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Capacity Planning
Capacity planning is the process of determining the production capacity needed by an organization to meet changing demands for its products. In the context of capacity planning, design capacity is the maximum amount of work that an organization is capable of completing in a given period. Effective capacity is the maximum amount of work that an organization is capable of completing in a given period due to constraints such as quality problems, delays, material handling, etc. The phrase is also used in business computing and information technology as a synonym for capacity management. IT capacity planning involves estimating the storage, computer hardware, software and connection infrastructure resources required over some future period of time. A common concern of enterprises is whether the required resources are in place to handle an increase in users or number of interactions. Capacity management is concerned about adding central processing units (CPUs), memory and storage to ... [...More Info...] [...Related Items...] OR: [Wikipedia] [Google] [Baidu] |
Capacity Utilization
Capacity utilization or capacity utilisation is the extent to which a firm or nation employs its installed productive capacity. It is the relationship between output that ''is'' produced with the installed equipment, and the potential output which ''could'' be produced with it, if capacity was fully used. The Formula is the actual output per period all over full capacity per period expressed as a percentage. Engineering and economic measures One of the most used definitions of the "capacity utilization rate" is the ratio of actual output to the potential output. But potential output can be defined in at least two different ways. Engineering definition One is the "engineering" or "technical" definition, according to which potential output represents the maximum amount of output that can be produced in the short run with the existing stock of capital. Thus, a standard definition of capacity utilization is the (weighted) average of the ratios between the actual output of firms and ... [...More Info...] [...Related Items...] OR: [Wikipedia] [Google] [Baidu] |
Service Level
Service level measures the performance of a system. Certain goals are defined and the service level gives the percentage to which those goals should be achieved. Fill rate is different from service level. Examples of service level: * Percentage of calls answered in a call center. * Percentage of customers waiting less than a given fixed time. * Percentage of customers that do not experience a stockout. * Percentage of all parts of an order being fulfilled completely (Explanation) if one component part of an order is not filled the Service Level for that order is Zero, If all the component parts of an order are delivered except one is filled at 51%, the service level for that order is 51% (This system is often used in supply chain delivery to manufacturing), This is a very different from a simple order fill measurement which does not consider line items on the order. Service level Service level is used in supply-chain management and in inventory management to measure the perform ... [...More Info...] [...Related Items...] OR: [Wikipedia] [Google] [Baidu] |
Manufacturing Resource Planning
Manufacturing resource planning (MRP II) is defined as a method for the effective planning of all resources of a manufacturing company. Ideally, it addresses operational planning in units, financial planning, and has a simulation capability to answer " what-if" questions and is an extension of closed-loop MRP (Material Requirements Planning). This is not exclusively a software function, but the management of people skills, requiring a dedication to database accuracy, and sufficient computer resources. It is a total company management concept for using human and company resources more productively. Key functions and features MRP II is not a proprietary software system and can thus take many forms. It is almost impossible to visualize an MRP II system that does not use a computer, but an MRP II system can be based on either purchased–licensed or in-house software. Almost every MRP II system is modular in construction. Characteristic basic modules in an MRP II system are: * Ma ... [...More Info...] [...Related Items...] OR: [Wikipedia] [Google] [Baidu] |
Enterprise Resource Planning
Enterprise resource planning (ERP) is the integrated management of main business processes, often in real time and mediated by software and technology. ERP is usually referred to as a category of business management software—typically a suite of integrated applications—that an organization can use to collect, store, manage and interpret data from many business activities. ERP systems can be local based or cloud-based. Cloud-based applications have grown in recent years due to information being readily available from any location with Internet access. Traditional on-premise ERP systems are now considered legacy technology. ERP provides an integrated and continuously updated view of core business processes using common databases maintained by a database management system. ERP systems track business resources—cash, raw materials, production capacity—and the status of business commitments: orders, purchase orders, and payroll. The applications that make up the system s ... [...More Info...] [...Related Items...] OR: [Wikipedia] [Google] [Baidu] |
Bill Of Resources
A bill of resources (BOR) describes a list of resources, such as labor, needed to complete a saleable product. It is used in capacity planning to prioritize and schedule work in manufacturing resource planning (MRP II) and enterprise resource planning (ERP) by highlighting critical resources. Critical resources are resources that are in short supply or that have long lead times. The bill of resources complements the bill of materials (BOM), which lists physical sub-components of a product. Like a bill of materials, BORs are hierarchical with the top level representing the finished product or sub-assembly. References {{reflist See also * Manufacturing resource planning (MRP II) * Enterprise resource planning Enterprise resource planning (ERP) is the integrated management of main business processes, often in real time and mediated by software and technology. ERP is usually referred to as a category of business management software—typically a sui ... (ERP) * Source redu ... [...More Info...] [...Related Items...] OR: [Wikipedia] [Google] [Baidu] |
Systems Engineering
Systems engineering is an interdisciplinary field of engineering and engineering management that focuses on how to design, integrate, and manage complex systems over their life cycles. At its core, systems engineering utilizes systems thinking principles to organize this body of knowledge. The individual outcome of such efforts, an engineered system, can be defined as a combination of components that work in synergy to collectively perform a useful function. Issues such as requirements engineering, reliability, logistics, coordination of different teams, testing and evaluation, maintainability and many other disciplines necessary for successful system design, development, implementation, and ultimate decommission become more difficult when dealing with large or complex projects. Systems engineering deals with work-processes, optimization methods, and risk management tools in such projects. It overlaps technical and human-centered disciplines such as industrial engineeri ... [...More Info...] [...Related Items...] OR: [Wikipedia] [Google] [Baidu] |
Cycle Stock
Cycle, cycles, or cyclic may refer to: Anthropology and social sciences * Cyclic history, a theory of history * Cyclical theory, a theory of American political history associated with Arthur Schlesinger, Sr. * Social cycle, various cycles in social sciences ** Business cycle, the downward and upward movement of gross domestic product (GDP) around its ostensible, long-term growth trend Arts, entertainment, and media Films * ''Cycle'' (2008 film), a Malayalam film * ''Cycle'' (2017 film), a Marathi film Literature * ''Cycle'' (magazine), an American motorcycling enthusiast magazine * Literary cycle, a group of stories focused on common figures Music Musical terminology * Cycle (music), a set of musical pieces that belong together ** Cyclic form, a technique of construction involving multiple sections or movements **Interval cycle, a collection of pitch classes generated from a sequence of the same interval class **Song cycle, individually complete songs designed to be perfo ... [...More Info...] [...Related Items...] OR: [Wikipedia] [Google] [Baidu] |
Inventory
Inventory (American English) or stock (British English) refers to the goods and materials that a business holds for the ultimate goal of resale, production or utilisation. Inventory management is a discipline primarily about specifying the shape and placement of stocked goods. It is required at different locations within a facility or within many locations of a supply network to precede the regular and planned course of production and stock of materials. The concept of inventory, stock or work in process (or work in progress) has been extended from manufacturing systems to service businesses and projects, by generalizing the definition to be "all work within the process of production—all work that is or has occurred prior to the completion of production". In the context of a manufacturing production system, inventory refers to all work that has occurred—raw materials, partially finished products, finished products prior to sale and departure from the manufacturing system. ... [...More Info...] [...Related Items...] OR: [Wikipedia] [Google] [Baidu] |
Stockout
A stockout, or out-of-stock (OOS) event is an event that causes inventory to be exhausted. While out-of-stocks can occur along the entire supply chain, the most visible kind are retail out-of-stocks in the fast-moving consumer goods industry (e.g., sweets, diapers, fruits). Stockouts are the opposite of overstocks, where too much inventory is retained. Extent According to a study by researchers Thomas Gruen and Daniel Corsten, the global average level of out-of-stocks within retail fast-moving consumer goods sector across developed economies was 8.3% in 2008. This means that shoppers would have a 42% chance of fulfilling a ten-item shopping list without encountering a stockout. Despite the initiatives designed to improve the collaboration of retailers and their suppliers, such as Efficient Consumer Response (ECR), and despite the increasing use of new technologies such as radio-frequency identification (RFID) and point-of-sales data analytics, this situation has improved little ove ... [...More Info...] [...Related Items...] OR: [Wikipedia] [Google] [Baidu] |
Aggressiveness Strategy
Business strategies can be categorized in many ways. One popular method uses the typology put forward by American academics Raymond E. Miles and Charles C. Snow in their 1978 book on Organization Strategy. Miles and Snow's typology Miles and Snow identify three types of competitive strategies, those adopted by defender, analyzer and prospector types of organization, and a fourth, non-strategic type of organization, whose competitive behaviour is reactive to the perceived environmental conditions within which it operates.Miles, R. E. ''et al''Organizational Strategy, Structure, and Process ''The Academy of Management Review'', July 1978, Vol. 3, No. 3, pp. 546-562, accessed 20 December 2022 For convenience the reactor type of approach is often characterised as a form of competitive strategy. Prospector strategy This is the most aggressive of the four strategies. It typically involves active programs to expand into new markets and stimulate new opportunities. New product development ... [...More Info...] [...Related Items...] OR: [Wikipedia] [Google] [Baidu] |
Demand Curve
In economics, a demand curve is a graph depicting the relationship between the price of a certain commodity (the ''y''-axis) and the quantity of that commodity that is demanded at that price (the ''x''-axis). Demand curves can be used either for the price-quantity relationship for an individual consumer (an individual demand curve), or for all consumers in a particular market (a market demand curve). It is generally assumed that demand curves slope down, as shown in the adjacent image. This is because of the law of demand: for most goods, the quantity demanded falls if the price rises. Certain unusual situations do not follow this law. These include Veblen goods, Giffen goods, and speculative bubbles where buyers are attracted to a commodity if its price rises. Demand curves are used to estimate behaviour in competitive markets and are often combined with supply curves to find the equilibrium price (the price at which sellers together are willing to sell the same amount as ... [...More Info...] [...Related Items...] OR: [Wikipedia] [Google] [Baidu] |
Overall Equipment Effectiveness
Overall Equipment Effectiveness (OEE) is a measure of how well a manufacturing operation is utilized (facilities, time and material) compared to its full potential, during the periods when it is scheduled to run. It identifies the percentage of manufacturing time that is truly productive. An OEE of 100% means that only good parts are produced (100% ''quality''), at the maximum speed (100% ''performance''), and without interruption (100% ''availability''). Measuring OEE is a manufacturing best practice. By measuring OEE and the underlying losses, important insights can be gained on how to systematically improve the manufacturing process. OEE is an effective metric for identifying losses, bench-marking progress, and improving the productivity of manufacturing equipment (i.e., eliminating waste). The best way for reliablOEE monitoring is to automatically collect all data directly from the machines. Total Effective Equipment Performance (TEEP) is a closely related measure which quant ... [...More Info...] [...Related Items...] OR: [Wikipedia] [Google] [Baidu] |
