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Opma

Chapter 9 - Capacity and facility management

TermDefinition
Capacity strategy : if the capacity is too low, what happened ?? Poor service (delays) Loss of sales & goodwill Higher costs (overtime) ''overworked '' employees Threat of new entrants
Capacity strategy : if the capacity is too high, what happened ?? Customer '' confort'' not ideal ''bored'' employees Idle equipment/facilities Higher costs ( layoffs, fixed costs)
3 external factors that affect capacity Government regulations Unions agreements Supplier capabilities
Adjusting capacity to provide a wider range of products and volume with short lead times Capacity flexibility
There are 2 capacity strategies Proactive & Reactive
Which capacity strategy would likely maintain relatively large capacity cushions? Proactive strategy
Which capacity strategy do not want a customer to leave and are willing to have excess capacity (people, equipment, facilities) Proactive strategy
Type of business competing on service, delivery (speed), quality and flexibility are using which strategy ? Proactive strategy
Which capacity strategy do not want excess capacity and are willing to have a customer leave. Reactive strategy
Type of business competing on cost ( low cost) are using which strategy ? Reactive strategy
Name 4 type of layout (disposition) Process layout Product layout Group technology layout Fixed position layout
Assembly line relate most closely to a .... layout Product layout - consistent flow
When dissimilar machines are grouped together to work on a product family ? which type of layout? Group technology layout
When the product remains stationary and the equipment moves instead (ex: bridge). Which type of layout ? Fixed position layout
When similar machines are grouped together. Which type of layout ? Process layout ( job shop)
What is the goal to layout the facility ? Minimize movements, so minimizing costs
how to avoid behavioral considerations ( repetition) in real world issues in line balancing ? Job rotation Mix of task at each station
Solution in variability in times ( line balancing)(2) Having WIP inventory before inconsistent station ( can work ahead) Having extra idle time after inconsistent station ( can catch back up)
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