Asked by Horacio Nicolas on Jul 17, 2024
Verified
The process by which a company determines levels of capacity, production, subcontracting, inventory, stockouts, and even pricing over a specified time horizon is
A) aggregate planning.
B) detail planning.
C) inventory planning.
D) sales planning.
Aggregate Planning
An operational activity in which a company determines optimal levels of capacity, production, subcontracting, inventory, and labor to meet demand.
Capacity Levels
Refers to the maximum amount of work or production output that a facility can achieve under normal operating conditions.
- Learn the process and objectives of aggregate planning, including capacity, production, subcontracting, inventory, stockouts, and pricing levels.
Verified Answer
HG
Halima GravesJul 20, 2024
Final Answer :
A
Explanation :
The process described in the question is a clear definition of aggregate planning. It involves determining the optimal levels of various resources and activities to meet the demand forecast over a specified time horizon.
Learning Objectives
- Learn the process and objectives of aggregate planning, including capacity, production, subcontracting, inventory, stockouts, and pricing levels.