A crowded place so chock full of morons doing stupid things that they must be manufacturing them in a back room; thus, a factory. An organization housing so many idiots, it almost seems intentional.
"Want to hit Daily Grill?"
"Are you kidding? That place is a total clown factory. Last time we went, some muppet backed his Land Rover into 2 parked cars and ran over a potted tree on his way out."