Planning and Control

Planning and Control Long-term P&C Uses aggregated demand ______

Medium-term P&C Uses partially disaggregated demand ______

Short-term P&C Uses totally disaggregated ______/ actual demand

Nature of Supply and Demand Uncertainty in supply and demand Uncertainty makes P&C more difficult

Degree of uncertainty in demand affects balance Greater uncertainty = more difficult to pla.

Long-term planning doesn't require an event to actually happen.

Short-term planning uses totally disaggregated forecasts/actual demand.

Greater uncertainty in demand makes planning and control easier.

Medium-term planning determines resources and contingencies.

The nature of supply and demand introduces uncertainty which makes planning and control more difficult.

Planning is the formalization of what is intended to happen in the future and requires an event to actually happen.

Control is the process of coping with changes, and plans need to be re-drawn in the short-term.

Long-term Planning and Control uses totally disaggregated forecasts to make interventions to resources to correct deviations from plans.

Medium-term Planning and Control uses partially disaggregated demand forecasts to determine resources and contingencies.

Short-term Planning and Control makes ad hoc consideration of operations objectives.