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UNIT II

FACILITY LAYOUT AND DESIGN

Facility layout and design is an important component of a business's overall

operations, both in terms of maximizing the effectiveness of the production

process and meeting the needs of employees. The basic objective of layout is to

ensure a smooth flow of work, material, and information through a system. The

basic meaning of facility is the space in which a business's activities take place.

The layout and design of that space impact greatly how the work is done—the

flow of work, materials, and information through the system. The key to good

facility layout and design is the integration of the needs of people (personnel

and customers), materials (raw, finishes, and in process), and machinery in such

a way that they create a single, well-functioning system.

FACTORS IN DETERMINING LAYOUT AND DESIGN


Small business owners need to consider many operational factors when building

or renovating a facility for maximum layout effectiveness. These criteria

include the following:

1. Ease of future expansion or change—Facilities should be

designed so that they can be easily expanded or adjusted to meet

changing production needs. "Although redesigning a facility is a

major, expensive undertaking not to be done lightly, there is


always the possibility that a redesign will be necessary," said

Weiss and Gershon in their book Production and Operations

Management. "Therefore, any design should be flexible'¦.

Flexible manufacturing systems most often are highly automated

facilities having intermediate-volume production of a variety of

products. Their goal is to minimize changeover or setup times for

producing the different products while still achieving close to

assembly line (single-product) production rates."

2. Flow of movement—The facility design should reflect a

recognition of the importance of smooth process flow. In the case

of factory facilities, the editors of How to Run a Small

Business state that "ideally, the plan will show the raw materials

entering your plant at one end and the finished product emerging

at the other. The flow need not be a straight line. Parallel flows,

U-shaped patterns, or even a zig-zag that ends up with the

finished product back at the shipping and receiving bays can be

functional. However, backtracking is to be avoided in whatever

pattern is chosen. When parts and materials move against or

across the overall flow, personnel and paperwork become

confused, parts become lost, and the attainment of coordination

becomes complicated."
3. Materials handling—Small business owners should make certain

that the facility layout makes it possible to handle materials

(products, equipment, containers, etc.) in an orderly, efficient—

and preferably simple—manner.

4. Output needs—The facility should be laid out in a way that is

conducive to helping the business meet its production needs.

1. Space utilization—This aspect of facility design includes

everything from making sure that traffic lanes are wide enough to

making certain that inventory storage warehouses or rooms

utilize as much vertical space as possible.

2. Shipping and receiving—The J. K. Lasser Institute counseled

small business owners to leave ample room for this aspect of

operations. "While space does tend to fill itself up, receiving and

shipping rarely get enough space for the work to be done

effectively," it said in How to Run a Small Business.

3. Ease of communication and support—Facilities should be laid

out so that communication within various areas of the business

and interactions with vendors and customers can be done in an

easy and effective manner. Similarly, support areas should be

stationed in areas that help them to serve operating areas.


4. Impact on employee morale and job satisfaction—Since

countless studies have indicated that employee morale has a

major impact on productivity, Weiss and Gershon counsel

owners and managers to heed this factor when pondering facility

design alternatives: "Some ways layout design can increase

morale are obvious, such as providing for light-colored walls,

windows, space. Other ways are less obvious and not directly

related to the production process. Some examples are including a

cafeteria or even a gymnasium in the facility design. Again,

though, there are costs to be traded off. That is, does the increase

in morale due to a cafeteria increase productivity to the extent

that the increased productivity covers the cost of building and

staffing the cafeteria."

5. Promotional value—If the business commonly receives visitors

in the form of customers, vendors, investors, etc., the small

business owner may want to make sure that the facility layout is

an attractive one that further burnishes the company's reputation.

Design factors that can influence the degree of attractiveness of a

facility include not only the design of the production area itself,

but the impact that it has on, for instance, ease of fulfilling

maintenance/cleaning tasks.
6. Safety—The facility layout should enable the business to

effectively operate in accordance with Occupational Safety and

Health Administration guidelines and other legal restriction

PLANT LAYOUT

Plant layout is simply a mechanism which involves knowledge of the physical


arrangement of every component of the production Process for the facilities to
additional space efficiency for manufacturing cost reduction to continuous and
steady movement of the production cycle.
This arrangement includes the space needed for material movement, storage,
indirect labour and all other supporting activities or services.
Plant Layout is a master blueprint which provides for the most effective
utilisation of machine, manpower, materials for coordinating all operations
performed inside the factory to increase overall productivity.

TYPES OF PLANT LAYOUT

Plant Layout is the arrangement of machines, equipment and other physical


facilities in a planned manner.
We design Plant Layout according to many factors like- Machinery , Product ,
material etc. On the basis of arrangement of the factors we have following 4
types of Plant Layout-
1-Product or Line Layout
2-Process or Functional Layout
3-Fixed or Position Layout
4-Combination Layout
PRODUCT OR LINE LAYOUT

If all the machines are arranged in a line sequence according to the sequence of
operations of the products then it is known as Product or Line Layout.
In this arrangement each following machine or section is arranged to perform the
next operation that is performed by its preceding machine or section,
i.e. raw material starts from one end of production lines and moves from one
machine to next with a storage and material handling and minimum work in
process in a sequential path.
This type of layout is suitable for mass production and for the products having
steady demand.
This arrangement is also good for the continuous production system where the
products have small parts that are highly standardised and interchangeable.

ADVANTAGES

• Low material handling cost


• Less WIP (Work in progress)
• Better utilisation of Machine and Manpower
• Lesser time in Production
• Less space requirements
• Minimum possible cost of manufacturing
DISADVANTAGES

• No flexibility
• Breakdown of any machine in the line may shut down the whole
production line
• Difficulty in increase the production beyond the capacities of the
production lines
• If the output rate of one machine is slower than the other machine,over all
production rate decreases
PROCESS OR FUNCTIONAL LAYOUT

In Process or Functional Layout all the similar machines are positioned together
so that all the similar operations are performed at the same place.
Machines are arranged according to the nature or type of the operations or their
functions.
For all the different types of functions separate machines are available i.e. For
carrying out tapping work, all the tapping machines are grouped together
and for carrying out drilling work all the drilling machines are arranged
together.
This type of layout is useful where low volume of production is needed.
It is normally preferred for the industries involved in batch production,
manufacturing and maintenance activities of non- repetitive type.

ADVANTAGES

• In this type of layout there is no need for layout change for different
types of products
• Breakdown of any machine can be easily handled by transferring work to
another machine
• Wide flexibility exists regarding allotment of work to workers and
equipment
• There is a better utilisation of all the machines
• There is an improved product quality because of separate supervisors and
workers for all types of machines
• Breakdown of any machine does not affect the production of other
machines
• Load distribution is easily controlled
DISADVANTAGES

• High cost of material handling


• Large space required
• High investment required for inventory
• High cost of supervision
• Production time is longer
• Bottlenecks occur due to more work is in queue and waiting for further
operation
• More floor area is required
• Scheduling is tedious because work does not flow through definite lines

FIXED OR POSITION LAYOUT

In Fixed or Position type of layout the major part of a material remains at a


fixed position and all accessories, material, required tools , machinery and other
supporting equipment are brought to this location and this layout is also known
as project layout.
This layout is good for extremely large items manufactured in very small
quantities and highly preferable when the cost of moving a major piece of
material is high.
This layout is used in the manufacturing factory of boilers, hydraulic and steam
turbines etc.
ADVANTAGES

• Less material and workers movement


• Less Capital investment
• Highly flexible for varieties of products
• Ensures Continuity
• Less production cost
DISADVANTAGES

• Complicated fixtures
• Required highly skilled manpower
• Movement of machines is time consuming
• Machines are not fully Utilised
• It is limited to large items only

COMBINATION LAYOUT

Combination Layout is also known as group layout.


In this layout we use a combination of all above layouts.
Every layout has its advantages and disadvantages therefore industries prefer to
use a combination of layouts.
These days most of the manufacturing industries have adopted this kind of
layout.
In this type of layout we connect all the good features of all the types of layout
to obtain a compromise solution which will be more economical and flexible.
ADVANTAGES

• Reduction in cost of material handling and machine set-up time


• Elimination of excess work-in-process inventory
• Simple production planning functions
• Smooth flow of work
DISADVANTAGES

• Change of the existing layout is costly and time consuming


• Including new components requires thorough analysis
• Complex to use

PLANT LOCATION AND FACTORS DETERMINING PLANT


LOCATION

Every business is facing the issue of selecting the suitable location for their
factory plant. Units concerning both manufacturing as well as the assembling of
the products are on a very large scale affected by the decisions involving the
location of the plant.

Recent Trends in Plant Location of industries:

• Priority for the suburban areas

• Establishment of the industrial estate.

• Industrial development in the notified backward areas.

• Increase the role of the government and institutions.

• Conflict between governments and local institutions and or local


government
Importance of Plant Location:
Plant location with thorough analysis leads the organisation towards success.
The basic objective of organisation is to maximise the profit level. Hence, it will
be beneficial for both i.e. newly established business and already established
business. The profit maximisation can be done by increasing sales price,
increasing sales with reduced production cost, by analysing market trend, nature
and level of competition etc. Production cost can also be reduced, if firm is
located at a place where all the basic requirements (that fulfill input needs) will
be available easily.
Selection of appropriate location is necessary due to following reasons:

• Plant location partially determines operating and capital cost. It


determines the nature of investment.

• Each plant location requires some basic facilities like transportation,


availability of water, electricity, fuel, cheap labors etc.

• Each prospective location implies a new allocation of capacity to


respective market area.

• Government plays an important role in the choice of the location


keeping in view the national benefits.

Factors Affecting the Plant Location:

Many factors are considered while selecting a plant site. According to their
importance these are classified as primary factors and secondary factors.
Primary factors:

• Raw material supply: Production process will continue properly


when adequate supply of raw material is there. Raw material cost is a
part of total production cost. Inadequate supply of raw material will
result in the reduction in production. It will increase downtime and
hence reduce efficiency of industry. Due to this inadequacy, profit
maximisation may not be obtained. The time to transport & cost of
transportation is also important. Hence, industries are situated where
raw material is available easily.

• Nearness to market: This factor will produce the product to


customer in short time period and hence it will be less damage to the
product. It also reduces transportation cost. Also it will help the
supplier to know the requirement of customers.

• Transportation Facility: While selecting a site one thing has to be


considered that is transportation of any raw material, semi- finished
& finished goods should be as less as possible. By this factor material
will be transported less, which will affect the material quality, cost of
transportation, time to transport etc. Hence for all above reasons
producer has to select cheap and speedy transportation with various
sources like road, airways, railways, waterways etc.

• Labour Supply: Labour is most effective part of the industry, which


produces the product(s). The prospective plant owner has to choose
the site in such a way that labour should be present in adequate
numbers with low cost. The labour should also be skilled to a good
level. If labour is not present in sufficient numbers it will increase
downtime of production and decrease plant efficiency.

• Power Supply: Electrical, diesel, automatic etc. energies are required


to produce the product and also required for transportation. For
continuous production process regular and sufficient power supply is
necessary. Many companies go to the industrial areas because of
availability of regular & sufficient power supply.

• Supply of Capital: Capital is required for the industries for


production, day to day working, expansion, marketing etc. Large
scale production requires large amounts of capital which may be
raised by shares, debentures etc.

Secondary factors:

• Natural factors: Factors like land, water, climate etc. are very
important for industries.

• Government Policy: in particular areas, a new plant can not be


started due to some rules and regulations made by government. There
are also some subsidies and other facilities to support small scale
industries to grow.

• Availability: Availability of housing, hospitality, entertainment,


education facilities also helps in deciding plant location.
Miscellaneous factors:
1. Sufficient water supply
2. Danger of attack during war
3. Personal factors
4. Environmental and ecological factors
5. Availability of safety facilities like fire- fighting, police etc.
Selection of Site As Per Area:
Broadly, the area can be classified as rural, suburban and urban area.
1. Rural area:
In some cases, a rural area is selected to start a production unit. Government
provides various incentives and subsidies to entrepreneurs to start plants in rural
areas instead of urban areas.
Advantages of rural areas:

• Land is available in abundance at a cheaper rate.

• Labour is available with a lower salary/wages due to lower standards


of living.

• Taxes are lower in rural areas.

• More stable labour is available. Less chances of job hopping due to


less job opportunities in the rural areas.

• Rural environment is healthy. Slum and dirty areas are less present in
rural area.

Disadvantages of rural areas:

• Less transportation facilities.

• Poor communication facilities. Sometimes, postal, telegraph,


telephone services may not be as efficient.

• Less modernisation.

• Support industries are not as readily available.

• Unskilled labour is in large numbers more than skilled labour.


• Water supply, drainage, fire-fighting facilities may not be in easy
reach

• Poor education, entertainment, hospital facilities.

2. Urban areas:
Urban areas are the opposite to rural areas. In most countries, large production
plants are not allowed in cities, only offices are allowed.
Advantages of urban areas:

• All types of transportation is available.

• Bigger market is available for the products. Most of the companies


first introduce products in city areas.

• Skilled labour is available, so there is less need to train them as


much.

• All municipal facilities like water supply, drainage, fire fighting are
readily available.

• More banking and insurance facilities are found in cities(urban


areas).

• All types of supporting industries are available.

• Entertainment, education, hospital, postal services are available


easily as compared to rural area.

Disadvantages of urban areas:

• Higher land cost.

• Higher labor cost due to high standard of living.

• Due to availability of jobs, employees change jobs consistently. Job


snatching also takes place in cities by competing companies offering
higher wages and good incentives

• Some restrictions are made by councils in case of height of buildings,


changes to building, drainage, etc.
• Strong trade union movement.

• Industrialisation in cities increases slum and dirty areas.

3. Sub-urban area:
Both city and rural areas have certain limitations. So the trend is towards sub-
urban areas, which take advantage of both the areas and eliminate limitations.
Advantages of sub-urban areas:

• As compared to urban area, land is available at cheaper rate.

• Adequate land is available for future expansion.

• Skilled and unskilled labour is available.

• Training services for labour are more readily available.

• Infrastructural facilities like road, water, banking etc. developed by


government, authorities or industrial associates.

Disadvantages of sub-urban areas:


After few years the sub-urban area may developed into an urban area with its
advantages and disadvantages.
Therefore in general, an urban area provides benefits for small enterprises,
whereas, a rural area provides benefits for large scale industries. A sub-urban
area is suitable for medium size industries.

Recent trends in Plant location


• Priority for the suburban areas
• Establishment of industrial estate
• Industrial development in the notified backward areas
• Increase the role of Government & Institutions
• Conflict between Government & local government.
Material Handling

Manual material handling ranges from movement of raw material, work in


progress, finished goods, rejected, scraps, packing material, etc. These materials
are of different shape and sizes as well as weight.
Material handling is a systematic and scientific method of moving, packing
and storing of material in appropriate and suitable location.
Principles of Material Handling
Material handling principles are as follows:

▪ Orientation Principle: It encourages study of all available system


relationships before moving towards preliminary planning. The study
includes looking at existing methods, problems, etc.
▪ Planning Principle: It establishes a plan which includes basic
requirements, desirable alternates and planning for contingency.
▪ Systems Principle: It integrates handling and storage activities, which is
cost effective into integrated system design.
▪ Unit Load Principle: Handle product in a unit load as large as possible
▪ Space Utilization Principle: Encourage effective utilization of all the
space available
▪ Standardization Principle: It encourages standardization of handling
methods and equipment.
▪ Ergonomic Principle: It recognizes human capabilities and limitation by
design effective handling equipment.
▪ Energy Principle: It considers consumption of energy during material
handling.
▪ Ecology Principle: It encourages minimum impact upon the environment
during material handling.
▪ Mechanization Principle: It encourages mechanization of handling
process wherever possible as to encourage efficiency.
▪ Flexibility Principle: Encourages of methods and equipment which are
possible to utilize in all types of condition.
▪ Simplification Principle: Encourage simplification of methods and
process by removing unnecessary movements
▪ Gravity Principle: Encourages usage of gravity principle in movement
of goods.
▪ Safety Principle: Encourages provision for safe handling equipment
according to safety rules and regulation
▪ Computerization Principle: Encourages of computerization of material
handling and storage systems
▪ System Flow Principle: Encourages integration of data flow with
physical material flow
▪ Layout Principle: Encourages preparation of operational sequence of all
systems available
▪ Cost Principle: Encourages cost benefit analysis of all solutions
available
▪ Maintenance Principle: Encourages preparation of plan for preventive
maintenance and scheduled repairs
▪ Obsolescence Principle: Encourage preparation of equipment policy as
to enjoy appropriate economic advantage.

Role of Ergonomics in Job Design

Introduction
Ergonomic design means design focused on people and how they might interact
with something. The practice of ergonomics can be summed up simply as
“fitting a workplace to an employee’s needs,” or “making people more
comfortable at work.” The process of ergonomic design involves designing
products, workspaces, and environments to fit the physical and mental
capabilities of people. Read on to explore what ergonomic design is and why it
is important in all industries.

Importance of Ergonomic Design


Ergonomic design is essential in all industries to help reduce workplace injuries,
improve productivity, and increase employee satisfaction. Products and
environments designed with ergonomic principles in mind are easier and safer
for people to use, reducing the risk of injury and increasing productivity.

Principles of Ergonomic Design


The principles of ergonomic design – designing products and environments that
are easy to use, comfortable, and safe – can be achieved by considering factors
such as:
• the physical and mental capabilities of people
• the layout and design of workspaces
• the type of work being performed

Benefits of Ergonomic Design


Improved Productivity
Ergonomic design can help to improve productivity by reducing the time and
effort required to complete tasks. Products and environments designed with
ergonomic principles in mind are easier and more comfortable for people to use,
allowing them to work more efficiently.
Reduced Workplace Injuries
Ergonomic design can help to reduce workplace injuries by reducing the
physical strain and stress placed on workers. Designing workspaces and
products that are comfortable and safe to use helps reduce the risk of injury and
increase overall safety.
Better Employee Satisfaction
Ergonomic design can also improve employee satisfaction by creating a more
comfortable and enjoyable work environment. When workers are comfortable
and safe, they are more likely to be satisfied with their job and less likely to
experience burnout or other negative outcomes.
Improved Quality of Work
Ergonomic design can improve the quality of work by reducing errors and
increasing accuracy. When workers are comfortable and focused, they are more
likely to produce high-quality work that meets or exceeds expectations.

Application of Ergonomic Design in Different Industries


Manufacturing Industry
Ergonomic design is important in manufacturing because it can help reduce
workplace injuries, improve productivity, and increase employee satisfaction.
For example, ergonomic design can be used to design workstations that are
comfortable and safe for workers, reducing the risk of injury and improving
productivity.
Healthcare Industry
In healthcare, ergonomic design is crucial to help improve patient outcomes and
reduce workplace injuries. Ergonomic design can be used to design equipment
and workspaces that are comfortable and safe for healthcare professionals,
reducing the risk of injury and improving overall patient care.
Information Technology (IT) Industry
In IT, ergonomic design can help to reduce the risk of musculoskeletal disorders
and improve productivity. Ergonomic design can be used to design workstations
and products that are comfortable and safe for workers, reducing the risk of
injury and improving overall efficiency.
Retail Industry
In retail, ergonomic design is important to help improve customer service and
reduce workplace injuries. Ergonomic design can be used to design workspaces
and products that are comfortable and safe for workers, reducing the risk of
injury and improving overall customer satisfaction.

Challenges in Implementing Ergonomic Design


Despite the numerous benefits of ergonomics, there are some challenges in
implementing it in different industries.
1. Cost: Ergonomic design may require additional resources and
training, which can be costly and time-consuming.
2. Resistance to change: Some organizations may resist implementing
changes to their current work practices or equipment.
3. Lack of Expertise: Some organizations may lack the experience and
training required to effectively implement ergonomic design
principles.

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