Relationship between Capacity Management and Facility Layout
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Relationship between Capacity Management and Facility Layout
Capacity management is all about the ability of a firm to achieve output over a period within its capabilities (Chase, & Jacobs, 2014). It is a concept applicable to any institution whether it is of goods or services and measures the quality of output within a specified time within the available resource. Firms would reflect on the knowledge available on what the production can achieve in terms of output to match their current technology and personnel capacity. Every firm therefore, would work towards establishing the overall capacity level of capital-intensive resources that can support its strategies.
The concept of facility layout covers determination of workgroups, workstation and stock holding points within an institution to ensure smooth workflow (Chase, & Jacobs, 2014). The creation of layout employs techniques and structures within manufacturing and service industries and measures outputs. Facility layout has to get a design that can handle issues related to process layout that are not practical to offer solutions and adjust to the departmental linking that would somehow seem difficult. Multiple models are available for use within institutions to ensure maximum productivity and output per space available within the firm. A company would adopt an efficient plan that provides maximum productivity within the space available.
The relationship between capacity management and facility layout is that they all focus on maximizing output within the available input and capability. Both concepts entail evaluation on the possible input level and specify the criteria to be used to maximize productivity (Chase, & Jacobs, 2014). Capacity management would focus on personnel, technology and resources to achieve the highest quality production possible. Facility layout focuses on maximizing the use of the space available to improve output flow. A company requires employing both concepts to achieve higher quality and productivity within its available inputs.