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1) Identify McDonald's "seven major innovations

Indoor seating (1950s)

Drive-through window (1970s)
Adding breakfast to the menu (1980s)
Adding play areas (late 1980s)
Redesign of the kitchens (1990s)
Self-service kiosk (2004)
Now three separate dining sections

2) In what specific areas does the layout decision establish a firm's

competitive priorities?

3) To develop a good facility layout, what must be determined?

An understanding of capacity and space requirements

Selection of appropriate material handling equipment
Decisions regarding environment and aesthetics
Identification and understanding of the requirements for information
Identification of the cost of moving between the various work areas

4) Identify the seven fundamental layout strategies. Describe the

use of each one very briefly.
1) Fixed-position layout
large bulky projects such as ships and buildings
2) Process-oriented layout
deals with low-volume, high-variety production (job shop,
intermittent production)
3) Office layout
positions workers, their equipment, and spaces/offices to provide for
movement of information
4) Retail/service layout
allocates shelf space and responds to customer behavior
5) Warehouse layout
addresses trade-offs between space and material handling
6) Product-oriented layout
seeks the best personnel and machine use in repetitive or continuous
7) Product families ( work cells )
Identify a product family, build teams, cross train team members

5) Why do work cells increase the use of equipment and machinery?

Because it consists of different equipment and machinery brought

together to make a product

6) Explain how a load-distance model helps solve problems in

process layout?

Is a mathematical model used to evaluate locations based on proximity

factors. The objective is to select a location that minimizes the total
weighted loads moving into and out of the facility. The distance
between two points is expressed by assigning the points to grid
coordinates on a map. An alternative approach is to use time rather
than distance.

7) What design guidelines help retail layouts to maximize customer

exposure to products?

Grid design
Free-flow design

8) Consider the five ideas for determining the overall arrangement

of most retail stores. How are these ideas implemented (a) in a
supermarket, and (b) in a fine department store?
Locate high-draw items around the periphery of the store
Use prominent locations for high-impulse and high-margin items
Distribute power items to both sides of an aisle and disperse them
to increase viewing of other items
Use end-aisle locations
Convey mission of store through careful positioning of lead-off
9) What are the two basic types of product layouts? Explain how
they are alike, and how they are different.

Fabrication line
Builds components on a series of machines
Require mechanical or engineering changes to balance

2. Assembly line
Puts fabricated parts together at a series of workstations
Paced by work tasks

Balanced by moving tasks

Both types of lines must be balanced so that the time to perform the
work at each station is the same.
10) Explain what the purpose of assembly line balancing is.
Describe briefly how it is done. Explain how assembly line
balancing supports the needs of product layout.

minimize the imbalance between machines or personnel while

meeting required output
maximize efficiency and minimize number of work station
1. Determine tasks (operations)
2. Determine sequence
3. Draw precedence diagram
4. Estimate task times
5. Calculate cycle time
6. Calculate number of work stations
7. Assign tasks
8. Calculate efficiency