Demand and Utilization

Demand Above Capacity

When demand exceeds the bottleneck, output is capped and unmet demand appears.

highlighted = computed this step

Higher demand

Demand is 5 units per hour, which is above the bottleneck capacity.

demand=5\text{demand}=5
demand above capacityDemand enters the line; output is capped by demand or bottleneck capacity.demand above capacitydemand 5/houroutput 4/hourunmet 1/hourPrepcapacity 6/hutil 2/3Packcapacity 4/hutil 1bottleneckShipcapacity 8/hutil 1/2

Capped output

Output is capped at 4 units per hour.

output=4\text{output}=4
demand above capacityDemand enters the line; output is capped by demand or bottleneck capacity.demand above capacitydemand 5/houroutput 4/hourunmet 1/hourPrepcapacity 6/hutil 2/3Packcapacity 4/hutil 1bottleneckShipcapacity 8/hutil 1/2

Unmet demand

Unmet demand is 1 unit per hour.

unmet=1\text{unmet}=1
demand above capacityDemand enters the line; output is capped by demand or bottleneck capacity.demand above capacitydemand 5/houroutput 4/hourunmet 1/hourPrepcapacity 6/hutil 2/3Packcapacity 4/hutil 1bottleneckShipcapacity 8/hutil 1/2

Capacity only

This is capacity arithmetic only; it does not say how long customers wait.

capacity, not queueing\text{capacity, not queueing}
demand above capacityDemand enters the line; output is capped by demand or bottleneck capacity.demand above capacitydemand 5/houroutput 4/hourunmet 1/hourPrepcapacity 6/hutil 2/3Packcapacity 4/hutil 1bottleneckShipcapacity 8/hutil 1/2