In: Operations Management
Research a firm that uses a process-oriented layout. Describe your selected firm's layout and discuss the advantages and disadvantages of the layout. Recommend changes that would improve your selected firm's layout.
I have selected Coca-Cola for this question.
Coca-Cola is considered to be the largest non-alcoholic beverage company and it is mainly involved in the production of soft drinks, fruit juices, bottled water, and related beverages. Coca-Cola is one of the most renowned organizations in the world.
Layout used:- As the company is mainly involved in the production of high quantity soft drink products thus it commonly uses the product layout in which the product moves from one workstation to other in the sequence which is followed for the production of the product from is raw material stage to the finished product stage.
The different work stations used in this layout are:-
The main advantages of this product layouts are as below:-
Lower per unit cost
Higher production quantity
Low skills of manpower
Easy tracking and control of operations
Easy to route and schedule
Greater efficiency and utilization
Efficient material management and handling
The main disadvantages of this product layouts are as below:-
Limited or almost no flexibility
If one workstation breaks down, the product standstills
Personalized incentives plans for the manpower is not possible
The possible improvements are as below:-
The company can try to use more workstation in order to make more products in a similar workstation
In order to motivate the manpower to produce high-quality products, the company can implement individualized incentive plans
In order to avoid any kind of breakdown of the workstation, the company can have a backup workstation