The formula to calculate throughput capacity is:
\[ \text{TC} = \frac{\text{I}}{\text{T}} \]
Where:
Throughput capacity refers to the amount of inventory processed or produced within a given time period. This metric is crucial for understanding the efficiency and productivity of production or processing operations, helping to optimize performance and plan for future capacity needs.
Let's assume the following values:
Using the formula:
\[ \text{TC} = \frac{1000}{5} = 200 \text{ units/hour} \]
The Throughput Capacity is 200 units/hour.
Let's assume the following values:
Using the formula:
\[ \text{TC} = \frac{500}{2.5} = 200 \text{ units/hour} \]
The Throughput Capacity is 200 units/hour.