Operation Management

2. Capacity constraints For many firms, service capacity is fixed, critical fixed-capacity factors can be-depending on the type of service-time, labor, equipment, facility, or a combination of these. Time, Labor, Equipment and Facility: For some business, the primary constraint on service production is time. Optimal versus maximum use of capacity: To fully understand capacity issues, it is important to know the difference between optimal and maximum use of capacity. Optimal Capacity Maximum capacity