BUSI 2301 Lecture Notes - Linear Programming, Master Production Schedule, Rough Cut
5 Mar 2014
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Aggregate planning: intermediate - range cap planning, usually covering 2 to 12 months. Subcontracting: total cost of plan, projected lvls of inv. Backordering: demand and cap options, demand options, pricing, promotion, back orders, new complementary products, cap options, hire and lay off workers, ot/slack time, part time workers iv. Invs: subcontracting, basic strategies for meeting uneven dmd. Level output strategy: maintaining a steady rt of output while meeting variations in dmd by a contribution of inv, subcontracting, and back orders. Techniques for aop: determine dmd for each pd, determine caps and production rts for each pd. Identify policies that are pertinent: develop alt plans and costs and select the best plan that satisfies objectives. Develop simple tables (worksheets) or graphs that enable managers to visually compare projected dmd reqms with existing cap. Assumptions: the reg output cap is the same in all pds, each tc, except hire/fire costs, is a linear function of number of units.
