MHC

As a result of these changes, the previous layout becomes less efficient, which makes material handling cost increased.

In order to find the feasible solution for the facility layout problems, the main objective is to reduce the total material handling cost. Several research people discussed about the various patterns of the facility layout problems.

[m.sub.i] Machine in slot [n.sub.1] [m.sub.j] Machine in slot [n.sub.N] N Number of slots [Cm.sub.1] [m.sub.2] Material handling cost between machines [m.sub.1] & [m.sub.2] ([m.sub.1] [m.sub.2]=1,2,3.

In addition to intercell material handling cost, other costs, such as machine cost, operating cost, etc., should be considered in the objective function in order to obtain more valid solutions.

In fact, in many respects, the use of the R/3 system results in material handling cost as a direct cost rather than as the traditional indirect (overhead) cost.

At this point, MP6, which measured material handling cost, was dropped because its CITC was 0.462.

Convert interdepartmental flows to [w.sub.ij]([L.sub.C]) by estimating the material handling cost of each unit of flow per time period per unit of distance.

Material handling cost, warehousing and finishing costs, which were treated as fixed costs in the traditional approach, are all affected by movement in volume of output.

Since our heuristic considers the volume, and material handling costs we name it the volume and material handling cost (VMC) heuristic.

Ahmed "A Volume and Material Handling Cost Based Heuristic for Designing Cellular Manufacturing Cells") is Professor of Information Systems and Operations Management at the University of Toledo.