Capacity planning is essential for the supply chain management process. Demand vs supply capability is based on the available manufacturing capacity. The manufacturing capacity is dependent on the capacity of the work centers. A work center can be a person, a group of people, or a machine.
For each work center, individual capacities can be defined. Capacities are generally defined in minutes or hours. Based on the work center capacity and the standard values of the product, schedule dates will be determined for production. Scheduling determines when the production can start and when it can end based on the work center capacity and other defined constraints.
