Comparison of Product Layout and Functional Layout in Manufacturing

Comparison of product layout (line) and functional layout(process) in manufacturing can be done in work flow, job movement, inventory requirement, machine utilization, capital investment, product quality, work flexibility, space requirement, time required for completion of product and skill of worker.

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Product Layout
Functional Layout
1 In product layout, similar machines are arranged according to the sequence for manufacturing the product. In functional layout, similar machines are arranged in one location for manufacturing the product.
2 Product layout leads to transfer lines. Functional layout leads to group technology.
3 Product layout is meant for mass product and extremely less job variety. Functional layout is meant for moderate production and more job variety.
4 Work flow is smooth in product layout. Work flow is not smooth in functional layout.
5 Job movement is very less. Job movement is comparatively more.
6 Inventory requirement is less. Inventory requirement is comparatively more.
7 Full automation in material handling is possible in product layout. Automation in material handling is not effective in functional layout.
8 Machine utilization is poor in product layout. Machinery utilization is better in functional layout.
9 Capital investment required is more in product layout. Capital investment for functional layout required is less compared to product layout.
10 Breakdown of one machine affects greatly in product layout. Breakdown of one machine does not affect so much in functional layout.
11 Production planning and control is easy. Production planning and control is comparatively difficult.
12 Time required for completion of product is less. Time required for completion of product is more.
13 Product quality is not so good. Product quality is better.
14 Less skilled workers are required. High skilled workers are required comparatively.
15 Work flexibility is very less in product layout. Work flexibility is more in functional layout.
16 Work space required for same amount of production is less. Work space required for production of same amount of comparatively more.
17 Monotony in working is more because jobs are repetitive in nature in product layout. Monotony in working is less because jobs are non-repetitive in functional layout.
18 Product layout is used in mass production or assembly work. Functional layout is used in job order production or maintenance work of non-repetitive type.
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