• aCIF MANAGEMENT U ANPATECEIPL,QAT,
Module 13
Aggregate Planning and M RP
e Ma le 13
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Aggregate Planning
C Definition • Combines (or aggregates) production variables expressed in common units (e.g.: time or money — hours or dollars) C Focuses on intermediate timeframe (e.g., 3-6 months) C, Determines what and when to produce Goaf o Meet demand while optimizing capacity and minimizing cost (for labor, inventory, facilities, vendors, and equipment) C Requirements O Suitable uniform metric (Le., aggregated units) for safes and production output o Forecast of demand for aggregated units in intermediate tirnefrarne O Determination of production costs O Combine demand forecast and costs =then make production decision
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