OPMA 3306 CH.4 EXAM QUESTIONS
WITH CORRECT ANSWERS
Capacity - Correct Answers -the ability to hold, receive, store, or accommodate
business - Correct Answers -In ______________, Capacity is viewed as the amount of
output that a system is capable of achieving over a specific period of time
customers - Correct Answers -In services, the output is often _____________ served
produced - Correct Answers -In manufacturing, the output may be units
______________
Long Range - Correct Answers -Greater than one year
Intermediate range - Correct Answers -Monthly or quarterly plans covering the next six
to eighteen months
Short range - Correct Answers -Less than one month
Service Capacity - Correct Answers ->Capacity must be available when service is
needed - cannot be stored
>Service must be available at customer demand point
>Much higher demand volatility is typical
capacity, quality - Correct Answers -The relationship between service ____________
utilization and service _____________ is critical
Utilization - Correct Answers -__________________ is measured by the portion of time
servers are busy
Strategic Capacity Planning - Correct Answers -Finding the overall capacity level of
capital-intensive resources to best support the firm's long-term strategy
> Facilities
> Equipment
> Labor force size
Capacity Utilization Rate - Correct Answers -a measure of how close the firm is to its
best possible operating level.
WITH CORRECT ANSWERS
Capacity - Correct Answers -the ability to hold, receive, store, or accommodate
business - Correct Answers -In ______________, Capacity is viewed as the amount of
output that a system is capable of achieving over a specific period of time
customers - Correct Answers -In services, the output is often _____________ served
produced - Correct Answers -In manufacturing, the output may be units
______________
Long Range - Correct Answers -Greater than one year
Intermediate range - Correct Answers -Monthly or quarterly plans covering the next six
to eighteen months
Short range - Correct Answers -Less than one month
Service Capacity - Correct Answers ->Capacity must be available when service is
needed - cannot be stored
>Service must be available at customer demand point
>Much higher demand volatility is typical
capacity, quality - Correct Answers -The relationship between service ____________
utilization and service _____________ is critical
Utilization - Correct Answers -__________________ is measured by the portion of time
servers are busy
Strategic Capacity Planning - Correct Answers -Finding the overall capacity level of
capital-intensive resources to best support the firm's long-term strategy
> Facilities
> Equipment
> Labor force size
Capacity Utilization Rate - Correct Answers -a measure of how close the firm is to its
best possible operating level.
