Chapter 5 Discussion and Review Questions 1, 2, 6, 11, & 15 (p. 208), Problem 13 (p. 210)

1.         Contrast design capacity and effective capacity.

2.         List and briefly explain three factors that may inhibit capacity utilization.

6.         Why is it important to adopt a big-picture approach to capacity planning?

15.       Why is capacity planning for services more challenging than it is for goods production?

13.       The following diagram shows a 4-step process that begins with Operation 1 and ends with Operation 4. The rates shown in each box represent the effective capacity of that operation.