Manufacturing Capacity Planning

Manufacturing capacity planning involves determining the maximum output a production facility can achieve within a specific time period. It assesses the resources—such as machinery, labor, and materials—necessary to meet expected demand. By analyzing factors like current production levels and future sales forecasts, companies can make informed decisions about investments in equipment, workforce, and processes. Effective capacity planning ensures that production can meet customer demand without excess costs or delays, ultimately leading to improved efficiency and profitability.