CNC Plasma cutter is resolution moot?

Hi,
I've heard people harp that they are striving for
thousandths resolution on a table for CNC plasma
cutting, but in my very limited experience with one,
I found the arc wandered some, and height variances
affected kerf width etc.

So I've almost concluded that about a 1/32 to a 1/16
is what to expect. Does this sound in the ballpark
or near the surrounding parking lot :-)
Thanks
-Lee