Flat capacity strategy, Mechanical Engineering

What is the total value added by the new workshop in Year 1 of the 5-year plan?

Assuming that the average quarterly demand is maintained over the remaining years of the 5-year plan, what is the payback period of the new workshop, to the next higher whole quarter?

Graphically show the cumulative net cash flow for each quarter of the project period. Does this match your calculation from Task 9?
5. Discussion and recommendation

Based on what you know about demand, customer flexibility and financial appraisal, discuss your findings and recommend a course of action.

Consider, for example, and among other things:

• Is the assumption of levelled demand feasible in the modern world?

• Is the "flat capacity" strategy used here a sensible one? What others might be employed to deal with fluctuating demand? What alternatives to capital installation might the be?

• Is annual demand likely to stay steady for 5 years just to make analysis simple? Is simple payback analysis the only one that can be used, or are there others?

• How would your analysis change to deal with short-term fluctuations and rising trends?

• Ultimately, what form would you recommend the company's investment in the workshop to take?

Posted Date: 3/12/2013 1:09:54 AM | Location : United States







Related Discussions:- Flat capacity strategy, Assignment Help, Ask Question on Flat capacity strategy, Get Answer, Expert's Help, Flat capacity strategy Discussions

Write discussion on Flat capacity strategy
Your posts are moderated
Related Questions
how to calculate Air velocity , pressure and power done by aircraft fans

limitations of DNC

Cermets Such are the variation of cemented carbides while the carbides of W and Ti are solidified in the softer matrix of Co and Nickel to get high hardness, resistance to hig

Newer Approaches To On-Line Scheduling  The on-line scheduling has established to be superior option than off-line scheduling upon the shop floor. The on-line scheduling looks

Two concentric perforared plates are seperated by a 200mm launder and form the flow exit for a clarifier (figure 1). The inlet water flow of 1200 mcubed/hour into the clarifier is

define drawing


describe equivalence of kelvin planck and clausious statement

Determine the Excavation of soil Excavation of soil in open well foundations is done  by dredging with grab buckets or similar equipment. The volume of excavated soil always e

Give justification toward the development of rapid prototyping?