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    8/24/04

    Paul A. Jensen

    Operations Research Models and MethodsCopyright 2004 - All rights reserved

    Material Movement

    The movement of material through theproduction facility is a waste because

    material movement does not add valueto the product.

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    The amount of movement

    depends on: the set of products manufactured,

    the sequence of operations (process) identified foreach product,

    the assignment of machines to the operations of theprocesses,

    and the layout of the machines in the manufacturingfacility.

    Here we assume that the first two are fixedand we concentrate on the latter two.

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    The several generic types of

    layout

    M1 M2

    M3

    M5

    M4

    M7

    M6

    Offices

    The Job shop

    M1

    M2

    M3

    M5

    M4

    M7

    M6

    Offices

    The assembly line or

    flow shop

    Offices

    M3

    M2

    M1

    M4

    M7

    M1

    M5

    M6M2

    M7

    M2

    M3

    M4

    M6

    Group technology

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    Example Orders for products arrive as Poisson processes.

    Processing begins when an order arrives.

    Operations are performed in a numerical sequence. There are no losses in the operations.

    Operation Times (hours/unit)

    PRODUCTS

    Operation A B C D E F G H I J K L

    1 Mould 0.1 0.1 0.2 0.2 0.3 0.1 0.4 0.6 0.7 0.4 0.1 0.1

    2 De-fraze 0.3 0.5 0.2 0.1 0.23 Barrel Polish 0.3 0.6 0.2 0.2

    4 Test 0.4 0.1 0.3

    5 Machine 0.4 0.2 0.2 0.3 0.4

    6 Paint 0.2 0.2 0.2 0.2 0.2 0.2 0.6

    7 Sub-assemble 0.1 0.3 0.2 0.3 0.1 0.1

    8 Chemical Test 0.2

    9 Dimensional insp. 0.1 0.3 0.1 0.2 0.5 0.4 0.2 0.2

    10 Final insp. 0.4 0.4 0.2 0.3 0.3 0.2 0.2 0.4 0.1 0.2 0.3 0.3

    Weekly Demand 100 200 50 300 80 40 120 200 250 100 120 180

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    Machine information Each operation requires a unique machine.

    All machines operate 40 hours per week.

    Assume operation times have an exponentialprobability distribution.

    Provide enough machines so that all

    workstations are to have no more than 80%utilization.

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    Space and Economic

    Information

    WIP requires 0.4 sq. m. floor space per unit.

    Provide sufficient space at each station toaccommodate WIP 90% of the time.

    Transportation cost is $0.10/unit-meter Use a plant with length twice as great as width.

    The cost of the plant is $20 per week per squaremeter.

    Operation 1 2 3 4 5 6 7 8 9 10

    Machine Size (sq.m.) 2 3 4 5 4 3 2 3 4 1

    Machine cost ($/w eek) 50 30 40 30 100 80 60 20 70 40

    Value Added ($) 10 1 2 1 3 1 2 2 1 1

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    Design a plant that uses a job

    shop (or functional) layout

    M1 M2

    M3

    M5

    M4

    M7

    M6

    Offices

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    Step 1: Queuing Analysis Do a Queuing Analysis for each

    machine type

    Machine 1 2 3 4 5 6 7 8 9 10

    Arrival Rate

    Service Rate

    Number of Mach.Spaces for WIP

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    Queuing Analysis

    Machine 1 2 3 4 5 6 7 8 9 10

    Arrival Rate 1740 850 520 440 540 1270 760 200 1120 1740Service Rate 129 158 125 114 129 156 197 200 187 142

    Number of Mach. 17 7 6 5 6 11 5 2 8 16

    Spaces for WIP 4 5 3 6 3 3 6 1 4 3

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    Step 2: Space Analysis Find the space requirements of each

    machine type.

    Find the space required for WIP.

    Machine 1 2 3 4 5 6 7 8 9 10

    Number

    Space

    Space for WIP

    Total Space

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    Space analysis

    Machine 1 2 3 4 5 6 7 8 9 10

    Number 17 7 6 5 6 11 5 2 8 16

    Space for Mach. 34 21 24 25 24 33 10 6 32 16

    Space for WIP 2 2 2 3 2 2 3 1 2 2

    Total Space 36 23 26 28 26 35 13 7 34 18

    Space for Plant 246 Sq. M.

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    Step 3: Flow Analysis Construct the from-to chart for weekly

    flowsMachine 1 2 3 4 5 6 7 8 9 10

    1

    2

    3

    4

    56

    7

    8

    9

    10

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    Step 4: Construct a Layout Use a plant dimension of 12x24 with

    area 288 sq. m.1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24

    1

    2

    3

    4

    5

    6

    78

    9

    10

    11

    12

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    Step 5: Economic Analysis Plant cost:

    Machine cost:

    Transportation Cost Cost of WIP

    Total Cost:

    How will these costs change with larger

    lot sizes?

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    Design a plant that uses a

    flow shop layout We assume that each product visits each station but

    receives no processing at some stations.

    What do you think changes with respect to thefunctional layout?

    M1

    M2

    M3

    M5

    M4

    M7

    M6

    Offices

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    Queuing and space analyses

    Machine 1 2 3 4 5 6 7 8 9 10

    Arrival Rate

    Service Rate

    Number of Mach.

    Spaces for WIP

    Machine 1 2 3 4 5 6 7 8 9 10

    Number

    Space

    Space for WIP

    Total Space

    Queuing analysis

    Space analysis

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    Flow Analysis Construct the from-to chart for weekly

    flowsMachine 1 2 3 4 5 6 7 8 9 10

    1

    2

    3

    4

    5

    6

    7

    8

    9

    10

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    Economic analysis Plant cost:

    Machine cost:

    Cost of WIP at machines:

    Cost of WIP in material movement:

    Total Cost:

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    Design a plant that uses a

    separate line for each product Let moulding and final inspection be

    separate departments

    What will be different in this type oflayout?

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    Queuing and space analyses

    for each productProduct A

    Machine 1 2 3 4 5 6 7 8 9 10

    Arrival Rate

    Service Rate

    Number of Mach.

    Spaces for WIP

    Total Space

    Product B

    Machine 1 2 3 4 5 6 7 8 9 10Arrival Rate

    Service Rate

    Number of Mach.

    Spaces for WIP

    Total Space

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    Economic Analysis Plant cost:

    Cost of WIP at machines:

    Cost of WIP in material movement:

    Total Cost:

    How does this cost relate to the cost ofa functional layout?

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    Design a plant that uses group

    technology Let moulding and final inspection be separate departments

    Offices

    M3M2

    M1

    M4

    M7M1

    M5

    M6M2

    M7

    M2

    M3

    M4

    M6

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    Queuing

    and spaceanalysis foreach family

    Family 1

    Machine 1-2 1-6 1-8 1-9

    Arrival Rate

    Service Rate

    Number of Mach.

    Spaces for WIPTotal Space

    Family 2

    Machine 2-5 2-6 2-7

    Arrival Rate

    Service RateNumber of Mach.

    Spaces for WIP

    Total Space

    Family 3

    Machine 3-3 3-4 3-5 3-6 3-7 3-9

    Arrival Rate

    Service Rate

    Number of Mach.

    Spaces for WIP

    Total Space

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    Flow AnalysisMachine 1 1-2 1-6 1-8 1-9 2-5 2-6 2-7 3-3 3-4 3-5 3-6 3-7 3-9 10

    1

    1-2

    1-6

    1-8

    1-9

    2-5

    2-6

    2-7

    3-33-4

    3-5

    3-6

    3-7

    3-9

    10

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    Economic Analysis Plant cost:

    Cost of WIP at machines:

    Cost of WIP in material movement:

    Total Cost: