Concept explainers
a)
To determine: The approximate time needed to plan for a restaurant.
Introduction:
Capacity planning:
It is the method of planning the required production output, based on the requirement or the demand that is predicted.
a)
Explanation of Solution
It takes approximately 1 year to plan for a restaurant, as the complex and size is limited. The facility of the restaurant can be leased.
b)
To determine: The approximate time needed to plan for a hospital.
Introduction:
Capacity planning:
It is the method of planning the required production output, based on the requirement or the demand that is predicted.
b)
Explanation of Solution
It takes approximately 2 years to plan for a hospital, as the design is complex.
c)
To determine: The approximate time needed to plan for a oil-refinery.
Introduction:
Capacity planning:
It is the method of planning the required production output, based on the requirement or the demand that is predicted.
c)
Explanation of Solution
It takes 5 years to plan for an oil-refinery, as the government regulation and design is complex. Also, it has a great deal of land.
d)
To determine: The approximate time needed to plan for a toy factory.
Introduction:
Capacity planning:
It is the method of planning the required production output, based on the requirement or the demand that is predicted.
d)
Explanation of Solution
It takes one or two years to plan for a toy factory. If the building is leased, the required time will be less. The time required is based on the size of the building.
e)
To determine: The approximate time needed to plan for an electric power plant.
Introduction:
Capacity planning:
It is the method of planning the required production output, based on the requirement or the demand that is predicted.
e)
Explanation of Solution
It takes five years to plan for an electric power plant, as the government regulation and the design is complex. For the electric power plant, the public approval is required, which would slow down the process.
f)
To determine: The approximate time needed to plan for a public school.
Introduction:
Capacity planning:
It is the method of planning the required production output, based on the requirement or the demand that is predicted.
f)
Explanation of Solution
It takes few years to plan for the public school, as the general public is involved in the process.
g)
To determine: The approximate time needed to plan for a private school.
Introduction:
Capacity planning:
It is the method of planning the required production output, based on the requirement or the demand that is predicted.
g)
Explanation of Solution
It takes a year to plan for a private school, as the design is simple.
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Chapter 11 Solutions
Loose Leaf for Operations Management in the Supply Chain: Decisions and Cases 7e
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- What are theoretical capacity, rated capacity, utilization, and efficiency? How are they related?arrow_forwardThe owner of Genuine Subs, Inc., hopes to expand the present operation by adding one new outlet.She has studied three locations. Each would have the same labor and materials costs (food, servingcontainers, napkins, etc.) of $1.30 per sandwich. Sandwiches sell for $2.10 each in all locations.Rent and equipment costs would be $5,100 per month for location A, $5,550 per month for location B, and $5,800 per month for location C. a. Determine the volume necessary at each location to realize a monthly profit of $8,500. LOCATION Monthly volume A. ______________ B. _______________ C. _______________ b. If expected sales at A, B, and C are 19,500 per month, 21,500 per month, and 22,500 per month respectively, calculate the profit. Location Montly Profits A. ___________________ B. ____________________ C. ____________________ Which location would yield the greatest…arrow_forwardService operations often face more difficulty in planning than their manufacturing counterparts.However, service does have certain advantages that manufacturing often does not. Explain serviceplanning difficulty, and the advantages and disadvantages.arrow_forward
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