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capacity planning study, Slides of Production Planning and Control

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Typology: Slides

2019/2020

Uploaded on 03/23/2020

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CAPACITY
PLANNING
Submitted To: Submitted By:
Dr. ANJALI GUPTA AJAY
M.B.A Genera(a)
190101010037
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CAPACITY

PLANNING

Submitted To: Submitted By: Dr. ANJALI GUPTA AJAY M.B.A Genera(a) 190101010037

CONTENTS

• WHAT IS CAPACITY AND PLANNING
• WHAT IS CAPACITY PLANNING
• LEVEL OF PLANNING
• CAPACITY PLANNING REQUIRED
• TYPES OF CAPACITY PLANNING
• EFFECTIVE CAPACITY
• MEASUREMENT OF CAPACITY
• STEPS IN CAPACITY PLANNING
• FACTOR EFFECTING DETERMINATION OF PLANT CAPACITY
• REFERANCE

What is Capacity?

Capacity is a facility is its limiting capability to produce an output over a period of time. Definition : “it is the ability of a given system to produce output within specific time period.”

Capacity Planning: The available capacity

should match the forecast demand .that enables an organization to design a schedule to shoe exactly when it will produce the output .that is what product planning is all about .It must meet the long term demand ,allow for variation in demand over a short term and remain within the available capacity. It than generate time table for the man power, equipment, purchases and strategic level capacity plan to detailed operations

schedule.

Definition: “It is the process of determining the

production capacity needed by an organisation to meet

changing demand for its products.”

Short Run Decision MPS Aggregate Plans Capacity Plans Corporate Strategy Business Plans Mission Levels of Planning

Capacity Planning Required:  (^) To meet the customers demand  (^) Cost of efficiency of operations  (^) For scheduling system  (^) For producing more products  (^) For producing new products

FACTOR DETERMINING EFFECTIVE CAPACITY Facilities Product Process Human Factor Operation al Factor External Factor

STEPS IN CAPACITY PLANNING

  1. Forecast the demand
  2. Access capacity of existing facilities
  3. Access of gap between the needed and available capacity
  4. Make alternative plans to fill the gap
  5. Compare those alternative plan and choose the best
  6. Implement the best plan and check and control its progress

 (^) Factor effecting Determination of Plant Capacity  (^) Capital investment requirement  (^) Changing the product design , market condition and product life cycle  (^) Flexibility for capacity decisions  (^) Market demand for product  (^) Type of technology selected

REFERANCES

Production and Operation management by S.A. Chunawalla Production and operation management by Shailendra Kale