I can get more orders than I can make. How do I find out what my real production capacity is at present and then get more production? By the way I need to make more windows before I can afford to buy more machinery?

This is the question I am most frequently asked in its various guises. As an aside there are too many companies who get drawn into purchasing machinery before they have measured their existing capacity. Therefore, I am pleased that you have the horse before the cart. I have set out below, very briefly, the process I recommend you follow.

1. Record every one of your processes on a process sheet. This process sheet simply describes the operation as it is performed. Break the processes down into manageable chunks.

2. Determine the output per hour through each of the processes. You may need to observe and measure the process for a period. You do need to consider the mix of windows that passes through each of the process.

3. Prepare a plant layout showing the machinery, operators and the workflow.

4. Prepare a chart (usually called a job distribution pillar chart) that shows how all the work is shared out between the operators.

5. Closely examine the process sheets and plant layout sheets and look to see where there are activities that are not adding value and seek to reduce or eliminate them. An example of non added value is excessive walking between operations.

6. Closely examine the pillar charts and look to see where you can better share out the work between the operators.

7. Having examined the process sheets, layouts and pillar charts and made improvements repeat step 2. What you will then identify is bottleneck process and its hourly volume. This is your installed capacity. Don’t be satisfied, though, have another review of the bottleneck process and see whether you can open it up at all.

An important point is to establish the mix of products (i.e. windows and doors and then the complexity of the windows and doors) because, if the mix changes there is a good chance that the bottleneck, and therefore your capacity, will also change.

We do have available a manual containing instructions and forms that can help you in the process. We also run lean fabricating courses that covers all this ground. You can access further details on this site via Manufacturing Norms.