THE TECHNICAL RESOURCES (EQUIPMENT) IN TODAY'S MANUFACTURING ENVIRONMENT ARE DEVELOPING RAPIDLY. THE PHYSICAL ARRANGEMENT OF EQUIPMENT IN THE PLANT IS CRITICAL TO MAXIMIZING EQUIPMENT UTILIZATION AND CONTROL OF MATERIALS AND PRODUCT. THIS PAPER IDENTIFIES THE KEY ELEMENTS NEEDED TO DEVELOP A WORLD CLASS PLANT LAYOUT THAT IS COMPATIBLE WITH WORLD CLASS EQUIPMENT, AND DESCRIBES THE PLANT LAYOUT METHODOLOGY THAT KEEP THE KEY ELEMENTS IN FOCUS.