SOM 464 Exam #1 Chp 5

What is capacity?

What is capacity?

amount of work that can be done in a specified time period

What is capacity available?

capacity of a system or resource to produce a quantity of output in a given time period

What is capacity required?

capacity needed to produce a desired output

What are the three levels of capacity?

Machine or individual worker

Work center

Plant

How to measure utilization?

hours actually worked/available hours *100%

How to measure efficiency?

standard hours produced/hours actually worked *100%

How to measure productivity?

utilization x efficiency x 100%

How to measure rated capacity?

available time x utilization x efficiency

________ is responsible for capacity planning at the master production schedule level and ________at the material requirements planning level:

I. Resource planning

II. Rough-cut capacity planning

III. Capacity requirements planning

I and II

I and III

II and III

none of the above

II and III

Available capacity in production planning is:

the amount of inventory that can be held in a warehouse

the quantity of work that can be performed in a given period of time

a measure of the ability of a plant to consume raw materials

all of the above

the quantity of work that can be performed in a given period of time

Which of the following is NOT an input needed in capacity requirements planning?

open shop orders

planned order releases

routings

time standards

rough-cut capacity

rough-cut capacity

In the short run, capacity can be altered by any of the following EXCEPT:

scheduling overtime

selecting alternate routings

reallocating the work force

purchasing new equipment

subcontracting out

purchasing new equipment