- Aggregate planning involves planning the best quality to produce in the intermediate-range horizon (3 months to one year)
- Aggregate production planning is the process of determining output levels of product groups over the next 6 to 18 months period.
- Objectives of Aggregate Planning
i. The overall objective is to balance conflicting objectives involving customer service, work force stability, cost and profit.
ii. To establish company-wide strategic plan for allocating resources.
iii. To develop an economic strategy to meet customer demand.