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Aggregate Production Planning (APP)

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APP links higher-level facility planning to lower level scheduling decisions ... (CRP) Material and. Capacity Plans. APP (cont) Role of Aggregate Planning ... – PowerPoint PPT presentation

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Title: Aggregate Production Planning (APP)


1
Aggregate Production Planning (APP)
Aggregate Production Planning (APP)
Demand Planning and Forecasting
A macro approach to operational planning that
focuses on overall capacity. APP links
higher-level facility planning to lower level
scheduling decisions within a medium-term
planning horizon (2 to 18 months).
Master Production Scheduling (MPS)
Material Requirements Planning (MRP)
Capacity Planning (CRP)
Material and Capacity Plans
Shop Floor Control
Purchasing
2
APP (cont)
  • Role of Aggregate Planning
  • Long-term planning function
  • Strategic preparation for tactical actions
  • Aggregate Planning Issues
  • Staffing -hiring, firing, training
  • Procurement - supplier contracts for materials,
    components
  • Sub-Contracting - capacity vendoring
  • Marketing - promotional activities

3
Basic Aggregate Planning (cont.)
Cotton Shirts
Mens
Womens
Boys
Girls
Style B
Style C
Style A
Week1
Week2
Week3
Week4
Week5
4
Basic Aggregate Planning
  • Problem project production of single product
    over planning horizon.
  • Inputs

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Pure APP Planning Strategies
Demand
Production
Units
Time
8
Pure APP Planning Strategies
Demand Production
Units
Time
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Demand Constraints
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Conclusions
  • No single AP model is right for every situation
  • Simplicity promotes understanding
  • Linear programming is a useful AP tool
  • Robustness matters more than precision
  • Formulation and Solution are not separate
    activities.
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