POLYTECHNIC UNIVERSITY OF THE PHILIPPINES

Office of the Vice President for Branches and Satellite Campuses

Lopez, Quezon Branch
OFFICE ADMINISTRATION DEPARTMENT

Self-reflect and Review Questions:

1. Why aggregate planning is necessary?
Aggregate planning is critical to the company's long-term success. It aids in the attainment of financial objectives by
lowering overall variable expenses. It lowers the cost of inventory management. Colors, sizes, and characteristics are
not differentiated in aggregate planning. For example, aggregate planning in a mobile device manufacturing company
analyzes simply the overall number of handsets, not the colors of individual models. For a given demand timetable, this
defines how organizations allocate resources for three months to one year.
2. How aggregate planning process works in production?
For operation management, aggregate production planning is beneficial. It has to do with determining production,
inventory, and personnel levels to meet changing demand during a six-month to one-year planning horizon. Aggregate
production plans are required to maximize labor potential and are an important component of operations management.
It makes an easier to balance supply and demand while also saving money. Aggregate production planning applies
upper-level projections to lower-level, production-floor scheduling, and is most effective for periods 2 to 18 months in
the future. Plans are either "chasing" plans, in which the workforce is adjusted to meet demand, or "level" plans, in
which labor is relatively constant and demand fluctuations are handled by stockpiles and back orders.
3. How do you choose the best aggregate plan strategy?
It's all about solving problems for your target market when you run a service-based organization. To do so, you must
be clear about what they require and what you can do to improve their situation. If you're a personal trainer, for example,
connect with what your clients truly require. It could be that they want to lose weight, gain strength, boost flexibility, or
simply improve their appearance in the mirror. What do your clients truly desire if you're an image consultant? Maybe
they want to know how to: 1) make a fantastic first impression, 2) establish confidence with a wardrobe, and 3) dress
for any situation. You must also be able to pinpoint the cause of the issue. What did you do as a personal trainer to
make your client gain weight? Is it a case of overeating, a health issue, or just plain neglect? The image consultant may
discover that her client's actual lack of confidence stems from growing up with hand-me-downs and never having the
option to choose her own clothes. When you can determine the needs of your potential clients as well as the resources
available to them. The following phase in your marketing strategy becomes easy to apply once you've found a trigger
point that pushes people to seek your services. All you have to do is show up where they are looking for you, address
the trigger point, and give the solution in the format that they prefer.