Long-Range Capacity Planning and Facility Location

Planning Cellular Manufacturing Layouts

• More-Complex Issues to be Resolved
• If all the parts cannot be cleanly divided between cells, how will we decide which are to be the exceptional parts?
• If inadequate capacity is available to produce all the parts in cells, which parts should be made outside the cells?

Planning Cellular Manufacturing Layouts

• Cell Formation Procedure
• 1. Form the Parts-Machines Matrix.
• 2. Rearrange the Rows.
• Place the machines that produce the same parts in adjacent rows.
• 3. Rearrange the Columns.
• Place the parts requiring the same machines in adjacent columns.
• 4. Use the rearranged parts-machines matrix to identify cells, the machines for that cell and the parts that will be produced in that cell.

Example: Maxx Superchargers

• Cell Formulation
• Maxx produces superchargers for high performance cars and trucks. Maxx has implemented a group technology program in its shop and now must formulate the manufacturing cells. Maxx has identified six parts that meet the requirements for CM.
• The parts-machines matrix on the next slide identifies the 6 parts and 5 machines on which the parts are presently produced.

Example: Maxx Superchargers

• Cell Formulation – Original Matrix

• 1

• 2

• 3

• 4

• 5

• 6

• X

• X

• X

• X

• X

• X

• X

• X

• X

• X

• X

• X

• X

• X

• A

• B

• C

• D

• E

• Parts

• Machines