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Operations Management: Sustainability and Supply Chain Management, Twelfth Edition
book

Operations Management: Sustainability and Supply Chain Management, Twelfth Edition

by Jay Heizer, Barry Render, Chuck Munson
February 2016
Intermediate to advanced content levelIntermediate to advanced
480 pages
219h 58m
English
Pearson
Content preview from Operations Management: Sustainability and Supply Chain Management, Twelfth Edition

Capacity

  1. LO S7.1 Define capacity

What should be the seating capacity of a concert hall? How many customers per day should an Olive Garden or a Hard Rock Cafe be able to serve? How large should a Frito-Lay plant be to produce 75,000 bags of Ruffles in an 8-hour shift? In this supplement we look at tools that help a manager make these decisions.

After selection of a production process (Chapter 7), managers need to determine ­capacity. Capacity is the “throughput,” or the number of units a facility can hold, receive, store, or ­produce in a given time. Capacity decisions often determine capital requirements and therefore a large portion of fixed cost. Capacity also determines whether demand will be satisfied or whether facilities will be idle. ...

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Publisher Resources

ISBN: 9780134422404