Introduction to Facilities Design and Planning

FACILITIES: Examples

Production: any discrete parts or process industry facilities Health care: hospitals, clinics, rehab. centers, nursing home Education: schools, colleges, day care centers, libraries Food: restaurants, fast-food places, banquet halls Commercial/ Residential: shopping malls, office buildings, banks, houses, hotels Government/ bPublic Services: court house, post office, Transportation: airports, train stations, bus terminals Public assembly: auditoriums, theaters

Fixed assets like building structures and inanimate resources that support the operations of a given activity. Facilities put together with humans, materials, energy result in the activity

FACILITIES PLANNING

Determines how an activity's fixed assets best support achieving the activity's objectives. Planning determines course of action, ahead of time so subsequent decisions can be made efficiently Design more technical details, describe the implementation of the plan
Engineering: industrial, civil, electrical, mechanical, Architects, managers, personnel from the activity, etc.

Disciplines involved in facilities design

Major functions of facilities design engineering viewpoint

Location of the facility Placement of the facility Choice of resources Layout of resources/components Performance evaluation

Facilities Planning Hierarchy

Structure design: building and support services - gas, water, light, air, Layout design: space requirements and location of resources in available space. Handling system design: movement of material, people, information and equipment.

Reasons for facilities planning/design

New field Expansion due to volume or diversity Replacing an obsolete facility Relocating or consolidation Legal: Occupational Safety & Health

Importance of facilities planning

Minimize material handling costs Utilize space efficiently Utilize labor efficiently Eliminate bottlenecks Facilitate communication and interaction between workers, between workers and their supervisors, or between workers and customers

Reduce manufacturing cycle time or customer service time Eliminate waste or redundant movement Facilitate the entry, exit, and placement of material, products, or people Promote product and service quality Encourage proper maintenance activities Provide a visual control of operations or activities Provide flexibility to adapt to changing conditions

Facilities Planning Process

1. 2. 3.

4. 5. 6.

Define the problem Analyze the problem Determine the space requirements for all activities and generate alternative designs Evaluate the alternatives Select the design Implement the design

1. Problem Definition

Criteria, wishes, constraints data Objective: to maximize overall efficiency & minimize total costs. Important costs:

Design - Construction - Installation - MH Transportation/distribution - Operating & maintenance Wip - Change

Criteria: may be mathematical function or wishes

Productivity - Capital investment - Space utilization Flexibility - Mh effectiveness - Aesthetics

2.Analyze the problem 3.Determine the space requirements for all activities and generate alternative designs

Primary and secondary support activities The interrelationships Alternatives: generated by a search procedure

Seek many alternatives Avoid conservatism Avoid premature satisfaction or rejection Attempt to divorce your thinking from the existing solution Consult others Try the group approach

4 Evaluation: use models to assess performance

Scale (iconic) models - Symbolic (mathematical) models List of pros and cons - Ranking Cost comparison

5 Selection 6 Implementation

Single most important cause of high material handling costs is lack of strategic facilities planning

Product quantity Necessary equipment Number of each piece of equipment. The floor space needed.

The followings are among the items of information required

a. Sales potential; number of each item to be produced; nature of variations in demand; etc. b. Product model; details of product or products. c. Engineering drawings; detailed drawings and parts lists. d. Engineering specifications; details of assemblies and subassemblies. e. Production routing; operation layouts showing operations (hence routing) and operations times. f. Equipment requirements; details of machinery, processes required etc. g. Inventory policies. h. Space requirements. i. Any special considerations; special handling requirements, quality etc.

Product and Quantity

1. Product (or material); what is to be made or produced. 2. Quantity (or volume); how much of each item is to be made.

INPUT P , Q , R , S , T AND ACTIVITIES

P (product) Q (quantity) R (routing) S (supporting services) T (timing)

The routing (R) refers to how the product or material will be made. Routing may be defined by operation-and- equipment lists, process sheets, flow sheets, etc.

Supporting Services (S): Supporting services include maintenance, repair, tool room, toilets and locker rooms, cafeteria, first aid, and frequently shop offices, rail sliding, receiving dock, and shipping dock. It is common to include storage areas as a part of the supporting services as well.

Time (T): Time or timing involves when products will be produced. Operating times for the producing operations determine how many of a given piece of machinery are required, which in turn determines the space required, and man-power staffing.

They will then lead together to develop the flow of materials. P, Q and S will lead together to develop a service activity relationship. From the flow of materials, the activity relationship chart, or a combination of the two, are then diagrammed.

Product Design

Functions Dimensions and shape Materials Quality and aesthetics

The product design is then described in: Engineering drawings: specify materials, dimensions, quality, assembly structure

Multiview drawing: third angle projection Perspective drawing Assembly drawing

Product Design

Parts list: Name, Descr., Drw. #, Quantity req., Material, Size, Vendor Bills-Of-Materials (BOM): Assembly structure - Matl. Req.

Part Lists : The parts list is merely a listing of all the components contained
in a finished product.

Bill of Materials

Bill of materials: One of the three primary inputs

of MRP; a listing of all of the raw materials, parts, subassemblies, and assemblies needed to produce one unit of a product.

Product structure tree: Visual depiction of the

requirements in a bill of materials, where all components are listed by levels.

Bill of Back Materials legs

Back slats
Front legs

Seat cushion

Leg supports (A) Chair

Seat-frame boards

B (1) Ladder-back subassembly

C (1) Seat subassembly

D (2) Front legs

E (4) Leg supports

F (2) Back legs

G (4) Back slats

H (1) Seat frame

I (1) Seat cushion

Make or Buy
Problems of plant design are heavily dependent upon make or buy decisions. The determination of unit cost is usually the first step in a make-buy analysis. In such an analysis management is interested in: (1)Reducing unit material and processing costs, (2)Minimizing cash investment, (3)Improving the product mix.

Make or Buy
The second step is the determination of the buying price of the same product when bought from outside. The final step will be to compare the buying price with the making price before a decision is made accordingly. Hence, the decision to make or buy a product is essentially an engineering economy problem.

Production Volume
Calculations for production volume can be made by considering production efficiency and/or scrap loss as shown below (For product type layout);
Number of product (good or quantity) Production Volume ( 100% - SL%) * (EFF%)

SL : Scrap Loss,

EFF : Production effciency

The production volume computation for the process type of layout is considerably more complicated when a number of items will be produced on the same equipment. In this situation:
Production Volume = No, of items in lot 1+ No. of items in lot 2 + .....+ No. of items in lot N.

An Example: Sales department of one company estimates that they should be able to market 12000 transistor radios annually (yllk). Each radio will consist 6 transistors. Past production performance indicates that 5% scrap allowance is reasonable and the production efficiency of 85% can be anticipated. The company works a standard 40 hr/week (50 week/year). What production volume should be used in planning the layout for the transistor department?

Solution: Calculation for the production volume would be: 40 hr/week * 50 week/year = 2000 hr/year Transistor demand = 12000 radios * 6 transistors = 72000 transistors/year.
72000 transistors / year 36 transistors / hr 2000 hours / year

Solution: Volume requirements for raw material calculations (for material);

36 transistors / hour 38 transistors / hr 100% 5%

Solution: Volume requirements for men and machines calculations (for men and machines);
38 transistors / hour 45 transistors / hr 85%