BUS 105 Lecture Notes - Lecture 11: Absenteeism, Master Production Schedule, Material Requirements Planning
Document Summary
Chapter 13 aggregate planning and sales and operations planning. Designed to be consistent with long range plans and strategy. Challenge: have plans match production to the changing demands of the market. Job of the operations manager, working with other functional areas of the firm. Intermediate planning is initiated by a process known as sales and operations planning. Sales and operations planning (v. ) balancing resources and forecast demand, aligning an organization"s competing demands from supply chain to final customer, while linking strategic planning with operations over all planning horizons. Typically done by cross-functional teams that align the competing constraints. One task is to determine which plans are feasible in the coming months and which are not. S&op provides advanced warning to top management when the resources appear to be substantially at odds with market expectations. S&op uses rolling forecasts updated frequently weekly or monthly to keep aggregate plans current and to support its intermediate planning role.
