Facility Layout

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ALLIANCE BUSINESS SCHOOL

Facility Layout Project
Alliance College Library
Submitted to: Dr. Madhumita Mazumder Submitted by: Group 1 Aakanksha Agnihotri Anurag Agarwal Saloni Singh Smeet Patel Sushmita Chakraborty Yoga Moorthy

4/6/2009

CONTENTS

Sl.No.

Topic

Page No.

1

Introduction

1

2

Service Layout

1-4

3

Library Service Layout

5

4

Library Layout Map Exhibits Analysis of Library Layout Recommendations

6-8

5

9-11

6

12

7

Conclusion

13

2

1. Introduction
Layout decisions entail determining the placement of departments, work groups within the departments, workstations, machines, and stock-holding points within a production facility. The objective is to arrange these elements in a way that ensures a smooth work flow (in a factory) or a particular traffic pattern (in a service organization). In general, the inputs to the layout decision are as follows: 1. Specification of the objectives and corresponding criteria to be used to evaluate the design. The amount of space required, and the distance that must be travelled between elements in the layout, are common basic criteria. 2. Estimates of product or service demand on the system. 3. Processing requirements in terms of number of operations and amount of flow between the elements in the layout. 4. Space requirements for the elements in the layout. 5. Space availability within the facility itself, or if this is a new facility, possible building configurations.

2. Service Layout
The objective of a service layout (as is found in stores, banks, and restaurants) is to maximize net profit per square foot of store space. A company that has been very successful in leveraging every inch of its layout space to achieve this objective is Taco Bell Restaurants. Exhibit 1 illustrates Taco Bell store layouts used in 1986 and from 1991 to the present. The nature of the layout changes reflects actions required to support the company’s value strategy of speed and low prices. Key operational modifications include elimination of many on-site food preparation steps, which simultaneously increased the speed of service while reducing the amount of working space needed. For example, the chopping and bagging of lettuce and the precooking and seasoning of meats, beans, and hard tortilla products are now done at central kitchens or by suppliers. The restaurant kitchens are now heating and assembly units only. In addition to such outsourcing, changes were made in queue structures, such as moving from a single line running parallel to the counter, to a double line running perpendicular to it. This improved product flow facilitated serving drive-through windows, increased capacity, and allowed customers to see assembly workers’ faces (as opposed to just their backs, as was the case before). The following exhibit is the floor space area of Taco Bel Restaurant and it clearly depicts how effective use of floor space can help in increased production as was witnessed by the restaurant.

3

Following are the few factors to be considered while coming up with a service layout:  Service capes

As previously noted, the broad objective of layout in retail services is generally to maximize net profit per square foot of floor space. Operationally, this goal is often translated into such criteria as “minimize handling cost” or “maximize product exposure.” However, as Sommers and Kernan observed more than 30 years ago, employing these and similar criteria in service layout planning “results in stores that look like warehouses and requires shoppers to approach the task like order pickers or display case stockers.”7 There are other, more humanistic aspects of the service that must also be considered in the layout. Bitner coined the term services cape to refer to the physical surroundings in which the service takes place and how these surroundings affect customers and employees. An understanding of the services cape is necessary to...
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