Capacity Management of the National Beverages Company

        The major goal of the capacity management is to ensuring about the resources of the information technology which are considered as the right sized to meet the requirement of the current future of the business according to the cost-effective manners. Capacity management is the perspective of the business for mapping out their capabilities.  For the beverage’s companies, the capacity management is considered as the key performance elements.  Capacity management is sole ingredients at the time of the considerate and careful calculations and it’s used to making the profits of the boom of the organization.

        National Beverage Corp is one of those organizations which cannot bear the cost of compromising the essence of their items. They have proper capacity management for facilitating their types of the products. It ensured by their management during the production of the bottles and it will be dispatched for their related outlets and their distributors. They have three types of the decision for their capacity planning as long term Short-term, Long-term and medium-term capacity decisions. Many years ago they are involved in buying the raw material for their production process in bulk, but now their production is shifting towards the Just in time process. By using this process the cost of the inventory will be reduced and this strategy also has reduced the numbers of the warehouses. It has coordinated the work according to those manners by which the operations can be affected.  The capacity management of the NBC is performing its duties good ways for reducing their cost and enhancing their profits. They are using latest technologies for production plants innovative machinery and almost the working of the National Beverage Corp is possible by the robotic system it means the manpower and supports are less than the machinery which is operating in their plants.

Long Term capacity decision of the National Beverages Company

        In the long term capacity decision of the National Beverage Corp, all the decisions are made according to the timeframe of the more than one year in which the participation of the top management is also included and these plans always concerned with the productive re4sources which have required a long time for disposing and acquiring. Instance building and facilities are also included in the resources of the long-term capacity decision. There are a few major components which can be the external factors for affecting their decision making.  PEST markets and the major’s competitors of the National Beverage Corp. These decisions can be taken for reducing and increasing the capacity (Sernola, 2011).

Figure 1: Long-term capacity decisions

Source: https://www.theseus.fi/bitstream/handle/10024/36242/Teemu_Sernola.pdf

Medium Term capacity decision of the National Beverages Company

        Just like as the Long Term capacity decisions are discussed about the long term decision which is more than one year just like the medium-term capacity decision is to consider as the micro views of the decisions. The time frame whi8xch considered for the capacity decision is 6 to 18 months.  The medium-term decision is more similar to the short term decision in which includes the decision about the purchasing of the equipment.  

Short-term capacity decision of the National Beverages Company

        It is more similar to the Medium Term capacity decision and the time frame consider for the decision is less than one month it includes the decisions which are made for the weekly and daily scheduling. By taking all the decision according to proper ways of the capacity decision the NBC always keeps the inventories of 2-4 days only and any problems occurred in the plant they try to take the finished goods from the other plant which is located in another region of the cities.