Capacity Analysis Capacity Analysis Being able to analyze plant and equipment (capacity and automation) is essential to understanding how you and your competitors are supplying the market demand. There is often unmet demand in segments because companies do not or cannot produce enough units. If you successfully analyze industry capacity, your team could benefit from these shortfalls. B. Each product has its own production line where you can set capacity and automation. Capacity represents the company's ability to produce units of its product. Think of capacity as your manufacturing plant. For each unit of capacity, there are two shifts of workers that can use your manufacturing plant to produce your products, which represents a first and second shift. So if your product has a capacity of 1000, this means you can produce up to 2000 units of your product. Automation represents the robot-to-worker ratio in your manufacturing plant. A higher ratio of robots will provide your company with a lower labor cost. However, this will increase the amount of time it takes your products to be updated. You will need: The Production Analysis report (page 4) of the FastTrack for Round 0 On the Production Analysis page, look at the table of products (the Andrews company is displayed). The highlighted boxes (plus a little math!) are where you will find the information you need to complete the analysis. Primary Units Unit Revision Age Pfmn Size 2nd Shift Automation Capacity Material Labor Contr. & Name Segment Sold Inventory Date Next Dec.31 MTBF Coord Coord Price Cost Cost Marg. Overtime Round 1,200 87 11/21/2011 3.1 21000 6.4 13.6 $34.00 $16.17 $10.11 20% 63% Able Low Next Plant Round Utiliz. 3.0 800 161% Production Costs Activity Use the table with page 4 of the FastTrack to complete the activity.