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OM Lecture 12 Plant Layout

The document discusses plant layout and its objectives. Plant layout refers to the configuration of departments, work centers, and equipment to facilitate smooth material and information flow. The objectives of plant layout are to achieve quality production, efficient resource use, minimize costs and hazards. The key types of layout discussed are process, product and combination layouts. Process layout groups similar functions together while product layout keeps the entire production of one product together. Selecting the best layout involves analyzing production requirements, equipment needs, and comparing layout options.

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280 views13 pages

OM Lecture 12 Plant Layout

The document discusses plant layout and its objectives. Plant layout refers to the configuration of departments, work centers, and equipment to facilitate smooth material and information flow. The objectives of plant layout are to achieve quality production, efficient resource use, minimize costs and hazards. The key types of layout discussed are process, product and combination layouts. Process layout groups similar functions together while product layout keeps the entire production of one product together. Selecting the best layout involves analyzing production requirements, equipment needs, and comparing layout options.

Uploaded by

qamarulislam
Copyright
© Attribution Non-Commercial (BY-NC)
We take content rights seriously. If you suspect this is your content, claim it here.
Available Formats
Download as PPT, PDF, TXT or read online on Scribd
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OPERATIONS MANAGEMENT

Lecture 12

Plant Layout
Layout refers to the configuration of departments, work centers, and equipment, with particular emphasis on movement of work (customers or materials) through the system. The process of determination/determining the location of different departments and work places of the business according to the available area specified for this purpose.

Plant Layout
Objectives of Plant Layout: The basic objective of layout design is to facilitate a smooth flow of work, material and information through the system which involves to achieve the following objectives: Product and service quality Efficient use of workers and space Avoid undue hurdles Minimize material handling cost Eliminate unnecessary movement of workers and material Minimize production time and customer service time Workers safety

a. b. c. d. e. f. g.

Plant Layout
Importance of Plant Layout: a. System design require substantial investments of money and effort b. System design involve long-term commitments which makes mistakes difficult to handle c. System design have a significant impact on the cost and efficiency of operations.

Plant Layout
Kinds of Layout: 1. Product Layout 2. Process Layout 3. Combination Layout 4. Fixed Position Layout 5. Cellular Layout

Plant Layout
1. Process Layout or functional Layout: Layouts that can handle varied processing requirements. Features: a. An arrangement whereby all the machines performing the same function are constituted into a single department b. Diversified production c. Different functions in different departments

Plant Layout
Process Layout: Merits: i. Greater flexibility (easy to increase or decrease the number of products) ii. More use of specialization iii. Low investment in plant and machinery iv. Break down in one department Demerits: i. Prolonged movement of products from one department to the other ii. Wastage of time iii. Increase in internal transportation iv. Difficulty in the movement of bulky and heavy weight items v. Increase in work in process vi. Increase in the chances of accidents

Plant Layout
2. Product Layout: Layout that use standardized processing operations to achieve smooth, rapid and high-volume flow. Such arrangement whereby separate production line is maintained as a separate department under the supervision of separate production supervisors. Features: a. Separate production department for each product b. Control of product in the hands of one product or line incharge c. Suitable for few products

Plant Layout
Product Layout: Merits: a. Short movement of product b. Less internal transport c. Easy movement of bulky and heavy product d. Less investment in work in process Demerits: a. Less flexible in diversification b. Less use of specialization c. More investment in plant and machinery d. Break down at any stage effect the total production line

Plant Layout
Selection of Best Layout: 1. Obtaining the basic information about the product:
a. Present products and their designs b. Future expansion in number of products and their designs c. Estimated production volume

2. Activity Process Chart:


a. Production flow chart prepared by engineering department with different alternatives b. Time saving device Storage, Work in process and service area c. Weaknesses and drawbacks should be mentioned

Plant Layout
Selection of Best Layout: 3. Equipment and Machinery: management accountant)
a. b. c. d.

(Done

by

cost

&

Number of machines required for production Total estimated cost Saving through overtime and extra shift Replacement of installed machinery

4. Service Department:
a. Balance capacity (maximum space not more than 1/3 of available space) b. Production function preferably on ground floor

Plant Layout
Selection of Best Layout: 5. Review of space allocation:
a. Saving of space by multistory building b. No violation of rules provided by the government

6. Comparison of different options:


a. Appointment of a committee from different departments to analyze the option b. Cost analysis c. Merits and demerits discussion d. Recommendations given along with a model

Plant Layout
7. Completion of Layout:
a. b. c. d. e. f. Check out layout model in the broad spectrum Analysis of actual performance of model Final approval granted by the authorities Plans put into action Regular review of plan by both the committee and authorities Immediate proper measure to be opted in case difficulties arise in the later stages

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