Objectives for Chapter 14:Managing Demand and Capacity

• Explain:

  • the underlying issue for capacity-constrained services
  • the implications of capacity constraints
  • the implications of different types of demand patterns on matching supply and demand

• Lay out strategies for matching supply and demand through:

  • shifting demand to match capacity or
  • flexing capacity to meet demand

• Demonstrate the benefits and risks of yield management strategies

• Provide strategies for managing waiting lines

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