Chapter 06 - Structure and Effects of the APS System
Q: Can we plan our investment in plant and equipment from the results of long-term scheduling?
A: We can use long-term scheduling to simulate plant and equipment investment. The diagram below shows a simulation in which one new machine is added to the plant. The simulation shows that the addition of one machine will not be enough.
We then simulate the addition of two machines with no restriction. Simulating in this manner allows us to prepare an appropriate plan for plant and equipment investment.