mgsc 395 exam 2 | Questions & 100% Correct Answers (Verified) | Latest Update | Grade A

capacity : maximum rate of output of a process or a system capacity management consists of: : capacity planning constraint management capacity planning : long term econonomies/diseconomies of scale capacity timing and sizing strategies systematic approach constraint management : short term TOC 2 | P a g e identification/mgmt of bottlenecks product mix decisions using bottlenecks managing constraints in a line process output measures of capacity : high volume, standardized processes input measures of capacity : low volume, flexible processes utilization : (avg output rate/max capacity) x 100% economies of scale: price goes down, demand goes up : spreading fixed costs reducing construction costs cutting cost of purchased matls finding process advantage