Capacity Management

Overview

This module looks at the capacity management of the company. It reviews the measuring and reporting processes and looks at the data necessary to manage capacity. It reviews in detail the shop floor calendar, manufacturing lead times and the elements that make it up, it looks at a work center load profile, the planned and active work orders that comprise it and then goes through where the necessary data resides in the company ERP system. It then compares load against capacity and goes through the various choices that can be made to change capacity if necessary.

Based on past experience with the understanding contained in this module, capacity management will be improved by a more systematic and relevant reporting of load versus capacity, so that labor resources can be brought online in a more responsive manner.

Recommended For:

Those responsible for managing capacity, including at least one representative from the Information Technology (IT) department. It should also include a member of the department responsible for bringing temporary labor on line.

Time: 4.5 hours

Topics Covered

Measurement of Capacity

  • Available Time
  • Utilization
  • Efficiency
  • Rated Capacity
  • Demonstrated Capacity

Capacity Requirements Planning

  • Inputs
    • Load – Calculation of load
    • Shop Floor Calendars
    • Set up in ERP system
  • Planning Data
    • Lead Time
    •  Work Center Data
    • Planned Orders
    • Open Orders
  • Elements of Manufacturing Lead Time
  • Establish a Load Profile
  • Operations time at each work center
  • Resolve differences between load and capacity

Production Activity Control

  • Load and Capacity Data
  • Where it resides in the ERP system

 

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