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    Facilities PlanningENG 408

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    Are you in the right room

    Course Code: ENG 408 Course Title: Facilities Planning

    Prerequisites:: ENG 407 Industrial Management

    Instructor: Asif Iqbal Day: Saturday

    Timing: 2.00 ---5. 00pm

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    Overview of todays class

    Administrative Information. Overview of thecourse.

    Summary (student) Team formation

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    A Brief Introduction

    Name: Asif Iqbal Qualification: B.E.(E) NED

    MS (CSC) DePaul,

    Chicago USA

    Major : Data Communication

    Minor : Software Engineering Professional exp:

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    Contact Information Instructor : Asif Iqbal

    Email: [email protected]

    Phone: 4979415

    Office: Faculty Office(see front desk) Class hours:

    I prefer communication via email

    I check email couple of times a dayI will send email to the class in the event of last

    minute changes or announcement

    mailto:[email protected]:[email protected]
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    Attendance Attendance will be taken during the first five minutes,

    late comers will be allowed in the class within theattendance period but will me marked as absent.

    Students are encouraged to consult internet andreference books to make their weekly team reports

    and presentations informative and interesting. We hate rework and will not offer make-up mid terms

    and final exam.

    Students are expected to be attentive, participativeand interactive in the class and team meetings.

    Each student should register at.

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    Assessment

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    Textbook Textbook: Tompkins et al, 2003, Facilities Planning, 3rd Edition,

    Wiley, New York.

    Reference: Management (A Total Quality Perspective) by Bounds, Dobbins

    and Fowler, South-Western College Publishing (1995).

    Production & Operations Management (Manufacturing &

    Services) by Chase, Aquilano and Jacobs, 8th InternationalEdition, Irwin/McGraw-Hill (1998).

    Operational Management (Strategy & Analysis) by Krajewski &Ritzman, 7th Edition, Addison Wesley Publishing Company

    (1999). Total Quality Management by Besterfield et. al. , 3th Edition,

    Prentice Hall of India (2003).

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    Expectations The course requires that you actively engage the

    material on your own.

    you should not only read the book ,but alsosearch the web.

    Spend at least a few hours a week just playingwith the Internet to search information of yourinterest field.

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    Tell me about yourself

    Its the time to market yourself

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    Definition of facility and Facility Planning : facility:

    a real propertystructure with attachments and installationsthat make it usable for an assigned purpose; a building fitted fora specific operationalpurpose.

    The term is sometimes used to promote an available buildingand the property that goes along with it.

    The BOMI Institute glossary defines facilitywith a list of somespecific real property items.

    http://www.bomi-edu.org/

    http://www.findmehere.com/search/dictionary/r_index.htmhttp://www.bomi-edu.org/glossary.shtmlhttp://www.bomi-edu.org/http://www.bomi-edu.org/http://www.bomi-edu.org/http://www.bomi-edu.org/http://www.bomi-edu.org/glossary.shtmlhttp://www.findmehere.com/search/dictionary/r_index.htm
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    FACILITIES: Examples

    Production: any discrete parts or process industry facilities

    Health care: hospitals, clinics, rehab. centers, nursing home

    Education: schools, colleges, day care centers, libraries

    Food: restaurants, fast-food places, banquet halls

    Commercial/Residential: shopping malls, office buildings, banks,

    houses, hotels, motels Government/Public Services: court house, IRS (Internal

    Revenue Service) , INS (immigration and naturalizationservice, post office,

    Military: barracks, control rooms

    http://www.irs.gov/http://www.irs.gov/http://www.usdoj.gov/ins/http://www.usdoj.gov/ins/http://www.usdoj.gov/ins/http://www.usdoj.gov/ins/http://www.irs.gov/http://www.irs.gov/
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    FACILITIES: Examples

    Transportation: airports, train stations, bus terminals

    Public assembly: stadium, auditoriums, theaters

    Religious: temples, chapels, churches, mosques

    Fixed assets like building structures and inanimateresources that support the operations of a givenactivity.

    Facilities put together with humans, $ and/ormaterials, energy result in the activity

    Activity = humans + $ + materials + energy

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    Facilities Planning Impact on activities Handling and maintenance cost

    Employee morale

    Operation costs

    Capital investment

    Facility management Adapting to change &

    Satisfying future requirements

    Note: key requirement for a successful facilities plan

    is its adaptability and its ability to become suitablefor new use

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    Rapid changes in production techniques and

    equipment

    Every entity must insist on the highest returnon investment (ROI)--- not only to prosper,but also to survive

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    FACILITIES PLANNING Determines how an activity's tangible fixed assetsbest support achieving

    the activity's objectives.

    Planning determines course of actionahead of time so subsequentdecisions can be made efficiently

    Designmore technical details that with a use of model, describe the

    implementation of the plan

    Examples:

    a. In manufacturing, the objective is to support production.

    b. In an airport, the objective is to support the passenger airplane interface.

    c. In a hospital, the objective is to provide medical care to patients.

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    1. Business as usual

    When a company works hard to maximize its

    individual functions

    The goal of individual departments, such as finance,

    marketing, sales, purchasing, information technology,research and development, manufacturing,distribution, and human resources, is to be the bestdepartment in the company.

    Organizational effectivenessis not the emphasis

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    2. Link Excellence

    To achieve performance excellence ,

    companies must tear down the internalboundaries until the entire organizationfunctions as one.

    Link between departments and facilities

    Plants, warehouse, and distribution centers

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    3. Visibility Visibility minimizes supply chain surprisesbecause it

    provides the information links need to understandthe ongoing order status.

    Through visibility, organizations understand their rolesin a supply chain and are aware of the other links.

    Example: an electronics company with a web sitethat allows its customers to view circuit boards andthen funnel information about those customers tosuppliers.

    Visibility requires sharing information so that thelinks understand the ongoing order status and thusminimizing supply chain surprises

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    4. Collaboration Once a supply chain achieves visibility, it can move to

    Collaboration.

    Through collaboration, the supply chain can determinehow best to meet the demands of the marketplace.

    The supply chain works as a whole to maximizecustomer satisfaction while minimizing inventories.

    Collaboration is achieved through the properapplication of technologyand true partnership.

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    5. Synthesis

    After collaboration is achieved, the supply chain then

    must pursue the continuous improvement process ofSynthesis.

    Synthesis is the unification of all supply chain links toform a whole.

    It creates a pipeline from a customer perspective.

    Synthesis is not achieved overnight!

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    6. Velocity Ride fast or you will fall

    Todays business environment demands speed

    The internet has created immediate orders, and customers

    expect their items to arrive almost as quickly.

    Each organization in the supply chain should therefore plan

    facilitieswith their supply chain partners in mind.

    Facilities planning ensures that product will be manufacturedand shipped to the satisfaction of the ultimate customer.

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    Characteristics of facilities Flexibility: able to handle a verity of requirementswithout being altered

    Modularity: modular facilities are those with systems that cooperate efficiently overa wide range of operating rates.

    Modular designis a form of standardization in which component parts are subdividedinto modules that are easily replaced or interchanged. It allows:

    easier diagnosis and remedy of failures

    easier repair and replacement simplification of manufacturing and assembly

    Upgradeability: gracefully incorporate advances in equipment system andtechnology

    Adaptability: taking into consideration the implications of calendars, cycles, andpeaks in facilities use.

    Selective operability: understanding how each facility segment operates and allowscontingency plans to be put in place

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    Disciplines involved in facilities design

    Engineering:

    Civil, electrical, mechanical, industrial

    Architects, consultants, contractors, managers,real-estate people, personnel from the activity,etc.

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    Major functions of facilities designengineering viewpoint

    Location of the facility placement of the facility w.r.t.

    customers/suppliers

    Choice of resources

    Layout of resources/components

    Performance evaluation

    The design process ends when the implementationphase of the physical design begins

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    Facilities Planning Hierarchy Structure design: building and support

    services - gas, water, light, air,

    Layout design: space requirements andlocation of resources in available space.

    Handling system design: movement ofmaterial, people, information andequipment.

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    Motivation: Reasonsfor facilities planning/design

    New field of endeavor

    Expansion due to volume or diversity

    Replacing an obsolete facility

    Relocating or consolidation

    Legal: Occupational Safety & Health Act (1970)

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    Motivation: Importanceof facilities planning

    1st phase in facility's life cycle, significant savings

    can accrue

    1. Plan

    2. Design3. Install

    4. Operate

    5. Dispose

    Cost of changes

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    Motivation: Importanceof facilities planning

    Majority of an organization's capital investment is in facilities -- 8% ofGross National Product GNP ($250 billion) spent annually on facilities.

    Single most important cause of high material handling costs islackof strategic facilities planning

    Material handling account for 20 - 50% of operating costs in manufacturing

    Effective material handling can reduce costs by 10 - 30%

    Long term effect: versatility, expandability, flexibility

    Environmental implications: hazardous waste disposal

    Safety, convenience, appearance - influence worker morale Lead to economic development

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    3. Facilities Planning Process3. Facilities Planning Process

    Problem symptoms New needs

    1. Problem Definition

    2. Analysis

    3. Synthesis Design 1

    Design 2

    Design n

    4. Evaluation5. Selection

    6. Implementation

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    3. Facilities Planning Process3.1 Problem Definition

    Criteria, wishes, constraints -- data: products /

    services to delivered and quantities Objective: to maximize overall efficiency& minimize total costs. Important costs:

    Design - Construction - Installation - MH (material handling) Transportation/distribution - Operating & maintenance Wip (work in progress) - Change

    Criteria: may be mathematical function or wishes

    Productivity - Capital investment - Space utilization Flexibility - MH effectiveness - Aesthetics

    3 2 Analysis &

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    3.2 Analysis &3.3 synthesis:

    Fact gathering; primary and secondary support activities

    and their interrelationship -- space required Alternatives: generated by a search procedure Exert the necessary effort Do not get bogged down in details too soon Make liberal use of the questioning attitude

    Seek many alternatives Avoid conservatism Avoid premature satisfaction or rejection Refer to analogous problems for ideas

    Attempt to divorce your thinking from the existing solution Consult others Try the group approach

    3 4 E l ti d l t

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    3.4 Evaluation: use models to assessperformance w.r.t.. criteria

    Scale (iconic) models - Symbolic(mathematical) models

    List of pros and cons - Ranking

    Factor analysis - Cost comparison

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    3.5 Selection: approvals

    3.6 Implementation: physical execution andmonitoring

    Single most important cause of high

    material handling costs is lack of strategicfacilities planning