WGU C720 - Process Design, Questions and answers, 100% Accurate. VERIFIED.

WGU C720 - Process Design, Questions and answers, 100% Accurate. VERIFIED. What is Capacity? - -This is a measure of an organization's ability to sustainably provide customers with the demanded services or goods in the amount requested and in a timely manner, given the current resources (an organization's maximum sustainable rate of production) What is Capacity Planning? - -This is an activity that is needed to support customer demand and maintain production capacity as the demands for products change (Four main capacity planning strategies) What are the four main capacity planning strategies? - -The four main capacity planning strategies are lead, lag, match, and adjustment Lead Capacity Planning Strategy - -This strategy adds capacity with the anticipation of an increase in demand - this strategy is considered aggressive - usually used to obtain customers from the competition by reducing lead time and improving service levels (make it with the expectation that the demand will be there) Lag Capacity Planning Strategy - -This strategy adds capacity only after an organization is running at full capacity or is beyond due to increase in demand - this is the opposite of a lead capacity planning strategy (make it only after there is proof that the demand exists) Match Capacity Planning Strategy - -This strategy adds capacity in small incremental amounts as a response to changing demands in the market (example / Pepsi making more pops in the summertime) Adjustment Capacity Planning Strategy - -This strategy adds or reduces capacity in small or large amounts as consumer demand or major changes to product or system architecture occurs - this adjustments must be in response to a major change that warrants it