CHAPTER

6
Process Selection and
Facility Layout

IRWIN

a Times Mirror Higher Education Group, Inc. company, 1996

Questions for Process Analysis

and Design
Is

the process designed to achieve

competitive advantage in terms of
differentiation, response, or low cost?
Does the process eliminate steps that
do not add value?
Does the process maximize customer
value as perceived by the customer?
Will the process win/keep orders?
IRWIN

a Times Mirror Higher Education Group, Inc. company, 1996

Process Selection and System Design

Capacity
planning
Forecasting
Process
selection

Product and
service design

Facilities and
Equipment
Layout

Work
design
IRWIN

a Times Mirror Higher Education Group, Inc. company, 1996

Types of Processes
Job

Shops - Small runs/variety

Batch Processing - Similar groups
Repetitive/Assembly - Discrete goods
Continuous Processing - Bulk/no variety
Projects - Nonroutine jobs

IRWIN

a Times Mirror Higher Education Group, Inc. company, 1996

Repetitive Production

IRWIN

a Times Mirror Higher Education Group, Inc. company, 1996

Continuous Production

IRWIN

a Times Mirror Higher Education Group, Inc. company, 1996

Product-Process Lifecycle Matrix

Low
Volume
One of a
Kind
Job
Shop
Batch

Few
High
Multiple
Major
Volume,
Products, Products,
High
Low
Higher StandardVolume Volume
ization
FlexibilityQuality

Commercial
Printer
Heavy
Equipment

Assembly
Line

Automobile
Assembly

Continuous
Flow

Sugar
Refinery
Flexibility-Quality

Dependability-Cost
IRWIN

a Times Mirror Higher Education Group, Inc. company, 1996

Dependability
Cost

Automation/Technology Decisions
Automation

-- The substitution of technology for

human activity
Key Question -- How does technology fit
strategically (appropriateness)?
Four other questions managers must ask- What will new technology do and not do?
What will new technology require?
What will new technology cost (total/life cycle)?
How certain are we of the answers above?
IRWIN

a Times Mirror Higher Education Group, Inc. company, 1996

Automation
Numerically

controlled machines

(NC)
Robotics, Vision, Automatic ID
Computer-aided design and
manufacturing systems (CAD/CAM)
Flexible manufacturing systems
Computer-integrated
manufacturing (CIM)
IRWIN

a Times Mirror Higher Education Group, Inc. company, 1996

The Need for Layout Decisions

Inefficient operations
Changes in the design
of products or services

For Example:

High Cost
Bottlenecks

Accidents
The introduction of new
products or services
Safety hazards
IRWIN

a Times Mirror Higher Education Group, Inc. company, 1996

10

The Need for Layout Designs (Contd)

Changes in
environmental
or other legal
requirements

Changes in volume of
output or mix of
products
Morale problems

Changes in methods
and equipment

IRWIN

a Times Mirror Higher Education Group, Inc. company, 1996

11

Basic Layout Types

Product

Layouts
Process Layouts
Fixed-Position
Combination Layouts
Cellular Layouts

IRWIN

a Times Mirror Higher Education Group, Inc. company, 1996

12

Basic Layout Types

Product

Layout

Uses standardized processing operations to

achieve smooth, sequential, rapid, high-volume
flow (production/assembly lines)
Process

Layout

By Department or Function. Flexibly handles

varied processing requirements
Fixed

Position Layout

Product or project stationary, and workers,

materials, and equipment are moved to site as
needed
IRWIN
a Times Mirror Higher Education Group, Inc. company, 1996

13

Cellular Layouts
Cellular
Group

Manufacturing

Technology

Flexible

Manufacturing Systems

IRWIN

a Times Mirror Higher Education Group, Inc. company, 1996

14

Cellular Layouts
Cellular

Manufacturing

Machines grouped into cells to make

families of items with similar processing
requirements
Group

Technology

Grouping items into part families based

on design or manufacturing similarities

IRWIN

a Times Mirror Higher Education Group, Inc. company, 1996

15

Flexible Manufacturing System

Computer
control
room
Tools
Conveyor

Machine

Machine
Pallet

Load
1998 by Prentice-Hall Inc
Russell/Taylor Oper Mgt 2/e

Parts

Unload
IRWIN

Terminal

a Times Mirror Higher Education Group, Inc. company, 1996

Finished
goods

Ch 6 - 33

16

Components Of CIM
CAD

CAE

GT

TQM

DFM

IGES,
PDES,
DMIS

Product
design

Bar codes,
EDI

CAD/CAM
CAPP

MRP
JIT/
kanban

Systems
management

DSS/ES/
AI

1998 by Prentice-Hall Inc

Russell/Taylor Oper Mgt 2/e

FMS

Robotics
IRWIN

AGV,
ASRS

Cellular
manufacturing
MAP,
STEP

Manufacture

LAN, TOP,
satellites

NC/CNC/
DNC

Process
planning

CIM

Automated
inspection

a Times Mirror Higher Education Group, Inc. company, 1996

Cells
and centers
Ch 6 - 37

17

Other Service Layouts

Warehouse

and Storage

Frequency of use, item correlation

Retail

Customer needs, traffic pattern/flow

Office

Less flow dependent

IRWIN

a Times Mirror Higher Education Group, Inc. company, 1996

18

Tools for Process Design

Flow

Diagrams
Process Charts
Time-Function/Process Mapping
Service Blueprints

IRWIN

a Times Mirror Higher Education Group, Inc. company, 1996

19

Production Process Flow Diagram

Customer
Purchasing
(order inks,
paper, other
supplies)
Vendors
Accounting

Customer sales
representative
take order
Prepress Department
(Prepare printing
plates and negatives)

Receiving
Warehousing
(ink, paper, etc.)

Printing
Department
Gluing, binding,
stapling, labeling

Collating
Departmen
t

Polywrap
Departmen
t
Shipping

Information flow
Material flow
IRWIN

a Times Mirror Higher Education Group, Inc. company, 1996

20

Time Function Map

Receive
product

Order
Customer Product

Transport

WIP

WIP

Plant B

Wait

Extrude

Wait
Product

Wait
WIP

Warehouse

Product

Print
WIP

Plant A

Product

Wait
Order

Production
control

Process
Order
Order

Sales

Move
12 days

13 days

1 day

4 days

1 day

IRWIN

Move
10 days

1 day

a Times Mirror Higher Education Group, Inc. company, 1996

9 days

1 day

21

Process Chart Example

SUBJECT: Request tool purchase
Dist (ft)

Time (min)

Symbol

Description

lo D Write order
75

o On desk
o D To buyer
n D Examine
= Operation; = Transport; o = Inspect;
D = Delay; = Storage
IRWIN

a Times Mirror Higher Education Group, Inc. company, 1996

22

Service Blueprinting

IRWIN

a Times Mirror Higher Education Group, Inc. company, 1996

23