Production capacity - what is this?

Production capacity - the maximum amount of a particular product, the usual assortment of having a consistent quality, which produces the company for a certain period of time on condition that all the equipment has been used with maximum efficiency, and human resources - optimally.Let us clarify the definition.

It should be noted that the production capacity - this issue is not "only to a" product, and one that meets the industry, enterprise or state standards (for this particular product) and does not have any abnormalities or defects.In addition, it must be released under an appropriate production technology.

Another point.Production capacity - an issue of this type of product, which is typical for this type of enterprise.And no other.

And finally: the production capacity - a product which is produced for a certain period of time.It can be anything - from hours to years.This will depend on the type of enterprise.For example, the production capacity of the shipyard will be meaningless to be measured in hours, but for the enterprise for production of mineral water, this approach is acceptable.

production capacity of the equipment installed at the plant, directly affect the operation of the entire organization.It will not work if one of the devices (electric welding machines, electric or other mechanisms), the production can significantly slow down or even stop altogether.Changes in the work of even the most seemingly insignificant details of the company can "feel" on the Statement capacity.It is, in fact, recalls the work of the body, where each "part" of something is responsible.

However, you need to determine what kind of volume of production to be performed.This number will be determined by the requirements and requests, provide customers a specific enterprise.As well as the impact on the determination of the volume of production will have a demand for this type of product.This whole process is known as "capacity utilization".Determination of the amount of the load is carried by the incredible number of calculations that do not generate excess production to avoid any gaps.

One of the most important indicators by which we can determine the economic efficiency of the production capacity, as well as its operation and success of the enterprise in general, has always been and will return on assets.It is the ratio of the commodity (or, as it is called gross) products to the average cost of that part of the assets that are or that the company plans to use for a long period of time.These assets are also referred to in this definition as "the basic production assets."They have repeatedly participate in the production of goods and transferred them to their charge.In addition, their use value and natural form they are in the process of production to lose.This is their economic substance.