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Product Layout - Connected Flow
Where the demand for a single product is sufficiently high to warrant truly continuous operation (mass production for discrete items such as, connecting rods, ball-point pens, and confectionery; process systems for 'fluids' such as oil products, sugar and cement) it is possible to have an automatic production line specially designed to incorporate not only the sequence of processes, but also an automatic transport system to move the product from process to process, in unison.
With such a connected-flow system (see figure) there is no need for expensive work-in-progress between processes, less floor space is required, and throughput time for a particular item is very short.
Explain why operational efficiency is so important to Net Income, Return on Capital and Income.
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