Another significant contribution of this research is that the layouts generated from this procedure are quickly incorporated into a simulation model which is used for evaluating layouts. Simulation offers a rich evaluation including the consideration of dynamic system performance measures.

The plant layout problem (PLP) has been studied extensively for many years beginning with Muther's text. Traditionally, the problem is formulated as the arranging facilities such that the material handling cost is minimized and location constraints are satisfied. Since a significant portion of production costs are related to material handling, this approach seems well-reasoned. This research effort, however, expands the evaluation of the layout by integrating a simulation evaluation tool with a layout generation procedure.

In this research effort, a new solution procedure for the PLP is presented which handles a significant number of realistic requirements. First, the concept of arranging departments around a logical aisle structure is used. The cut tree is the basis for determining the arrangement of the departments around the aisles. Departments may have predetermined locations and/or shapes. Ranges may be specified for department area and aisle locations. Traffic flow along aisles can be specified as having a single direction of flow or bi-directional flow.

Analysis of the layouts is aided by the presentation of a Layout Analysis and Improvement Workstation. This tool organizes the analyst in the layout design process. Generated layouts are saved and organized with key performance metrics. Access to analytical tools and visual tools for improving the layout is also provided.

In the 1970's researchers proposed using graph theory-based procedures. This research effort utilizes the cut tree concept from graph theory. The cut tree is intuitively very powerful when considering flow along aisles.