Importance of layout, Operation Management

Importance of Layout

1. Economic in Handling: Nearly 30 per cent   to 40 per cent of the manufacturing costs in accounted for by materials handling. Every effort should therefore be made to cut down on this cost,. Long distance movements should be avoided and specific handling operations must be eliminated. In a factory, materials have to be handled and therefore the answer to the question how best to avoid handling depends on layout.

2. Effective Use of Available Area: Every inch of the plant area is valuable especially in urban areas. Efforts should therefore be made to make use of the available area by planning the layout   properly. Some  steps for achieving this end area: location  of equipment  and services in order that  they  may  perform multiple functions,  developments of up to  date work  areas and operator  job assignments for a full utilization  of the  labor  force

3.Minimization of Production Delays: Repeat orders and new customers will be the results of prompt execution of orders. Every management should try to keep to the delivery schedules.

Plant layout is a significant factor in the timely execution of order. An ideal layout eliminates such causes of delays as shortage of space, long distance movement of materials spoiled work and contributes to the speedy execution of orders.

4. Improved Quality Control: Timely execution of orders will be meaningful when the quality of the output is not below expectations.  To ensure quality inspection should be conducted at different stages of manufacture. An ideal layout provides for inspection to ensure better quality control.

5. Minimum Equipment Investment : Investment  on equipment  can be  minimized by planned  machine balance and location, minimum  handling  distances by the installation of general purpose machines  and by  planned  machine  loading. A good plant layout provides all these advantages.

6. Avoidance of Bottlenecks: Bottlenecks refer to any place in a production process where materials tend to pile upon produced at rates of speed, less rapid than the previous or subsequent operations.  Bottlenecks are caused by inadequate machine capacity, inadequate storage space or low speed on the part of the operators. The results of bottlenecks are delays in production schedules congestion, accidents and wastage of floor area. All these may then be overcome with an efficient layout.

7. Better Production Control: Production control is concerned with the production of a product of the right type at the right time and at reasonable cost.  A good  plant  layout  is a  requisite o f good  production  control  and provides the plant  control  officers with  a systematic  basis upon  which  to  build  organizational  procedures.

8. Better Supervision : A good plant  ensure  better  supervision  in two  ways:

  1. Determining the number of workers to be handled by a supervisor and
  2. Enabling the supervisor to  get a full view of the entire plant at one glance.

9. Improved Utilization of Labor: Labor  is paid  for every hour it spends in the factory. The efficiency of a management lies in utilizing the time for productive purpose. A good plant layout is one of the factors in effective utilization of labor.

10. Avoidance of Unnecessary and Costly Changes: And layout avoids frequent changed which are difficult and costly. The incorporation of flexibility elements in the layout would help in the avoidance of revisions.

Posted Date: 1/11/2013 7:16:40 AM | Location : United States







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