This document discusses capacity management in operations. It aims to define capacity, understand capacity management goals, describe capacity planning approaches, consider timing and size of capacity changes, discuss why capacity varies over time, and appreciate the need for short-term capacity adjustments. Capacity is the maximum amount a process can produce in a given time period. Capacity management matches long-term capacity and demand through planning, while allowing for short-term adjustments. Factors like demand variability, costs, and environmental changes affect optimal capacity levels and timing of changes.
Sales and Operations Planning: Integrate with Finance and Improve RevenuesMarcio Thome
The document discusses how integrating sales, operations, and financial planning can help companies improve revenue and performance during economic volatility. It finds that the best-in-class companies are twice as likely to create profit-optimized plans and focus more holistically on supply, demand, and finance. While many companies still focus primarily on demand forecasting and inventory management, best-in-class firms evaluate scenarios, respond quickly to changes, and express plans in terms of revenue and margins. The document also notes that finance organizations see revenue improvement as a key priority and are increasingly involved in integrated planning through S&OP, though greater engagement is still needed.
This document discusses strategies for managing organizational change. It begins by outlining a syllabus for a course on organizational change that covers topics like the nature of planned change, diagnosing organizations, designing interventions, leading and managing change, and continuous change. It then discusses why executing change is so challenging, focusing on issues like resistance to change and the need to manage both the change and the transition. Finally, it provides details on steps for managing change, including identifying the need for change, assessing and defining the required change, analyzing alternatives, developing and implementing a plan, and evaluating the change. It emphasizes managing both the change itself and the transition for people.
Here is a handout containing the PowerPoint Presentation contents of the of the Presentation version of this subject.
Decision Making in Terms of Engineering Management.
Strategic decisions are made by top management, are future-oriented, require significant resources, and have long-term impacts on an organization. They are difficult to define, rarely have a single best solution, and involve trade-offs. Managers use both rational and behavioral models in decision-making. The rational model assumes complete information and logical evaluation of alternatives, while the behavioral model recognizes limitations in information, bounded rationality, satisficing, intuition and escalation of commitment.
Managed Change efforts overall still fail at 66% to 75% of the time. This means that the prevailing perspective on how to "make" change is defeating most other factors. Here's why.
The Business Reactivity Cycle (C.R.A.) is a practical tool specifically developed to adapt the management of catering companies to the complex situation caused by the Covid-19 pandemic. The Business Reactivity Cycle has been designed to allow strategic decisions to be taken and implemented in the daily operation of the company in a short time and with reduced human and economic resources, allowing to generate a flexible response to the continuous stop and go/up and down chain like those we are suffering in this period.
This management tool allows you to:
• quickly update and adapt the strategic and tactical choices based on the changing context caused by the evolution of the crisis;
• turning strategic and tactical choices into a concrete and easy to implement operational plan;
• execute such a plan in a short time and with the few resources available.
Follow the link below for the article on “Italia a Tavola” magazine:
https://www.italiaatavola.net/professioni/gestione-formazione/2021/1/13/in-tempo-di-crisi-conta-adattarsi-ristorante-puo-reagire/72969/
Good reading and good work,
Enrik
Total Quality Management (TQM) is a philosophy that involves everyone in an organization working continually to improve quality and achieve customer satisfaction. It defines managing the entire organization so that it excels in all dimensions of products and services important to customers. TQM is a process approach and management strategy.
Sales and Operations Planning: Integrate with Finance and Improve RevenuesMarcio Thome
The document discusses how integrating sales, operations, and financial planning can help companies improve revenue and performance during economic volatility. It finds that the best-in-class companies are twice as likely to create profit-optimized plans and focus more holistically on supply, demand, and finance. While many companies still focus primarily on demand forecasting and inventory management, best-in-class firms evaluate scenarios, respond quickly to changes, and express plans in terms of revenue and margins. The document also notes that finance organizations see revenue improvement as a key priority and are increasingly involved in integrated planning through S&OP, though greater engagement is still needed.
This document discusses strategies for managing organizational change. It begins by outlining a syllabus for a course on organizational change that covers topics like the nature of planned change, diagnosing organizations, designing interventions, leading and managing change, and continuous change. It then discusses why executing change is so challenging, focusing on issues like resistance to change and the need to manage both the change and the transition. Finally, it provides details on steps for managing change, including identifying the need for change, assessing and defining the required change, analyzing alternatives, developing and implementing a plan, and evaluating the change. It emphasizes managing both the change itself and the transition for people.
Here is a handout containing the PowerPoint Presentation contents of the of the Presentation version of this subject.
Decision Making in Terms of Engineering Management.
Strategic decisions are made by top management, are future-oriented, require significant resources, and have long-term impacts on an organization. They are difficult to define, rarely have a single best solution, and involve trade-offs. Managers use both rational and behavioral models in decision-making. The rational model assumes complete information and logical evaluation of alternatives, while the behavioral model recognizes limitations in information, bounded rationality, satisficing, intuition and escalation of commitment.
Managed Change efforts overall still fail at 66% to 75% of the time. This means that the prevailing perspective on how to "make" change is defeating most other factors. Here's why.
The Business Reactivity Cycle (C.R.A.) is a practical tool specifically developed to adapt the management of catering companies to the complex situation caused by the Covid-19 pandemic. The Business Reactivity Cycle has been designed to allow strategic decisions to be taken and implemented in the daily operation of the company in a short time and with reduced human and economic resources, allowing to generate a flexible response to the continuous stop and go/up and down chain like those we are suffering in this period.
This management tool allows you to:
• quickly update and adapt the strategic and tactical choices based on the changing context caused by the evolution of the crisis;
• turning strategic and tactical choices into a concrete and easy to implement operational plan;
• execute such a plan in a short time and with the few resources available.
Follow the link below for the article on “Italia a Tavola” magazine:
https://www.italiaatavola.net/professioni/gestione-formazione/2021/1/13/in-tempo-di-crisi-conta-adattarsi-ristorante-puo-reagire/72969/
Good reading and good work,
Enrik
Total Quality Management (TQM) is a philosophy that involves everyone in an organization working continually to improve quality and achieve customer satisfaction. It defines managing the entire organization so that it excels in all dimensions of products and services important to customers. TQM is a process approach and management strategy.
Managing Change: How to achieve effective, large-scale, long-term change in a UK University setting. CDE workshop conducted on 7 February 2012 by Professor Stephen Brown (De Montfort University, CDE Visiting Fellow).
The lively session was attended by managers, senior managers and policy makers from within and beyond the University of London. The workshop aimed to help attendees to develop effective strategies for achieving large scale lasting change within their institutions, and examined the implications of different levels of stakeholder engagement for the success of sustainable institutional change and demonstrate how to employ a participatory design approach derived from the experiences of the JISC Curriculum Design and Delivery Programme. These slides are best considered alongside the accompanying workplan/report from the session, found here: http://cdelondon.wordpress.com/2011/11/16/cde-workshop-managing-change/.
Performance measures are the keys to unlocking understanding and gaining support between facilities organizations and senior leadership. By developing bridging metrics and planning strategic conversations, facilities can elevate the perception of their teams as thought-leaders and strategic advisers focused on the organization's goals.
The document discusses the origins and development of strategic management as a discipline. It began in the 1950s with pioneers like Chandler, Selznick, and Ansoff developing foundational concepts. Chandler recognized the importance of coordinating management functions under an overall strategy. Selznick introduced matching internal/external factors through SWOT analysis. Ansoff built on this with strategic frameworks and the concept of reducing gaps between current/desired states. The document outlines the key elements of strategic management theory that had developed by the 1970s, including relating strategy to the business environment, its fluid/complex nature, and its multi-level planning and conceptual aspects. Finally, it introduces tools for strategic analysis like PEST and scenario planning.
Managing A Successful Team Offline VersionDrPaulHancock
A recent presentation given, highlighting two opposing management techniques {McGregors X-Y styles} with context given ranging from the father of modern economics, Adam Smith, to the highly respected Statistician William Deming. The general approach taken seems a simplification, with perhaps a hybrid model suiting some systems, therefore due to concision , caveats are attached. The presentation is an offline version as it links into local mind mapping software, so some visuals are included as thumbnail examples of RCA tools and mind-maps drawn up from my experience working in the pharmaceutical inhalation devices industry and literature sources .
Total Quality Management involves constant improvement, customer focus, and involvement of all employees. It evolved from quality control and assurance approaches to now emphasize prevention, meeting requirements, and delivering customer value. Key thinkers like Deming, Crosby, and Juran contributed principles like the PDCA cycle, zero defects, and breaking down costs of quality into unavoidable and avoidable costs. TQM aims to improve processes through techniques like statistical process control and reduce costs over the long term.
This document discusses tools and techniques for quality management, including those for planning, data collection, analysis, and continuous improvement. It describes several important tools, such as Pareto diagrams, statistical sampling, control charts, and the Seven Basic Tools of Quality which includes Ishikawa diagrams, check sheets, histograms, Pareto charts, scatter diagrams, and stratified sampling. The document also discusses challenges in implementing total quality management programs and emphasizes the importance of quality in today's global markets.
- Organizational change is any alteration of an organization's people, structure, or technology. The "calm waters" view sees change as occasional disruptions that can be planned using Lewin's three-step model, while the "whitewater rapids" view sees change as ongoing and continual.
- Forces for change can come from external factors like the marketplace, government regulations, technology changes, or the economy, or internally from changes to strategy, workforce, jobs, or employee attitudes. Managers and consultants can act as change agents to initiate and manage change.
- Planned changes are implemented through organization development, which facilitates long-term organization-wide changes by constructively changing attitudes and values so the organization
The document discusses various quality improvement tools and techniques. It describes Six Sigma, which aims to minimize process variability through statistical methods. Total Quality Management uses cross-functional teams to solve issues using statistical tools. Additional techniques covered include ISO 9000 quality standards, Quality Control Circles for analyzing work-related problems, and Kaizen for continuous incremental improvement. Quality tools like check sheets, cause-and-effect diagrams, flow charts, Pareto charts, scatter plots, histograms, control charts and brainstorming help organizations understand and improve their processes.
Lecture 4 quality performance measurement tools and techniquesTantish QS, UTM
This document discusses quality performance measurement techniques. It defines performance measurement and explains that it is an important part of Total Quality Management programs. Performance measures help managers know when and where to implement changes by providing appropriate information. The document outlines some challenges with traditional performance measurement systems and recommends developing new measures that align with TQM principles like customer focus, continuous improvement, and cross-functional teamwork. It also discusses characteristics of effective performance measurement systems and categories of performance measures. Overall, the document emphasizes that performance measurement provides valuable information for understanding processes, making decisions, and driving improvements.
Benchmarking is a process of comparing business processes and performance metrics to industry best practices from other organizations. It is used to identify areas for improvement and adopt strategies to achieve superior performance. There are different types of benchmarking including process, financial, performance, product, and strategic benchmarking. The benchmarking process involves identifying focus areas, finding organizations with leading practices, surveying their measures and practices, visiting them to identify best practices, and implementing improvements. Benchmarking is an important tool for quality management and enhancing organizational performance and competitiveness.
Value engineering began at GE during WWII due to shortages and looked for acceptable substitutes, often reducing costs and improving products. It became a systematic process called value analysis. Value engineering is a methodology that focuses on a product's function to improve value without sacrificing quality by assembling a cross-functional team. It relies on team building, communication, and efficient decision making. Value engineering follows a multi-stage job plan including information gathering, alternative generation, evaluation, and presentation to determine the best alternative. Benefits include lowering costs, improving efficiency and competitiveness.
This document discusses approaches to implementing Manufacturing Execution Systems (MES). It begins by defining MES and describing the traditional "big bang" implementation approach versus a more incremental "evolutionary" approach. The incremental approach is recommended, where individual MES capabilities are selected and implemented over time in smaller projects. The document provides guidance on developing a long-term roadmap by understanding business goals, mapping manufacturing processes, and identifying initial high-impact opportunities. It emphasizes taking a process-centric view and including relevant stakeholders.
Implementating just in-time production and procurement strategiesAjay Yadav
This document discusses strategies for implementing a just-in-time production and procurement system. It identifies key elements for a successful JIT implementation strategy, including top management commitment, developing policy and procedure manuals, training programs, organizational redesign, and effective communication systems. It also discusses strategies for JIT vendor implementation, such as reducing vendor lot sizes and lead times, sole sourcing of key components, and quality certification of suppliers.
Business continuity planning (BCP) seeks to mitigate interruptions to core business systems. A BCP identifies critical business functions, assesses risks like power outages or cyberattacks, and develops reduction, readiness, response and recovery plans. It is tested through simulations. Developing a comprehensive BCP is complex for healthcare given systems' criticality and risk to patient care, but consistency in the literature can guide appropriate plan development. Testing assesses a plan's achievability and timely, cost-effective response while ongoing review ensures applicability amid changing systems.
The document summarizes the key concepts of strategic management. It discusses strategic management as the set of decisions and actions to achieve company objectives. It outlines the nine critical tasks of strategic management including formulating the mission, conducting analyses, identifying options, and evaluating success. It describes the three levels of strategy as corporate, business, and functional. Finally, it presents a comprehensive model of the strategic management process.
Power point set 001 definitions of strategy spring 2009Ankush Sharma
Strategic management involves three key activities: 1) understanding how firms create competitive advantage, 2) analyzing strategic situations to formulate strategic plans, and 3) implementing strategies and organizing the firm for strategic success. The document discusses definitions of strategy, the importance of defining the business and establishing goals and mission, sources of competitive advantage, and levels of strategy including corporate, business, and functional strategies. Effective strategic decision-making requires addressing factors like time constraints, limited information, and group biases.
This document discusses managing organizational change and innovation. It begins by outlining factors that drive the need for change, both external factors outside an organization's control as well as internal controllable factors. It then describes two metaphors for viewing the change process: the calm waters metaphor involving three stages of unfreezing, changing, and refreezing; and the white-water rapids metaphor where change is unpredictable. The document outlines different types of organizational change that can occur, including changing structure, technology, and people. It discusses managing resistance to change and various techniques to reduce resistance. Finally, it covers contemporary issues in managing change such as changing organizational culture.
This document discusses several approaches to total quality management (TQM), including:
- The Deming management philosophy which focuses on systems thinking, understanding variation, theory of knowledge, and psychology. It also outlines Deming's famous 14 points for management.
- The Juran philosophy which emphasizes quality planning, control, and improvement. It promotes conformance to specifications and statistical tools.
- The Crosby philosophy which advocates the principles of "zero defects" and prevention over inspection. It also lists Crosby's famous 14 points for quality improvement.
- Feigenbaum's philosophy which coined the term "total quality control" and viewed quality as a strategic business tool requiring involvement from everyone. It promoted using
This document discusses principles of knowledge management and specialized information systems. It defines knowledge as awareness and understanding of information that can be useful for tasks or decisions. Knowledge management systems organize people, processes, and technologies to create, store, share, and use organizational knowledge. Artificial intelligence uses computer systems that can mimic human decision making, like expert systems. Expert systems apply rules to arrive at conclusions like a human expert. Virtual reality immerses users in simulated 3D environments using displays and interfaces. Specialized systems provide unique functions for industries, individuals, inventory control and more.
The document discusses transaction processing systems (TPS), enterprise resource planning (ERP) systems, and customer relationship management (CRM). It describes how TPS support basic business functions like order processing and accounting. ERP systems provide integrated software to manage operations across an entire organization. CRM systems help companies manage relationships with customers and improve marketing, sales, and customer service.
Managing Change: How to achieve effective, large-scale, long-term change in a UK University setting. CDE workshop conducted on 7 February 2012 by Professor Stephen Brown (De Montfort University, CDE Visiting Fellow).
The lively session was attended by managers, senior managers and policy makers from within and beyond the University of London. The workshop aimed to help attendees to develop effective strategies for achieving large scale lasting change within their institutions, and examined the implications of different levels of stakeholder engagement for the success of sustainable institutional change and demonstrate how to employ a participatory design approach derived from the experiences of the JISC Curriculum Design and Delivery Programme. These slides are best considered alongside the accompanying workplan/report from the session, found here: http://cdelondon.wordpress.com/2011/11/16/cde-workshop-managing-change/.
Performance measures are the keys to unlocking understanding and gaining support between facilities organizations and senior leadership. By developing bridging metrics and planning strategic conversations, facilities can elevate the perception of their teams as thought-leaders and strategic advisers focused on the organization's goals.
The document discusses the origins and development of strategic management as a discipline. It began in the 1950s with pioneers like Chandler, Selznick, and Ansoff developing foundational concepts. Chandler recognized the importance of coordinating management functions under an overall strategy. Selznick introduced matching internal/external factors through SWOT analysis. Ansoff built on this with strategic frameworks and the concept of reducing gaps between current/desired states. The document outlines the key elements of strategic management theory that had developed by the 1970s, including relating strategy to the business environment, its fluid/complex nature, and its multi-level planning and conceptual aspects. Finally, it introduces tools for strategic analysis like PEST and scenario planning.
Managing A Successful Team Offline VersionDrPaulHancock
A recent presentation given, highlighting two opposing management techniques {McGregors X-Y styles} with context given ranging from the father of modern economics, Adam Smith, to the highly respected Statistician William Deming. The general approach taken seems a simplification, with perhaps a hybrid model suiting some systems, therefore due to concision , caveats are attached. The presentation is an offline version as it links into local mind mapping software, so some visuals are included as thumbnail examples of RCA tools and mind-maps drawn up from my experience working in the pharmaceutical inhalation devices industry and literature sources .
Total Quality Management involves constant improvement, customer focus, and involvement of all employees. It evolved from quality control and assurance approaches to now emphasize prevention, meeting requirements, and delivering customer value. Key thinkers like Deming, Crosby, and Juran contributed principles like the PDCA cycle, zero defects, and breaking down costs of quality into unavoidable and avoidable costs. TQM aims to improve processes through techniques like statistical process control and reduce costs over the long term.
This document discusses tools and techniques for quality management, including those for planning, data collection, analysis, and continuous improvement. It describes several important tools, such as Pareto diagrams, statistical sampling, control charts, and the Seven Basic Tools of Quality which includes Ishikawa diagrams, check sheets, histograms, Pareto charts, scatter diagrams, and stratified sampling. The document also discusses challenges in implementing total quality management programs and emphasizes the importance of quality in today's global markets.
- Organizational change is any alteration of an organization's people, structure, or technology. The "calm waters" view sees change as occasional disruptions that can be planned using Lewin's three-step model, while the "whitewater rapids" view sees change as ongoing and continual.
- Forces for change can come from external factors like the marketplace, government regulations, technology changes, or the economy, or internally from changes to strategy, workforce, jobs, or employee attitudes. Managers and consultants can act as change agents to initiate and manage change.
- Planned changes are implemented through organization development, which facilitates long-term organization-wide changes by constructively changing attitudes and values so the organization
The document discusses various quality improvement tools and techniques. It describes Six Sigma, which aims to minimize process variability through statistical methods. Total Quality Management uses cross-functional teams to solve issues using statistical tools. Additional techniques covered include ISO 9000 quality standards, Quality Control Circles for analyzing work-related problems, and Kaizen for continuous incremental improvement. Quality tools like check sheets, cause-and-effect diagrams, flow charts, Pareto charts, scatter plots, histograms, control charts and brainstorming help organizations understand and improve their processes.
Lecture 4 quality performance measurement tools and techniquesTantish QS, UTM
This document discusses quality performance measurement techniques. It defines performance measurement and explains that it is an important part of Total Quality Management programs. Performance measures help managers know when and where to implement changes by providing appropriate information. The document outlines some challenges with traditional performance measurement systems and recommends developing new measures that align with TQM principles like customer focus, continuous improvement, and cross-functional teamwork. It also discusses characteristics of effective performance measurement systems and categories of performance measures. Overall, the document emphasizes that performance measurement provides valuable information for understanding processes, making decisions, and driving improvements.
Benchmarking is a process of comparing business processes and performance metrics to industry best practices from other organizations. It is used to identify areas for improvement and adopt strategies to achieve superior performance. There are different types of benchmarking including process, financial, performance, product, and strategic benchmarking. The benchmarking process involves identifying focus areas, finding organizations with leading practices, surveying their measures and practices, visiting them to identify best practices, and implementing improvements. Benchmarking is an important tool for quality management and enhancing organizational performance and competitiveness.
Value engineering began at GE during WWII due to shortages and looked for acceptable substitutes, often reducing costs and improving products. It became a systematic process called value analysis. Value engineering is a methodology that focuses on a product's function to improve value without sacrificing quality by assembling a cross-functional team. It relies on team building, communication, and efficient decision making. Value engineering follows a multi-stage job plan including information gathering, alternative generation, evaluation, and presentation to determine the best alternative. Benefits include lowering costs, improving efficiency and competitiveness.
This document discusses approaches to implementing Manufacturing Execution Systems (MES). It begins by defining MES and describing the traditional "big bang" implementation approach versus a more incremental "evolutionary" approach. The incremental approach is recommended, where individual MES capabilities are selected and implemented over time in smaller projects. The document provides guidance on developing a long-term roadmap by understanding business goals, mapping manufacturing processes, and identifying initial high-impact opportunities. It emphasizes taking a process-centric view and including relevant stakeholders.
Implementating just in-time production and procurement strategiesAjay Yadav
This document discusses strategies for implementing a just-in-time production and procurement system. It identifies key elements for a successful JIT implementation strategy, including top management commitment, developing policy and procedure manuals, training programs, organizational redesign, and effective communication systems. It also discusses strategies for JIT vendor implementation, such as reducing vendor lot sizes and lead times, sole sourcing of key components, and quality certification of suppliers.
Business continuity planning (BCP) seeks to mitigate interruptions to core business systems. A BCP identifies critical business functions, assesses risks like power outages or cyberattacks, and develops reduction, readiness, response and recovery plans. It is tested through simulations. Developing a comprehensive BCP is complex for healthcare given systems' criticality and risk to patient care, but consistency in the literature can guide appropriate plan development. Testing assesses a plan's achievability and timely, cost-effective response while ongoing review ensures applicability amid changing systems.
The document summarizes the key concepts of strategic management. It discusses strategic management as the set of decisions and actions to achieve company objectives. It outlines the nine critical tasks of strategic management including formulating the mission, conducting analyses, identifying options, and evaluating success. It describes the three levels of strategy as corporate, business, and functional. Finally, it presents a comprehensive model of the strategic management process.
Power point set 001 definitions of strategy spring 2009Ankush Sharma
Strategic management involves three key activities: 1) understanding how firms create competitive advantage, 2) analyzing strategic situations to formulate strategic plans, and 3) implementing strategies and organizing the firm for strategic success. The document discusses definitions of strategy, the importance of defining the business and establishing goals and mission, sources of competitive advantage, and levels of strategy including corporate, business, and functional strategies. Effective strategic decision-making requires addressing factors like time constraints, limited information, and group biases.
This document discusses managing organizational change and innovation. It begins by outlining factors that drive the need for change, both external factors outside an organization's control as well as internal controllable factors. It then describes two metaphors for viewing the change process: the calm waters metaphor involving three stages of unfreezing, changing, and refreezing; and the white-water rapids metaphor where change is unpredictable. The document outlines different types of organizational change that can occur, including changing structure, technology, and people. It discusses managing resistance to change and various techniques to reduce resistance. Finally, it covers contemporary issues in managing change such as changing organizational culture.
This document discusses several approaches to total quality management (TQM), including:
- The Deming management philosophy which focuses on systems thinking, understanding variation, theory of knowledge, and psychology. It also outlines Deming's famous 14 points for management.
- The Juran philosophy which emphasizes quality planning, control, and improvement. It promotes conformance to specifications and statistical tools.
- The Crosby philosophy which advocates the principles of "zero defects" and prevention over inspection. It also lists Crosby's famous 14 points for quality improvement.
- Feigenbaum's philosophy which coined the term "total quality control" and viewed quality as a strategic business tool requiring involvement from everyone. It promoted using
This document discusses principles of knowledge management and specialized information systems. It defines knowledge as awareness and understanding of information that can be useful for tasks or decisions. Knowledge management systems organize people, processes, and technologies to create, store, share, and use organizational knowledge. Artificial intelligence uses computer systems that can mimic human decision making, like expert systems. Expert systems apply rules to arrive at conclusions like a human expert. Virtual reality immerses users in simulated 3D environments using displays and interfaces. Specialized systems provide unique functions for industries, individuals, inventory control and more.
The document discusses transaction processing systems (TPS), enterprise resource planning (ERP) systems, and customer relationship management (CRM). It describes how TPS support basic business functions like order processing and accounting. ERP systems provide integrated software to manage operations across an entire organization. CRM systems help companies manage relationships with customers and improve marketing, sales, and customer service.
The document outlines the key principles and learning objectives of Chapter 8, which discusses electronic and mobile commerce. It introduces the different types of e-commerce (B2B, B2C, C2C, e-Government), describes the multistage model of e-commerce transactions, and addresses challenges and opportunities of e-commerce including privacy, security threats, and developing an effective strategy. It also provides an overview of the infrastructure and technologies needed to support e-commerce and mobile commerce applications.
This document provides an overview of chapter 1 from the Network+ Guide to Networks, 6th Edition. It introduces networking concepts such as peer-to-peer and client/server networks. Peer-to-peer networks allow direct communication between equal nodes, while client/server networks use a centralized server to manage shared resources. The document also discusses common network types like LANs, MANs, and WANs and elements of client/server networks including clients, servers, network cards, and protocols. Finally, it outlines several common uses for networks such as file and print sharing, remote access services, and email communication.
Information system presentation assignment 1 (management information system) ...vibrant6000
This document summarizes key aspects of management information systems (MIS), including definitions of MIS and different types of MIS. It discusses how MIS is useful for companies in planning, control, and decision making. Examples of companies that use MIS are provided. The impacts of MIS on organizations are that it facilitates flattening of hierarchies, increases speed of decision making, and empowers lower-level employees. MIS provides strategic information to management to make competitive decisions and transform organizations.
The document contains solutions to problems from Meriam & Kraige's 6th Edition textbook on dynamics. Specifically, it includes solutions to 39 problems from chapter 2 and 54 problems from chapter 3 on kinematics of particles, kinematics of rigid bodies, force, mass and acceleration. It also includes solutions to 14 problems from chapter 4 and 8 problems from chapter 5 on force and acceleration, work and energy, and impulse and momentum. The solutions reference the 6th edition US version of the textbook.
Information System Concepts & Types of Information SystemsVR Talsaniya
Best slides on the information system concepts and to understand the types of information systems.
Best for the CA Final Students for Information System Control & Audit (ISCA) subject.
Capacity planning involves determining an organization's production capacity needs based on forecasts of demand. Organizations conduct capacity planning to ensure they can meet demand for their products and services. Key questions in capacity planning include determining what type of capacity is needed, how much is needed, and when additional capacity is required. Developing alternative capacity strategies helps organizations adapt to changing demand and remain competitive. Such strategies include designing for flexibility, expanding in stages based on a product's lifecycle, and preparing for uneven demand patterns and capacity increases in large chunks.
Capacity planning involves both long-term and short-term considerations. Long-term capacity planning relates to strategic issues like facility locations and technology. Short-term capacity planning concerns scheduling, labor shifts, and balancing resource capacities to efficiently handle unexpected demand changes. Critical capacity decisions involve determining optimal levels of raw materials, equipment, labor, storage and integrating these factors based on demand forecasts. Capacity is impacted by various interrelated factors and effective planning is needed to meet requirements at minimal cost while maintaining quality and competitiveness.
CAPACITY PLANNING AND FACILITIES PLANNINGLibcorpio
OPERATIONS MANAGEMENT, CAPACITY PLANNING, FACILITIES PLANNING, STRATEGIC CAPACITY PLANNING, MEASUREMENT OF CAPACITY PLANNING, PROCESS OF CAPACITY PLANNING, HIERARCHY OF FACILITY PLANNING, OBJECTIVE OF FACILITY LAYOUT, DESIGN OF FACILITY LAYOUT, DESIGN LAYOUT TECHNIQUES, TYPES OF FACILITY LAYOUT, PROCESS LAYOUT, PRODUCT LAYOUT, COMBINATION LAYOUT, FIXED POSITION LAYOUT, GROUP LAYOUT, BUSINESS ADMINISTRATION, MANAGEMENT SCIENCE, EDUCATION AND LEARNING,
The document provides an overview of capacity planning concepts including capacity, effective capacity, utilization, demand management, and break-even analysis. It discusses determining the design capacity and effective capacity of a production facility. Tactics for matching capacity to demand are also covered, along with using break-even analysis to determine the optimal capacity level for profitability. Capacity planning is important for resource allocation and long-term decision making.
The document discusses capacity planning and management. It defines key terms like capacity, bottlenecks, utilization, and throughput. It outlines factors that determine effective capacity like facilities, processes, supply chain management and more. It discusses Eliyahu Goldratt's Theory of Constraints and how to identify, utilize, and elevate the constraint to improve the system. Common capacity planning strategies like leading, following and tracking capacity are also summarized. The document is intended to help participants plan capacity in their own areas and plants.
Capacity planning is determining the production capacity needed by a company to meet changing demands. It involves calculating the maximum output that can be produced with available resources, measuring capacity in units, and linking it to workforce planning. Capacity must account for seasonal or unexpected demand changes. There are three types of capacity considered: potential, immediate, and effective. Proper capacity planning ensures a company can meet customer requirements over time.
The document summarizes a seminar presentation on capacity planning and aggregate planning. It discusses key topics like measuring and planning capacity, long and short-term capacity strategies, and aggregate planning guidelines. An example is provided to illustrate how to calculate capacity utilization, efficiency, and expected output based on given production data. Aggregate planning strategies are also outlined to accommodate fluctuations in demand through variables like workforce size, inventory levels, and subcontracting.
Capacity management refers to ensuring a business maximizes production output over time under all conditions. It involves analyzing resource availability to meet demand. Common capacity management strategies include lag, lead, match, and dynamic strategies. Lag waits for demand increases before raising capacity, while lead increases capacity preemptively. Match mixes lag and lead in small increments. Dynamic relies on forecasts. Capacity planning can be short, medium, or long-term and reconciles capacity with demand through leveling capacity, chasing demand, or managing demand.
This document provides an overview of optimization models for manufacturing planning and control in a discrete-parts production environment. It discusses key considerations in developing these models, such as demand forecasting, production resources, costs, and the planning horizon. Three common types of models are described: linear programming models that can capture important problem features and be solved efficiently; a single product model with quadratic costs; and a multi-item model with setup costs formulated as a mixed integer program. The document provides examples of how these models can be extended, such as allowing for lost sales, backorders, or piecewise linear cost functions.
Strategy, not tactics, should drive aggregate planning. The research found that most manufacturers follow a chase or modified chase strategy to deal with seasonal demand fluctuations. While a mixed strategy is theoretically cheaper, no firms in the study adopted it. The research also found that aggregate planning is often flawed and not truly strategy-driven. Manufacturers need to select the appropriate production strategy to tackle seasonal demands for long-term viability.
Production and Operation Management (Capacity Planning )Dr. Mohit Sahu
Introduction to Capacity Planning,
Measurement Of Capacity, Measures Of Capacity, Capacity Planning, Estimating Future Capacity Needs, Factors Influencing Effective Capacity, Factors Favouring Over Capacity And Under Capacity
The document discusses capacity planning, which involves determining the production capacity needed by an organization to meet changing demand. It covers determining current and future capacity needs, identifying options to modify capacity, and addressing imbalances between demand and capacity. Short-term adjustments and long-term responses are discussed. Models like present value analysis, aggregate planning, and decision trees can be useful for capacity planning. Economies of scale and concepts like efficiency and utilization are also summarized.
This document discusses strategic capacity management and planning. It begins by defining key capacity-related terms like capacity, best operating level, and capacity utilization rate. It then explains concepts like economies and diseconomies of scale. Specifically, it notes that as plants increase in size, average costs decrease due to efficiencies, but beyond a certain point costs increase again due to issues like maintaining demand. The document advocates for the focused factory approach where facilities focus production on a limited set of objectives and products. It also discusses the importance of capacity flexibility through means like flexible plants, processes and workers. The summary concludes by noting the document considers issues around changing capacity like maintaining system balance and the costs of upgrading capacity too frequently or infrequently.
Capacity planning involves determining the production capacity needed to meet demand. Key questions in capacity planning include determining the type, amount, timing, and location of capacity required. Maintaining the proper balance between capacity and demand is important to control costs and ensure customer needs are met. Various strategies such as incremental expansion, outsourcing, and demand management can be used to match capacity with fluctuating demand levels over time.
The document discusses capacity management strategies for service firms. It notes that capacity planning is more complex for services than manufacturing due to the perishable nature of unused capacity like hotel rooms or airplane seats. Four basic capacity strategies are outlined: provide sufficient capacity at all times, match capacity to demand levels, influence demand to fit capacity, and maximize capacity utilization. Yield management is introduced as a technique that combines overbooking, allocating capacity among customer groups, and differential pricing to maximize revenue from limited, fixed capacity in industries like airlines, hotels, and transportation. The document provides an example to illustrate calculating an overbooking level using averages, probabilities, and expected values.
This document discusses capacity planning decisions at different time horizons - long, medium, and short range. It begins by defining capacity planning and explaining that capacity decisions must align with a firm's operations strategy. It then discusses the hierarchy of capacity decisions, with long-range decisions regarding facilities and processes, medium-range aggregate planning, and short-range scheduling. Key aspects of capacity planning covered include facilities strategy, estimating capacity and utilization, and determining the appropriate capacity cushion based on demand forecasts and costs.
Aggregate planning is a form of operations management that focuses on satisfying expected demand over a planning horizon, typically 3-18 months in the future. It considers factors like production levels, workforce sizes, inventory levels, and aims to maximize customer service while minimizing costs associated with inventory, labor changes, and production rate changes. Aggregate planning can be done intuitively based on experience, or more formally using techniques like linear programming to find optimal solutions. The goal is to match supply and demand in the most efficient way possible.
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Denis is a dynamic and results-driven Chief Information Officer (CIO) with a distinguished career spanning information systems analysis and technical project management. With a proven track record of spearheading the design and delivery of cutting-edge Information Management solutions, he has consistently elevated business operations, streamlined reporting functions, and maximized process efficiency.
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Date: May 29, 2024
Tags: Information Security, ISO/IEC 27001, ISO/IEC 42001, Artificial Intelligence, GDPR
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This slide is special for master students (MIBS & MIFB) in UUM. Also useful for readers who are interested in the topic of contemporary Islamic banking.
RPMS TEMPLATE FOR SCHOOL YEAR 2023-2024 FOR TEACHER 1 TO TEACHER 3
Chapter 12a
1. Donald Waters Operations Strategy
CHAPTER 12 – CAPACITY MANAGEMENT
AIMS OF THE CHAPTER
The capacity of a process is the maximum amount that it can produce in a
given time. Capacity management is responsible for planning the capacity of
a process. This is largely a strategic role of matching the long-term capacity
and demand – but there are also tactical and operations aspects to consider.
A particular problem is that both the capacity and demand vary over time.
Sometimes the variations follow predictable patterns, but usually there is
uncertainty with no apparent pattern.
The aim of the chapter is to discuss the broad issue of capacity management.
More specific aims are to:
• define the capacity of a process and discuss its measurement
The capacity of a process is the maximum amount of a product that it
can make in a given time. This gives the overall view, but we can
interpret this statement in different ways. In particular, the designed
capacity is the maximum possible output in ideal conditions, and the
effective capacity is the maximum realistic output in normal conditions.
People also refer to the productive capacity (used for making
products), non-productive capacity (used for other purposes), and idle
capacity (not used at all). Related measures look at the output (the
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2. Donald Waters Operations Strategy
amount of product actually made), productivity (the amount produced
for each unit of resource), utilisation (proportion of designed capacity
that is actually used), efficiency (proportion of the effective capacity
actually used) and effectiveness.
• understand the aims of capacity management
Capacity management is responsible for all aspects of operations’
capacity. It is generally responsible for matching the long-term
capacity of a process to the demand for its products. It does this
through capacity planning, which describes more specific methods for
achieving this match. An important point is that every process has a
bottleneck where resources or facilities limit the overall output.
• describe a general approach to capacity planning
The chapter develops a general approach to capacity requirements
planning based on six steps:
1. consider demand and translate this into a required capacity for the
process
2. find the capacity already available in the process
3. identify mismatches between capacity needed and that available
4. suggest alternative plans for overcoming any mismatch
5. compare these plans and find the best
6. implement the best.
Each of these steps has its own problems.
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3. Donald Waters Operations Strategy
• consider the timing and size of capacity changes
There are continuous changes to operations – brought about by changes in the
environment and internal adjustments – and these often need adjustments to
process capacity. The first question here concerns the timing of changes, and
whether it is generally best to work with spare capacity or some shortage. This
balance depends on the relative costs of unused capacity and shortages, with
factors that encourage early expansion including variable and uncertain
demand, high profits margins, high cost of unmet demand, low costs of spare
capacity, continuously changing product mix, variable efficiency, and capacity
increases that are relatively small. The second question concerns the size of
change, and whether it is better to have a few large changes or more small
adjustments. Factors that encourage a few large expansions include the
benefits of capacity staying ahead of demand for a longer time, a cushion
against unexpected conditions, fewer disruptions, lower costs per unit of
expansion, earlier economies of scale, potential to encourage more demand,
and giving some advantages over competitors.
• discuss reasons why capacity changes over time
There are many reasons for this. The chapter illustrated systematic changes
due to learning effects, maintenance, replacement policies and the business
cycle. Superimposed on these patterns are short term variations due to staff
illness, interruptions, break-downs, weather, holidays, enthusiasm of
employees, fatigue, and so on.
• appreciate the need for shorter term adjustments to capacity
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4. Donald Waters Operations Strategy
Capacity planning is largely a strategic function, setting available capacity over
the long term. But demand can change very quickly, by the day or even the
hour, so managers need the flexibility to make short-term adjustments to their
effective capacity. There are two ways of doing this based on supply
management or demand management. Each of these is appropriate
circumstances, and the choice depends on the balance of costs and benefits.
DISCUSSION QUESTIONS
1. Why is capacity management a strategic issue? To what extent do tactical
and operational factors influence the capacity?
Capacity management is a strategic issue, because capacity is an important
issue, with effects over the long term, involving high cost, made by senior
managers – and all the other features of strategic decisions. At the same time,
in common with most other types of decision, there are tactical and operational
factors to consider. For example, a company might decide to open a call centre
in a particular location. Its capacity is a strategic decision, as this cannot be
changed in the short term, and any expansion would need another building and
extra facilities. But staffing patterns might be tactical decisions set for a few
months. Then on a particular day, operational decisions decide exactly who is
working. So the context is set by the strategic capacity decision, and this is
adjusted in the light of requirements with tactical and operations decisions.
2. Capacity is not really an absolute limit on the output from a process, but it is
a measure of management performance. Do you agree with this?
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5. Donald Waters Operations Strategy
Yes – to a large extent. The evidence to support this comes from different
organisations – and even different managers – can use exactly the same
facilities and get different levels of output. The implication is that some
managers can use facilities more efficiently, increasing production – and
effective capacity. Further evidence comes from the observation that capacity
changes over time. If managers can control these changes more efficiently,
then they can increase effective capacity.
Of course, there are limits to the extent that capacity is a measure of
management rather than some fixed limit, and it would be difficult to consistently
get higher output than the designed capacity.
3. You often see notices at the entrance to pubs, clubs, halls and other
buildings saying that, ‘The capacity of this facility is 200 people’. What does
this really mean?
Sometimes there might be physical limits on capacity, such as the number of
seats in the facility. Often, though, there is no physical limit and the capacity is
an arbitrary number that is set to reflect some other concern. For example, fire
regulations might set a maximum acceptable time for everyone to leave a club
through the emergency exits – and then capacity of the club is set by its
evacuation procedures. But again, this is based on an arbitrary decision about
evacuation times. Generally, such notices mean that someone has taken a
decision – based on some criteria – that this should be the capacity of the
facility.
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6. Donald Waters Operations Strategy
4. Is it always possible to find the capacity of a process? How can you find the
capacity of a shopping mall, national park or a shipping lane? Can you give
examples where it is difficult to find a capacity, and say how these difficulties
are overcome?
Not really. The examples given are only a few of the many possible ones where
it is difficult to set a real – or even convincing – capacity. The way of
overcoming them is to use agreed – but generally arbitrary – measures.
5. Is it better to have frequent small changes in capacity, or fewer large ones?
This depends entirely on circumstances, and the relative costs of making the
expansion and having spare capacity. Factors that encourage a few large
expansions include the benefits of capacity staying ahead of demand for a
longer time, a cushion against unexpected conditions, fewer disruptions, lower
costs per unit of expansion, earlier economies of scale, potential to encourage
more demand, and giving some advantages over competitors.
6. Why does capacity change over time?
There are many reasons for this. The chapter illustrated systematic changes
due to learning effects, maintenance, replacement policies and the business
cycle. Superimposed on these patterns are short term variations due to staff
illness, interruptions, break-downs, weather, holidays, enthusiasm of
employees, fatigue, and so on. And then there are apparently random
variations that cannot be explained.
7. Capacity planning is a waste of time. Long-term forecasts of demand are
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7. Donald Waters Operations Strategy
unreliable, and both capacity and demand vary in unknown ways. So
organisations should simply get enough capacity to cover likely demand for
the future. What do you think of this view?
In some conditions this is a reasonable view. When extra capacity is cheap and
lost custom is expensive, it makes sense to have as much capacity as
necessary to meet all potential demand. But usually managers have to find a
compromise that balances the cost of capacity and lost sales. If, for example,
capacity is expensive and lost custom is cheap, then it would make sense to
limit capacity to the level that gives the best operations. The usual solution
comes between these two, and managers have to consider all factors and
choose the amount of capacity that best meets their aims. Included in their
decisions is an assessment of the risks and uncertainties in their forecasts for
demand and factors affecting capacity.
8. Nobody would seriously consider limiting demand for a product, but would
always look for ways of increasing process capacity. Is this true?
No. Many organisations limit demand for a product – or the amount they
actually supply. For example, luxury goods, portrait painters, football stadiums,
university courses, professional institutions, limited edition prints, medical
practices, bespoke tailors, etc all put artificial limits on their sales. The reason is
simply a balance of the benefits of meeting demand with the costs involved.
When the costs of expanding are higher than the benefits, it makes sense to
limit capacity.
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8. Donald Waters Operations Strategy
IDEAS IN PRACTICE
Forthright Communications Inc.
Aim: to illustrate some calculations of capacity and related performance
This case shows some calculations associated with the capacity of a central
process in a communications company. These figures are not an end in
themselves, but they highlight areas where improvements might be made.
For example the utilisation was 74 percent, and this might seem rather low –
effectively resources are standing idle for more than a quarter of the time.
The analyses of non-productive use and wasted capacity show why this
occurred. Then managers can consider these areas and start looking at ways
of reducing the waste.
SunAlto Orange
Aim: to illustrate the calculation of process capacity.
The capacity of an overall process is set by the capacity of its limiting
bottleneck. This case describes a fairly short process, each part of which has
a known capacity. The packing equipment forms the limiting bottleneck, and
the overall capacity can only be increased by increasing the capacity here.
The process is not balanced, so each part has a different utilisation. Usually
managers want a balanced process where all operations have virtually the
same capacity.
Global Car sales
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9. Donald Waters Operations Strategy
Aim: to illustrate some problems in defining capacity
The car industry is characterised by high capital investment in automated
production. This is only profitable when capacity is carefully matched to
demand, and plants get high figures for utilisation and productivity. In recent
years, it is widely felt that there is considerable excess capacity, and this has
lead to a series of mergers and take-overs. However, a closer look begins to
question this picture. It takes several years to increase capacity in a car plant,
so there must be some cushion to allow for variations and sudden growth in
demand. At the same time, the capacity comes in different forms, with some
being more apparent than real. If we take these into account we can argue
that there is not really any over-capacity in the industry, but capacity is quite
closely aligned to demand.
KDF Resources GmbH
Aim: to introduce the type of calculations involved with capacity planning
This case illustrates some of the initial considerations when a company starts
to look at plans for expanding capacity. Here the company has increasing
demand that can only be met by increasing capacity. So it looks at the
alternatives available – expansion on the existing site, or one, two or three
new centres – and starts to compare these. The costs suggest a single large
centre, but managers then have to consider a range of other factors, including
the risks associated with mismatches between supply and demand. The book
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10. Donald Waters Operations Strategy
develops this type of approach into a formal procedure for capacity
requirements planning.
GlaxoSmithKline
Aim: to illustrate the effects of economies of scale on growth in one industry
This case outlines the steps that one company has taken on its move from a
small single company to become one of the world’s largest pharmaceutical
company. The thinking behind this growth is that it is very expensive to
develop new drugs, and research companies can get considerable economies
of scale. A company can have organic growth, but this often gives an industry
excess capacity. In this case it was felt better to grow by a series of mergers
with similar companies. There are other examples of this, including retailers,
banks, television companies, telephone operators, and car manufacturers.
Wholefood Preparation Ltd
Aim: to outline some cost calculations for equipment replacement
The age and condition of equipment has a direct effect on capacity, with older
equipment usually reducing capacity (due to increase breakdowns and
generally deteriorating performance). Managers have to make decisions
about the best time to replace equipment, generally balancing the costs of
buying new equipment and continuing to operate older equipment. This case
illustrates the way that an operations manager approached this decision for
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11. Donald Waters Operations Strategy
production machines in one food preparation company. These costs give a
starting point for further analysis.
European Car Manufacturers
Aim: to show the effects of perceived over-capacity in one industry
An earlier case considered the effects of over-capacity in global car
manufacturing. This case shows the effect in Europe, where over-capacity is
seen to be a significant problem. Companies want to increase the utilisation
of their own facilities, but this is difficult in a competitive market. The path
taken by the industry is to reduce the number of companies working, so that
production is concentrated into fewer more efficient operations. The direct
result is a series of mergers, takeovers and closures.
CASE STUDY – HEATHROW AIRPORT
Decisions about capacity often have expensive consequences. This is
particularly noticeable with airports, where any expansion is expensive in its
direct costs, environmental impact, effect on local communities, and so on.
Heathrow is London’s main airport and is one of the busiest in the world.
Demand for air travel around London continues to grow, but Heathrow’s
limited capacity means that much of this has been transferred to other
airports. Gatwick, Stansted and Luton have all had major expansions, and all
have plans for yet more capacity in the future.
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12. Donald Waters Operations Strategy
For a long time Heathrow’s capacity has been limited by the bottleneck at its
passenger terminals. The fifth terminal will remove (at least for some time)
this limit and increase overall capacity.
• How can BAA measure the capacity of Heathrow? What factors affect this
capacity?
The capacity of an airport is usually stated in terms of the number of
passengers that can use it in a year. This, in turn, depends on the number of
other measures, particularly:
o Air-side operations – largely the number of passengers that planes
can deliver and take away, determined by the number of runways,
time slots available for planes to land and take-off, size of planes,
occupancy, etc
o Land-side operations – largely the number of passengers that the
terminal buildings can handle, dealing with all aspects of arrivals,
departures and associated services.
For each of these, BAA can use many related measures for specific aspects
of capacity. As usual with capacity, the actual limits are largely a matter of
agreement than physical limits. For example, the separation of planes is an
agreed distance that is considered safe, and the number of check-in desks is
set by agreed levels of customer service.
Larger planes, greater occupancy, more time slots for take-off and landing,
and new systems have already increased capacity of the Heathrow. For a
long time the bottleneck has been identified as terminal capacity. The fifth
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13. Donald Waters Operations Strategy
terminal will remove this (or more accurately move it to another part of
operations). The new terminal improves both air-side and land-side
operations, removing current bottlenecks and significantly increasing overall
capacity.
• For years, Heathrow has been operating beyond its designed capacity.
What effects does this have?
The planned capacity is a theoretical limit, so when this is exceeded it means
that the limit has somehow been raised. Saying that the airport is working
beyond its designed capacity really means that it is working more efficiently
than expected and is finding ways of dealing with more passengers than
expected. But the capacity is largely an agreed measure, and obviously does
not reflect the maximum number of people that could fit into the space. It
would really be fairer to say that the airport is working beyond its agreed
effective capacity. This presumably means that some facilities – those at the
bottlenecks – are stretched beyond their limits. This can raise many related
problems and inevitably means that customer service declines.
• Airports like Heathrow continue to expand. What will eventually limit their
capacity?
This is difficult to answer. It seems that the current growth in demand for air
travel is likely to continue for the foreseeable future, in the way that road travel
has been expanding for well over a century. But there must ultimately be
some limits, and these might come from several sources. Air travel might
become less popular, perhaps because of changing social habits, costs,
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14. Donald Waters Operations Strategy
population levels, attitudes towards the environment, options for alternative
types of transport, etc. In the shorter term, airports might increase the
capacity of current facilities by using them more efficiently, installing better
systems, and generally improving operations. For example, introducing
automation (as described in the case for IATA) can dramatically increase the
number of passengers who can check-in through current facilities; improving
control systems can increase the number of plane movements; new planes
can increase passenger density.
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