BUS 105: Production and Operations ManagementCopyright: Mohsen ElHafsi 20101-BUS 105BUS 105Production and Operations Production and Operations ManagementManagementFacility LayoutFacility LayoutLine BalancingBUS 105: Production and Operations Management2Layoutrefers to the configuration of departments, work centers, and equipment, with particular emphasis on movement of work (customers or materials) through the systemFacility layoutBUS 105: Production and Operations Management3Requires substantial investments of money and effortInvolves long-term commitmentsHas significant impact on cost andefficiency of short-term operationsImportance of Layout DecisionsBUS 105: Production and Operations Management4Inefficient operationsFor Example:High CostBottlenecksChanges in the designof products or servicesThe introduction of newproducts or servicesAccidentsSafety hazardsThe Need for Layout DecisionsBUS 105: Production and Operations Management5The Need for Layout DesignsChanges inenvironmentalor other legalrequirementsChanges in volume ofoutput or mix ofproductsChanges in methodsand equipmentMoral ProblemsBUS 105: Production and Operations Management61. Specification of objectives of the system in terms of output and flexibility.2. Estimation of product or service demand on the system.3. Processing requirements in terms of number of operations and amount of flow between departments and work centers.4. Space requirements for the elements in the layout.5. Space availability within the facility itself.Inputs to the Layout Decision
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