Managing Capacity and Demand; Managing Queues

Question 1

Capacity

Answer 1

• Maximum possible outcome in a given time

Question 2

Design capacity

Answer 2

• The theoretical maximum capacity of an operation this assumes capacity is full and used at all times

Question 3

Effective capacity

Answer 3

• The amount of work that an organisation or individual is capable of completing in a given period taking into delays etc.

Question 4

Achieved capacity

Answer 4

• Actual output of an operation may be less than effective capacity due to uncertainties in operations

Question 5

Machine Utilization

Answer 5

Achieved capacity / Design
capacity

Question 6

Efficiency

Answer 6

Achieved capacity / Effective capacity