The Basic Difference between Product and Process Layout in Manufacuring

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Most manufacturing organizations do a lot of research regarding the layout of the facilities in the factory. Selection of strategies for manufacturing process and designing are critical for increasing the productivity and reduction of cost. There are different strategies being adopted by companies in reducing the wastage and increasing the output in lesser time. Based on different scenarios either process layout or product layout are implemented by companies. The following descriptions explain the difference between process layout and product layout in the manufacturing process.

Product Layout in Manufacturing
In this kind of layout the workstations are segmented into groups whic are based on the products being manufactured. When product layout is implemented semi finished products can be transfered from one workstation to another quickly in the production line. This kind of layout is best suited for small business organizations handling lower volume of products. When the number of products being manufactured increases it is necessary to implement process layout into action.

Process Layout in Manufacturing
In this kind of layout similar workstations are grouped together which performs the same operation without considering which kind of products being manufactured. Products are manufactured in bulk which is transferred to the next section as semi-finished goods. Better coordination and supervision at the workstation is possible with process layout in manufacturing. In process layout, the individual process works more efficiently leading to higher profits.

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