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Determinants of Effective Capacity

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Presentation on theme: "Determinants of Effective Capacity"— Presentation transcript:

1 Determinants of Effective Capacity
Facilities Product and service factors Process factors Human factors Operational factors Supply chain factors External factors

2 Make or Buy Available capacity Expertise Quality considerations
The nature of demand Cost Risk

3 Evaluating Alternatives
Cost-volume analysis Financial analysis Cash flow Present value Decision theory Waiting-line analysis

4 Decision Environments
Certainty Risk Uncertainty

5 Decision Making Under Uncertainty
Maximin Maximax Laplace Minimax regret

6 Decision Making Under Risk
Expected monetary value Examples

7 Decision Trees Decision point Chance event Examples

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