Understanding Capacity in Manufacturing and Services
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Questions and Answers

What is capacity in the context of manufacturing or service resources?

Capability to accomplish its purpose over a specified time period

What determines the capacity of an organization?

Resources available, organization of resources, and their efficiency

How can capacity be viewed according to the text?

Maximum rate of output per unit of time or units of resource availability

Give an example of a resource that can have capacity in a manufacturing setting.

<p>Facility, process, workstation, or piece of equipment</p> Signup and view all the answers

What role do specific work methods and procedures play in determining capacity?

<p>Efficiency</p> Signup and view all the answers

How is capacity defined in the context of manufacturing or service resources?

<p>Capacity is the capability of a resource to accomplish its purpose over a specified time period.</p> Signup and view all the answers

What factors determine the capacity of an organization?

<p>The resources available to the organization, such as facilities, equipment, labor, their organization, and efficiency.</p> Signup and view all the answers

Explain the two perspectives from which capacity can be viewed according to the text.

<p>Capacity can be viewed as the maximum rate of output per unit of time or as units of resource availability.</p> Signup and view all the answers

How are specific work methods and procedures related to an organization's capacity?

<p>Specific work methods and procedures impact the efficiency of resources, which in turn affects the organization's capacity.</p> Signup and view all the answers

Why is understanding capacity important for manufacturing or service organizations?

<p>Understanding capacity is crucial for organizations to optimize resource utilization, plan operations effectively, and meet customer demands.</p> Signup and view all the answers

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