O'Reilly logo

Operations Management: Processes and Supply Chains, 12th Edition by Larry P. Ritzman, Manoj K. Malhotra, Lee J. Krajewski

Stay ahead with the world's most comprehensive technology and business learning platform.

With Safari, you learn the way you learn best. Get unlimited access to videos, live online training, learning paths, books, tutorials, and more.

Start Free Trial

No credit card required

4 Capacity Planning

Learning Goals

After reading this chapter, you should be able to:

  1. Define long-term capacity and its relationship with economies and diseconomies of scale.

  2. Understand the main differences between the expansionist and wait-and-see capacity timing and sizing strategies.

  3. Identify a systematic four-step approach for determining long-term capacity requirements and associated cash flows.

  4. Describe how the common tools for capacity planning such as waiting-line models, simulation, and decision trees assist in capacity decisions.

With Safari, you learn the way you learn best. Get unlimited access to videos, live online training, learning paths, books, interactive tutorials, and more.

Start Free Trial

No credit card required