Chapter 6
Chapter 6
Operations
Operations Management
Management
Instructor:
Instructor: Dr.
Dr. Rizwan
RizwanAhmed
Ahmed
Lecture outline
Definition & Objectives
Basic layouts
Designing process layouts
Designing service layouts
Designing product layouts
Facility layout
Arrangement of areas, activities,
equipment and people within a
facility
Minimizeto: Facilitate
material-handling costs
entry, exit, movement,
and placement of
Bottlenecks material, products, and
manufacturing cycle people
time a visual control of
customer service time activities
wasted or redundant flexibility to adapt to
movement changing conditions
Maximize
Customer satisfaction Incorporate and promote
Efficiency & safety and security
productivity measures
Employee morale product and service
Communication quality
Efficiently utilize proper maintenance
space activities
Labor
Basic layouts
Three types of facility layouts
Fixed-position layouts
Process layouts
Product layouts
7-4
Fixed-Position Layouts
Typical of
projects
Product is too
fragile, bulky, or
cannot be moved
Equipment,
workers,
materials, other
resources
brought to the
site
Highly skilled
Process Layout
Process layouts
Also known as functional layout
group similar activities together
Milling
Office machines Foundry
Process layout in services
Women’s
Accessories Shoes Housewares
In
Out 7-9
Comparison of Product
and Process Layouts
Product Process
Arrangement Sequential Functional
arrangement of grouping of
activities activities
Continuous,
Type of
process mass Intermittent, job
production, shop, batch
mainly production,
assembly
Product Varied, made to
Standardized, order
Demand made to stock Fluctuating
Volume Stable Low
Equipment High General purpose
Special purpose
Comparison of Product
and Process Layouts
Product Process
Workers skills Limited skills Varied skills
Inventory Low in-process, High in-process,
high finished low finished
Storage goods goods
space Large Small
Material Fixed path Variable path
handling (conveyor) (forklift)
Aisles Narrow Wide
1 — 100 50
2 — 200 50
4 5 3 60 — 40 50
4 100 — 60
5 50 —
Block Diagramming:
Example (cont.)
Key: A
E
I
Stockroom Toolroom Production
O
U
X
Relationship Diagrams:
Example (cont.)
(b) Relationship diagram of revised layout
Stockroom
Offices Shipping
and
receiving
Locker Key: A
Toolroom Production
room E
I
O
U
X
Computerized layout solutions
CRAFT
Computerized Relative Allocation of
Facilities Technique
CORELAP
Computerized Relationship Layout
Planning
PROMODEL and EXTEND
visual feedback
allow user to quickly test a variety of
scenarios
Three-D modeling and CAD
integrated layout analysis
available in VisFactory and similar
software
Designing Service Layouts
Objective is
Systemize/maximize/manage flow of
customer (e.g. airports, retail, customer
services)
Maximize space utilization
Maximize profit/sales per square feet (e.g
retail)
Minimize paperwork and
Facilitate communication (banks, offices)
Must be both attractive and functional
Retail Layouts
Types
Free flow layouts
encourage browsing, increase
impulse purchasing, are flexible
and visually appealing
Grid & Spine layouts
Both encourage customer
familiarity, are low cost, easy to
clean and secure, and good for
repeat customers
Loop layouts
increases customer sightlines
and exposure to products, while
encouraging customer to
circulate through the entire
Free Flow Layout -
Fixtures and Merchandise are
grouped in Free-flowing
patterns on the sales floor
This layout is usually seen in
accessories shops, Gift shops,
Souvenirs shops etc
Works best in stores in which
random browsing of products
is to be facilitated
Advantage-: increased impulse
buying
Disadvantage-: possible
confusion and waste of floor
space
Loop Layout
The major customer aisle
begins at the entrance, loops
through the store and
returns customer to the
front of the store
Used in departmental stores
such as-: Macey’s, HKB
Baby section, airport duty
free shops
Designing Product Layouts
Objective
Balance the assembly line
An assembly line
consists of a number of tasks
Task Precedence
some tasks may depend on other tasks i.e.
physical restrictions on the sequence in
which operations are performed
Line balancing
Assigns tasks to workstations
tries to equalize the amount of work at each
workstation and achieve minimum amount of
idle time
Line efficiency is dependent on line
Balancing the assembly line
You need to know
Various tasks, time for each task, and their
sequence
Amount of time available for production in
a given period
Units of production desired in a given
period
You will
Draw and label the precedence diagram
Determine the cycle time from given time
and units of production
Find theoretical minimum number of
workstations
Assign tasks to different workstations
Cycle Time Example
Cycle time of Assembly Line
Average time between completion of successive
units
Determines maximum amount of time a product is
allowed to spend at each workstation
t t
l
i i
E= i=1
nC
Nt = i=1
C
where
Nt =theoretical min. number of workstations
ti = completion time for task i
n = actual number of workstations
C = desired cycle time
7-28
Example of Line Balancing
You’ve just been assigned the job a setting up
an electric fan assembly line with the tasks
given below
Suppose available time for production is 420
min a day and we want to assemble 100 fans
per day.
Balance
Task theDescription
Time (Mins) assembly and calculatePredecessors
A efficiency?
2 Assemble frame None
B 1 Mount switch A
C 3.25 Assemble motor housing None
D 1.2 Mount motor housing in frame A, C
E 0.5 Attach blade D
F 1 Assemble and attach safety grill E
G 1 Attach cord B
H 1.4 Test F, G
Line Balancing: Step 1- Structuring the
Precedence Diagram
Task Predecessors Task Predecessors
A None E D
B A F E
C None G B
D A, C H F, G
2 1 1
A B G 1.4
H
C D E F
3.25 1.2 .5 1
Line Balancing: Step 2 - Determine
Cycle Time
Available time: 420 min per day
Required output: 100 fans per day
Answer:
Production time per period
Required Cycle Time, C =
Required output per period
A (4.2-2=2.2)
Task Followers Time (Mins)
A 6 2
2 1 1
1.4 C 4 3.25
A B G
H D 3 1.2
B 2 1
C D E F
E 2 0.5
F 1 1
3.25 1.2 .5 1
G 1 1
H 0 1.4
A (4.2-2=2.2)
B (2.2-1=1.2)
Task Followers Time (Mins)
A 6 2
2 1 1
1.4 C 4 3.25
A B G
H D 3 1.2
B 2 1
C D E F
E 2 0.5
F 1 1
3.25 1.2 .5 1
G 1 1
H 0 1.4
A (4.2-2=2.2)
B (2.2-1=1.2)
G (1.2-1= .2)
Idle= .2
Task Followers Time (Mins)
A 6 2
2 1 1
1.4 C 4 3.25
A B G
H D 3 1.2
B 2 1
C D E F
E 2 0.5
F 1 1
3.25 1.2 .5 1
G 1 1
H 0 1.4
A (4.2-2=2.2) C (4.2-3.25)=.95
B (2.2-1=1.2)
G (1.2-1= .2)
Idle= .2
Task Followers Time (Mins)
A 6 2
2 1 1
1.4 C 4 3.25
A B G
H D 3 1.2
B 2 1
C D E F
E 2 0.5
F 1 1
3.25 1.2 .5 1
G 1 1
H 0 1.4
A (4.2-2=2.2) C (4.2-3.25)=.95
B (2.2-1=1.2)
G (1.2-1= .2)
7-45
Problem: Balance the line
Performance Task Must Follow 480 available mins per
Time Task Listed day
Task (minutes) Below 40 units required per
day
A 10 —
Balance the assembly
B 11 A
line and calculate line
C 5 B efficiency
D 4 B
E 12 A
F 3 C, D 5
G 7 F 10 11
C
3 7
H 11 E
A B F G
I 3 G, H 4
3
Total time 66 D I
12 11
E H
Figure 9.13
© 2008 Prentice Hall, Inc. 8 – 46