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Dilfraz Singh, Lovely Professional University Unit 11: Facility Planning and Layout

Unit 11: Facility Planning and Layout Notes

CONTENTS
Objectives
Introduction

11.1 Facility Planning
11.2 Types of Layout
11.3 Process Layout

11.3.1 Process Layout and Material Handling Costs
11.3.2 Optimisation in Process Layouts
11.3.3 Advantages and Disadvantages of Process Layout
11.4 Product or Line Layout
11.5 Fixed Layout

11.6 Cellular or Group Layout
11.7 Application in Service Industry and Comparison of Layouts
11.8 Summary

11.9 Keywords
11.10 Review Questions
11.11 Further Readings

Objectives

After studying this unit, you will be able to:

 Recognize the thought of facility planning;
 Describe the different types of layout;
 Differentiate the various types of layouts;

 Discuss the application of layout to service industry.
Introduction

Good micro level planning can affect an organization and determine how well it meets its
competitive priorities by Facilitating the easy flow of materials and information, Increasing the
efficiency in the utilization of labour and equipment, Increasing convenience of customers and
thereby sales at a retail store, Improving working conditions and decreasing hazards to workers,
Improving employee morale, and Improving communication.
11.1 Facility Planning

Facility planning at the micro level involves decisions about the functional layout and physical
arrangement of economic activity centers: it could be a teller window in a bank or the space for

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