Hi ,
What is difference between capacities and concurrent capacities in Machine centre card ?
What is the meaning of Efficiency ?
Is there any chance to increase cost of produced item based on capacities, Efficiency ?
If it yes . Just throw suitable example .
Thanks and regards
Concurrent capacities allows the reduction of time in scheduling, so if you have an operation taking 60 minutes but a concurrent factor of 4 the time scheduled is 15 minuttes.
Efficiency relates to the time again - how efficient is the work centre? If it is 75% efficient then a job taking 60 minutes will actually need 75 minutes to complete due to the inefficiencies
Hi -
This maybe an old post but I have a similar question but related to costing. We have set the concurrent capacity to shorten the production lead time. Is this affecting the standard cost calculation of the item?
Thanks!
No.