Chapter 7. Capacity and Facilities Design

In this chapter, you will learn about . . .

  • Capacity Planning

  • Facilities

  • Basic Layouts

  • Designing Process Layouts

  • Designing Service Layouts

  • Designing Product Layouts

  • Hybrid Layouts

Capacity and Facilities Design

Web resources for this chapter include

  • OM Tools Software

  • Internet Exercises

  • Online Practice Quizzes

  • Lecture Slides in PowerPoint

  • Virtual Tours

  • Excel Exhibits

  • Company and Resource Weblinks


NECCO (THE NEW ENGLAND CONFECTIONERY COMPANY) is the oldest multiline candy manufacturer in the United States, best known for its popular "conversational" line of candy hearts. In recent years, the company has closed its venerable Boston facility and consolidated three other facilities into a state-of-the art manufacturing and distribution center in Revere, Massachusetts.

The move enabled the company to completely reassess every step of its production process, including work flow and staffing, to come up with a new layout design that moved candy more quickly from the factory floor to the customer. The new 820,000-square-foot facility is home to 586,000 square feet of production area, 200,000 square feet of warehouse space, and 30,000 square feet of office space. The facility has over 30 different process lines capable of manufacturing over 70 million pounds of candy per year. The building has two ...

Get Operations Management: Creating Value Along the Supply Chain, 7th Edition now with O’Reilly online learning.

O’Reilly members experience live online training, plus books, videos, and digital content from 200+ publishers.