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  • Aggregate Planning: Presented By: Pradeep Gupta 09PR001014B023 Sen Hall

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    Aggregate planning involves determining production, inventory, and workforce levels over 6-12 months to meet fluctuating demand. It matches supply and demand and considers options like outsourcing, subcontracting, overtime/undertime, hiring/firing workers, inventory levels, backlogs, and turning down sales. Key inputs include available resources, demand forecasts, inventory and ordering costs, alternative costs, and policies. Mathematical methods used include linear programming, transportation problems, HMMS models, and control processes.

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    Aggregate planning involves determining production, inventory, and workforce levels over 6-12 months to meet fluctuating demand. It matches supply and demand and considers options like outsourcing, subcontracting, overtime/undertime, hiring/firing workers, inventory levels, backlogs, and turning down sales. Key inputs include available resources, demand forecasts, inventory and ordering costs, alternative costs, and policies. Mathematical methods used include linear programming, transportation problems, HMMS models, and control processes.

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    5 views8 pages

    Aggregate Planning: Presented By: Pradeep Gupta 09PR001014B023 Sen Hall

    Uploaded by

    Pradeep Gupta
    Aggregate planning involves determining production, inventory, and workforce levels over 6-12 months to meet fluctuating demand. It matches supply and demand and considers options like outsourcing, subcontracting, overtime/undertime, hiring/firing workers, inventory levels, backlogs, and turning down sales. Key inputs include available resources, demand forecasts, inventory and ordering costs, alternative costs, and policies. Mathematical methods used include linear programming, transportation problems, HMMS models, and control processes.

    Copyright:

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    AGGREGATE PLANNING

    Presented by:
    PRADEEP GUPTA
    09PR001014B023
    Sen Hall
    INTRODUCTION
    Aggregate production planning is concerned with the
    determination of production, inventory, and work
    force levels to meet fluctuating demand requirements
    over a planning horizon that ranges from six months
    to one year.

    Concerns with matching supply & demand of output


    over the medium time range, upto approx. 12 months
    into the future.
    NEED FOR AGGREGATE PLANNING
     Decisions taken with the aid of aggregate planning:--

    Quantity of outsourcing.

    Subcontracting of items to other companies.

    Overtime & undertime of labor.


    NEED FOR AGGREGATE PLANNING

    No. of labors to be hired & fired (layoff) in each


    period.

    Amount of inventory to be held in stock &


    backlogged for each period.

    Turning down some sales demands.


    PREREQUIRED INPUTS FOR
    AGGREGATE PLANNING
     Information about the resources & facilities available.

     Demand forecast for the period for which the planning is


    done.

     Cost of holding inventory.


    .
    PREREQUIRED INPUTS FOR
    AGGREGATE PLANNING
     Ordering costs.

     Cost of various other alternatives & resources.

     Organizational policies
    MATHEMATICAL METHODS USED IN
    AGGREGATE PLANNING
     Linear Programming Model

     Transportation Problem Method

     HMMS Model

     The Control Process


    THANK YOU

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