Upon successful completion of this unit, you will be able to:

• describe the determinants of effective capacity;
  • facilities
  • product and service factors
  • process factors
  • human factors
  • policy factors
  • operational factors
  • supply chain factors, and
  • external factors;
• describe what factors an organization must consider in selecting a facility location;
• identify the benefits of four basic layout designs in the physical placement of resources:
  • process
  • product
  • cellular, and
  • fixed position; and
• apply the Line Balancing steps to the design of an appropriate product layout.