The computed numbers of squares are used to indicate each facility. Further, the user has to specify the relationship value allotted to each priority code. Program calculates the total closeness relationship value for each section and by combining these values the score of the existing layout is determined. Based on the specified closeness relationship value nodal diagram is generated. By replacing the nodes with the computed number of unit blocks alternate layout is developed. The effectiveness value and relative cost of the generated layout is computed. Similarly, an array of layouts is generated till an optimum effectiveness value and transportation cost combination is achieved. The following relationships may be used.