• Inventories
• Space
How does JIT manufacturing affect
• Time
facilities design?
• Labour
• Handling
• Transportation
• Paperwork
 JIT impact on facilities design

• Reduction of inventories
• Deliveries to points of use
• Quality at the source
• Better communication, line balancing and multifunctional workers
 Customization & market responsiveness policies

▪ Policies that prioritize mass customization or personalized production

require flexible layouts.
▪ Make-to-order (MTO) vs. Make-to-stock (MTS) strategies dictate
workflow organization.
▪ Impact on layout design
➢Flexible production cells for rapid switching between product types.
➢Modular layouts that allows easy reconfiguration based on
demand.
 Sustainability

▪ Focuses on energy efficiency, waste reduction, and green

manufacturing.
▪ Need for eco-friendly facilities, optimized logistics, and waste
management zones.
▪ Impact on layout design
➢Natural lighting and ventilation considerations
➢Recycling areas strategically placed near production units
➢Shorter material transport distances
 Session objectives

Today we discussed:

▪ Manufacturing process types and layout types

▪ The impact of operational policies on facilities layout design
Thank you!