Product layout is a production layout used for manufacturers who produce large volumes of goods to ensure smooth rapid flow of production. Required: Highlight FIVE (5) advantages of a product layout.

  • High Rate of Output: Increased rate of output due to minimal movement away from the product.
  • Low Unit Cost: Low unit cost per product as the high volume and high cost of specialised equipment are distributed.
  • Reduced Training Costs: Lower training costs due to labour specialisation, which reduces the time and money spent on training.
  • Reduced Material Handling: Simplified material handling as units follow the same sequence of operations, lowering material handling costs.
  • Routing and Scheduling: Establishment of routing and scheduling in the initial design, requiring less attention once the system is operational. Routine support services such as accounting, purchasing, and inventory are also fairly routine.