1

Chapter 6
Process Design
and
Facility Layout
2
ntroduction
Make or Buy?
Available capacity, excess capacity
Expertise, knowledge, know-how exists?
Quality Consideration, specialized firms, control
over quality if in-house
The nature of demand, aggregation
Cost
Make some components buy remaining
3
ntroduction
www.utdallas.edu/~metin/Ba3352/Slides/,4:9
.
Process selection
Deciding on the way production of
goods or services will be organized
Major implications
Capacity planning
Layout of facilities
Equipment, Capital-equipment or
labor intensive
Design of work systems
New product and service,
technological changes, and
competitive pressures
4
Forecast|ng
Product and
8erv|ce 0es|gn
Techno|og|ca|
6hange
6apac|ty
P|ann|ng
Process
8e|ect|on
Fac|||t|es and
Equ|pment
Layout
work
0es|gn
Figure 6.1
Process Selection and System Design
5
Process Types
Job Shops: Small lots, low volume, general equipment,
skilled workers, high-variety. Ex: tool and die shop,
veterinarian's office
Batch Processing: Moderate volume and variety. Variety
among batches but not inside. Ex:paint production ,
BA3352 sections
Repetitive/Assembly: Semicontinuous, high volume of
standardized items, limited variety. Ex: auto plants,
cafeteria
Continuous Processing: Very high volume an no variety.
Ex: steel mill, chemical plants
Projects: Nonroutine jobs. Ex: preparing BA3352
midterm
6
Variety of products
and services
How much
Flexibility of the process; volume, mix,
technology and design
What type and degree
Volume
Expected output
Joo 3rop
8alcr
Repel|l|ve
Corl|ruous
Questions Before Selecting A Process
7
Dimension Job Shop Batch Repetitive Continuous
ob variety Very High Moderate Low Very low
Process
fIexibiIity
Very High Moderate Low Very low
Unit cost Very High Moderate Low Very low
VoIume of
output
Very low Low High Very high
Product Process Matrix
8
Product
Variety
High Moderate Low Very Low
Equipment
flexibility
High Moderate Low Very Low
Low
Volume
Moderate
Volume
High
Volume
Very high
Volume
ob
Shop
Batch
Repetitive
assembIy
Continuous
FIow
Variety, Flexibility, & Volume
9
Process Type High variety Low variety
ob Shop
Appliance
repair
Emergency
room
Batch
Commercial
bakery
Classroom
Lecture
Repetitive
Automotive
assembly
Automatic
carwash
Continuous
(fIow)
Oil refinery
Water
purification
Product Process Matrix
10
Product-Process Matrix
F|ex|b|||ty-0ua||ty 0ependab|||ty-6ost
6ont|nuous
F|ow
Assemb|y
L|ne
atch
Job
8hop
Low
Vo|ume
0ne of a
K|nd
Hu|t|p|e
Products,
Low
Vo|ume
Few
Hajor
Products,
h|gher
Vo|ume
h|gh
Vo|ume,
h|gh
8tandard-
|zat|on
ook
wr|t|ng
Hov|e
Theaters
Automob||e
Assemb|y
8ugar
Ref|nery
F|ex|b|||ty-
0ua||ty
0ependab|||ty-
6ost
11
Fixed automation: Low production cost and high volume but
with minimal variety and high changes cost
Assembly line
Programmable automation: Economically producing a wide
variety of low volume products in small batches
Computer-aided design and manufacturing systems (CAD/CAM)
Numerically controlled (NC) machines / CNC
ndustrial robots (arms)
Flexible automation: Require less changeover time and allow
continuous operation of equipment and product variety
Manufacturing cell
Flexible manufacturing systems: Use of high automation to achieve
repetitive process efficiency with job shop process
Automated retrieval and storage
Automated guided vehicles
Computer-integrated manufacturing (CM)
Automation: Vacr|rery lral ras sers|rg ard corlro|
dev|ces lral erao|es |l lo operale
12
Robot
Show wafer_handler_web
13
Flexible Manufacturing System
Group of machines that include supervisory computer
control, automatic material handling, robots and other
processing equipment
Advantage:
reduce labor costs and more consistent quality
lower capital investment and higher flexibility than
hard automation
relative quick changeover time
Disadvantage
used for a family of products and require longer
planning and development times
14
Computer-integrated manufacturing
Use integrating computer system to link a broad
range of manufacturing activities, including
engineering design, purchasing, order processing
and production planning and control
Advantage:
rapid response to customer order and product
change, reduce direct labor cost, high quality
15
Service blueprint: A method used in service
design to describe and analyze a proposed
service. Flowchart:
Service Blueprint
eg|n Turn on |aptop 6onnect to L60
A
A
V|ew on
Yes
Lecture
No
eg|n
16
Establish boundaries
dentify steps involved
Prepare a flowchart
dentify potential failure points
Establish a time frame for operations
Analyze profitability
Service Process Design
17
ayout: the configuration of departments, work
centers, and equipment,
Whose design involves particular emphasis on
movement of work (customers or materials) through
the system
mportance of layout
Requires substantial investments of money and effort
nvolves long-term commitments
Has significant impact on cost and efficiency of short-
term operations
Layout
18
nefficient operations
For Example:
High Cost
Bottlenecks
Changes in the design
of products or services
The introduction of new
products or services
Accidents
Safety hazards
The Need for Layout Decisions
19
Changes in
environmental
or other legal
requirements
Changes in volume of
output or mix of
products
Changes in methods
and equipment
Morale problems
The Need for Layout Design (Cont'd)
20
Basic Layout Types
Product Layout
Layout that uses standardized processing operations
to achieve smooth, rapid, high-volume flow
Auto plants, cafeterias
Process Layout
Layout that can handle varied processing requirements
Tool and die shops, university departments
Fixed Position Layout
Layout in which the product or project remains
stationary, and workers, materials, and equipment are
moved as needed
Building projects, disabled patients at hospitals
Combination Layouts
21
A Flow Line for Production or Service
Flow Shop or Assembly Line Work Flow
Raw
materials
or customer
Finished
item
Station
2
Station
3
Station
4
Material
and/or
labor
Station
1
Material
and/or
labor
Material
and/or
labor
Material
and/or
labor
22
A U-Shaped Production Line
Advantage: more compact, increased communication
facilitating team work, minimize the material handling
23
0ept. A
0ept. 0ept. 0
0ept. 6
0ept. F
0ept. E
Used for |nterm|ttent process|ng
Process Layoul
(lurcl|ora|)
Process Layout
24
Process Layout
Process Layout - work traveIs
to dedicated process centers
MiIIing
AssembIy
& Test
Grinding
DriIIing
PIating
25
Layout types: Product or Process Make your pick
A

26
Process vs Layout types
Job Shop
Project
Repetitive
Product
Process
Fixed-point
Hatch?
27
Product layout
Advantages
High volume
Low unit cost
Low labor skill needed
Low material handling
High efficiency and
utilization
Simple routing and
scheduling
Simple to track and
control
Disadvantages
Lacks flexibility
Volume, design, mix
Boring for labor
Low motivation
Low worker enrichment
Can not accommodate
partial shut
downs/breakdowns
ndividual incentive
plans are not possible
28
Cellular Layouts
Cellular Manufacturing
Layout in which machines are grouped into a cell that
can process items that have similar processing
requirements. A product layout is visible inside each
cell.
Group Technology
The grouping into part families of items with similar
design or manufacturing characteristics. Each cell is
assigned a family for production. This limits the
production variability inside cells, hence allowing for a
product layout.
29
A Group of Parts
Similar manufacturing characters
30
Dimension Process CeIIuIar
Number of moves
between departments
many few
Travel distances longer shorter
Travel paths variable fixed
Job waiting times greater shorter
Amount of work in
process
higher lower
Supervision difficulty higher lower
Scheduling complexity higher lower
Equipment utilization Lower? Higher?
Process vs. Cellular Layouts
31
Process Layout
ear
cutt|ng
H|||
0r|||
Lathes
r|nd
heat
treat
Assemb|y
111
333
222
444
222
111
444
111 333
1111 2222
222
3333
111
444
111
32
Cellular Manufacturing Layout
-1111 -1111
222222222
- 2222
A
s
s
e
m
b
I
y
3333333333
- 3333
44444444444444
- 4444
Lathe
Lathe
MiII
MiII
MiII
MiII
DriII
DriII
DriII
Heat
treat
Heat
treat
Heat
treat
Gear
cut
Gear
cut
Grind
Grind
33
Basic Layout Formats
Group Technology Layout
SimiIar to ceIIuIar Iayout
Fixed Position Layout
e.g. Shipbuilding
Part Family W Part Family X
Part Family Y
Part Family Z
Assemb|e Y,w Assemb|e X,Z
F|na| Product
34
Fixed-Position and combination Layout
Fixed-Position Layout:
item being worked on remains stationary,
and workers, materials and equipment are
moved as needed.
Example: buildings, dams, power plants
Combination Layouts:
combination of three pure types.
Example: hospital: process and fixed position.
35
Warehouse and storage layouts
ssue: Frequency of orders
Retail layouts
ssue: Traffic patterns and traffic flows
Office layouts
ssue: nformation transfer, openness
Service Layouts
36
Design Product Layouts: Line Balancing
L|ne ba|anc|ng |s the process of ass|gn|ng tasks to workstat|ons
|n such a way that the workstat|ons have approx|mate|y the same
process|ng t|me requ|rements. Th|s resu|ts |n the m|n|m|zed |d|e t|me
a|ong the ||ne and h|gh ut|||zat|on of |abor and equ|pment.
6yc|e t|me |s the max|mum t|me a||owed at each workstat|on
to comp|ete |ts set of tasks on a s|ng|e un|t
what |s the cyc|e t|me for the system above?
worker 1 worker 2
4 tasks 2 tasks
Each task takes 1 m|nutes, how to ba|ance?
37
Parallel Workstations
1 r|r. 2 r|r. 1 r|r. 1 r|r.
30/rr. 30/rr. 30/rr.
30/rr.
1 r|r.
2 r|r.
1 r|r. 1 r|r.
0/rr.
30/rr.
30/rr.
0/rr.
2 r|r.
30/rr.
30/rr.
ott|eneck
Para||e| workstat|ons
38
The obstacle
The difficulty to forming task bundles that have the
same duration.
The difference among the elemental task lengths
can not be overcome by grouping task.
Ex: Can you split the tasks with task times {1,2,3,4} into
two groups such that total task time in each group is the
same?
Ex: Try the above question with {1,2,2,4}
A required technological sequence prohibit the
desirable task combinations
Ex: Let the task times be {1,2,3,4} but suppose that the
task with time 1 can only done after the task with time 4 is
completed. Moreover task with time 3 can only done
after the task with time 2 is completed. How to group?
39
ycle time is the maximum time allowed at each
workstation to complete its tasks on a unit.
Cycle Time
The major determinant: cycle time
Minimum cycle time: longest task time by
assigning each task to a workstation
Maximum cycle time: sum of the task time by
assigning all tasks to a workstation
40
Determine Maximum Output
Cycle Time: Time to process 1 unit
Examp|e: |f a student can answer a mu|t|p|e cho|ce quest|on |n 2 m|nutes but gets a
test w|th 30 quest|ons and |s g|ven on|y 30 m|nutes then
0T=30 m|nutes; 0=30
0es|red cyc|e t|me=1 m|nute < 2 m|nutes = 6yc|e t|me from the process capab|||ty
%

%
%

%
%

%
:
:
OperatingTimePerDay
DesiredOutputRate
DesiredCycleTime
CycleTime FromProcessDesign
Can produce at the desired level, design is Ieasible
Cannot produce at the desired level, design is inIeasible

41
Determine the Minimum Number
of Workstations Required: Efficiency
s task time oI sum t
CT
t
product a Ior time Availabale
product a Ior task time Total
OT/D
t
N
OT
t) (D)(
day a in time Availabale
day a in produced products all Ior task time Total
N
min
min

Examp|e: 8tudents can answer a mu|t|p|e cho|ce quest|on |n 2 m|nutes but g|ven a
test w|th 30 quest|ons and |s g|ven on|y 30 m|nutes. what |s the m|n|mum number of
students to co||aborate to answer a|| the quest|ons |n the exam?
Tota| operat|on (task} t|me = 0 m|nutes = 30 x 2 m|nutes
0perat|ng t|me=30 m|nutes
0|3=2 students must co||aborate. Th|s N
m|n
be|ow.
42
Percent idle time =
dle time per cycle
(N)(CT)
Efficiency = 1 Percent idle time
Percent dle Time
43
Example 1: Precedence Diagram
!recedence diagram: Tool used in line balancing
to display elemental tasks and sequence
requirements
a
b
c d
e
0.1 min.
0.7 min.
1.0 min.
0.5 min. 0.2 min.
44
Example 1: Assembly Line Balancing
Arrange tasks shown in the previous slide
into workstations.
Use a cycle time of 1.0 minute
Every 1 minute, 1 unit must be completed
Rule: Assign tasks in order of the most number
of followers
f you are to choose between a and c, choose a
f you are to choose between b and d, choose b
Number of followers: a:3, b:2, c:2, d:1, e:0
Eligible task fits into the remaining time and all
of its predecessors are assigned.
45
Solution to Example 1.
Assigning operations by the number of followers
ork-
Station
Time
Remaining

EIigibIe
Assign
Task
Station
IdIe Time
1 1.0
.9
.2
a,c
c
none
a
c
-


.2
2 1.0
0
b
none
b
-

0
3 1.0
.5
.3
d
e
-
d
e
-


.3
.5


- E||g|b|e operat|on f|ts |nto the rema|n|ng t|me and |ts predecessors are a|ready ass|gned.
- what |s the m|n|mum cyc|e t|me poss|b|e for th|s examp|e?
46
Calculate Percent dle Time
me station ti Total (N)(CT)
cycle a during stations at times idle oI Sum
time idle Percent

7 . 16 167 . 0
(3)(1)
0.3 0 0.2
time idle Percent

Eff|c|ency=1-percent |d|e t|me=1-0.17=0.833=83.37
47
Line Balancing Heuristic Rules
Assign tasks in order of most following
tasks.
Assign task in the order of the greatest task
time.
Assign tasks in order of greatest positional
weight.
Positional weight is the sum of each task's
time and the times of all following tasks.
48
Solution to Example 1. Assigning operations
using their task times.
ork-
Station
Time
Remaining

EIigibIe
Assign
Task
Station
IdIe Time
1 1.0
.9
.2
a,c
a
none
c
a
-


.2
2 1.0
0
b
none
b
-

0
3 1.0
.5
.3
d
e
-
d
e
-


.3
.5


E||g|b|e operat|on f|ts |nto the rema|n|ng t|me and |ts predecessors are a|ready ass|gned.
49
PositionaI eights
Assign tasks in order of greatest positional weight.
Positional weight is the sum of each task's time
and the times of all following tasks.
a:1.8 mins; b: 1.7 mins; c:1.4 mins; d: 0.7 mins;
e:0.2 mins.
50
Solution to Example 1. Assigning operations
using their task times.
ork-
Station
Time
Remaining

EIigibIe
Assign
Task
Station
IdIe Time
1 1.0
.9
.2
a,c
c
none
a
c
-


.2
2 1.0
0
b
none
b
-

0
3 1.0
.5
.3
d
e
-
d
e
-


.3
.5


E||g|b|e operat|on f|ts |nto the rema|n|ng t|me and |ts predecessors are a|ready ass|gned.
51
c d
a b e
f g h
0.2 0.2 0.3
0.8 0.
1.0 0.4 0.3
Example 2
52
Station 1 Station 2 Station 3 Station 4
a b
e
f
d
g
h
c
Solution to Example 2
53
Requirements:
List of departments
Shape requirements
Projection of work flows
One way vs. two way: Packaging and final
assembly.
Distance between locations
One way vs. two way: Conveyors, Elevators.
Amount of money to be invested
List of special considerations
Technical, Environmental requirements
Designing Process Layouts
54
Example 3:
Locate 3 departments to 3 sites
Distances:
in meters
Work Flow:
in kilos
From\To A B C
A - 20 40
B 20 - 30
C 40 30 -
From\To 1 2 3
1 - 10 80
2 20 - 30
3 90 70 -
55
Example 3
Mutual flow:
Closeness graph:
From\To 1 2 3
1 - - -
2 30 - -
3 170 100 -
3
1 2
56
Create Layout Alternatives
Find the one which minimizes
transportation costs and distance traveled
Designing Process Layouts
57
Example 3: Layout Alternative 1
1 3 2
30
170 100
A B C
Tota| 0|stance Trave|ed by Hater|a|=700 m
58
Example 3: Layout Alternative 2
1 2 3
170
30 100
A B C
Tota| 0|stance Trave|ed by Hater|a|=10400 m
59
Closeness Rating: multiple criteria
60
Muther Grid
Allow multiple objectives and subjective
input from analysis or manager to
indicate the relative importance of each
combination of department pairs.
Subjective inputs are imprecise and
unreliable
61
Example 4
Heuristic: assign critical departments first. The
critical departments are those with X and A
ratings.
Solution:
As Xs
1-2 1-4
1-3 3-6
2-6 3-4
3-5
4-6
5-6
62
Example 4
Begin with most frequently in the A list (6)
Add remaining As to the main cluster
Graphically portray Xs
Fit the cluster into the arrangement
6
2
4
5
1
3
1 2 6
3 5 4
63
Summary
Process Selection
Objective, mplication, types
Product Layout
Line balancing: procedures and measures
Process layout
nformation requirements, measures
From to chart and Muther grid
64
An example for Recitation
Tasks times and predecessors for an operation
Task IabeI Time Predecessors
A 2 None
B 7 A
C 5 None
D 2 None
E 15 C,D
F 7 A,E
G 6 None
H 4 B,G
I 9 A
10 None
K 4 None
L 8 ,K
M 6 A,L
N 15 F,H,I,M
6
0
A

J
K
E
L
F

|
H
h
N
65
Recitation example
Find a workstation assignment by taking
cycle time=17 minutes by assigning in the
order of the greatest task time.
Can you find an assignment that uses only
six stations and meets 17 minute cycle
time requirement.
See the solution in the next recitation.
66
Station
Time
remaining Eligible Assign
dle
Time
1 17 C,D,A,G,,K
7 C,D,A,G,K G 1
2 17 C,D,A,K C
12 D,A,K K
8 D,A,L L 0
3 17 D,A A
15 D,B,I,M I
6 D,B,M M 0
4 17 D,B B
10 D,H H
6 D D 4
5 17 E E 2
6 17 F F 10
7 17 N N 2
Solution 1: Greatest task time first
A 2 None
B 7 A
C 5 None
D 2 None
E 15 C,D
F 7 A,E
G 6 None
H 4 B,G
I 9 A
10 None
K 4 None
L 8 ,K
M 6 A,L
N 15 F,H,I,M
67
Solution 2: A heuristic
Workstation Assignment that uses only six stations Workstation Assignment that uses only six stations
and meets 17 minute cycle time requirement and meets 17 minute cycle time requirement
STATION NO OPERATIONS STATION TIME
1 C,D,G,K 17
2 E,A 17
3 ,B 17
4 L,I 17
5 F,H,M 17
6 N 15
68
OPERATION
SUCCESSORS'
TASK TIME TASK TIME
C 42 5
D 39 2
39 10
E 37 15
K 33 4
L 29 8
A 28 2
B 26 7
G 25 6
I 24 9
F 22 7
M 21 6
H 19 4
N 15 15
Solution 3: Greatest positional weight first
STATION NO OPERATIONS
STATION
TIME
1 C,D, 17
2 E,A 17
3 K,L 12
4 B,G,H 17
5 I,F 16
6 M 6
7 N 15
69
Practice Questions
True/False
General, Job-Shop systems have a lower unit
cost than continuous systems do because
continuous systems use costly specialized
equipment.
n cellular manufacturing, machines and
equipment are grouped by type (e.g., all
grinders are grouped into a cell).
Answer: False Page: 218
Answer: False Page: 233
70
Practice Questions
1. Layout planning is required because of:
Efficient operations
Accidents or safety hazards
New products or services
Morale problems
A) and
B) and V
C) and
D) , , and V
E) , , , and V
Answer: D Page: 227
71
Practice Questions
2. Which type of processing system tends to
produce the most product variety?
A) Assembly
B) Job-Shop
C) Batch
D) Continuous
E) Project
OAnswer: B Page: 220
72
Practice Questions
3. A production line is to be designed for a
job with three tasks. The task times are 0.3
minutes, 1.4 minutes, and 0.7 minutes. The
minimum cycle time in minutes, is:
A) 0.3
B) 0.7
C) 1.4
D) 2.4
E) 0.8 OAnswer: C Page: 238
73
Chapter 6 Supplement
Linear Programming:
Very useful technique Learn before graduation
You may read my lecture notes
for OPRE6201 available on the web.