Mgt%203200%20-%2011%20Aggregate%20Planning%20%28post%29

Mgt%203200%20-%2011%20Aggregate%20Planning%20%28post%29 -...

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© Copyrighted 1 Map Aggregate Planning Aligning Operations Yield Management S&OP Aggregate Planning Participants Objectives Demand, supply options Silo effect Chase strategy Level strategy
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© Copyrighted 2 Objectives 11-1. Recognize contradicting objectives of sales, manufacturing, and distribution 11-2. Define the silo effect 11-3. Define the S&OP process, including its objectives and participants 11-4. List and describe typical OM capacity options 11-5. Define aggregate planning, including the typical time horizon 11-6. Calculate the aggregate plan (required staffing, inventory) using demand chase and level strategies 11-7. Describe how yield management can be used to enhance profitability and in which industries it is most effective
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© Copyrighted 3 Sales & Operations Planning Primary objectives Sales and marketing Operations Warehousing, distribution Finance No coordination? depts optimize own objectives Ex. Sales pads forecast Ex. Operations does not produce to forecast S&OP Demand Supply Silo Effect Without aligned objectives and communication, departments act independently and often contradictory to one another
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