Module 4: Assembly Line Balancing: Concept and Problem, Cellular Manufacturing Concept

In the world of manufacturing, efficiency is the name of the game. Wasted time, resources, and
materials can eat into profits and hinder growth. This is where line balancing comes into play – a
strategic approach that can revolutionize your production line.
Assembly Line Balancing (ALB) optimizes the mass production process by dividing tasks into
workstations and allocating equal processing time to each one without any delay.
The assembly line in which the workstations have equal processing time with less or no ideal
time is said to be a perfect one.
It must be balanced in order to ease the manufacturing process efficiently. Besides, it involves the
apportionment and allocation of the tasks into several workstations. But, the allotment must not
impact the existing precedence relationships.
Therefore, Assembly line balancing is strategically planning, locating, and sequencing the
workstations.
Following are the examples where there is a need to balance the assembly line may arise:
• Manufacturing of Automobiles
• Assembling Aircrafts
• Shipyards, etc
Line balancing or Assembly line balancing was introduced by Henry Ford in the early 19th century.
They created an assembly line which was pulled on a continuous basis where the assemble is
carried out at each stations. Initially in 1913, they took 12hrs and 8mins to assemble the chassis, but
it later in 1914, it took only 93mins to assemble a new Model-T in a moving production line.

What is the meaning of Assembly Line?

An assembly line is the number of production processes arranged in a sequence. It is a
transformation process where the raw materials turn into a finished product. Also, assembling
different parts and combining them to form a single product.
We can also understand it as a set of tasks that moves serially until we get the finished product. It is
helpful for the production of complex products.

What is Balancing in Operations Management?

Balancing the lines is grouping tasks under workstations and assigning equal processing time to
them. There is a need for line balancing in order to keep the output rate equal at all the
workstations.

Where to use line balancing?

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 The Line balancing is used in case where there are multiple work stations in an assembly or
production line as well as the cycle time and the production flow is to be balanced with the
available takt time.
There are few factors that needs to be considered while performing line balancing.
▪ The individual processing time of workstations should not vary even if several operators are
working parallel in the station.
▪ Understand the precedence of the workflow

Key Terms:
1. Workstation: A workstation is a specific physical area where a task or group is performed in
the assembly line.
2. Task: The task is a minor division of the work that cannot be subdivided further.
3. Precedence Diagram: A precedence diagram is used to represent the assembly line. It depicts
the relationship of the tasks with each other. And it also shows the flow of the production
activities. We prepare a precedence diagram with the help of Nodes and Arrows.
4. Cycle Time: It is basically the rate at which the overall production is taking place. We can
calculate it with the help of the formula given below: CT = Productive Time/Demand per Period
5. Heuristics: Heuristics are the methods to discover a solution that helps in decision making. It
acts as a guideline for solving typical problems.
Following are the two heuristics methods that one can use in ALB: –
A. Ranked Positional Weight (RPW) Method
B. The Computer Method of Sequencing Operations for Assembly Line (COMSOAL)
6. Takt time: The time available to carry out production in relation to the customers’ demand for
that product. Takt Time = Available Time/Customer Request

What is Line Balancing and Takt Time in Manufacturing?

At the heart of line balancing is the idea of synchronizing operator and machine time to match the
production rate to the takt time. Takt time is how many parts or products must be produced to meet
customer demand. Essentially, the rhythm keeps your production line in harmony with market
requirements.
If the production time aligns perfectly with the takt time, you’ve achieved the Holy Grail of
manufacturing – a perfectly balanced line. However, in the real world, imbalances can occur,
leading to bottlenecks, waiting waste, and excessive inventory. This is where line balancing shines,
helping you optimize resource allocation and streamline your operations.
Assembly line balancing is a production strategy that sets an intended rate of production to produce
a particular product within a particular time frame. Also, the assembly line needs to be designed
effectively and tasks needs to be distributed among workers, machines and work stations ensuring
that every line segments in the production process can be met within the time frame and available

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 production capacity. Assembly line balancing can also be defined as assigning proper number of
workers or machines for each operations of an assembly line so as to meet required production rate
with minimum or zero ideal time.
The very purpose of line balancing is to assign workloads to each assigned work station in a manner
that the every works stations has approximately same amount of work to be done.

Objectives: The objective of using ALB is to divide the entire work process into several sub-
stations. But, the division must not affect the precedence relationships of the tasks and must not
exceed the cycle time. Besides these, we perform line balancing for the following reasons:
• Minimization of the cycle time
• Minimizing the number of the workstations
• Maximization of workload and smoothness
• Maximization of work-relatedness

The Benefits of Line Balancing in Manufacturing

1. Reducing Waiting Waste: Idle time is a silent killer in manufacturing. Operators waiting for
materials or equipment downtime are prime examples of waiting waste. Line balancing ensures that
every element in the production process is harmonized, minimizing downtime and reducing waiting
waste.
2. Cutting Inventory Waste: Excess inventory ties up capital and indicates inefficient allocation.
Line balancing standardizes production, reducing work in progress and bringing you closer to just-
in-time delivery, saving costs and ensuring efficiency.
3. Adapting to Change: A balanced production line is flexible, capable of adapting to changes in
customer demand. Line balancing allows you to quickly realign your operations, making it easier to
adjust production rates when needed.
4. Boosting Profits: A perfectly balanced line maximizes the efficiency of both manpower and
machine capacity. Idle operators become a thing of the past, and machines work at full potential,
reducing costs and increasing profits.

Achieving Line Balancing

The process of line balancing involves several crucial steps:
1. Calculate Takt Time: Knowing your takt time is essential. It’s calculated as available working
time per shift divided by the rate of customer demand per shift.
2. Perform Time Studies: Understanding the time required for each task along the production line
is key. Leverage modern technology like IoT connectivity and manufacturing apps for accurate and
continuous data collection.

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 3. Identify Bottlenecks and Excess Capacity: Analyze your data to spot areas where tasks take
longer than takt time (bottlenecks) and areas with excess capacity. This insight forms the foundation
for rebalancing.
4. Reallocate Resources: Consider task precedence and rearrange tasks to reduce excess capacity
and resolve bottlenecks. Organize tasks into groups that minimize operator idle time and maximize
machine utilization.
5. Implement Other Improvements: Leverage Lean practices like 5S, visual management, and
error-proofing to reduce variation and improve process efficiency further.

Line balancing isn’t just a manufacturing buzzword; it’s a powerful strategy that can revolutionize
your production processes. By minimizing waste, reducing inventory, adapting to change, and
boosting profits, line balancing can unlock value for your organization. So, take the plunge, analyze
your lines, improve, and reap the rewards of a more efficient production line.

Assembly Line Balancing Models

Assembly Line Balancing is segregated into two groups as follows:
Group – 1
1. Single Model: It is used where the production of a single commodity takes place.
2. Multi-Line Model: In this, the manufacturing takes place in batches, i.e. production of more
than one commodity.
3. Mixed Model: Here, the production happens for the same product’s variants simultaneously.
But the production is not happening in batches.
Group – 2
1. Simple ALB: It is the simplest and most systematic model for line balancing. The
production of a single commodity takes place having features like: –
◦ Fixed-rate launching
◦ Equally equipped stations
◦ Serial Layout
2. General ALB: All the models, excluding small ALB, are the general ALB. It may include: –
◦ Balancing of mixed models
◦ Parallel, U-shaped & two-sided models
Therefore, by using gALB, firms can develop more realistic Line Balancing models.

Steps or procedure of Assembly Line Balancing OR How to perform Line balancing?

Step 1. Define the tasks: The first step is defining all the steps or tasks in the processes involved in
production or assembly line.

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 Step 2. Identify Precedence Diagram: List the precedence and relationships of the tasks defined. A
precedence diagram will represent the flow of the process using nodes and arrows for activities.
Step 3. Find out the number of workstations.
I. Sum of all Cycle times: The sum of cycle times of all tasks are calculated from the precedence
table. All the tasks identified in the assembly are taken for calculation.
II. Takt time: Takt time is the rate at which units or services needs to be processed in order to
meet the rate of customer demand. “Takt” is a German word for “heartbeat” or “rhythm”. So
takt time is the output rhythm for the process that needs to be achieved to satisfy the customer

demand.
III. Number of workstation calculation

Step 4. Selection and assigning tasks to the workstation: After identifying the workstations,
select the workstation based on the precedence diagram and workstation tasks group.
Step 5. Understand the efficiency of the line: Based on the current cycle time of the workstation,
calculate the efficiency of the line. We can further improve the efficiency on a later stage based on
demand.
Step 6. Line Rebalancing: The rebalancing can be done for the improved customer demand in
future. The same steps will be continued to rebalance the line for improved customer demand.

Assembly line balancing problems

Assigning tasks to workstations is one of the challenges in an assembly line. Each and every tasks
will be having different type of cycle time and type of process requirements.
For having an efficient line, the line should be balanced with minimum Mura(unevenness), Muda
(waste) and Muri (overburden)

Assembly Line Balancing Problem - I

Problem: The below product in a factory is assembled in an assembly line. This process needs to be
re-arranged to find a balance that minimizes the workstation cycle time.
Existing Assembly Line: Below is an assembly line showing list of 13 activities that needs to be
completed to produce a product. The actual time required to produce each of this activity are as
follows.

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 The assembly line has 5 workers (work stations) stationed on the line as follows where back
tracking is not allowed.

The activities assigned to each workstation by production team are as follows.

Number of Workstation: Number of Workstations (n) = 5

Total Processing Time: Tp = ? Processing Time of all activities
Tp = 30 + 50 + 40 + 50 + 20 + 20 +10 +10 + 10 + 20 + 30 + 50 + 10
Tp = 350 Seconds
Cycle Time of Each Work Station:

Cycle Time of Assembly Line: Cycle time of Assembly Line is the maximum time of individual
work stations.
CL = Maximum (CW1, CW2, CW3, CW4, CW5)
CL = Maximum (80, 60, 70, 70, 70)
CL = 80 Seconds
Balance Delay: Balance delay indicates the ideal time on the assembly line.
Balance Delay (DL) = (nCL – Tp)/ nCL X 100
DL = [(5 X 80) – 350] / [5 X 80] X 100
DL = 12.5%
Production Rate: Assuming Production happens 24 Hrs in 3 shifts each of 8 hrs.

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 Production rate (PL) = Available Time / Cycle Time
PL = (24 X 60 X 60)/ 80
PL = 1,080 Units
Hence with existing assembly line, 1080 units can be produced per day.
Rearrangement for Better Balance:
Total Number of Workstations ( n ) = 5
Total Processing Time ( Tp ) = 350 Seconds
Average Time per work stations = Tp/ n = 350/5 = 70 Seconds
Following rearrangement was done, so that each station could be allocated 70 seconds.

Cycle Time of Assembly Line (CL) = 70 Seconds

Balance Delay (DL) = 0, Balance delay is Nil.
Production rate: Production rate (PL) = Available Time / Cycle Time
PL = (24 X 60 X 60)/ 70
PL = 1,234 Units
Hence with new assembly line, 1234 units can be produced per day.
Increase in Production = 1234 – 1080 = 151 Units.
Percentage Increase in Production = (151/ 1080) X 100 = 14%

In the above example we could clearly understand that with proper arrangement and allocation of
activities and tasks to individual workstations in assembly, we could increase production by 14%. In
the manufacturing industry it is always necessary to re-arrange the activities based on individual
workstations so that the total processing time can be optimized and the effort – well balanced,
leading to optimum level of production.

Assembly Line Balancing Problem - II

One of the biggest problems in balancing the assembly line is assigning tasks to Workstations. All
the tasks differ from one another and require different process times.
But the total time of the workstations has to be equal. Consequently, line managers face problems
during tasks allotment and creating the workstations.
Example
Suppose a line manager has to produce 216 units in a 6-hour shift. The tasks list with its required
processing time and immediate predecessor is listed in the table below:
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 Using the above details, develop a plan for an assembly line.
Solution:
Based on the above table, we will draw a precedence diagram for the given tasks.

In the next step, we need to calculate the Cycle Time. But first, we will convert the productive time
from Hours to Seconds because tasks time is given in Seconds.
6-Hours = 21600 seconds
CT = Productive Time/Demand per Period
So, CT = 21600/216 = 100 Sec
Therefore, 1 unit must be produced after every 100 seconds in an assembly line.
Now, will we find the least number of workstations needed for the production. For this, we will
divide the Total Task Time by Cycle Time.
Total Task Time = 400 Sec
Cycle Time = 100 Sec
So, Minimum Number of Stations = 400/100 = 4 Stations
Thus, we need 4 workstations to produce a unit every 100 seconds.
Now, we will assign the tasks in these workstations using the Longer-Operation-Time-Integer
heuristic.

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 The design of the assembly line will be as follows:

Assembly Line Balancing Problem - III

A production line has to produce 300 units in a 9hr shift. The company is running in single shift per
day with 2 tea-breaks of 15mins each in morning and afternoon and a 1hr lunch break.
The problem can be solved by using the line balancing technique.
A. First understand the tasks and prepared the sequence diagram along with cycle time as
provided below and plot the precedence diagram.

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 B. Calculate the available time cycle time for the day.
Shift time per day = 9hrs= 9*60=540mins
Breaks = 1hr +(2*15mins) = 90mins
Available time per day = (540-90)*60= 27000secs/day
Demand per day = 300 units/day

Takt time = 27000/300= 90secs

Therefore,1unit must be produced every 90secs in the assembly line.
C. Calculate number of stations
Now the least number of machine in the workstations that needs to be balanced with the takt time of
90sec.
We have the total cycle time of all tasks = 270sec

=270/90 = 3stations
Thus the manager need 3 stations to produce a unit in every 90secs.
D. Workstation assignment
The longer operation time integer heuristic method to assign tasks to workstation. The Table
1, shows the workstations and their tasks after balancing the assembly line for a takt of
90secs.
Table 2: Cycle time of individual tasks in workstations
E. Identify the flow
The cycle time for individual workstations are plotted in Table 2., to get an understanding on how
the cycle time is balanced with respect to target takt time.
F. The final assembly line
The graph shows how the assembly line is balanced with respect to the takt time. The final
assembly line will be as shown in the figure 3, below.

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 Solution:
Based on the above table, we will draw a precedence diagram for the given tasks.

In the next step, we need to calculate the Cycle Time. But first, we will convert the productive time
from Hours to Seconds because tasks time is given in Seconds.
6-Hours = 21600 seconds
CT = Productive Time/Demand per Period
So, CT = 21600/216 = 100 Sec
Therefore, 1 unit must be produced after every 100 seconds in an assembly line.
Now, will we find the least number of workstations needed for the production. For this, we will
divide the Total Task Time by Cycle Time.
Total Task Time = 400 Sec
Cycle Time = 100 Sec
So, Minimum Number of Stations = 400/100 = 4 Stations
Thus, we need 4 workstations to produce a unit every 100 seconds.
Now, we will assign the tasks in these workstations using the Longer-Operation-Time-Integer
heuristic.

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 The design of the assembly line will be as follows:

Conclusion
In conclusion, ALB is the optimization of the mass manufacturing process. This optimization occurs
by reducing the ideal and cycle time by creating workstations.
Line balancing results in the greatest use of resources. It also increases the efficiency of the overall
production process.

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 Cellular Manufacturing Concept
In biology, a cell is the smallest unit of life that can survive on its own.
Applying this idea to manufacturing gives us cellular manufacturing and the concept of creating
units called manufacturing cells. These manufacturing cells can be thought of as miniature versions
of a plant layout capable of producing a complete product or a product family. Cellular
manufacturing is a part of lean manufacturing ideology and can help grow your business by
optimizing your production process. Let’s examine cellular manufacturing under a microscope and
learn more about it.

What is cellular manufacturing?

Cellular manufacturing refers to a manufacturing strategy used to arrange different machines
functionally in specific geometric layouts and larger functional units known as manufacturing cells
to optimize the production process.
The manufacturing cells are designed in such a way that each cell consists of all the machinery and
workforce required to produce a product or a product family that is similar to each other. Since there
are various machines in a unit, cellular manufacturing systems focus on training a cross-functional
workforce that can easily operate all the machinery within a cell. This encourages the technicians to
be creative and suggests process improvements, adding fewer defects and higher product
throughput.
Cellular manufacturing evolved from ideas that were first proposed by Ralph Sanders. They then
went on to mature into important concepts of lean manufacturing and lean six sigma principles due
to their common focus on reducing waste and continually improving production processes.

Cellular manufacturing vs traditional layouts

Cellular manufacturing is in sharp contrast to the traditional manufacturing approach to factory
route manufacturing layouts, in which functionally similar machines are grouped and placed close
to each other.
Unfinished products have a larger travel distance between different groups of machines than the
traditional approach. Also, defects pass through faster due to the slower communication about
process improvements. These contribute towards multiple wastes of manufacturing, such as
transport, motion, and correction.
In cellular manufacturing, a single cell can produce a finished product, and this drastically reduces
materials handling and the travel distances of resources.
However, the traditional approach has a saving grace in the form of its robustness against
machinery breakdown. In the cellular approach, a broken down machine could take the entire cell
offline until the machine is repaired. That being said, at larger workloads, cellular manufacturing
systems outperform traditional approaches by miles simply because of their flexibility and
efficiency improvements.

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 Traditional Manufacturing
Cellular Manufacturing Layout
Layout

Machines and workstations are Machines and workstations are

Layout Design arranged based on their process- arranged based on their technical
based classification similarity

Implementation The implementation is usually The implementation is usually short,

Time complex and can take longer simple, and straightforward

The business becomes less agile due The business becomes more agile due
Business Agility to the longer movement across to the shorter movement across
different departmental regions different departmental regions

Lower employee participation and Higher employee participation and

Employee
innovation as employees are innovation as employees are assigned
Participation
assigned to only specific department to cross-functional teams

Inter-
Effective communication within each
departmental Communication gaps are observed
cell
Communication

5 advantages of cellular manufacturing

Here are some advantages of implementing cellular manufacturing in your lean manufacturing
workflow:
• Enhanced production environment and quality control
• Improved capacity to produce high-volume, high-variety products at a fast pace
• Substantial reduction in manufacturing lead time and waste
• Smaller work-in-progress (WIP) inventory
• Develop a highly versatile and efficient workforce

3 disadvantages of cellular manufacturing

As with everything, there are disadvantages to cellular manufacturing as well. Here are three:
• Prone to production bottlenecks in case of machinery breakdown
• Errors in the setup can lead to a loss of efficiency instead of the promised improvements
• The setup time can be long since moving machinery and training take time

Implementing cellular manufacturing

Since cellular manufacturing is part of the lean inventory ideology, the implementation process
should start with understanding lean manufacturing principles.
With that covered, in order to implement cellular manufacturing, your focus should be on mapping
value streams and understanding how materials and resources move across your shop floor. This is
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 where cloud inventory software like Katana can come in handy with its shop floor control features
that help you understand and track the patterns.
However, Nancy Hyer and Urban Wemmerlöv, who are distinguished production process
researchers, note that implementing cellular manufacturing has a “hard” side and a “soft” side. The
hard side of things is the technology, the machinery, and the processes themselves. While the soft
side is composed of people and the soft skills required to work with the hard side. Changing the soft
side is often far more difficult than moving heavy machinery and modifying processes.
However, given the advantages of cellular manufacturing, it could prove well worth the effort to
undergo this large change.

What are the Steps in the Cellular Manufacturing Process?

1. Assess Product-related Processes
The first step in the Cellular Manufacturing process involves assessing the scope of various work-
related and product-related processes and finding opportunities for reducing the time gap in the
transportation of Work-in-progress (WIP) material.
2. Movement of Machines
The next step in the Cellular Manufacturing process is to rearrange the locations of various
machines and keep them close to each other. Keeping machines close to each other lowers the time
required for transportation of Work-in-progress (WIP) materials.
3. Mitigating Technical Defects
The final step in the Cellular Manufacturing process is to take the appropriate measures to reduce
inefficiencies across various organizational processes, identifying and mitigating technical defects.
This is normally accomplished through implementing TPM and Six Sigma methods.

What are the Different Layouts in Cellular Manufacturing System?

As described earlier, the core idea of cellular manufacturing is to arrange equipment and
workstations in specific geometric patterns in order to optimize the production process. So let us
now look at some of the most common cellular manufacturing layouts or cell layouts to understand
which ones suit your needs.
1. Hybrid Manufacturing Layout: The Hybrid Manufacturing Layout is most commonly used
across large manufacturing facilities. It helps them reduce manufacturing costs, maximize
production capacity, and enhance efficiency. It combines the processes across both
manufacturing and automation.
2. U-Shaped Manufacturing Layout: As the name describes, the U-shaped cellular
manufacturing layout arranges the locations of machines in a U-shaped manner. The company
arranges machines in proximity to each other, which allows it to get complete control over the
production process and thoroughly track the process. The U-cell, as the name suggests, is when
the machinery is arranged in the shape of the letter U. Although this is similar to the linear cell,
the U-shaped cell is more compact and has a smaller footprint on the shop floor. In addition to
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 the space savings, this type of cell layout allows for better communication between technicians
since they are much closer to each other than in the I-shaped cell
3. O-Shaped Manufacturing Layout: The O-shaped cellular manufacturing layout emphasizes
separating cells within a manufacturing unit and arranging the locations of machines in an O-
shaped manner. This manufacturing layout is best suited for manufacturing products with
repetitive steps. It is also useful where a single operator operates multiple machines at a time.
Also known as the Cage, this is similar to the U-shaped cell but with machines arranged in a
rough circle. Usually, these cells are managed by only one technician who is highly skilled at
using all the machines in the cage. It is suited for products that require multiple passes through
the machines.
4. T-Shaped Manufacturing Layout: The T-shaped cellular manufacturing layout arranges the
machines in a T-shaped manner with the vertical and horizontal lines indicating the main
production line and secondary production line respectively. The primary aim of this layout is to
facilitate the faster movement of Work-in-progress and labor. When products need raw
materials from different sources, or when products need to be slightly specialized it is normal to
have a T-shaped cell. Cells designed in this pattern can be configured to either have a
converging or diverging flow of materials.
5. S-Shaped Manufacturing Layout: The S-shaped cellular manufacturing layout organizes the
machines in an S-shaped manner and prepares them for a long loop. The benefit of this layout is
to reduce the delay in the transportation of Work-in-progress items from one workstation to
another, improve productivity, and bring optimum results. This layout is used when you want to
work around obstructions or irregularities on the shop floor and you still want to implement
cellular manufacturing. Although the exact shape of the cell itself doesn’t matter so much in this
arrangement, the idea is to have a small logical unit of production.
6. Fixed Position Layout: The fixed position layout enables businesses to ensure better quality
compliance, retain existing, and enhance customer satisfaction. It is largely used by
manufacturers of highly-specialized products such as medical devices, and highly complex
products such as aircraft, and ships. In this type of layout, a fixed product location is used.
7. I-shaped cell: The I-cell, also known as the linear cell, is an arrangement of machines in a
linear order. Being one of the simplest of the cellular layouts, this arrangement is the closest to
having multiple assembly lines. It is great for products where the sequence of operations is
straightforward, and materials don’t need to move back and forth between machines.
Additionally, the I-shaped cell can be configured so that technicians can work on both sides of
the cell.

Key Components of Cellular Manufacturing Process

1. Standardized Work Procedures
Standardized Work Procedures are an integral part of the Cellular Manufacturing concept. They
help your business build products that are of higher quality, safe, and durable. Adopting these

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 procedures in your business can help you predict and maintain the acceptable quality level of the
final products, and win customer trust.
2. Flexible Manufacturing Systems (FMS)
The Flexible Manufacturing System (FMS) uses automated manufacturing systems to adapt to the
changes in the nature and the quantity of the products being produced. While this system has
benefits such as lower manufacturing costs and lower dependence on labor work, it is expensive and
requires a dedicated team of technicians to set it up.
3. Quality Control
Modern-day customers are highly conscious of the quality, sustainability, and durability of the
products. As such, businesses are putting Quality Control and Inspection measures at every stage to
ensure the final products meet the desired quality standards. Not just that, total quality management
helps businesses produce safe products, and mitigate legal & regulatory risks.
4. Work-in-progress Management
Another key component of the Cellular Manufacturing concept is Work-in-process Management.
Effectively managing the WIP materials helps reduce the lead time and effectively improve the
liquidity levels. Moreover, the business can reduce inventory costs and storage space.
5. Batch Size Optimization
Batch Size Optimization involves producing smaller batches. It helps reduce the threshold of
inventory to its minimal required level. This helps in several ways. It reduces the manufacturing
waste. It also allows businesses to identify errors on a timely basis and take corrective actions to
reduce inventory waste.

What are the Cellular Manufacturing Advantages?

There are numerous Cellular manufacturing advantages.
1. Improved Manufacturing Quality
Adopting the Cellular Manufacturing concept enables businesses to build better-quality products
that meet consumer expectations. Giving more emphasis on quality and durability can help attract
new customers and expand markets.
2. Optimum Inventory Levels
Implementing Cellular Manufacturing alongside a new-age inventory management system helps
maintain optimum inventory levels through small-sized production cells. It serves in various ways
from improving inventory efficiency, lowering waste, and bringing down the inventory holding
costs to maximizing customer satisfaction.
3. Lowers Manufacturing Waste
In today’s business landscape, consumers are conscious of the environmental and health effects of
the toxic waste released into the environment during manufacturing. Cellular Manufacturing
ensures minimal manufacturing waste and compliance with regulatory standards.
4. Reduced Lead Times

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 The process of Cellular Manufacturing transforms the traditional process of storing and moving
materials throughout the organization. By reducing complexities in the material handling and
storage processes, the company benefits from lower costs and lower lead times.
5. Promotes Open Communication
Other benefits of cellular manufacturing include improved communication and coordination.
Cellular Manufacturing typically relies on U-shaped cell layouts, where workers can closely interact
with each other, share ideas, and find resolutions to problems.

What are the Cellular Manufacturing Disadvantages?

As we’ve discussed the cellular manufacturing benefits, let us discuss some of its disadvantages and
the challenges faced during its implementation.
1. Higher Upfront Costs
Small and medium-sized companies may find it difficult to implement the Cellular Manufacturing
process because of the higher setup costs. Adopting the latest technology, buying new equipment,
and training employees may require significant capital.
2. Adapting to Market Trends
The Cellular Manufacturing process requires businesses to become responsive to changing
consumer preferences. It involves staying innovative and adapting to the latest market trends. It can
be a troublesome process as businesses may lack sufficient resources, money, and access to the
latest market data.
3. Coordination with External Stakeholders
Cellular manufacturing disadvantages also include challenges while dealing with external
stakeholders such as suppliers, logistical partners, and consumers. The company may face several
disruptions while aligning with the shared objectives of its partners, combating disruptions, and
building relations that are based on mutual
4. Downtime Risks
There is another added risk of equipment failure which can result in downtimes in the business
operations. The business will have to develop a backup plan to mitigate potential impacts. In the
absence of such a backup plan, the business risks negative goodwill and financial losses.
5. Employee Resistance to Change
While implementing the Cellular Manufacturing process, the Management has to communicate its
benefits to the employees, take them into confidence, and train them. However, in the absence of
open communication and training, the employees may resist change. It may hamper the true
objective of cellular manufacturing systems.

Future of Cellular Manufacturing System

1. New Manufacturing Standard

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 These days, manufacturing businesses are adopting new transformative ways to build better-quality
products at lower costs. Cellular Manufacturing and Quality Assurance and Control program are
two of them. It helps them comply with various international quality standards such as ISO and
meet customer’s evolving expectations.
2. Green Manufacturing
Green Manufacturing is gaining momentum among businesses across the world. Thanks to the
growing environment-conscious among customers and the wider public, businesses are finding new
ways to reduce environmental harm and build products that are environment-friendly. Cellular
Manufacturing System helps businesses achieve the same.
3. Technological Advancements
Businesses around the world are adopting automation and robotics to minimize production costs,
increase efficiency, and build better-quality products. The cellular manufacturing process helps
businesses stay competitive, reduce delays and damage to goods, and lower downtimes.

FAQs
1. What is the Cellular Manufacturing Definition?
Cellular manufacturing meaning is a system of production in which a large manufacturing system is
divided into smaller subsystems called “Cells” to reduce the material handling time and cost and
improve productivity.
2. What are Cellular Production Examples?
Apple and Toyota are the most popular and successful cellular manufacturing examples. Apple
produces different gadgets such as the iPhone, iPad, and iPod, with a shared set of circuits and
functionalities. Similarly, Toyota manufactures different models of vehicles with common
components.
3. Which Industries Benefit from Cellular Manufacturing System?
Various industries from automotive, aerospace, and electronics manufacturing, to medical device
manufacturing benefit from the Cellular Manufacturing System. Modern-day manufacturing
businesses have increasingly adopted the cellular manufacturing process to optimize their
production process.
4. How Does Cellular Manufacturing System Bring Down Manufacturing Costs?
A Cellular Manufacturing System reduces the amount of manufacturing waste, and the time being
spent on each manufacturing process. It also eliminates the need for additional labor and machinery.
All of these collectively result in significant cost savings.
5. How is Cellular Manufacturing Different than Traditional Layouts?
While the Traditional Layout focuses on building standardized products, the Cellular Manufacturing
System emphasizes building products with variations. It does so by dedicating every cell to building
a single subassembly that will be used in the final product.

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