8 Questions
What is the primary goal of capacity planning in supply chain management?
To ensure the supply chain is always ready to meet demand
What type of capacity planning ensures you have enough products or ingredients for your deliverable?
Product capacity planning
Which of the following is a characteristic of the Lag Strategy in capacity planning?
Planning to have just enough resources to meet true demand
What is the first step in the capacity planning process?
Measure
Which of the following is NOT a type of capacity planning?
Financial capacity planning
What is the purpose of designing a work system?
To provide the structure for the productivity of the company
Which capacity planning strategy involves planning to have enough resources to meet demand forecasts?
Lead Strategy
What is the third step in the capacity planning process?
Formulate
Study Notes
Capacity Planning
- A type of production planning that determines production capacity and workforce needs to meet demand.
Types of Capacity Planning
- Product Capacity Planning: Ensures enough products or ingredients for deliverables.
- Workforce Capacity Planning: Ensures enough team members and work hours to complete jobs.
- Tool Capacity Planning: Ensures enough tools to complete jobs.
Basic Steps for Capacity Planning
- Measure: Measure resource capacity.
- Analyze: Analyze the measurements.
- Formulate: Formulate a plan based on the analysis.
Strategies for Using Capacity Planning
- Lag Strategy: Plans to meet true demand, ensuring low costs.
- Lead Strategy: Plans to meet demand forecasts, assuming more risk.
- Match Strategy: The middle ground between lag and lead strategies, with frequent capacity planning.
Designing a Work System
- Objectives: Determine company objectives.
- Operations Strategy: Develop a strategy to achieve objectives, providing the company's productivity structure.
Work System Components
- Job Design: Ensures each employee's duties and responsibilities align with the company's mission.
- Methods Analysis: Eliminates unnecessary tasks and improves processes.
- Work Measurement: Evaluates employee performance and compares alternative processes.
Learn about the three types of capacity planning in supply chain management: product capacity, workforce capacity, and tool capacity planning to ensure meeting demand.
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