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3. How is capacity utilization computed, and what does it tell us? 4. What are the steps in capacity planning? Problem 4 The town barber shop can accommodate 35 customers per day. The manager has determined that if two...

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Title: Operations Management Questions and Problem from Chapter 9

Contents

3. How is capacity utilization computed, and what does it tell us?

4. What are the steps in capacity planning?

5. What are decision trees, and how do they help us make better decisions?

6. Find and discuss business examples of overcapacity and under-capacity

Problem 4

The town barber shop can accommodate 35 customers per day. The manager has determined that if two additional barbers are hired, the chop can accommodate 80 customers per day. What are the design and effective capacities for the barber shop?

The questions and problem are from the text below:

Reid, D., & Sanders, R. (2009). Operations management. Hoboken, NJ: John Wiley & Sons, Inc.

Word count: 615 (2 pages)


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