4.0 Learning Outcomes
Learning Objectives
At the end of this chapter, students will be able to:
- Explain the importance of strategic capacity planning and its role in aligning production capabilities with market demand.
- Analyze the broader organizational effects of capacity decisions and evaluate their strategic implications.
- Apply key capacity measures and performance indicators to assess and optimize operational performance.
- Select and justify appropriate capacity measures for different contexts to ensure accurate capacity assessment.
- Identify and analyze the determinants that influence effective capacity in an organization.
- Outline the steps in the capacity planning process and apply them to develop effective capacity strategies.
- Identify bottlenecks in sequential processes and propose strategies to mitigate their impact on overall process capacity.
- Analyze the bottleneck phenomenon and its implications for process capacity and throughput.
- Perform break-even analysis to evaluate capacity alternatives and make informed capacity decisions.
- Explain the relationship between capacity planning and economies of scale and evaluate their impact on long-term capacity decisions.
