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Operation Management_Unit 6 Quiz

Operation Management_Unit 6 Quiz

Q 1.Management has decided to add capacity incrementally in smaller chunks as needed, rather than purchasing one large facility. This decision . 2.The first step in making a capacity planning decision is . 3.Capacity planning is difficult because . 4.Location decisions are particularly important because . 5.Investments in building or purchasing long-term production facilities are inherently risky due to .

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1.will result in low initial costs 2.identify capacity requirements 3.there is no one way to measure it 4.they can have a large impact on operating costs and revenues 5.uncertainty in forecasting future demands