c11 aggregate planning

Question 1

It is intermediate-range capacity planning that typically covers a time horizon of 2 to 12 months, although in some companies it may extend to as much as 18 months.

Answer 1

Aggregate Planning

Question 2

Intermediate-range decisions to balance supply and demand, integrating financial and operations planning.

Answer 2

Sales and Operations Planning

Question 3

These are commonly used to shift demand from peak periods to off-peak periods.
The more the elasticity, the more effective it will be in influencing demand patterns.

Answer 3

Pricing

Elasticity and Pricing are directly proportional.

Question 4

These are orders are taken in one period and deliveries promised for a later period.

Answer 4

Back Orders

Question 5

In addition to having different pay scales and no benefits,
they can be added or subtracted from the workforce with greater ease than regular workers, giving companies great flexibility in adjusting the size of the workforce.

Answer 5

Independent Contractors

Question 6

It enables planners to acquire temporary capacity, although it affords less control over the output and may lead to higher costs and quality problems.

Answer 6

Subcontracting

Question 7

Maintaining a steady rate of regular-time output while meeting variations in demand by a combination of options.

Answer 7

Level Capacity Strategy

Question 8

Matching capacity to demand; the planned output for a period is set at the expected demand for that period.

Answer 8

Chase Demand Strategy

Question 9

These are methods for obtaining optimal solutions to problems involving the allocation of scarce resources in terms of cost minimization or profit maximization.

Answer 9

Linear Programming

Question 10

Computerized models that can be tested under different scenarios to identify acceptable solutions to problems.

Answer 10

Simulation Models

Question 11

The application of pricing strategies to allocate capacity among various categories of demand.

Answer 11

Yield Management

Question 12

This schedule indicates the quantity and timing of planned completed production.

Answer 12

Master Production Schedule (MPS)

Question 13

Approximate balancing of capacity and demand to test the feasibility of a master schedule.

Answer 13

Rough-Cut Capacity Planning (RCCP)

Question 14

Points in time that separate phases of a master schedule planning horizon.

Answer 14

Time Fences

Question 15

Known as the uncommitted inventory.

Answer 15

Available-to-Promise Inventory (ATP)