Sample Essay

The production capacity of company is very limited and therefore despite putting in place multiple capacity expansion strategies the company is unable to fulfill the demand for its Clif Bar and Luna Bar products. The capaicty planning function at the copmpany is handled by the owner of the company Gary Erickson who has tekn substantial steps in the past to increase the production capaicty fopr the company.

The current internal production capacity of the products at the Clif Bar Inc. is limited to internal production lines of round 100,000 units per annum. In order to increase this capacity the company outsourced its production to a third party and started to use the retail network to channel its products to the customers. The current capacity of the company now is at 350,000 units along with the inclusion of third party based production. Over the period of years the company has shifted its focus into the online medium, through which the company is currently marketing and selling selective products to the international market as well.

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