Layout Redesign for Cost Reduction and Efficiency Improvement
Layout Redesign for Cost Reduction and Efficiency Improvement

Summary/Abstract: In a global competitive market, the manufacturing companies have to produce cost effective products which can be realized by minimized production cost and higher productivity. The effective facility planning can reduce significantly the operational costs of companies. Adequate facility layout can result the productivity improvement of the manufacturing activity. The Facility Layout Problem (FLP) is relating to location of objects (departments, workstations, machines, etc.) on a given site and the material flow between these objects. The goal of this study is to show the reasons, objectives and steps of a layout redesign process. A described case study, which is a part of an industrial R&D project, shows how can be optimized the arrangement of workstations on the shop floor to reduce movement of raw materials, components, equipment and workers, to minimize the total workflow and the cross material flow in the manufacturing system, to provide free space for other additional value adding activities and to create safe work environment at a real manufacturing system.

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