Facility and Work Design: Operations Management

FACILITY AND
WORK DESIGN
O P E R AT I O N S M A N A G E M E N T
FACILITY LAYOUT
• Refers to specific arrangement of physical facilities.
• Facility Layout studies are necessary whenever:
• a new facility is constructed,

• there is a significant change in demand or throughout volume,
• a new good or service is introduced to the customer benefit

package, or
• different processes, equipment, and technology are installed.

FACILITY LAYOUT
PRODUCT LAYOUT
• Product layout is an arrangement based on
the sequence of operations that are
performed during the manufacturing of a
good or delivery of a service
PROCESS LAYOUT
• A process layout consists of a functional grouping
of equipment or activities that do similar work.
• Examples: legal offices, shoe manufacturing, jet

engine turbine blades, and hospitals use a process
layout.
PROCESS LAYOUT
PROCESS LAYOUT
• Advantages: A lower investment in equipment, the diversity
of jobs inherent in a process layout can lead to increased
worker satisfaction.
• Disadvatages: High movement and transportation costs, more

complicated planning and control systems, longer total
processing time, higher in-process inventory or waiting time,
and higher worker-skill requirements.
CELLULAR LAYOUT
• In a cellular layout, the design is not according to the
functional characteristics of equipment, but rather by self-
contained groups of equipment, needed for producing a
particular set of goods or services.
• Examples: Legal services, such as labor law, bankruptcy,

divorce; medical specialties such as maternity, oncology,
surgery.
CELLULAR MANUFACTURING
LAYOUT
CELLULAR LAYOUT
• Advantages: Reduced materials-handling requirements,
quicker response to quality problems, more efficient use
of floor space, more worker responsibility increasing
morale.
• Disadvatages: Duplication of equipment among cells,

greater worker skills requirements.
FIXED-POSITION LAYOUT
• A fixed-position layout consolidates the resources necessary
to manufacture a good or deliver a service, such as people,
materials, and aquipment, in one physical location.
• Examples: The production of large items such as heavy

machine tools, airplanes, buildings, locomotives, and ships is
usually accomplished in a fixed-position layout.
FIXED-POSITION LAYOUT
• Advantages: Work remains stationary, reducing

movement.
• Disadvatages: High level of planning and

control required.
FACILITY LAYOUT IN SERVICE
ORGANIZATIONS
Service organizations use product, process, cellular, and fixed-position
layouts to organize different types of work.
• Process layout - Services that need the ability to provide a wide variety
of services to customers with differing requirements usually use a
process layout.
- Examples: Libraries, Hospitals, insurance companies
• Product layout - services oragnizations that provide highly

standardized services tend to use product layouts.
- Examples: Restaurant kitchens
DESIGNING PRODUCT LAYOUTS
• An assembly line is a product layout dedicated to combining

the components of a good or service that has been created
previously.
• Assembly line balancing is a technique to group tasks among
workstations so that each workstation has -in the ideal case-
the same amount of work.
• Cycle Time is the interval between successive coming off the
assembly line.
6-3 “Designing Process
Layout”
• In designing process layout, we
are concerned with the arrangement
of departments or work centers
relative to each other.
6-3 “Designing Process Layout”
TWO(2) MAJOR APPROACHES ARE COMMONLY

USED:
• The first focuses on the costs associated with moving
materials or the inconvenience that customers might
experience in moving between physical locations.
• The second approach is used when it is difficult to
obtain data on costs or volumes moved between
departments.
6-3 “Designing Process Layout”
• Absolutely necessary
• Especially important
• Important
• Ordinary closeness okay
• Unimportant
• Undesirable
6-4 “Workplace and Job
Design”
•A well-designed workplace should allow for
maximum efficiency and effectiveness as the
work task or activity is performed, and may also
need to facilitate service management skills,
particularly in high-contact, front-office
environments.
6-4a “Workplace Design”
*Key questions that must be addressed in designing the workplace include:
1. Who will use the workplace? Will the workstation be shared? How much space
is required?
2. How will the work be performed? What tasks are required? How much time does each
task take? How much time is required to set up for the workday or for a particular job?
3. What technology is needed?
4. What must the employee be able to see?
5. What must the employee be able to hear?
6. What environmental and safety issues need to be addressed? What protective clothing or
gear should the employee wear? What is an acceptable noise level? Are all employ ees
trained on emergency evacuation procedures and plans?
`
6-4a “Workplace Design”
`
6-4b “Job Design”
The physical design of a facility and the workplace can influence significantly
how workers perform their jobs as well as their psychological well-being.
• JOB- is the set of tasks an individual performs.
• JOB DESIGN- involves determining the specific job tasks and
responsibilities, the work environment, and the methods by which the tasks
will be carried out to meet the goals of operations.
Two broad objectives must be satisfied in job design.
One is to meet the firm's competitive priorities-cost, efficiency, flexibility,
quality, and so on; the other is to make the job safe, satisfying, and motivating
for the worker.
`
Since the 1950s, the relationship between the technology of operations and the
social/psychological aspects of work has been understood. This relationship is known as
the SOCIOTECHNICAL APPROACH to job design. It provides useful ideas for
operations managers to design jobs that balance technical and social/psychological
aspects of work. Sociotechnical approaches to work design provide opportunities for
continual learning and personal growth for all employees.
• JOB ENLARGEMENT is the horizontal expansion of the job to give the worker
more variety although not necessarily more responsibility.
• JOB ENRICHMENT is vertical expansion of job duties to give the worker more
responsibility. A highly effective approach to job enrichment is to use teams.
• Some of the more common ones are: natural work teams, which perform entire
jobs, rather than specialized, assembly-line work.
`
• Virtual teams, in which members communicate
by computer, take turns as leaders, and join
and leave the team as necessary; and
• Self-managed teams (SMTs), which are
empowered work teams that also assume
many traditional management responsibilities.
`
6-4c “Safety, Economics, and the Work
Environment”
• Safety is one of the most important aspects of workplace design,
particularly in today's society. To provide safe and healthful
working conditions and reduce hazards in the work environment, the
Occupational Safety and Health Act (OSHA) was passed in 1970.
• Ergonomics is concerned with improving productivity and safety by
designing workplaces, equipment, instruments, computers,
workstations, and so on that take into account the physical
capabilities of people.
`
6-4d “Workforce Ethics and Global Supply
Chains”
• Global supply chains bring a host of new issues related to
the design of work, Workers in many countries are
bullied, and forced to work excessive hours, for wages on
which they can barely survive.
• Ethical trade means that retailers, brands, and their
suppliers take responsibility for improving the working
conditions of the people who make the products they sell.
`
6-4d “Workforce Ethics and Global Supply Chains”
ETI seeks to ensure the following:

• Employment is freely chosen.
• Freedom of association and the right to collective bargaining are respected.
• Working conditions are safe and hygienic. Child labor shall not be used.
• Living wages are paid.
• Working hours are not excessive.
• No discrimination is practiced.
• Regular employment is provided.
• No harsh or inhumane treatment is allowed.
`
TASK: Arrange the jumbled letters below.
A. GOERMICSNO
B. SIDGENNIG OSSPRCE AOUTYL
C. NICALTSCIOHECO PPAAOCHR
D. CIIFALTY DNA KWOR GNEDIS
E. LLLEAUCR YTLAOU
`
FOUR MAJOR LAYOUT
PATTERN
1.
2.
3.
4.
`

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FACILITY AND

• Facility Layout studies are necessary whenever:

• a new facility is constructed,

• a new good or service is introduced to the customer benefit

• different processes, equipment, and technology are installed.

• Examples: legal offices, shoe manufacturing, jet

• Disadvatages: High movement and transportation costs, more

• Examples: Legal services, such as labor law, bankruptcy,

• Disadvatages: Duplication of equipment among cells,

• Examples: The production of large items such as heavy

• Advantages: Work remains stationary, reducing

• Disadvatages: High level of planning and

• Product layout - services oragnizations that provide highly

• An assembly line is a product layout dedicated to combining

TWO(2) MAJOR APPROACHES ARE COMMONLY

ETI seeks to ensure the following:

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