Podcast
Questions and Answers
What is the definition of design capacity?
What is the definition of design capacity?
- The maximum output rate minus allowances such as personal time, maintenance, and scrap
- The rate of output actually achieved
- The maximum output rate or service capacity an operation, process, or facility is designed for (correct)
- The maximum output rate an operation is actually designed for
What does effective capacity represent?
What does effective capacity represent?
- The maximum output rate or service capacity an operation, process, or facility is designed for
- The maximum output rate an operation is actually designed for
- The maximum output rate minus allowances such as personal time, maintenance, and scrap (correct)
- The rate of output actually achieved
How does actual output differ from effective capacity?
How does actual output differ from effective capacity?
- Actual output represents the design capacity minus allowances such as personal time, maintenance, and scrap
- Actual output is the maximum output rate or service capacity an operation, process, or facility is designed for
- Actual output is the rate of output actually achieved and cannot exceed effective capacity (correct)
- Actual output is the maximum output rate an operation is actually designed for
What are the basic questions in capacity planning according to the text?
What are the basic questions in capacity planning according to the text?
What does globalization add to capacity planning?
What does globalization add to capacity planning?
What is the major determinant of initial costs in capacity planning?
What is the major determinant of initial costs in capacity planning?
In capacity planning, what does actual output efficiency and utilization represent?
In capacity planning, what does actual output efficiency and utilization represent?
What are the determinants of effective capacity in capacity planning?
What are the determinants of effective capacity in capacity planning?
Which key decision is NOT part of capacity planning?
Which key decision is NOT part of capacity planning?
What is the first step in the process of capacity planning?
What is the first step in the process of capacity planning?
What are the characteristics of economies of scale in capacity planning?
What are the characteristics of economies of scale in capacity planning?
In the given capacity planning problem, what is the annual fixed cost for producing internally?
In the given capacity planning problem, what is the annual fixed cost for producing internally?
What is the variable cost per unit for the part if the manager anticipates an annual volume of 10,000 units?
What is the variable cost per unit for the part if the manager anticipates an annual volume of 10,000 units?
What alternative would be best from a cost standpoint if the manager anticipates an annual volume of 10,000 units?
What alternative would be best from a cost standpoint if the manager anticipates an annual volume of 10,000 units?