Unit 4: Facility Design
Economies of Scale
The large scale production of goods and services with minimum costs results in the achievement of economies of scale. Economies of scale are evident when the cost of production in an organization reduces with the increase in number of units produced. Specialization and labor division are the two major components that bring about the fulfillment of an increasingly noteworthy benefit for production. Through these two strategies, workers would not solely have the alternative of concentrating on a specific endeavor, yet with time, improve the capabilities fundamental to playing out their responsibilities. The assignments could then be performed better and faster. From this time forward through such capability, time, and money could be saved while production levels extended. Economies of scale may be grouped into inside and outside economies. Exactly when an association decreases costs and grows production inside economies of scale have been practiced (Andrews, Spyridon and Lisa 54). External economies of scale occur outside of a firm, inside an industry. The inquiry I have concerning this topic is: How are economies and diseconomies of scale balanced for a business to succeed?
Layout
Office layout suggests how work stations, employees, apparatus, and gear are arranged inside a work office. Business visionaries have many choices to make concerning arranging their workplaces’ plans, dependent upon the hard and vast size of the structures, yards, and various spaces with which they have to work. Activity administrators set up production workplaces to restrict the development or holding time of semi-finished products between different stations. Air and noise pollution can be a fundamental factor in explicit associations. While it may be useful to locate a huge number of work stations in a little region, one may need to spread things out to keep up a secured and stable work environment (Kang and Junjae 272). Selecting the correct procedures and spreading out methods in the most proficient way can build production yield, decline operational expenses, and improve qualities of products.
Flexible Manufacturing System (FMS)
A flexible system of manufacturing is a strategy of production that is expected to easily conform to changes in the sum and kind of the delivered product. Machines and mechanized systems can be organized to manufacture a combination of parts and handle changing production levels. An FMS can improve proficiency and therefore bring down an organization’s cost of production. Flexible manufacturing additionally can be a vital element of a specially make technique that permits clients to order the items they need. Such adaptability can be accompanied by higher direct expenses (Bisht, Pankaj and Mangey 238). The buying and installation of the appropriate gear that takes into account such customization might be expensive contrasted with the frameworks that are traditional. I learned that the fundamental advantage is the increase in production efficiency. There is reduction of downtime because the line of production does not need to be closed down to set up for an alternate product. FMS disadvantages incorporate its higher direct expenses and the more extended time required to structure the framework determinations for an assortment of future needs.
Works Cited
Andrews, Matthew, Spyridon Antonakopoulos, and Lisa Zhang. “Minimum-cost network design with (dis) economies of scale.” SIAM Journal on Computing 45.1 (2016): 49-66.
Bisht, Dinesh CS, Pankaj Kumar Srivastava, and Mangey Ram. “Role of fuzzy logic in flexible manufacturing system.” Diagnostic Techniques in Industrial Engineering. Springer, Cham, 2018. 233-243.
Kang, Sumin, and Junjae Chae. “Harmony search for the layout design of an unequal area facility.” Expert Systems with Applications 79 (2017): 269-281.