Long-Range Capacity Planning and Facility Location

Using Closeness Ratings to Develop Service Facility Layouts

• Start

• Let m = 1 and n = 6.

• Identify dept. pairs with CR of m.

• Develop layout with dept. pairs iden-
• tified in Step 2 adjacent to one another.

• Identify dept. pairs with CR of n.

• Fit the dept. pairs identified in Step 4
• into the trial layout from Step 3.

• Step 1

• Step 2

• Step 3

• Step 4

• Step 5

• Examine the trial layout from Step 5.
• If any CRs of dept. pairs are violated,
• rearrange depts. to comply with CRs.

• Step 6

• Does
• m = 3 and n = 4
• ?

• Stop

• Let m = m + 1
• and n = n - 1.

• No

• Yes

Using Closeness Ratings to Develop Service Facility Layouts

• Typical Closeness Ratings
• Closeness Meaning
• Rating of Rating
• 1 Necessary
• 2 Very Important
• 3 Important
• 4 Slightly Important
• 5 Unimportant
• 6 Undesirable

Example: AG Advertising

• Using Closeness Ratings
• AG Advertising is moving into a new office suite having seven large, roughly equal size rooms, one for each department of the firm. Lisa, the manager, must now assign each department to a room. She has developed a grid of closeness ratings (on the next slide) for the 21 unique pairs of departments.

Example: AG Advertising

• 5

• 6

• 4

• 4

• 2

• 3

• 3

• 5

• 4

• 1

• 2

• 6

• 2

• 4

• 3

• 3

• 1

• 6

• 5

• 1

• 2

• Closeness Ratings Grid
• Dept. A
• Dept. B
• Dept. C
• Dept. D
• Dept. E
• Dept. F
• Dept. G