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Chapter Outline
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Introduction

Capacity Decisions Are Strategic

Defining and Measuring Capacity

Determinants of Effective Capacity

Newsclip: Less Trash Leaves Landfills in a Bind

Strategy Formulation

Steps in the Capacity Planning Process

Forecasting Capacity Requirements

Calculating Processing Requirements

The Challenges of Planning Service Capacity

Make or Buy?

Reading: My Compliments to the Chef, er, Buyer

Developing Capacity Alternatives

Evaluating Alternatives

Cost–Volume Analysis

Financial Analysis

Decision Theory

Waiting-Line Analysis

Simulation

Operations Strategy

Summary

Key Terms

Solved Problems

Discussion and Review Questions

Taking Stock

Critical Thinking Exercises

Group/Experiential Learning Exercises

Problems

Newsclip: Outsourcing? Hospitals Look Into "Best" Sourcing

Operations Tour: High Acres Landfill

Selected Bibliography and Further Reading

Supplement: Decision Theory








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