Objective In view of problems such as unreasonable equipment layout high material inventory and long logistics lines in multi-variety small batch production workshops this study proposed an optimization of the original layout scheme. The traditional systematic layout planning SLP method directly applied to the equipment layout of modern enterprises lacks dynamic flexibility lacks analysis of personnel and product movement routes has a certain complexity in the calculation process and is greatly influenced by subjective factors. Methods Taking a refrigerator assembly production workshop as an example the systematic layout planning SLP method was used to conduct initial planning of the workshop layout. Then according to the planning results the material system handling analysis SHA method was adopted and combined with the set theory knowledge with material analysis and material movement analysis as the main content the temporary storage area of the materials involved in the workshop production was allocated so as to obtain two layout optimization schemes. Based on the Witness simulation software corresponding simulation models were established for the two layout schemes to verify their optimization effects analyze the production logistics status of the workshop under the two layout schemes and select the optimal layout scheme. Results The results show that compared with the original workshop layout scheme the optimized scheme saved a total processing time of 167. 3 minutes reduced the total distance for material handling by 14. 2% significantly improved the utilization rate of handling equipment and markedly increased production efficiency. Conclusion By adopting the optimized layout scheme the equipment layout problems in multi- variety small batch production workshops can be addressed material handling costs can be reduced and it can also provide certain references for other manufacturing enterprises in factory construction or reconstruction.