CORRELATION BETWEEN THE INCIDENCE OF CAPACITY PLANNING PROBLEMS AND PROFITABILIY AND COMPETITIVENESS OF MANUFACTURING COMPANIES

Dragana Grubisic () and Zeljko Mateljak ()
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Dragana Grubisic: Faculty of Economics, Split
Zeljko Mateljak: Faculty of Economics, Split

Economic Thought and Practice, 2013, vol. 22, issue 1, 177-196

Abstract: The paper investigates the effect of problems in capacity planning on profitability and competitiveness in a machine building company. The research results show that companies with a lower incidence of problems in capacity planning are not more profitable or more competitive. It is also revealed that although the medium-sized companies have a bit higher incidence of problems in capacity planning than the large ones there is no significant difference between them. On the other hand, when analysing different types of manufacturing processes the results show that there is a statistically significant difference among them in incidence of capacity planning problems. This leads to the conclusion that in companies with an intermittent manufacturing process this incidence is higher than in companies with the line and project manufacturing processes.

Keywords: problems in capacity planning; profitability; competitiveness; size of firm; type of production process (search for similar items in EconPapers)
JEL-codes: L23 L25 (search for similar items in EconPapers)
Date: 2013
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