True or False: Capacity planning in operations management involves ensuring that a company's resources, including equipment, labor, and facilities, are able to meet current and future demand levels efficiently.
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- 1. What factors should be considered when selecting the appropriate capacity cushion? Howdoes the choice of capacity cushion relate to other decisions in operations management?To other functional areas? 2. Capacity planning requires a demand forecast for an extended period of time into thefuture. What concerns would you have regarding an extended forecast as a capacityplanner?How is a systems-based approach to capacity planning advantageous?Deforrest Marine Motors manufactures engines for the speedboat racing circuit. As part of their annual planning cycle, they forecasted demand for the next four quarters. The number of available days of production and the anticipated demand are given below. Employees Production Rate Production Cost Backorder Cost Overtime Cost Overtime Limit Demand Q1 2,400 6,019,000 They also estimated many of the costs required to conduct operations planning. Some of these key figures are listed below. 30 70 units/employee/quarter Q2 2,200 $1,000/unit $200/unit/quarter $1,500/unit <= 25% of Reg. Production Q3 1,700 Q4 1,800 Hire Cost Fire Cost Subcontracting Cost Subcontracting Limit Inventory Cost Initial Inventory $1,200/employee $800/employee $1,800/unit 400 units maximum $100/unit/quarter 280 units Deforrest Marine Motors wishes to maintain the current number of employees for the entire year to follow a level strategy balanced with inventory and backorders as needed. What is the total cost of this…
- Inghams’s Pizzas is a chain of pizza stores. Pizzas are made fresh in-store, and then delivered tocustomers by a fleet of drivers. The senior management team has identified the strategic priorities forthe business as on-time delivery and product quality.Required:a) For each of the strategic priorities, suggest three performance measures. b) If the company is successful in achieving challenging targets for these performance measures, willit also necessarily achieve high profitability? Explain your answer.Capacity planning requires a demand forecast for an extended period of time into thefuture. What concerns would you have regarding an extended forecast as a capacityplanner?Is there a connection between the planning and scheduling of activities and the supply chain's capacity to remain viable? Is it possible for the organization to make use of both?
- Goals and objectives for the short term and long term for any logistic comany ?1.Why is sustainability an important component in a firm's strategy development. 2. What production strategy would you say best describes the construction of the akosombo dam. 3. Identify the production process likely to be used By a paper mill and justify your answer. 4. Explain why capacity is a major operational issue with service organizations.Operations Management Fall20 Using exponential smoothing method, forecast the demand for the fourth period. The historical demand for the previous three periods is 41, 42, and 43 respectively, assume Alpha =0.9 (Round to 2 decimals) 11 J لم يتم الجابة عليه اخترأحد الخيارات 2.00 jo yall Lis ale P Jljull a. 42.89 O b. 42.8 O C. None is correct O d. 42 O e. 41.92 O 0:55:09 aali 1950 d) ENG 01/12/2020 Nevt O Type here to search
- 1. Explain the short-term and long-term challenges that arise in regular business settings2. Explain the interdependence among the 4Ps (Price, Product, Place, Promotion) and its relation with cost3. What should the company do related to their positioning and the company's business model for competitive advantage4. What are the issues related to capacity building for scale advantage and its short falls5. if you are the founder, how you see the the company's excess capacity and how to utilize it throughout the yearDetermine the total cost for this plan given the following forecast:Month 1 2 3 4 5 6Forecast 380 400 420 440 460 480Use steady regular output of 400 units per month, use overtime as needed for up to 40 units permonth, and use subcontracting to make up any needed output to match the forecast. Unit costs are:Regular output = $25Overtime = $40Subcontract = $60Average Balance Inventory = $15A firm’s operational ability (capacity) is very important. Therefore, capacity has been defined based on certainconcepts. As a student of Operations Management, a) State and define the three (3) categories of capacity.b) Explain three (3) capacities planning choices for companies.