Supply Chain Analysis and Design Page 1 of 5
Considerable research during the last two decades has concentrated on aggregate production
planning, inventory control, and scheduling. Aggregate planning procedures, which have
been proposed for both manufacturing and service organizations, help determine monthly
(or quarterly) output, inventory and manpower aggregates. Inventory and scheduling
procedures, using the aggregate decisions as input, tend to focus on such short-term
decisions as (i) the sizing and timing of production (purchase) orders for specific items, (ii)
sequencing of individual jobs (orders), and (iii) short-term allocations of resources to
individual activities and operations. The total process of going from aggregate plans to more
detailed plans can be called disaggregation.
Disaggregation is an important issue in manufacturing as well as service organizations.
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