Aggregate Planning is a fundamental aspect of the business planning process.This process starts when your organization's top administration accumulates inputsfrom finance, marketing, operations, and engineering to build up a key strategy.Once business plans are ready, an organization can do backward working from thefinal sales unit to raw materials required. Thus annual and quarterly plans are brokendown into labor, raw material, working capital, etc. requirements over a medium-range period (6 monthsto 18 months). This process of working out production requirements for a medium-range is called aggregate planning.Aggregate planning is an operational activity critical to the organization as itlooks to balance long-term strategic planning with short term production success.The following are a key consideration in aggregate planning:1. Preparation of Budget: Aggregate decision includes budget allocationand distribution i.e., asset allocation to different parts of the decision. Thefinancial plan might be designated to different variables of production.