• Wrong document? Swap it for free
  • Written by students who passed
  • Immediately available after payment
  • Read online or as PDF
Sell
Where do you study
Your language
Document preview thumbnail
Preview 1 out of 3 pages
Summary

Operations management summary H4

Document preview thumbnail
Preview 1 out of 3 pages

Chapter 4 of operations management is mainly about capacity and how to calculate it. There are also many concepts in it.

Content preview

Operations Management H4
Capacity = maximum rate of output of a process or system
- Long-term - Input
- Short-term - Output

Utilization = hoeveel % van de machines/proces/mensen etc. word effectief gebruikt
- Output  small numbers or standardized products
- Input  flexible process of low volume

Utilization = Average output rage x 100%
Maximum capacity

Economies of scale = concept that states that the average unit cost of a service or
good can be reduced by increasing its output rate
- Spreading fixed costs
- Reducing construction costs
- Cutting costs of purchased materials
- Finding process advantages

Diseconomies of scale = occurs when the average cost per unit increases as the
facility’s size increases

Capacity cushions = amount of reserve capacity a process uses to handle sudden
increases in demand or temporary losses of production capacity
- Meet het bedrag
- Average utilization falls below 100%

(Capacity cushion), C = 100% - average utilization rate (%)
of
C = (1 – Average utilization rate/ N) x 100%

Capacity strategies: (figuur 4.2)
- Expansionist strategy
o Economics of scale
o Faster rate of learning
o Increase of market share
o Pre emptive marketing
- Wait-and-see strategy
o Reduces risk of overexpansion
o Reduces risk of obsolete technology or inaccurate assumptions

Connected book
 image
Nigel Slack, Alistair Brandon-Jones Operations Management
Publisher: Unknown ISBN: 9781292254036 Edition: Unknown

Document information

Study
Summarized whole book?
No
Which chapters are summarized?
H4
Uploaded on
September 13, 2021
Number of pages
3
Written in
2020/2021
Type
Summary
$5.16

Wrong document? Swap it for free Within 14 days of purchase and before downloading, you can choose a different document. You can simply spend the amount again.
Written by students who passed
Immediately available after payment
Read online or as PDF

Sold
6
Followers
5
Items
31
Last sold
1 year ago




Why students choose Stuvia

Created by fellow students, verified by reviews

Quality you can trust: written by students who passed their tests and reviewed by others who've used these notes.

Didn't get what you expected? Choose another document

No worries! You can instantly pick a different document that better fits what you're looking for.

Pay as you like, start learning right away

No subscription, no commitments. Pay the way you're used to via credit card and download your PDF document instantly.

Student with book image

“Bought, downloaded, and aced it. It really can be that simple.”

Alisha Student

Working on your references?

Create accurate citations in APA, MLA and Harvard with our free citation generator.

Working on your references?

Frequently asked questions