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Learning Goal: Calculate available capacity and balance the load across lines to meet order deadlines.
Complete Lesson Content:
Capacity = Number of machines/operators × Working hours × Efficiency factor. For example, 20 operators working 8 hours at 80% efficiency give 128 standard hours per day. The workload is the total SMV of the order divided by capacity. If workload > capacity, you need overtime, outsourcing, or renegotiate the deadline.
Scheduling assigns orders to specific lines and time slots. Use a load chart: each line’s capacity is plotted, and orders fill available slots. Prioritise orders based on delivery date and customer importance.
Definitions:
- Standard Hour – the amount of work achievable in one hour at 100% efficiency under standard conditions.
- Load Levelling – distributing orders evenly to avoid overloading a line.
Step‑by‑step Explanation:
- Calculate total standard hours available per line per week.
- Sum the SMV of all orders to be delivered in a period.
- Compare total workload with total capacity.
- If overloaded, either increase capacity (overtime, extra shift, subcontract) or smooth load by shifting non‑critical orders.
- Create a weekly production schedule with line assignments.
Best Practices: Keep about 85–90% capacity utilisation to accommodate sudden machine breakdowns or absenteeism.
Common Mistakes: Scheduling at 100% theoretical capacity; real‑world interruptions make it impossible to meet.
Real Industry Example: A knitwear factory uses an Excel macro to auto‑colour cells in the schedule when a line is overloaded.
Mini Case Study: A factory took an urgent order without checking capacity; the subsequent overtime and weekend work cost more than the order’s profit. Now they run a quick capacity check before accepting any new order.
Practical Activity: Calculate the available weekly standard hours for a line with 25 operators, 48 hours/week, at 75% efficiency. Then determine if an order of 2000 standard hours can be completed within one week.
Assignment: Create a weekly production schedule for three orders with different SMV totals and deadlines, using a provided capacity template. Write a 200‑word justification for your schedule.
Lesson Summary: Capacity planning prevents overcommitment; realistic scheduling keeps deliveries on track.
Key Takeaways:
- Capacity = machines × hours × efficiency.
- Never plan at 100%.
- Load levelling smooths the workflow.

