BUSI 2301 Chapter Notes - Chapter 5: Unit, Liquid Oxygen, Electronic Signatures In Global And National Commerce Act
Document Summary
Lo1 define capacity, explain the importance of long term capacity, know how to. Measure capacity and understand two related performance measures, and describe. Capacity the upper limit on the workload that an operating unit can handle. Impacts ability to meet future demands: affects operating costs, major determinant of initial costs. Design capacity the maximum output obtainable under ideal conditions (max) Effective capacity the maximum possible output that can be sustained given. Operating hours, product mix, scheduling difficulties and expected delays, and. Efficiency the ratio of actual output to effective capacity ( Utilization the ration of actual output to design capacity, or equivalently used time. Over available time ( actual ouput design capacity) Facilities, products or services (one, several), human (skills), planning, external (paper work) Lo2 describe the strategic capacity planning process in organizations, know long- Term demand patterns and calculate capacity requirements, and discuss major. Identify the optimal level level of prod that has the lowest avg unit cost.