COM Capacity Planning & Resource Management 1

Question 1

What is the primary goal of capacity planning in operations management?

Accepted Answer

To ensure that production capacity meets current and future demand

Answer

Capacity planning aims to align production capability with demand to avoid both over-capacity and under-capacity situations.

Question 2

Which term refers to the maximum output a facility can produce under ideal, theoretical conditions?

Accepted Answer

Design capacity

Answer

Design capacity is the theoretical maximum output achievable under perfect operating conditions with no interruptions or inefficiencies.

Question 3

Utilization rate in capacity planning is correctly calculated as:

Accepted Answer

Actual output divided by design capacity

Answer

Utilization rate = Actual output / Design capacity, expressing how much of the theoretical maximum capacity is actually being used.

Question 4

Which of the following is a SHORT-TERM strategy for managing unexpected capacity shortfalls?

Accepted Answer

Outsourcing production to a third party

Answer

Outsourcing is a short-term tactical solution to address capacity shortfalls quickly without long-term capital investment commitments.

Question 5

In capacity planning, what does the term 'bottleneck' refer to?

Accepted Answer

The process step that limits overall system throughput

Answer

A bottleneck is the constraint or limiting step that restricts the overall output rate of an entire production or service system.

(COM) Certified Operations Manager Practice Test