BUSI 2301 Lecture 6: BUSI 2301 - Process Design and Facility Layout
Document Summary
Process design is determining the form and function of how goods and services are produced. Sequence emphasized: process layout, arranges production resources together according to similarity of function. Process layout (functional: process organized by specialization, used for intermittent processing - job shop or batch processes, common in services. Less vulnerable to shut down - from mechanical failure or absenteeism. Lower maintenance costs - and reduced investment in spare parts. Disadvantages - inefficiency: scheduling can be difficult, setup, material handling and labour and costs can be high. Less material handling and work in progress inventory: faster processing time and reduced setup times. Design product layout: line balancing: process of grouping and assigning tasks to workstations so that the workstations have approximately equal time requirements. Line balance benefits: minimize the idle time along the line, results in high utilization of labor and equipment. Line balancing major obstacle: forming tasks bundles having the same duration.