Production and Operations Management

5.

Facility Location and Layout

5.1.

Facility Location Decisions

5.1.1.

Strategic Importance of Location

5.1.2.

Location Factors

5.1.2.1.

Market-Related Factors

5.1.2.1.1.

Proximity to Customers

5.1.2.1.2.

Market Size and Growth

5.1.2.1.3.

5.1.2.2.

Supply-Related Factors

5.1.2.2.1.

Proximity to Suppliers

5.1.2.2.2.

Raw Material Availability

5.1.2.2.3.

Supply Chain Integration

5.1.2.3.

5.1.2.3.1.

Labor Availability

5.1.2.3.2.

5.1.2.3.3.

5.1.2.3.4.

Labor Relations

5.1.2.4.

Infrastructure Factors

5.1.2.4.1.

Transportation Networks

5.1.2.4.2.

5.1.2.4.3.

Communication Systems

5.1.2.5.

Economic Factors

5.1.2.5.1.

Operating Costs

5.1.2.5.2.

5.1.2.5.3.

Currency Considerations

5.1.2.6.

Political and Legal Factors

5.1.2.6.1.

Government Policies

5.1.2.6.2.

5.1.2.6.3.

Political Stability

5.1.2.7.

Environmental Factors

5.1.2.7.1.

5.1.2.7.2.

Natural Disasters

5.1.2.7.3.

Environmental Regulations

5.1.3.

Location Analysis Methods

5.1.3.1.

Factor Rating Method

5.1.3.2.

Weighted Scoring Model

5.1.3.3.

Center of Gravity Method

5.1.3.4.

Break-Even Analysis

5.1.3.5.

Transportation Model

5.1.3.6.

Simulation Methods

5.1.4.

Global Location Considerations

5.1.4.1.

Offshoring vs. Nearshoring

5.1.4.2.

Cultural Factors

5.1.4.3.

Risk Assessment

5.2.

Facility Layout Design

5.2.1.

Layout Objectives

5.2.1.1.

Efficiency Maximization

5.2.1.2.

5.2.1.3.

Safety and Ergonomics

5.2.1.4.

Space Utilization

5.2.2.

5.2.2.1.

5.2.2.1.1.

Functional Grouping

5.2.2.1.2.

Material Handling

5.2.2.1.3.

Advantages and Disadvantages

5.2.2.2.

5.2.2.2.1.

Line Configuration

5.2.2.2.2.

Balancing Requirements

5.2.2.2.3.

Advantages and Disadvantages

5.2.2.3.

Fixed-Position Layout

5.2.2.3.1.

Project-Based Operations

5.2.2.3.2.

Resource Scheduling

5.2.2.3.3.

Advantages and Disadvantages

5.2.2.4.

Cellular Layout

5.2.2.4.1.

Group Technology Principles

5.2.2.4.2.

5.2.2.4.3.

Advantages and Disadvantages

5.2.2.5.

5.2.2.5.1.

Mixed-Model Lines

5.2.2.5.2.

Flexible Layouts

5.2.3.

Layout Design Process

5.2.3.1.

Space Requirements Planning

5.2.3.2.

Relationship Analysis

5.2.3.3.

Layout Alternatives Generation

5.2.3.4.

Layout Evaluation

5.2.4.

Layout Analysis Tools

5.2.4.1.

5.2.4.2.

Relationship Diagrams

5.2.4.3.

Computer-Aided Layout Design

5.2.5.

Service Facility Layout

5.2.5.1.

Customer Flow Considerations

5.2.5.2.

Service Encounter Design

5.2.5.3.

Waiting Area Design

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6. Capacity Planning and Management