tailieunhanh - Lecture Operations management (6th Edition): Chapter 9 - R. Dan Reid, Nada R. Sanders

When you have completed this chapter, you will be able to: Explain the importance of work design, compare and contrast the two basic approaches to job design, discuss the advantages and disadvantages of standardization,. | Chapter 9 - Capacity Planning & Facility Location Operations Management 6th Edition R. Dan Reid & Nada R. Sanders Copyright © 2016 John Wiley & Sons, Inc. Learning Objectives Define capacity planning. Explain the steps involved in capacity planning and location analysis. Explain the usefulness of decision trees in decision making. Identify key factors in location analysis. Describe the decision-support tools used in location analysis. Capacity Planning Capacity is the maximum output rate of a facility Capacity planning is the process of establishing the output rate that can be achieved at a facility: Capacity is usually purchased in “chunks” Strategic issues: how much and when to spend capital for additional facility & equipment Tactical issues: workforce & inventory levels, & day-to-day use of equipment Measuring Capacity There is no one best way to measure capacity Output measures like kegs per day are easier to understand With multiple products, input . | Chapter 9 - Capacity Planning & Facility Location Operations Management 6th Edition R. Dan Reid & Nada R. Sanders Copyright © 2016 John Wiley & Sons, Inc. Learning Objectives Define capacity planning. Explain the steps involved in capacity planning and location analysis. Explain the usefulness of decision trees in decision making. Identify key factors in location analysis. Describe the decision-support tools used in location analysis. Capacity Planning Capacity is the maximum output rate of a facility Capacity planning is the process of establishing the output rate that can be achieved at a facility: Capacity is usually purchased in “chunks” Strategic issues: how much and when to spend capital for additional facility & equipment Tactical issues: workforce & inventory levels, & day-to-day use of equipment Measuring Capacity There is no one best way to measure capacity Output measures like kegs per day are easier to understand With multiple products, input measures work better Measuring Capacity Two types of information needed: Amount of available capacity Understand how much capacity the facility has Effectiveness of capacity use How effectively we are using the available capacity Measuring Available Capacity Design capacity: Maximum output rate under ideal conditions A bakery can make 30 custom cakes per day when pushed at holiday time Effective capacity: Maximum output rate under normal (realistic) conditions; usually lower than design capacity On the average this bakery can make 20 custom cakes per day Measuring Effectiveness of Capacity Use Capacity Utilization: Measures how much of the available capacity (%) is actually being used. Measures effectiveness Use either effective or design capacity in denominator Example of Computing Capacity Utilization: A bakery’s design capacity is 30 custom cakes per day. Currently the bakery is producing 28 cakes per day. What is the bakery’s capacity utilization relative to .

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