Thursday, August 25, 2011

Balancing Demand Capacity

This is the last school day before Lebaran holiday! Yeeeey!

I have understood it a long time ago that we have to match the demand of our product with the production capacity of our company. But, in the service industry, production is done right away when there's demand! Still, demand should be match with the capacity.. Not only with the human resources (as the main production source) but also the physical capacity of the supporting facilities and equipment, like the storage, parking lot and air conditioner.

From the service blueprint that we have learned last week, we have to determine the overall capacity of our business before deciding the number of customer we aim for. Hungrylicious has a seating capacity of 75 people, the kitchen equipment, utensils and china wares are all limited, that's why we cannot serve a demand higher than 75 people all at the same time. Bringing in additional tables without adding to the equipment and personnel will result in low-performance service and unsatisfied customer that will backfire the restaurant. So, we'd better stick to this capacity and give the best for our customer!

It was our group's turn to present the case study of Shouldice Hospital. Basically, the hospital is only specialized in treating patients with hernias in Toronto, Canada. They have their own method in the operation, the facilities are exclusive and what's very unique is their idea of patient encouragement to do things themselves right after the operation! There are way too many patients who come from USA to get treated, that's why it would be better to establish a new branch in USA to get higher exposure of the huge US market.

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