Abstract
In this paper we examine the adjacency-based, distance-based, and weighted-criteria facility layout objective functions in an attempt to relate them to actual layout costs, which are typically dependent on material handling costs. As a result of this examination, we develop an objective function based on a basic material handling cost structure. We then show that this objective function is a generalization of the traditional weighted objective. Since specifying weights may not be an exact process, we explore the impact of imperfect weighting-value information on solution quality. In the process, we illustrate with test problems from the literature that robust solutions—good solutions as measured by more than one set of weights—can be found with a simple procedure we call the robust layout method. This leads us to our general conclusion that using imperfect weighting-value information while we generate the layouts is better than using complete weighting-value information only after we generate the layouts.