Lecture 5 - BUS 105 Production and Operations Management...

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BUS 105: Production and Operations Management Copyright: Mohsen ElHafsi 2011 1 !"# %&’ ()*+,-./*0 10+ 234)1./*05 610174840. Facility Layout Line Balancing BUS 105: Production and Operations Management ! Layout refers to the configuration of departments, work centers, and equipment, with particular emphasis on movement of work (customers or !"#$%$&’ %"’)*& 2 materials) through the system BUS 105: Production and Operations Management ! Requires substantial investments of money and effort ! Involves long-term commitments +,-).&"/#0 )1 2"’)*& 30#$4$)/4 3 Involves long term commitments ! Has significant impact on cost and ! efficiency of short-term operations BUS 105: Production and Operations Management Inefficient operations For Example: High Cost Changes in the design of products or services 560 7008 1). 2"’)*& 30#$4$)/4 4 Bottlenecks The introduction of new products or services Accidents Safety hazards BUS 105: Production and Operations Management 560 7008 1). 2"’)*& 304$9/4 Changes in environmental or other legal requirements Changes in volume of output or mix of products 5 Changes in methods and equipment Moral Problems BUS 105: Production and Operations Management 1. Specification of objectives of the system in terms of output and flexibility. 2. Estimation of product or service demand on the system. +/-*&4 &) &60 2"’)*& 30#$4$)/ 6 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.
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BUS 105: Production and Operations Management Copyright: Mohsen ElHafsi 2011 2 BUS 105: Production and Operations Management !"#$% ’()*# +, -"(+./ ! Process (Functional) Layout ! Product Layout ! Group Technology (Cellular Layout) ! Fixed-Position Layout 7 ! Hybrid or Combination Layout BUS 105: Production and Operations Management 01+%*## 23.4%/$+4"56 -"(+./7 89":)5* Layout that can handle varied processing requirements Milling 8 Assembly & Test Grinding Drilling Plating Process Layout - work travels to dedicated process centers BUS 105: Production and Operations Management 01+%*## -"(+./ ! What factors might we consider when determining the locations of process areas, or departments? 9 BUS 105: Production and Operations Management ! Given " The flow (number of moves) to and from all departments " The cost of moving from one department to th 01+%*## -"(+./7 ;4/*1<*)"1/:*4/"5 35+= 10 another " The existing or planned physical layout of the plant ! Determine " The “best” locations for each department, where best means interdepartmental transportation, or flow, costs BUS 105: Production and Operations Management ! Involves searching for departmental changes to reduce overall flow cost ! Difficult to determine correct moves ! Non-optimal and based on limited criteria 01+%*## -"(+./7 >./[email protected]<?’1( @))1+"%A 11 Non optimal and based on limited criteria (cost, flow and distance) BUS 105: Production and Operations Management Activity Shipping and receiving Plastic molding and stamping Metal forming Sewing Small toy assembly 1 2 3 4 5 6 7 8 1 175 50 0 30 200 20 25 2 0 100 75 90 80 90 3 17 88 125 99 180 4 20 5 0 25 5 0 180 187 >./[email protected]<?’1( @))1+"%A 89":)5*7 ’+( 3"%/+1( 12 Large toy assembly Painting Mechanical assembly 6 374 103 7 7 8 1 3 5 7 2 4 6 8 Loading dock 80’
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