RelativeResourceManager2

RelativeResourceManager2 - MGT 3200 Operations Management:...

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MGT 3200 – Operations Management: Chapter 7 Supplement: Process Capacity Planning Prof. Victor B. Marshall 5/30/10 1 Prof. Victor B. Marshall
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These slides are designed to accompany these textbooks: 5/30/10 2 ©2010 Victor B. Marshall
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Capacity Planning 5/30/10 3 Prof. Victor B. Marshall
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Chapter Learning Objectives 5/30/10 4 ©2010 Victor B. Marshall Chapter # Chapter Desc Obj Objective Chapter 07S Capacity Planning (Supp) 1 De8ine design and effective capacity Chapter 07S Capacity Planning (Supp) 2 De8ine and calculate utilization Chapter 07S Capacity Planning (Supp) 3 De8ine and calculate ef8iciency Chapter 07S Capacity Planning (Supp) 4 De8ine 8ixed costs and variable costs. Provide examples relative to OM. Chapter 07S Capacity Planning (Supp) 5 Conduct a breakeven analysis (single‐ product case) for capacity Chapter 07S Capacity Planning (Supp) 6 Explain the cash‐to‐cash cycle and the impact of OM on this cycle Chapter 07S Capacity Planning (Supp) 7 Describe approaches for managing demand Chapter 07S Capacity Planning (Supp) ± Describe different approaches for capacity expansion Chapter 07S Capacity Planning (Supp) 10 Evaluate capacity recommendations using a decision tree analysis Chapter 07S Capacity Planning (Supp) 12 De8ine a bottleneck and explain its effect on the output of a production system
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5/30/10 5 Prof. Victor B. Marshall Capacity Planning What Is It ? Answers the Question: How Much? – Ability to Meet Current and Future Demand Marketing and Operations Working Together (Again!) Capacity – Measured in Quantity per Unit of Time • Ex: # of Cakes per Hour
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5/30/10 6 Prof. Victor B. Marshall Key Capacity Definitions Capacity – The “throughput” or number of units a facility can hold, receive, store or produce in a period of time – Units: # of items per unit of time (Ex: products produced per hour) Design Capacity – The theoretical maximum output of a system in a given period under ideal conditions Effective Capacity – Capacity a firm can expect to achieve given its product mix, methods of scheduling, maintenance and standards of quality Utilization – Actual Output as a % of Design Capacity Efficiency – Actual Output as a % of Effective Capacity
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Understanding Bottlenecks, Utilization, Cycle Time & Throughput Time 5/30/10 7 Prof. Victor B. Marshall
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8 Prof. Victor B. Marshall Process Bottlenecks, Capacity, Cycle Time & Throughput Time Consider the following bakery – How long does it take to prepare one cake? – How many cakes can the bakery produce an hour? – What step, or steps, limit the production to this rate? – How many machines / stations would it take for each step in order to bake at least 24 cakes an hour? – What is the cycle time (time between successive cakes at output)?
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This note was uploaded on 11/15/2011 for the course MGT 3200 taught by Professor Moodie during the Fall '08 term at Kennesaw.

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RelativeResourceManager2 - MGT 3200 Operations Management:...

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