top of page

AF13 SCM AFMI Plant Warehouse Layout Design and Planning

AFMI -SCM -BL01M03-Day07-20Nov20

Agenda - Layout Plan and Design : Flow Control, Factory/Store/ Warehouse floor planning, Process Vs Product Plan,

A retail store layout (whether physical or digital) is the strategic use of space to influence the customer experience. ... The interior retail store layout has two important components: Store Design: The use of strategic floor plans and space management, including furniture, displays, fixtures, lighting, and signage.

Why is the layout of a store important?

A good store layout serves many purposes, such as for instance customer flow, the prevention of shoplifting and logistics. ... To achieve this, it is important to create the right balance between fast and smooth (customer) flow on the one hand and provision of space on the other

Store Layout Design:

1. Use the right floor plan. ...

2. Be aware of where you “lead” shoppers. ...

3. Ensure that your product quantities are appropriate. ...

4. Have enough space between products and fixtures. ...

5. Freshen up your displays regularly. ...

6. Find ways to appeal to multiple senses. ...

7. Don't forget to cross-merchandise. ...

8. Make sure your employees are on point.

How does store layout affect sales?

Successful retailers start thinking about store layout before they even open. That's because your store layout influences customer flow and customer flow influences sales. Customer flow is the movement of shoppers through your store: when they come in, how many come in and how they move around.

What are the types of layout?

There are four basic types of layouts: process, product, hybrid, and fixed position. Process layouts group resources based on similar processes. Product layouts arrange resources in straight-line fashion. Hybrid layouts combine elements of both process and product layouts.

What Is Layout Planning?

Layout planning is deciding the best physical arrangement of all resources within a facility. Facility resource arrangement can significantly affect productivity.

Two broad categories of operations:

Intermittent processing systems – low volume of many different products

Continuous processing systems – high volume of a few standardized products

Four basic layout types consisting of:

1. Process layouts - Group similar resources together

2. Product layouts - Designed to produce a specific product efficiently

3. Hybrid layouts - Combine aspects of both process and product layouts

4. Fixed-Position layouts - Product is two large to move; e.g. a building

Process layout unique characteristics include:

Process Layouts

1. Resources used are general purpose

2. Facilities are less capital intensive

3. Facilities are more labor intensive

4. Resources have greater flexibility

5. Processing rates are slower

6. Material handling costs are higher

7. Scheduling resources & work flow is more complex

8. Space requirements are higher

Product layout

Product layout unique characteristics are:

1. Resources are specialized

2. Facilities are capital intensive

3. Processing rates are faster

4. Material handling costs are lower

5. Space requirements for inventory storage are lower

6. Flexibility is low relative to the market

Hybrid layouts

1. Combine elements of both product & process layouts

2. Maintain some of the efficiencies of product layouts

3. Maintain some of the flexibility of process layouts


1. Group technology & manufacturing cells

2. Grocery stores

Fixed-Position Layout

· Used when product is large

· Product is difficult or impossible to move, i.e. very large or fixed

· All resources must be brought to the site

· Scheduling of crews and resources is a challenge

Designing Process Layouts

· Step 1: Gather information: Space needed, space available, identify closeness measures

· Step 2: Develop alternative block plans:Using trial-and-error or decision support tools

· Step 3: Develop a detailed layout: Consider exact sizes/shapes of departments and work centers including aisles and stairways

· Tools like drawings, 3-D models, and CAD software are available to facilitate this process

Warehouse Layout Considerations:

· Primary decision is where to locate each department relative to the dock

· Departments can be organized to minimize “ld” totals

· Departments of unequal size require modification of the typical ld calculations to include a calculation of the “ratio of trips to area needed”

· The usage of “Crossdocking” modifies the traditional warehouse layouts; more docks, less storage space, and less order picking

Office Layout Considerations:

1. Almost half of workforce works in an office environment

2. Human interaction and communication are the primary factors in designing office layouts

3. Layouts need to account for physical environment and psychological needs of the organization

4. One key layout trade-off is between proximity and privacy

5. Open concept offices promote understanding & trust

6. Flexible layouts incorporating “office landscaping” help to solve the privacy issue in open office environments

Designing product layouts requires consideration of:

Sequence of tasks to be performed by each workstation

Logical order

Speed considerations – line balancing

Designing Product Layouts

Step 1: Identify tasks & immediate predecessors

Step 2: Determine output rate

Step 3: Determine cycle time

Step 4: Compute the Theoretical Minimum number of Stations

Step 5: Assign tasks to workstations (balance the line)

Step 6: Compute efficiency, idle time & balance delay

Lakshminarasimman V Rao | SCM| Class notes | Study Material | AFMI | Corporate Neeti Consulting | Mysuru

All data above is a combination of data from Internet, purpose of this doc is for research and education only and responses received from Class students and interaction.

Recent Posts

See All


bottom of page