Riordan Manufacturing Case Study
Strategic Capacity Planning
Several factors are taken into consideration for strategic capacity planning. Because Riordan Manufacturing produces plastic injection molding to create innovative plastic designs capacity planning is viewed in three time durations. First is long range, which means greater than one year and include buildings, equipment or facilities. Second, is intermediate range, which involves monthly or quarterly plans for the next 6 to 18 months. On this level capacity can vary such as hiring, layoffs, new tools, minor equipment purchases, and subcontracting. Third, is short range and is less than one month, this includes daily and weekly scheduling process and adjustments to eliminate variance between planned and actual
Several factors are taken into consideration for strategic capacity planning. Because Riordan Manufacturing produces plastic injection molding to create innovative plastic designs capacity planning is viewed in three time durations. First is long range, which means greater than one year and include buildings, equipment or facilities. Second, is intermediate range, which involves monthly or quarterly plans for the next 6 to 18 months. On this level capacity can vary such as hiring, layoffs, new tools, minor equipment purchases, and subcontracting. Third, is short range and is less than one month, this includes daily and weekly scheduling process and adjustments to eliminate variance between planned and actual