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1. ABC Company “order fulfillment process†normally operates two shifts a day, six days per week. Under ideal conditions, 380 orders can be processed per shift.What is the weekly theoretical capacity?
2. Currently a manufacturer has eight machines that operate on a two-shift (eight hours each) basis. Twenty days per year are available for scheduled maintenance of equipment. Assume there are 250 workdays in a year. Each manufactured good takes 26 minutes to produce.What is the effective capacity of the factory?
3. Given the five-year forecast, how much extra capacity is needed each year?
Year 1 2 3 4 5Forecast 114,000 129,000 131,000 134,000 133,000Capacity Capacity shortage
4. Does the firm need to buy more machines? If so, how many? When?
2. Currently a manufacturer has eight machines that operate on a two-shift (eight hours each) basis. Twenty days per year are available for scheduled maintenance of equipment. Assume there are 250 workdays in a year. Each manufactured good takes 26 minutes to produce.What is the effective capacity of the factory?
3. Given the five-year forecast, how much extra capacity is needed each year?
Year 1 2 3 4 5Forecast 114,000 129,000 131,000 134,000 133,000Capacity Capacity shortage
4. Does the firm need to buy more machines? If so, how many? When?
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