Scribd
Upload
15 views2 pages

Cost Minimization in Process Layout

Uploaded by

aparna
Copyright
© All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
Available Formats
Download as PPTX, PDF, TXT or read online on Scribd
15 views2 pages

Cost Minimization in Process Layout

Uploaded by

aparna
Copyright
© All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
Available Formats
Download as PPTX, PDF, TXT or read online on Scribd

Cost Minimization in Process

Layout
• Objective: Minimize inter-departmental
material handling costs.

• Formula:
• Minimize Cost = Σ Σ Xij × Cij

• Where:
• n = total number of departments
• i, j = individual departments
Trip & Cost Matrices – Practical
Example
• Step 1: Trip Matrix (Xij)
• A→B: 30, A→C: 20
• B→A: 25, B→C: 15
• C→A: 10, C→B: 20

• Step 2: Cost Matrix (Cij per load)


• A↔B: 2, A↔C: 4, B↔C: 3

• Step 3: Total Cost Calculation

You might also like