Ignoring the fluctuations and keeping activity levels constant is known as:

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Level capacity plan means maintaining a constant level of activity regardless of the fluctuations in demand. This is achieved by increasing or reducing inventory levels when demand is low or high, respectively. This approach is best suited for products with stable demand patterns, where the costs of overproduction or underproduction are relatively low. It can help to stabilize production processes, reduce lead times, and improve customer service levels. Chase demand plan, on the other hand, involves matching production capacity to the actual demand levels by adjusting workforce hours and schedules, which can be costly and may negatively affect the morale of the workforce. Demand management is a broader term that refers to the process of forecasting, planning, and controlling demand across various products and markets, to ensure that supply meets demand in a profitable and sustainable manner.

Ignoring the Fluctuations and Keeping Activity Levels Constant Is Known