Preprocessing for static and dynamic facility layout problems

Most facility layout problems have departments with unequal areas and have significant rearrangement costs. This paper describes a model and improved algorithm which simultaneously handles these parameters. An existing algorithm solves the dynamic facilities layout problem while permitting the departments to have unequal areas. One part of the algorithm solves a mixed integer programming problem to find the desired block diagram layout. This large, complex problem could only be solved optimally for small problems. Therefore a preprocessing method was developed to prespecify certain obvious department pair orientations, which had previously required binary variables. The method uses estimated location, department sizes, and flow costs to determine the probable variable values. Then, a revised branch and bound strategy solves for the less obvious department pair orientations. Test results show a significant cost reduction on a variety of previously published problems, and feasible solutions to previously unsolved problems. The algorithm found a layout solution to the standard CRAFT problem which has 10.5% lower costs than the previously best published layout.