Question

Explain capacity planning for a multiple and single stage system.

Answer 1

Thanks for asking this question.
 
Capacity Planning:

Capacity planning is the process of determining the production capacity needed by an organization to meet changing demands for its products.
Capacity is explained as the ability to attain, store or make. For a firm, capacity would be the ability of a given system to gain output within the specific time elapse.
 
In operations, management capacity is referred as an amount of the input amenity available to make relative output over the era of time. 

Short-term Requirements:

Managers often use the forecast of product demand to estimate the short-term workload the facility must handle. By looking ahead up to 12 months, managers anticipate output requirements for different products or services. Then they compare requirements with existing capacity and detect when capacity adjustments are needed.

Long-term Requirements:

Long-term capacity requirements are more difficult to determine because future demand and technologies are uncertain. Forecasting five or ten years into the future is a risky and difficult task. What products or services will the firm are producing then? Today’s product may not even exist in the future. Obviously, long-term capacity requirement is dependent on marketing plans, product development, and the life cycles of the products

Answer 2

Explanation:

Capacity planning is the process of determining the production capacity needed by an organization to meet changing demands for its products.

• Capacity is explained as the ability to attain, store or make.
• For a firm, capacity would be the ability of a given system to gain output within the specific time elapse.