Infinite loading is the calculation of the capacity required at work centers in the time periods required regardless of the capacity available to perform this work.
Two types of capacity plannings are finite capacity planning and infinite capacity loading. Both systems have their own benefits and drawbacks. Depending on the resources available companies can implement the method.
Before implementing it is necessary to know about the differences between them.
Difference between infinite loading and finite capacity loading
Finite capacity loading finds out the finite amount of resources available to produces finished items or services to deliver to the customer. So it plans the production process or service activities by considering the available resources. Hence in the finite capacity loading, overload of capacity will not occur.
Infinite capacity loading does not notice resource limitations and plans the production process or service activities by considering lead times. Hence in infinite capacity loading, overload of capacity will occur.
The finite capacity planning method generates a more realistic schedule for the production process than the infinite capacity loading.
What is the example of a business with infinite loading?
An example of a business with infinite loading is an online retail supplier.
What are examples of businesses with finite loading?
Examples of businesses with finite loading are software developers, automobile manufacturers, construction industries.
Benefits of infinite loading
- It helps to identify uneven workloads.
- It helps to change the work schedule to balance the resource requirements.
Get more definitions about infinite loading and other ERP related terms here.