1. Prepared by Bhakti Joshi June 27, 2014
Plant Layouts
Prepared by Bhakti Joshi
June 27, 2014

2. Class Activity Steel Iraq Indian Railways US Economy India’s Trade
NHAI Bonds
Excise Duty
Natural Gas
Stock markets
Defense Industry
Water Transport
Agricultural Prices
Banking
Coal
Mutual Funds
Airlines
Employment
Consumer appliances
Anti-dumping duties
Cement
Telecommunication
Maharashtra Government
Non-Government Organizations
Mobile Phones
Premium Goods

3. Class Activity Review Team 1 Team 2 Team 3 Team 4 Team 5 Team 6 Team 7
9 Teams
Constraints: 1 copy of 5 Newspapers; (Time is given)
3 Teams hoarded on 1 Newspaper – Not Optimal
Couple of Teams had 1 resource writing maximum articles – Not optimal (No teamwork)
Many teams took photographs of articles, shared and collaborated newspapers with each other –
Some teams had members not writing but allocating resources
Proof-reading/editing as a critical process was missing in all teams (though many teams cross-checked for repetition of content)
Team 1
Team 2
Team 3
Team 4
Team 5
Team 6
Team 7
Team 8
Team 9
Max 4 5 3 7 6
Min 2 1
Total 12 16 15 11 14 17
Newspapers #

4. Examples Chemist shop Tailor Shop Kiraana Restaurant College
Grocery store in a mall
Movie Theatres

5. Organisation’s context…
There are plant layouts “…floor plan for determining arranging the desired machinery and equipment of a plant to permit the quickest flow of material at the lowest cost and with the least amount of handling in processing the product from the receipt of the raw materials to the shipment of the finished products.”

6. Why Layouts? Efficiency in use of workers and space
Minimisation of material handling costs
Elimination of unnecessary movements of workers and materials
Minimisation of production and customer time
Elimination in delays
Safety and improved working conditions
Attainment of product/service quality

7. Types of Plant Layouts PROCESS PRODUCT FIXED POSITION CELLULAR
COMBINATION

8. Process Layout: Example 1
Sewing
Stitching
Embroidery
Output

9. Process Layout: Example 2 (Metal)# *
* Lathe is a machine in which work is rotated about a horizontal axis and shaped by a fixed tool
# Milling machine creates corrugated edges like in a coin
Source: Google Images, Transtutors.com

10. Process Layout Also known as functional layout
Evolved from handicraft production
Grouping the same kinds of machines in one department

11. Process Layout – Key Principles
Minimum distance between departments
Departments in a sequence of operations
Convenience for inspection and supervision

12. Process Layout: Advantages and Disadvantages
Flexibility
Utilisation
Cost
Excess material handling
System Protection
Difficulties in operations control
Economies of Scale
Is this layout meant for bulk orders or small orders?
Incentives for Workers

13. Product Layout: Example
Making a boat …? How was it made…? What were it’s input…? Could be taught…? Could it be replicated …?

14. Product Layout Also known as straight- line layout
Sequence of workstations interconnected in one line
Work done in small amounts

15. Product Layout – Key Principles
Specific volume to be manufactured/serviced
Stable product demand
Product Standardisation
Continuous material supply

16. Product Layout: Advantages and Disadvantages
Simplicity
Dull and repetitive
Small Space
Product variety is limited
Optimum cost of materials
Fault in one can affect all
Is this layout cost-effective?
Time efficiency
High capital investments
Limited skill sets
Inelastic capacities

17. Fixed Position Layout: Example
Paper boat versus the real one?
Operations in hospitals?
Manufacturing a plane

18. Fixed Position Layout: Example (Contd…)

19. Fixed Position Layout Job done at a fixed position
The main equipment/s, heavy materials, sub-assemblies, etc., remain fixed
Completion done by movement of machines, workers and tools

20. Fixed Position Layout: Advantages and Disadvantages
Easy for immobile products
High capital investments
Flexibility
Large storage spaces
Possibly cost-effective
Careful planning
Feasible for large projects
Can such layouts be discouraged completely?

21. Cellular Layout: Example 1
Source:

22. Cellular Layout: Example 2
Source:

23. Cellular Layout Also known as functional layout
Suitable for large variety of products in small volumes
Based on Group Technology (GT) principle
Parts with similar product design characteristics
Parts with similar process characteristics

24. Cellular Layout: Advantages and Disadvantages
Flexibility
Requirement of skills
Small batches of production
Possibility of imbalances
Higher machine utilisation
Disadvantages of process and product layouts
Workers’ empowerment
What kind of businesses will require cellular layouts?
Low cost of production

25. Combination Layout
Hybrid Layout
Mixture of three main layouts

26. Website: