Integral Logistics Management — Operations Management and Supply Chain Management Within and Across Companies

14.3 Finite Loading

Intended learning outcomes: Explain operations-oriented, order-oriented, and constraint-oriented finite loading.


The primary objective of finite loading is high capacity utilization (see Section 1.3.1). The main target is not low levels of goods in stock and work-in-process, short lead times in the flow of goods, high fill rates, and delivery reliability rates. These are secondary objectives (see Section 1.3.1). With finite loading, the customer must be prepared to accept a longer delivery lead time and possible changes in the agreed-upon dates.

Essentially, there exist one operations-oriented and several order-oriented techniques. The operations-oriented technique is actually a simulation of the possible production processes that assumes — hypothetically — that all the planning data are correct. Some of the order-oriented techniques yield practically the same results as the operations-oriented technique. Others, however, tend to assume that capacities are not always fully utilized, which increases the delivery reliability rate and reduces levels of work in process.


Course section 14.3: Subsections and their intended learning outcomes

  • 14.3 Finite Loading

    Intended learning outcomes: Explain operations-oriented, order-oriented, and constraint-oriented finite loading.

  • 14.3.1 Operations-Oriented Finite Loading, or Operations Sequencing

    Intended learning outcomes: Produce an overview on the technique (the algorithm) for operations-oriented finite loading, also called operations sequencing. Explain an example of operations-oriented finite loading. Describe various priority rules. Present an evaluation of the technique. Identify its limitations and typical areas of application.

  • 14.3.2 Order-Oriented Finite Loading

    Intended learning outcomes: Produce an overview on the technique (the algorithm) for order-oriented finite loading. Describe various priority rules as well as dealing with exceptions. Explain an example of order-oriented finite loading. Present an evaluation of the technique. Identify its limitations and typical areas of application.

  • 14.3.3 Constraint-Oriented Finite Loading

    Intended learning outcomes: Identify bottleneck capacities and the drum-buffer-rope technique. Describe the drum, the buffer, and the rope. Present an evaluation of the technique. Identify its limitations and typical areas of application.



Course 14: Sections and their intended learning outcomes

  • Course 14 – Capacity Management

    Intended learning outcomes: Present fundamentals of capacity management. Explain in detail load profile calculation and infinite loading. Disclose finite loading. Describe rough-cut capacity planning.

  • 14.1 Fundamentals of Capacity Management

    Intended learning outcomes: Produce an overview on capacity, work centers, capacity determination, and capacity management techniques.

  • 14.2 Infinite Loading

    Intended learning outcomes: Present load profile calculation and problems associated with algorithms for load profile calculation. Explain methods of balancing capacity and load. Describe order-wise infinite loading.

  • 14.3 Finite Loading

    Intended learning outcomes: Explain operations-oriented, order-oriented, and constraint-oriented finite loading.

  • 14.4 Rough-Cut Capacity Planning

    Intended learning outcomes: Describe rough-cut network plans and load profiles. Explain rough-cut infinite loading and rough-cut finite loading.

  • 14.5 Summary

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