Facilities Planning-Facilities Planning.

FACILITIES
 It refers to the fixed assets of a firm to meet the
business objective
 i.e. is to make tangible products or provide a
service at lower cost,higher quality by using least
amount of resources
 Companies will have numerous departments and
facilities including plants,ware
houses,distribution centres etc.
 Companies should eliminate the boundaries
between its departments and facilities for
excellent performance

Facilities planning
 Refers to the
• Arrangements and placement of the facilities with
respect to customers,suppliers and other entities
• Design of the infrastructure,lay out and handling
systems
• Facilities Planning (FP) determines how a
firm’s tangible fixed assets best support
achieving its objectives
• The process of identifying the needs of
facility users in order to create a project
design that meets those needs

• For example
• In the case of a manufacturing firm: Facilities
Planning (FP) involves the determination of
how the manufacturing facility best supports
production.
• In the case of an airport: Facilities Planning
(FP) involves determining how the airport
facility is to support the passenger-airplane
interface.
• In the case of a hospital: Facilities Planning
(FP) for a hospital determines how the
hospital facility supports providing medical
care to patients.

Importance of Facilities Planning &
Design
• A poor facility design can be costly and may
result in:
• poor quality products, • low employee morale,
• customer dissatisfaction.
Therefore Manufacturing and Service
companies spend a significant amount of time
and money to design or redesign their
facilities

Disciplines involved in Facilities Planning (FP)
• Within the engineering profession:
• civil engineers,• electrical engineers,
• industrial engineers, • mechanical
engineers
Additionally,
• architects, • consultants
• General contractors, • managers, • real estate
brokers, and • urban planners

Facilities
Design
Facilities location
Facilities planning
Facility system Design
Lay out Design
Handling system Design
Facilities Planning Hierarchy:

Facilities Location :
Location of the facility refers to its placement
with respect to customers, suppliers, and
other facilities with which it interacts.
Facilities Design
Design components of a facility consists of the
facility systems, the layout and the handling
systems.

• Facilities Systems:
– The structure (of building), power, light, gas, heat,
ventilation, air-conditioning, water and sewage
needs.
• Layout:
– Consists of all equipment, machinery and
furnishings within the building.
• Handling Systems:
– Consists of the mechanism need to satisfy the
required facility interactions.
– e.g. material handling systems

Objectives of FP
 Determine the key location for the facility which
minimises the cost of the products
 Support the organization’s vision through
improved material handling, material control, and
good housekeeping.
 Effectively utilize people, equipment, space and
energy.
 Minimize capital investment.
Be adaptable and promote ease of maintenance.
 Ensure employee safety and job satisfaction.

Factors to be considered for site
selection
1. Availability of Raw materials and supplies:
The facility in general should be near to the
vendors / suppliers.
This will further reduce the transportation cost
of incoming materials and the lead-time of the
inventory replenishment.

2.Proximity to markets
• If product is fragile or perishable or heavy
proximity of the facility to the market is critical
• If the product is relatively cheap and
transportation cost is high, a location close to
the markets is desirable.
• Cost of transportation of finished goods,cost
of distribution etc. can be reduced if the
market is near

3. Transportation and communication facilities
Generally the industries have a tendancy to locate
the industrial units near railway station,high ways or
ports
Rail way is cheaper but involve delays
Road transport is quick
Communication facilities like
mail,telephone,internet etc. are adequate

4. Availability of power and fuel
coal, electricity,oil,natural gas etc. are
important sources of power. Their availability
is important
Eg. Tata iron and steel industry is established
near coal mines

5. Availability of labour
Right kind of labour force in required
numbers at reasonable rate is also a deciding
factor in site selection
6. Climate:
Climate is another important factor to be
considered for the facility location especially
in industries where special constraints are
needed.
Eg: For agro based industries like tea,coffee, etc.
the climate is an important factor in site
selection

7.Availability of water
Water should be available in good quality and
quantity
8. Site size:
The plot of land must be large enough to hold
the requirements of the proposed facility.
Sometimes a good site may not have the
required area.

9. Ancillary industries
The existence of ancillary industries in the nearby
area may avail certain economic advantages
Some of the products of these industries form the
raw material for the proposed industry
10. Community attitude
It is difficult to evaluate
If there is fear of pollution the community attitude
may be adverse.
Sometimes the community may support the facility
proposal in view of employment opportunities

11. Financial and other aids
For the development of backward regions
the Government provide certain incentives
and favours like cash subsidy, concessional
finance assistance,land,power etc. at cheap
rates, tax concessions etc.
12.Banking facilities
Facilities for depositing surplus
cash,discounting of bills, dealings of cheques
for collection and withdrawal ,for meeting
cash shortages etc. are necessary

Plant lay out
 Arrangements of facilities and services in the
plant
It is the most effective physical arrangement
of industrial facilities ( machines,processing
equipments and service departments)
To achieve the greatest co ordination of
4 M’s(Men,material,machines and methods)
in a plant

• Lay out provides a broad frame work with in
which production and many administrative
activities have to take place
• Lay out actually involves the allocation of
space and arrangement of equipments in such
a manner that overall operating cost are
minimised

Objectives of a good plant lay out
1. Integration of production centres
 integrates men,materials and machines
 Permits the arrangements of the equipment to
provide greater utilisation
 Minimise the production delays and reduce the
congestions by allowing smooth and continuous
flow of raw materials and work in progress
 It helps to increase the output by shortening
manufacturing time

2. Reduce the material handling
The equipments may be arranged in such a
manner to minimise the material handling and
transportation
3. Effective utilisation of available space
It should use the space both vertical and horizontal
4. Worker convenience and job satisfaction
 Reduce excessive noise ,ensure safety
Convenient working temperature,ventillation,light,removal
of moisture,dirt etc .should be offered

5. Flexibility
A good lay out should be adaptable to possible
changes in the plant’s production programme
( either Changes in product design or changes in
the required output)
6. Removal of bottlenecks
Should allow smooth flow of operations with
out any congestions
7. Quick disposal of work
should allow the quick disposal of work and
minimum wastage of time

8. Avoids industrial accidents
By providing adequate space for the
movement of men,materials and by proper
arrangements for storages and good environ
ment chance of accidents should be eliminated
9. Eliminate the efforts required of operative
workers
10. maintenance and orderliness in the plant
area

TYPES of LAY OUT
1. Product Lay out or line lay out

 Processesing equipments and machines are
arranged according to the sequence of
operations required for a product
 Only One type of products can be
manufactured
 The product will be standardised and will be
produced in large quantities
 Raw material will be fed from one end and
after the processes the finished products will
be delivered at the other end
 Desirable when high volume of production is
needed

Advantages of product lay out
• Lowers total material handling cost
• Better utilisation of men and machines
• Greater simplicity of production control
• Total production time can be minimised

Limitations of product lay out
 Lack of flexibility
 Manufacturing cost increases with fall in the
volume of production
 Single machine break down may shut down the
whole production line
 Strict supervision is needed

2 . Process lay out or functional lay out

• Useful when low volume of production is
required
• Machines are arranged according to the
nature or type of the operations
• It has greater flexibility than other lay outs
• usually used for non repetitive jobs

Advantages
• Offers better supervision through
specializations at various levels
• System is flexible and load distribution can be
easily controlled
• Break down of equipment can be handled by
transferring work to another machine
• Better utilisation of available equipments
• Better control of precision processes

Disadvantages
• Long material flow lines and hence expensive
handling systems required
• Time consumption is more
• More works are in queue and waiting for
further operation hence bottlenecks occur
• More floor area required
• Since work does not flow through definite
lines scheduling is more tedious

Fixed position lay out
The major component or body ( too heavy or too big) of the
product remains in a fixed position
Raw materials, Machine equipments ,labour etc.
will be brought to that location
Eg: Used to manufacture aircraft,ship,boiler,hydraulic &
Steam turbines etc.

Combination layout
• Lay out which contains any combinations of
the three pure types of lay outs
• This is a layout which possess the good
features of the above

Steps involved in lay out planning
1. Collect the basic lay out data Regarding
- The type of product
- Production specification
- Production volume & Rate of production

2. Analysis and co ordination of the basic data
To find
- The number of work stations reqd.
- Type of equipments reqd.
- Storage required
- No of equipments of each type required to
meet the production target

3. Selection of the material handling system
Depending upon
- The nature of the product
- Type of building
- Length of movement etc.

4. Sketch the plan of the plot
To mark
- Buildings
- Roads
- Storage and service areas

5. Determine the general flow pattern
of materials
The flow pattern of materials should be such
that the distance between the store and
shipping department should be least
This can be analysed by certain tools called
material flow charts

6. Select the type of lay out
Depending on the type of production system
such as Job order,Batch type or continuous
production

7. Design the individual workstations
and assemble
• Design and assemble the individual
workstations and assemble them into the total
layout in accordance with the general flow
pattern and building facilities

8.Calcuate the space requirement
Calculate
- Storage space required
Plan and locate the service areas such as
offices,Toiltes, Tool rooms,Rest rooms,Lunch
rooms etc.

9. Make the master layout
By using templates and models
And ensure the following
1. Safe and economical Material handling
2. Adequate production and production control
3. Good plant building and surroundings
4. Service areas
5. Employee’s safety and comfort
6. Proper waste disposal etc.

MATERIAL HANDLING
• Involves the piling,loading,unloading and
transporting materials from one place to
another
“ material handling can be defined as the
handling of raw materials,semi finished parts
and finished products mechanically or
manually through the production as well as
storage areas”

Functions of Material handling
• Movement and positioning of purchased
materials,tools,spares etc. for storage
• Internal transportation of materials from
stores to shops or departments
• Movement of materials with in departments
from one machine to another while
processing and from one department to
another
• Movement and positioning of finished
products or components for stocking and sale

• Unloading raw materials from trucks or other
transport
• Loading packed materials on motor trucks or
other transport

Objectives of Materials Handling
• Lower the materials handling costs
• Reduce the manufacturing cycle time:
– Time required to make a product from the receipt
of raw materials to the finished products could be
reduced
• Contribute toward a better control of the flow
of goods
• Provide improved working conditions and
greater safety in the movement of materials

• Provide for fewer rejects
– Products damaged by inefficient handling are all
too often a major cost to manufacturer.
• Gain Higher productivity at lower
manufacturing cost

Factors to be considered in Material
Handling
Engineering Factors
1. Nature of materials and products to be
handled
-- state of raw material ( solid,gas,liquid etc.)
-- Quantity and distance to be travelled
-- Size ,weight, shape, fragility etc .

2. Production process and equipment
 Sequence of operations
 Quantity of materials involved
 The material handling equipment
selected should be able to handle
maximum output

3.Building Construction
• If the building is more than one storey, vertical
transportation would be necessary which requires
elevators,conveyors,pipes etc.
• Horizontal flow pattern in single storey building
may need trucks,overhead cranes,conveyors etc.
• Floors should have strength and possibility to
attach the systems
• Features of building like door
locations,sizes,ceiling height,roof strength,stair
columns,width of aisles etc.

4. Layout
• Layout and material handling systems are
considered together
• Types of layout
5. Existing material handling Equipments
The usefulness of existing handling system
should be evaluated by it’s performance
If found necessary additional material handling
systems should be installed or the existing
system may be modified

6.Production planning and control
• The routing and scheduling functions of PPAC
are closely related to material handling
systems
• Routing– Sequence of material flow during
processing
• Scheduling– It decides the timing of processes

7.Flexibility
• The equipment should have flexibility to
handle more than one material
8.Power
Enough power should be available to do the jobs
9.Speed
Rapidity of movement of material, within the
limits of the production process
10. Ease of maintenance

Economic factors
• Initial cost of equipment
• Cost of installation
• Rearrangement of present equipments
• Cost of alteration of building
• Cost of maintenance,labour to operate
• Cost of repairs and supplies
• Cost of power,cost of operation of auxiliary
equipments
• Savings that the equipment will bring about In
direct labour cost ( no.of men released for other
jobs)
• Increased prduction brought about etc.

• Economy in Material Handling system can be
achieved by
• Employing gravity feed mechanisms
• Minimising the distance moved
• By using systems in which products from
machine directly falls over the Material
handling equipment
• By proper periodic inspection, repairs and
maintenance

Principles of MATERIAL HANDLING
1. REDUCTION IN HANDLING
- materials should be moved as little as
possible
- The lay out and the production machinery
should be selected accordingly

2. Reduction in time
Time of each move should be minimised
– Time lost reduces the rate of output and increases
the overall cost
– Time is consumed in three things
1. Waiting
Can be reduced by proper scheduling,well organisation
of labour force,providing sufficient loading
facilities,removing congestions in the plant etc.
2. Loading and unloading
Units loaded or unloaded should be in large amount
3. Travel time
Can be reduced the use of mechanical means,
proper routing or through the selection of shortest
routes

3. Principle of unit load
• Materials should be moved in lots rather than on
individual basis
• Optimum number of pieces should be moved in
one unit to utilize the material handling
equipments effectively
• Thus it avails the economies in the form of
reduced loading or unloading labour cost,packing
cost,elimination of damage, effective utilisation
of MH systems ,saving in time etc.

4. Use of gravity
• Whenever possible use the assistance of
Gravity for assisting material movements
5. Safety
Safe,standard,efficient, effective ,appropriate and flexible
equipments should be used

6. Use of containers
Design containers, pallets,drums etc. to reduce the
cost of handling and damage of materials
7.Use of stand by facilities
8. Periodic check up
9. Avoid interference with production line
10. Flexibility

TYPES OF M.H.systems
A) Lifting and lowering devices
Block and tackle

Mono rail
I section beam attached to the ceiling having trolley or carrier moving along it

Pillar crane
Light duty and is used for lifting weight upto 20 kg

Jib crane
The hook can move in a circular path
Gantry crane
Provided with wheels and can be moved easily
from one point to another

Hand trucks,wheel barrows
Low cost ,great flexibility, easy portability etc.
Hand truck
Wheel barrow

Spiral chute
Gravity is utilised

Facilities Planning-Facilities Planning.

Facilities Planning-Facilities Planning.

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