capacity planning study, Slides of Production Planning and Control

Download capacity planning study and more Slides Production Planning and Control in PDF only on Docsity! 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 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.”  Finding Answers to the rise three Questions: What kind of capacity is needed? How much capacity is needed? When this capacity is needed? Short Run Decision MPS Aggregate Plans Capacity Plans Corporate Strategy Business Plans Mission Levels of Planning 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 Measurement of Capacity Single Product : Unit Produced/Period Of Time Different Type Product : Money Value Of Unit Produced/Period Of Time