From a simplistic standpoint, Capacity management can be defined as the operational activity that is followed by the hotel industry to maintain a balance between the available resources and the requirements of the situation .
The important resources of input that are required for the smooth operations of the company are the capital . This includes the available technology, the company, and the equipment given for performance of services. The second important aspect is maintenance of people management . The flow times is the time required for the processing of the activities. In this process, there are a number of intangibles involved.
The productivity measure of the company is defined as the capacity that has been utilized to the effective capacity. It is very difficult to completely elucidate this detail. The figure below elucidates the amount of time required by the company and the way in which they can utilize the simulation model (Slack, Chambers & Johnston, 2010).
Forecasting is the preliminary step that explains the basic tangents that are required for maintaining the current level of operations. In the current system, there is a requirement for a number of people, then the management should factor in the requirements of technology and equipment required (Heizer, Render & Munson, 2016). Planning or devising of the action plan needs to be done in the next stage. This plan should be preliminarily reviewed about the processes (Hill & Hill, 2012).
Scheduling is the third step in the process, the resource allocation should be done in this stage. While scheduling, the manager of the front desk should be aware of the preferences of the employees however that should not the sole variable that should be considered (Slack, Chambers & Johnston, 2010). Next is the actual action plan and execution of the different elements. This is the set up stage for the hotel (Slack, Chambers & Johnston, 2010). There should be efforts taken to understand if the specific scheduling target has been met by the company.