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  1. How is capacity defined?

     

     

     

  2. What are the three basic questions in capacity planning?

    1)

    2)

    3)

     

  3. Why are capacity decisions strategic?

    1)

    2)

    3)

    4)

    5)

    6)

    7)

    8)

     

  4. Write the equation for each term:

        Utilization =

     

        Efficiency =

     

  5. Name seven determinants of effective capacity.

    1)

    2)

    3)

    4)

    5)

    6)

    7)

     

  6. List the steps in the capacity planning process:

    1)

    2)

    3)

    4)

    5)

    6)

    7)

     

  7. List six main considerations relevant to a make or buy decision:

    1)                               4)

    2)                               5)

    3)                               6)

     

  8. Name six things that can be done to enhance capacity management:

    1)

    2)

    3)

    4)

    5)

    6)

     

  9. Explain these terms and the reasons for each:

    economies of scale

     

     

    diseconomies of scale

     

     

  10. Identify three important challenges in planning service capacity.

    1)

    2)

    3)

     

  11. Explain the term cost-volume analysis.

     

     

     

  12. Briefly define these terms:

    Break-even point

     

    Cash flow

     

    Present value

     






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