Facilities Planning - Unit 07

Layout Design: Systematic Layout Planning

Hierarchy of Facility Planning

Facility
Location
Structural Design

Facility
Planning
Facility Layout Design
Design

Handling System
Source for Figure: Tompkins and White, Facilities
Planning, 2nd edition, Wiley Design

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Facility Design
Sequential Approach vs. Integrated Approach

Material
Product Process Facility Handling Production
Design Design Layout System Planning
Design

Sequential Approach

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Facility Design
Sequential Approach vs. Integrated Approach

Integrated Approach: Concurrent Engineering

Impressive results in cost, quality, Terms of product, process,
productivity, sales, customer Process scheduling and facility design
satisfaction, delivery time, Design planners work with marketing,
inventory levels, space + purchasing, etc. Personnel address
handling requirements, building the design process in an integrated
size, etc. way.
Layout Design
+
Material Handling
System Design

Product Schedule
Design Design

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Requirements of a Good Layout

 an understanding of capacity and space requirements

 selection of appropriate material handling equipment
 decisions regarding environment and aesthetics
 identification and understanding of the requirements for
information flow
 identification of the cost of moving between the various
work areas

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Engineering Design Process
Typically, design problems do not have well-defined, unique, optimum
solutions. We are interested in obtaining a satisfactory solution.

General Procedure for Solving Engineering Design Problems

1. Formulate the problem.
2. Analyze the problem.
3. Search for alternative solutions.
4. Evaluate the design alternatives.
5. Select the preferred design.
6. Implement the design.

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Application of the Engineering Design
Process to Facility Planning
1. Define (or redefine) the objective of the facility:
Specify quantitatively the products to be produced or service to be provided.
2. Specify the primary and support activities to be performed in accomplishing the
objective:
 Requirements for primary activities include operations, equipment,
personnel, and material flows.
3. Determine the interrelationships among all activities:
 Both qualitative and quantitative relationships should be defined.
4. Determine the space requirements for all activities:
 These are determined considering the equipment, materials, and personnel
requirements.

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Application of the Engineering Design
Process to Facility Planning
5. Generate alternative facility plans:
 Including alternative facility locations and alternative designs for the facility.
6. Evaluate alternative facility plans:
 Determine the important factors (see list of factors). For each candidate plan,
evaluate if and how those factors will affect the facility and its operations.
7. Select a facility plan:
 Cost may not be the only major consideration.
 Use the information in step 6 to determine a plan (pair-wise comparison is a
good ranking procedure).

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Application of the Engineering Design
Process to Facility Planning
8. Implement the facility plan:
 Considerable amount of planning must precede the construction of a facility
or the layout of an area.
9. Maintain and adapt the facility plan:
 The facility plan must be modified as new requirements are placed, e.g., new
energy saving measures, changes in product design may require different
flow pattern or handling equipment, etc.
10. Redefine the objective of the facility:
 Similar to step 1.
 Changes in product design and/or quantities may require changes into the
layout plan.

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Layout Planning Important Factors
In developing well-thought facilities design alternatives it is important to look into
issues such as:
a) Layout characteristics
- total distance traveled
- manufacturing floor visibility
- overall aesthetics of the layout
- ease of adding future business

b) Material handling requirements

- use for the current material handling equipment
- investment requirements on new equipment
- space and people requirements

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Layout Planning Important Factors
c) Unit load implied
- impact on WIP levels
- space requirements
- impact on material handling equipment

d) Storage strategies
- space and people requirements
- impact on material handling equipment
- human factors risks

e) Overall building impact

- estimated cost of the alternatives
- opportunities for new business

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Facility Layout Procedures
 Naddler’s Ideal System Approach (1961)
 Immer’s Basic Steps (1950)
 Apple’s Plant Layout Procedure (1977)
 Reed’s Plant Layout Procedure (1961)
 Muther’s Systematic Layout Planning (1961)

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Naddler’s Ideal System Approach
The ideal system approach is based on the
following hierarchical approach toward
design:
1. Aim for the “theoretical ideal system.”
2. Conceptualize the “ultimate ideal
system.” Theoretical ideal system
3. Design the “technologically workable
ideal system.”
Ultimate ideal system
4. Install the “recommended system.”

Technologically workable system

Recommended system

Present system

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Immer’s Basic Steps
Immer described the analysis of a layout problem as follows: “This
analysis should be composed of three simple steps, which can be
applied to any type of layout problem. These steps are:
1. Put the problem on the paper.
2. Show lines of flow.
3. Convert flow lines to machine lines.”

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Apple’s Plant Layout Procedure

Apple recommended that the following detailed sequence

of steps be used in designing a plant layout
1. Procure the basic data. 11. Determine storage requirements
2. Analyze the basic data. 12. Plan service and auxiliary activities.
3. Design the productive process. 13. Determine space requirements
4. Plan the material flow pattern. 14. Allocate activities to total space
5. Consider the general material handling plan 15. Consider building type
6. Calculate equipment requirements. 16. Consider master layouts
7. Plan individual work stations. 17. Evaluate, adjust and check the layout
8. Select specific material handling equipment 18. Obtain approval
9. Coordinate groups of related operations. 19. Install the layout
10. Design activity relationships. 20. Follow up on implementation of the layout

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Reed’s Plant Layout Procedure
In “planning for and preparing the layout,” Reed recommended that the
following steps be taken in his “systematic plan of attach”:
1. Analyze the product to be produced.
2. Determine the process required to manufacture the product.
3. Prepare layout planning charts.
4. Determine work stations.
5. Analyze storage area requirements.
6. Establish minimum aisle widths.
7. Establish office requirements.
8. Consider personnel facilities and services.
9. Survey plant services.
10. Provide for future expansion.

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Muther’s
Systematic
Layout
Planning
Procedure

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Systematic Layout Planning Procedure
Information Gathering

 PQRST items
 Product: what is to be produced
 Quantity: volume to be produced
 Routing: how it is to be produced
 Support services: with what will we produce
 Timing/Transport: when to produce and how to move parts in & out

 Quantity & Variety often dictate the layout type (product/process, etc.)
 can be used to determine
o which products justify their own lines,
o which families justify their own cells.

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Systematic Layout Planning Procedure
Information Gathering

 Photographs about the product

 “Exploded” drawings
 Engineering drawings of individual parts
 Parts list
 Bill of materials (structure of product)
 Assembly chart
 Route sheet
 Operations process chart
 Etc.

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Systematic Layout Planning Procedure
Information Gathering

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Systematic Layout Planning Procedure
Information Gathering

Schedule design decisions tell us how much to produce and when to

produce.

Market Production Production Number of

Forecast Demand Rate Machines

Product Mix Continuous or

+ Intermittent Production
Production Rate

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Systematic Layout Planning Procedure
Flow Analysis and Activity Analysis

Flow analysis concentrates on some quantitative measure of movement

between departments or activities
Activity analysis is primarily concerned with the non-quantitative factors that
influence the location of departments or activities
Charts and diagrams useful in flow analysis:
analysis
- Flow process chart
- Multi-product process charts
- Flow diagram
- From-to-charts

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Systematic Layout Planning Procedure
Flow Analysis and Activity Analysis

A B C D E

B A
A B C
Basic Flow Patterns
C
F EA DB D

F E
A B C
A E
D
B D
E C
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Systematic Layout Planning Procedure
Flow and Activity Analysis

Layout Types

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Systematic Layout Planning Procedure
Flow and Activity Analysis

Layout Types

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Systematic Layout Planning Procedure
Flow and Activity Analysis
Milling
Lathe Department Department Drilling Department
M M D D D D
L L

M M D D D D
L L

G G G P
L L

G G G P
L L
Grinding Painting Department
Department
L L
Receiving and A A A
Shipping Assembly

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Systematic Layout Planning Procedure
Flow and Activity Analysis - A1

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Systematic Layout Planning Procedure
Flow and Activity Analysis A-2

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Systematic Layout Planning Procedure
Flow and Activity Analysis

Desirability (or lack) of locating two work-centers together

• information that is difficult to quantify
• (example 1) shipping & receiving - share common facilities (e.g.,
loading docks)
• (example 2) engineering & purchasing - efficient communication,
quality,
• (example 3) environmental factors - delicate testing vs. vibration

Summarized in a relationship or REL chart

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Systematic Layout Planning Procedure
Flow and Activity Analysis
Code Reason

1. Directors conference room 1 Frequency of use high

I 2 Frequency of use medium
1 I
2. President O 1 U
3 Frequency of use low
5 U 3 O 4 Information flow high
3. Sales department
U 6 O 2 U 5 Information flow medium
6 I 5 U 3 U 6 Information flow low
4. Personnel O 4 O 6 U 3 U
5 O 5 O 6 I
5. Plant manager 3 U
A 5 O 5 E 4 O 6
6. Plant engineering office 4 A 5 O 4 I 5
I 4 O 5 O 4 Rating Definition
4 O 5 O
7. Production supervisor 4
A Absolutely Necessary
U 5 E 5
E Especially Important
8. Controller office 6 O 4
I I Important
5
4 O Ordinary Closeness OK
9. Purchasing department U Unimportant
X Undesirable
Activity Relationship Chart
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Systematic Layout Planning Procedure Activity
Relationship Chart

Code Reason

1 Type of customer

2 Ease of supervision

3 Common personnel

4 Contact necessary

5 Share same price

6 Psychology

Activity Relationship Chart

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 Systematic Layout Planning Procedure Activity
Relationship Chart

Area
From To
2 3 4 5 (sq. ft.)
I U A U
1. Credit department 100
6 -- 4 --
U I A
2. Toy department 400
-- 1 6

3. Wine department
Note
Notehere
here U X
300
that
thatthe
the(1)
(1) -- 1
Credit Note
NoteX here
herethat
that
4. Camera department CreditDept.
Dept. 100
and the
the (2) ToyDept.
(2) Toy Dept.
and(2)
(2)Toy
1
Toy
Dept. and
andthethe(5)
(5)100
5. Candy department Dept.are
are
given Candy
CandyDept.
Dept.areare
givenaa
rating given
givenaarating
ratingof of
Closeness rating Letter ratingofof6.6.
6.6.
Reason for rating Number
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Systematic Layout Planning Procedure
Relationship Diagram

Line Numerical
Value Closeness
code weights
A Absolutely necessary 16

E Especially important 8

I Important 4

O Ordinary closeness OK 2

U Unimportant 0

X Undesirable -80

Systematic Layout Planning - 33

Systematic Layout Planning Procedure
Relationship Diagram (or Activity Relationship Diagram)

E The
Thenumber
numberof oflines
lines
1 3
here
hererepresent
representpaths
paths
required
requiredtotobe
betaken
takeninin
I 4 U U
transactions
transactionsbetween
between
the
thedepartments.
departments. The The
2 5 more
A morelines,
lines,the
themore
more
the
theinteraction
interaction
Note
Notehere
hereagain,
again,Depts.
Depts.(1)
(1)and
and between
betweendepartments.
departments.
(2)
(2)are
arelinked
linkedtogether,
together,and
and
Depts.
Depts.(2)
(2)and
and(5)
(5)are
arelinked
linked
together
togetherbybymultiple
multiplelines
linesor
or
required
requiredtransactions.
transactions.
Systematic Layout Planning - 34
Systematic Layout Planning Procedure Activity
Relationship Chart
1. Offices Code Reason
O
4 E 1 Flow of material
2. Foreman I 5 O
2 Ease of supervision
5 O 3 U
3. Conference Room 3 Common personnel
U 4 I U
U 2 I U 4 Contact Necessary
4. Parcel Post
U U 2 I U 5 Conveniences
O 2 O
5. Parts Shipment U U
U 4 U U 2 I U
6. Repair and Service Parts U U U 2 I
E U U U 2
3 U I Rating Definition
7. Service Areas U
U I A 1
A Absolutely Necessary
8. Receiving E 4 U 1
E Especially Important
U U
3
I Important
A
9. Testing E O Ordinary Closeness OK
1
3 U Unimportant
10. General Storage
X Undesirable

Systematic Layout Planning - 35

Systematic Layout Planning Procedure
Relationship Diagram

5 8 7

The Relationship Diagram

positions activities spatially.
10 9 6
Proximities are typically used to
reflect the relationship between
pairs of activities

4 2 3

Systematic Layout Planning - 36

 Muther’s
Systematic Layout
Planning
Procedure

Based on the input data and an understanding of the roles and relationship
between activities, a material flow analysis (from-to-chart) and an activity
relationship analysis (activity relationship chart) are performed.
From the analysis performed, a relationship diagram is developed.

Systematic Layout Planning - 37

Systematic Layout Planning Procedure

Space Determination

Production-center method
Converting method – the present space requirements are converted
to those required for the proposed layout
Roughed-out layout method – using templates or models on the
layout to obtain an estimate of configuration and space requirements
Ratio trend projection method – for general space requirements e.g.
square feet per direct labor hour, square feet per unit produced, etc.

Systematic Layout Planning - 38

Systematic Layout Planning Procedure
Space Determination
• Raw material storage • Quality control and
• In-process inventory inspection
storage • Supervision
• Finished-goods storage • Health and medical
• Aisles, cross isles, and facilities
main aisles • Food service
• Receiving and shipping • Lavatories, washrooms,
• Material handling etc.
equipment storage • Offices
• Tool rooms and tool cribs • Employee and visitor
• Maintenance parking
• Packaging • Receiving and shipping
parking
• Other storage

Systematic Layout Planning - 39

Muther’s
Systematic
Layout
Planning
Procedure

Systematic Layout Planning - 40

Systematic Layout Planning Procedure
Relationship Diagram

5 8 7

10 9 6

4 2 3

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Systematic Layout Planning Procedure Space
Relationship Diagram
5 8 7
(500) (200) (575)

9
(500) 6
10 (75)
(1750)

4 2 33
(350) (125) (125)
(125)

1
(1000)

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Systematic Layout Planning Procedure
Relationship diagram:
all departments are of equal size.
Space Relationship diagram:
templates proportional in size to departmental space requirement

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Systematic Layout Planning Procedure
Activity Relations and Relationship Diagram – Another example

Relationship diagram

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Systematic Layout Planning Procedure

Space relationship diagram

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Systematic Layout Planning Procedure

Alternative block layout

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Systematic Layout Planning Procedure
Modifying considerations and limitations
Site-specific and Operation-specific conditions
possible adjustment to the layout

Example:
 Location of external transportation system (e.g., rail, road, river access)
→ may restrict the location of shipping and receiving
 limitations on access to utilities (HVAC, lighting, etc) in certain areas
 aisles should be straight and close to the point where move requests are
generated without obstructing manufacturing activities

Systematic Layout Planning - 47

Muther’s
Systematic
Layout
Planning
Procedure

Systematic Layout Planning - 48

Systematic Layout Planning Procedure
Evaluation
Factor-analysis method (evaluating the layout alternatives)
 List all of the factors to be considered important
 Weight the relative importance of each of these factors to each other
 Rate the alternative plans against one factor at a time
 Calculate the weighted rating values and sum up those values to obtain
the total value for each of the alternatives
 Select the alternative with the highest total value

Factors
Cost, flexibility, maintainability, expandability (modularity), safety, operation
ease

Systematic Layout Planning - 49

Systematic Layout Planning Procedure
Evaluation - Location Rating Factor
 Identify important factors
 Weight factors (usually 0.00 - 1.00 or 0.00 - 100)
 Subjectively score each factor
 Sum weighted scores

Also see Unit 06B

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Systematic Layout Planning Procedure
Example A – Page 1
AA Absolutely
Absolutely
necessary
necessary
EE Especially
Especially
Production important
important
O II Important
Important
OO Okay
Okay
Offices A
UU Unimportant
Unimportant
U I XX Undesirable
Stockroom O E Undesirable
A X A
Shipping and
receiving U U
U O
Locker room O
O
Tool Room Activity Relationship
Charting

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Systematic Layout Planning Procedure
Example A – Page 2
Relationship diagram of original layout

Offices Locker Shipping

room and
receiving

Key: A
E
I
Stockroom Tool Room Production
O
U
X

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Systematic Layout Planning Procedure
Example A – Page 3
Relationship diagram of revised layout

Stockroom

Offices Shipping
and
receiving

Tool Room Production Locker Key: A

room E
I
O
U
X

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Systematic Layout Planning Procedure
Example B – Page 1

Branch Bank Example

Area Space needs (ft2)

 Branch manager 200
 Head teller 150
 Teller counter/break room 600
 New accounts clerk 100
 Loan officers 200
 Customer waiting room/lounge 150
 Lobby 500

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Systematic Layout Planning Procedure
Example B – Page 2

Steps
Steps11&&2:
2:
Work
Workflows
flowsand
andREL
RELchart
chart
1. Branch Manager
1600
E 100
2. Head Teller
2400 U 300
3. Teller Counter/ E 300 O 800
Break Room 1000 0 200 I 50
4. New Accounts I 400 O 50 U
Clerk 100 O 70 U
U 800 U
5. Loan Officer
1100 I
Note:
Note:Lobby
Lobbyto tobe
be
6. Customer Lounge/ I central
centralto
toall
all
Break Room
Systematic Layout Planning - 55
Systematic Layout Planning Procedure
Example B – Page 3

Key
3 2
A
Step 3:
Arrange
E
4 1 I
Work Areas
7 O
6 5 U
7 To all

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Systematic Layout Planning Procedure
Example B – Page 4

3 2
600 ft 2 150 ft 2

Step 4:
42 1
Space Arrangement 100 ft 200 ft
2

6 2 5
150 ft 200 ft
2

7 2
500 ft

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Systematic Layout Planning Procedure
Example B – Page 5

40’

3 2 2
2 156 ft

2
600 ft

100 ft
1
Step 5: 2
Floor Plan 228 ft
50’
4 2 7
100 ft
Lobby 5
6 2 450 ft
2 2
216 ft
150 ft

Entry

Systematic Layout Planning

12-
- 58
Principles of a Good Layout - Manufacturing

 Straight-line Flow Pattern when possible

 Backtracking kept to a Minimum
 Predictable Production Time
 Little In-process materials storage
 Open Floor plans so everyone can see what is going on
 Bottlenecks under control
 Workstations close together
 Minimum of material handling
 Easy adjustment to changing conditions

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Layout Example - Manufacturing

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Principles of a Good Layout - Service
 Easily understood service flow pattern
 Adequate waiting facilities
 Easy communication with customers
 Customers in view of servers throughout the process
 Clear entry and exit points with adequate checkout facilities
 Customers see only what you want them to see
 Balance between waiting and service areas
 Minimum walking and material movement
 Lack of clutter

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Principles of a Good Layout - Service
Office Layout Considerations:
 Layouts need to account for physical environment and
psychological needs of the organization
 One key layout trade-off is between proximity and privacy
 Open concept offices promote understanding & trust
 Flexible layouts incorporating “office landscaping” help to solve
the privacy issue in open office environments

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