analyses of from to matrices, Slides of Supply Management

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 Gives the distance between selected pairs of

departments,

 Used to analyze the flow of materials

between departments.

 2 types:

▪ Distances

▪ Number of materials handling trips per day

Flow Matrix

From/To A B C D E F

A - 774 1040 420 2600 0

B 0 - 2850 4500 0 690

C 0 0 - 0 1710 192

D 0 1650 0 - 1400 0

E 0 720 0 1500 - 3600

F 0 360 0 0 0 -

 A heuristic approach, not optimal solution

 Need initial layout.

 At each iteration, every pair of departments

is considered for switching locations (their

centroids).

 The pair that gives the greatest savings in

cost will be interchanged.

 The process will continue by looking for

another pair to switch until there is no

improvement.

Cost Matrix From/To A B C D A 0 100 245 260 B 150 0 425 175 C 210 595 0 150 D 520 70 150 0

 COFAD: Modified CRAFT.

 ALDEP: Not require initial layout.

▪ Uses rel-charts.

▪ First, select random dept and place it upper-left

corner.

▪ Second, place dept. with the highest rate with the

first one to its down.

▪ Keep doing until all is done.

▪ Then calculate the score of the design (A=4^3,

E=4^2, I=4, o=1, U=0, X=-4^5.

▪ Redo a number of replications, select the best one. 10

 Construction type like ALDEP.

 But, not randomly select the first one.

 Total closeness rating (TCR)is computed.

▪ A=6, E=5, I=4, O=3, U=2, X=1.

 Select the highest TCR and place it to the

center. (in case of tie, place the largest area)

 Select the department that has the highest

TCR with the first one, ….

 Size of the plant

 Product lines/types to be produced/stored

 Process technology to be used

 Labor force requirements (number & skill)

 Transportation needs

 Utilities requirement (power, gas, water)

 Environmental issues (waste, regulations)

 Interaction with other plants (if satellite, near)

 International considerations

 Tax treatment

 Labor costs (spparel, furniture, consumer elect.)

 Unionization (eliminate union)

 Proximity to markets (Trans. cost)

 Proximity to supplies and resources (paper-

forest)

 Proximity to other facilities (Mgt and Manuf.)

 Quality of life in the region (high-tech)