Question

Match the following terms to the correct definition. The maximum expected output capability of a resource or system. An approach to a firm's acquisition of resources that will either lead, lag, or track the customer demand. A capacity acquisition strategy where expansion takes place before the demand materializes and never falls behind the capacity growing requirements. The expected output capability of a resource or system after accounting for scheduled down time (like for maintenance). A capacity acquisition strategy where expansion takes place only after the demand materializes and never exceeds the demand.

Answer 1

The maximum expected output capability of a resource or system. - Is the definition of Design Capacity.

An approach to a firm's acquisition of resources that will either lead, lag, or track the customer demand. - Is the definition of Capacity Expansion Strategy.

A capacity acquisition strategy where expansion takes place before the demand materializes and never falls behind the capacity growing requirements. - Is the definition of Lead the Demand.

The expected output capability of a resource or system after accounting for scheduled down time (like for maintenance).- Is the definition of Effective Capacity.

A capacity acquisition strategy where expansion takes place only after the demand materializes and never exceeds the demand. - Is the definition of Lag the Demand.