Discussion and thoughts

Assignment Help Supply Chain Management
Reference no: EM138505 , Length: 1 Page

One of the key decisions a company must make on contemplating a new site, or a new operation at an existing site, is its capacity. The site will attract a mix of fixed and floating costs dependent upon throughput. Fixed costs will be related to optimum throughput and any reduction will attract a relative increase in costs per unit. Floating costs are usually directly related to throughput and might include: waste, energy, overtime, transport, materials, and so on. Capacity planning is the long-term strategic decision which determines a company's capability to supply products or services. Capacity planning is usually undertaken using sophisticated computer software. For instance; Otto Fuchs KG uses workshop-oriented production to manufacture high-quality forged products, in particular for the aerospace and automotive industries: To control the complex logistical processes starting from the development phase, through to purchase orders and right up until the actual delivery, the company uses SAP Supply Chain Management. In fact, it uses SAP Supply Chain Management (SCM) so efficiently that stocks are kept to an absolute minimum despite huge fluctuations in demand and orders are delivered just-in-time (Grotepass, 2010). When a company needs to increase capacity, it has several options to consider ranging between working overtime to building a new site or a plant. Forecasting demand is critical to capacity planning and companies can adopt different capacity strategies (that is, lead, lag or average) to ensure customer satisfaction and maintain operations within their budget and other constraints. What are your thoughts? 

Word count : 300 Havard referencing

Reference no: EM138505

Questions Cloud

Implement a fish-lake simulation : Implement a Fish/Lake simulation similar to the previous assignment. You will then make adjustments to accommodate class hierarchies and make use of inheritance as well as a JAVA interface.
Discrete structures assignment : Discrete Structure Assignment: - The Fibonacci numbers are defined as follows: f0 = 0, f1 = 1, and Fn = F n-1  + F n-2  for n >=2, Prove each of the following three claims:
Principles of the super-heterodyne receiver : Write a brief explanation of the principles of the super-heterodyne receiver.  It may help to use a simple block diagram to express the process.  Explain the purpose of the Intermediate Frequency amplifiers,
Make an assessment of where your company stands right now : Company: Manpower Group IncTicker Symbol: MAN (United States),  Make an assessment of where your company stands right now, what it does well, what it does badly, and what you would change about it.
Discussion and thoughts : One of the key decisions a company must make on contemplating a new site, or a new operation at an existing site, is its capacity. What are your thoughts?
Consider the following lpp : Consider the following LPP  Without using artificial variable(s), solve the given LPP (do not solve the dual problem). Write the dual of the above problem.
Analyze key parameters of a company''s supply chain operation : Topic:  Analyze key parameters of a company's supply chain operations, suggest improvements, and predict the operational and economic impact of the changes.
Explain why only certain cell types are permissive : Explain why only certain cell types are permissive for transcription of HIV proviral DNA. What cellular factors are involved and why?
Case study: are the fish safe to eat? : CASE STUDY: Are the Fish Safe to Eat?  Assessing which Factors affect Mercury Levels in Fish in Maine Lakes.

Reviews

Write a Review

Supply Chain Management Questions & Answers

  What factors reduce the capacity of the organization

What factors reduce the capacity of the organization to get its objectives?

  Supply chain network design for cwc

This assignment explain the supply chain management process of cwc. What is the current annual supply chain cost?

  Provide your definition of supply chain management

The term supply chain management does not have a universally agreed definition. Consider three different views of supply chain management. Provide your definition of supply chain management. Explain how supply chain strategies should be aligned..

  Supply chain management problem

Providing two distinct options and arguing the benefits and costs of each. You are the Vice President for Transport of a medium-sized company.

  Compare and contrast economic - market, and relevancy

Please compare and contrast economic, market, and relevancy value.

  Analyze key parameters of a company''s supply chain operation

Topic:  Analyze key parameters of a company's supply chain operations, suggest improvements, and predict the operational and economic impact of the changes.

  Explain the supply chain management concept

Explain the supply chain management concept, Differentiate between public and private sector organisations in terms of their supply chain objectives and strategies

  Classify briefly different categories of procurement

Classify briefly different categories of procurement

  Purchasing strategy and strategic purchasing

purchasing strategy and strategic purchasing, corporate and competitive strategie

  Criteria when making new location decisions

Identify a number of the typical criteria used when making new location decisions

  Draw the project network

Determine the mean critical path for Brent's job search process. What is the variance of the project duration?

  Prepare a global trading environment

To what extent has the World Trade Organization helped to prepare a global trading environment that is favorable for your business or country?

Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd