The processes needed to effectively plan, implement and manage the capacity of a manufacturing organisation - Essay Example

?Introduction Manufacturing capa can be described as the capability of a manufacturing plant to produce required products utilising the availableresources. Manufacturing organisations must utilise the available resources to ensure effective and timely production of required goods. Through manufacturing capacity development, organisations determine the most efficient methods for manufacturing through analysing different manufacturing processes, which can be utilised in manufacturing of similar products. The management of the manufacturing processes aims at increasing the manufacturing capacity for various manufacturing plants. Proper management of manufacturing processes would ensure maximum manufacturing capacity, through maintaining the highest achievable production with available resources. The manufacturing capacity should also be properly managed and controlled in order to achieve significant benefits (Ceryan and Koren, 2009). Proper utilisation of resources, therefore, becomes fundamental to effectiveness of manufacturing capacity, under varying business conditions. Consideration of the impacts of the variations could enable an organisation achieve desirable manufacturing capacities, with limited manufacturing resources. The manufacturing process Manufacturing generally refers to the processes involved in transforming raw materials into usable products (Grewal, 2011). The manufacturing process remains highly dependent on the economic systems existing within the manufacturing regions. Within free market economies, manufacturing aims at producing large quantities of products. Collectivist economies produce a manufacturing system aimed at supplying products based on government direction, while mixed economies are characterised by numerous governmental regulations on manufacturing processes. The manufacturing policy adopted by various plants therefore, remains highly dependent on the economic system under which the manufacturing process occurs. While economic systems affect the manufacturing design adopted by manufacturers, the manufacturing capacity remains independent of economic systems, within the manufacturing region. This capacity becomes solely dependent of the processes adopted within the manufacturing system. The processes are utilised in determining the efficient methods which can effectively use limited resources and achieve immense production outcomes. The manufacturing process adopted could be utilised in development of the plan being adopted to ensure maximum return on investment. The manufacturing process normally defines the technology being adopted in converting the various raw materials into consumable products. The process involves the application of various technological methods and systems utilised in converting raw materials into consumable products (Sweeney, Williams and Camm, 2009). In choosing the manufacturing process, the human capital capacity and other resources become fundamental considerations, for decision-makers in ensuring efficiency of manufacturing. Proper utilisation of available resources could result in increased output while utilising similar manufacturing methods, and having equal resources. The manufacturing capacity seeks to establish the highest production level achievable through utilisation of available resources. The output remains a significant determinant of manufacturing capacity for a specified manufacturing plant. Planning The planning process for manufacturing capacity remains essential in establishing various methods which could be utilised to ensure maximum output from available resources. The optimum capacity building must be established during the planning process (Grewal, 2011). During this stage, the fundamental issues considered include the amount of capacity required and the type of systems which should be adopted. In determining the required capacity, the market target for the goods becomes essential. The decision-makers must have knowledge of the market for the products. Fast-moving consumer goods, for example, would involve decision-makers in focusing on varying demand for the goods. Other goods like, luxury items would lead decision-makers to make consideration of the economic status of target market. The type of product intended for manufacturing, therefore, becomes essential in establishing the required capacity volume. In considering the product, the organisation can be able to estimate the quantity of the products required by the market. This could be done through extensive market analysis, ensuring sufficient information regarding market movement of the desired products. The demand for various products, changes considerably in different regions experiencing similar economic systems. The business environment, therefore, becomes an essential consideration factor during the planning process. Manufacturing capacity must be built seeking to satisfy the market demand for the intended products. Through the planning process, analysis of various market functions affecting product demand becomes fundamental (Ceryan and Koren, 2009). This analysis could be utilised in estimating the expected product demand, which could effectively be utilised in planning for the manufacturing capacity, required for the manufacturing plant. During planning for manufacturing capacity, forecasts for product demand can be utilised in providing estimations for expected product demand. The planning process should also factor in other factors which could potentially affect demand within the future. Increases in demand at future stages could cause the manufacturing capacity’s failure in meeting the target markets’ product demands. Such elements of change should be properly estimated to ensure efficiency in the capacity, when expected changes occur. When conducting planning expected changes should be analysed to ensure the operations delivery sufficient manufacturing capacity under, constantly changing business environment. Changes within the business environment remain inevitable; hence they should be considered during the planning to process. Consideration of change during this stage could ensure the manufacturing capacity can handle manage the adverse effects presented by changing business environment. Implementing manufacturing capacity The implementation of manufacturing capacity within the manufacturing process includes consideration of various factors. These factors seek to ensure the implemented process attains the highest desired manufacturing capacity. The number of products being manufactured under the process must be considered for efficient implementation. The number of products being manufactured could affect the capacity for the manufacturing process in several ways. While a process might have sufficient manufacturing capacity in producing a single product, introduction of another product could affect the capacity in terms of time (Sweeney, Williams and Camm, 2009). The efficiency of manufacturing capacity should be implemented following consideration of the various factors affecting the capacity. Various methodologies can be adopted when implementing manufacturing capacities in manufacturing companies. Platform based designs are utilised in ensuring reduced development risks during manufacturing. This implementation methodology can be utilised when manufacturing complex products, whose design remains highly complex. They involve integration of various systems into a single unit, with enhanced efficiency. The integration of numerous systems into a single unit ensures manufacturing capacity becomes enhanced through maximising on the most efficient components of each system. Product Platform Constructal Theory Methodology could also be utilised in implementing manufacturing capacity. This methodology considers variation in a single manufacturing process parameter of production capacity. A consideration in production variation becomes essential when implementing manufacturing capacity thorough PPCTM. This methodology includes synthesising of various production methods available. This synthesising ensures that the organisation can achieve the best output from available manufacturing capacity options. Managing manufacturing capacity The management of manufacturing capacity remains essential in ensuring a manufacturer delivers products which satisfy the market demand and customer requirements. Various factors should be considered in management of the manufacturing capacity, seeking to ensure delivery of satisfactory products. The capacity to deliver products satisfying the target market should be constantly reviewed to ensure the process maintains desired levels of manufacturing capacity (Correll and Herbert, 2007). The constant changes experienced within the manufacturing environments necessitate changes in manufacturing capacity. Failure to anticipate these changes could present a surmountable problem in handling the effects produced by the change. Management of the manufacturing capacity seeks to enable the organisation handle the various changes caused by external factors, occurring within the manufacturing environment. Manufacturing plants should be able to make adjustments in products through creation of variations among other methods. Variations in manufacturing could include product change in design or quality. Changing market requirements could initiate changes in design and product quality. Within the fashion industry, for example, market trends could necessitate product design changes. The necessary design changes would be attributed to the fashion requirements for various customers, determined by the prevailing fashion trends. Management of manufacturing capacity could ensure development of suitable procedures for initiating product changes, seeking to satisfy changing market requirements (Plenert and Kirchmier, 2000). Manufacturing policies might also impact the manufacturing capacity. Organisations governing certain industries might implement standardisation policies for some products. Compliance to such policies would initiate surmountable impact on manufacturing capacity for the manufacturers within the industry. Proper manufacturing capacity management could enable these organisations to implement the required product changes quickly. Product variation can also include provision of supplementary products as options for desired products. The introduction of supplementary products could sufficiently satisfy differing requirements for customers within the same target market. Vehicle manufacturers commonly adopt this method in ensuring mass production of products with almost similar specifications. Variation occurs in the designs while maintaining other aspects of the product. This variation seeks to ensure a single product could meet the requirements of expansive customer base (Correll and Herbert, 2007). In management of manufacturing capacity, organisation should ensure their manufacturing capacities can initiate quick design adjustment to ensure, sufficient design changes, within short durations. The capacity to deliver products quickly remains fundamental in beating competition, through delivering products before competitors deliver. Various product parameters should be identified and properly monitored, when establishing the manufacturing capacity for manufacturing plants. The most essential parameters for consideration include design and quality. While management could ensure increased manufacturing capacity, the product quality should not be compromised through increasing manufacturing capacity (Plenert and Kirchmier, 2010). A balance should be established between the parameters being considered, to avoid compromise of some parameters. Attaching importance to some elements, over others, could contribute to overall compromise of other parameters. Management of manufacturing capacity involves the balancing of various product parameters while seeking to establish the best manufacturing capacity methodology applicable under varying circumstances. Other than product parameters, manufacturing process parameters must also be analysed in management of manufacturing capacity. The time taken in the manufacturing process becomes an important parameter, which must be controlled to ensure efficient management of manufacturing capacity. Through such consideration, the process can be able to handle fluctuating product demand. The manufacturing processes ensure that required capacity remains as efficient as possible under varying business situations. The fundamental element in management of process parameters remains the transition between processes to ensure efficiency of the manufacturing capacity. Balancing between the process parameters could enhance the manufacturing capacity attained at varying levels. Manufacturing capacity risks under changing business environments The business environment remains fundamental factor affecting manufacturing capacity for various manufacturing companies. The changes within the environment could present adverse effects upon the manufacturing capacity making businesses fail to deliver desired objectives. While change can be considered during planning to ensure limitation of the adverse effects, environments with constant changes normally present a significant risk towards manufacturing capacity. Underproduction – Failure to satisfy the market remains one of the potential risks for manufacturing capacity under constantly changing business environment. The changes could cause increased demand for products, which the manufacturing capacity might not deliver within a short period. This could result in underproduction – a situation where production fails to satisfy the market demand for various products. Business failure – changes within the business environment might drive companies to implement manufacturing capacity changes aiming to increase production, in order to meet the market demands. Some changes could include incurring high financial costs, which the business cannot suffice. Manufacturing capacity changes might be implemented without proper cost analysis of the potential implications under changing business environment. Implementing an unsustainable manufacturing capacity, following business environment change, could result in business failure because of the expenses incurred. Conclusion The manufacturing capacity remains an essential component of the manufacturing process. While the manufacturing process remains dependent on the economic systems within the manufacturing region, manufacturing capacity remains independent of economic influence (Sweeney, Williams and Camm, 2009). The factors affecting manufacturing capacity differ from those affecting the process. The manufacturing process, however, remains a key element in establishing manufacturing capacity in different manufacturing plants. The manufacturing process is first defined before establishing methodologies for implementing manufacturing capacity. Methodologies can either be platform based or production focused, through consideration of the desired production capacities (Grewal, 2011). Manufacturing capacity involves utilisation of the available resources in producing as many products as possible. Efficient management of manufacturing capacity could enhance the manufacturing production and ensure business growth. Under changing business environments, however, manufacturing capacity presents several risks to the business operation. Changing environments could present business failure to satisfy the market demands for various products. References Ceryan, O. and Y. Koren. "Manufacturing capacity planning strategies." Manufacturing Technology (2009): 403-406. Correll, James G. and Kevin Herbert. Gaining Control: Managing Capacity and Priorities. New Jersey: John Wiley & Sons, 2007. Grewal, S. Manufacturing Process Design and Costing: An Integrated Approach. London: Springer, 2011. Plenert, Gerhard Johannes and Bill Kirchmier. Finite capacity scheduling:management, selection, and implementation. New Jersey: Wiley, 2000. Sweeney, Dennis J., Thomas A. Williams and Jeffrey D. Camm. Quantitative Methods for Business. Manson: Cengage Learning, 2009. Read More