Aggregate planning lumps various items together so that the sum reflects aggregate demand.The items to be aggregated must share supply commonalities.There is no point in aggregating jobs that cannot be made at the same facilities.

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Aggregate planning is the process of developing a high-level view of production capacity and demand over an intermediate time period. To effectively aggregate demand, items that share similar production processes or use the same resources should be combined, otherwise the planning process would be inefficient and ineffective.

Aggregate Planning Lumps Various Items Together So That the Sum