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You are hereBasics of Supply Chain Management / Demands into Supply

Demands into Supply


Balancing Capacity


There are 2 ways of balancing capacity available and load: alter the load or change the capacity available.

Production Scheduling

Scheduling is an important tool for manufacturing and engineering, where it can have a major impact on the productivity of a process. In manufacturing, the purpose of scheduling is to minimize the production time and costs, by telling a production facility when to make, with which staff, and on which equipment. Production scheduling aims to maximize the efficiency of the operation and reduce costs.

Capacity Required (LOAD)

Simply identifying capacity is only half of the problem.  Manufacturers also have to consider the load going through each of the work centers in the manufacturing process.  This is where the MRP system helps.  The MRP system defines how many jobs have to move through each work center.  If the amount of time required for each job is identified through the use of standards (a standard is an estimate of the period of time it should take to perform an operation), then a capacity analysis can be performed to compare the amount of work each work center can perform to the amoun

Capacity Management I

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Capacity Available

Capacity available is the ability of a system or resource to produce a quantity of output in a given time period. Capacity available is dependent on below parameters Product specifications: Capacity available depends on product specification and can change with it.

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