The purpose of the aggregate plan is to develop production rates and authorize resources that accommodate the engineering plan.

Question

Quizplus · Accepted Answer

The purpose of the aggregate plan is to establish production rates that will achieve management's objective of satisfying customer demand by balancing the costs of inventory, overtime, part-time workers, subcontracting, and backorder costs. It is more focused on meeting demand efficiently rather than accommodating the engineering plan specifically.

The Purpose of the Aggregate Plan Is to Develop Production