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There are two members posts pertaining to this discussion could you come up with a thoughtful, well supported response for each member discussion. They only
There are two members posts pertaining to this discussion could you come up with a thoughtful, well supported response for each member discussion. They only need to be about half of a page to one page in length for each one. And cite references in support agreements of or arguments. Expand upon the original point or provide an outside source that illustrates it. You can always disagree as well [as long as it is done in a respectful manner]. Provide a counterpoint or outside source to refute the original comment. Discuss the link between aggregate planning and strategic planning. YOUR POST TO DISCUSSION: Strategic planning is a management activity concerned with an organization's direction. It is generally used to set priorities and to focus the energy and resources towards the achievement of common goals. It is a disciplined effort with a focus on the future. It shapes an organization's response to the future. Effective strategic planning apart from assessing where an organization is going as well as the steps to be taken to make progress also helps at knowing how it will be successful. Aggregate planning, however is concerned with an organization's activities over a definite time horizon. It is a part of the strategic planning. However, it is mainly concerned with the efficient allocation of resources to the market conditions. It is also concerned with the allocation of system capacity over a designated period. Effective aggregate planning has to be consistent with the organizational policy or its strategic plan. Aggregate planning also known as production planning \"links strategic goals to production and is coordinated with sales objectives, resource availabilities, and financial budgets\" (NITC, n.d.). So, in a way Aggregate planning is a method to achieve the organization's strategic objectives. It attempts to match the demand and supply for a product or service. Aggregate planning determines the appropriate quantities and timing of inputs to match the demand and supply. The decisions made on production, staffing, inventory and backorder levels come under aggregate planning. Compared to strategic planning, aggregate planning is slightly short range planning. Most frequently the objective of strategic planning is to minimize the total costs over the planning horizon. However, there are other objectives too which have to be considered like maximizing customer service, minimizing inventory investment and changes in workforce levels and production rates as well as the utilization of plant and equipment (Sparling, n.d.). Strategic planning is a type of long range planning which sets the direction for all the organizational activities including the planning and execution of shorter range plans. References: PRODUCTION PLANNING (AGGREGATE PLANNING) (n.d.). In NITC. Retrieved April 5, 2015, from http://124.124.70.22/nitc/bulletin/files/opt_25512_2085776769.pdf Sparling, D. (n.d.). AGGREGATE PLANNING. In UoGuelph. Retrieved April 5, 2015, from http://www.uoguelph.ca/~dsparlin/aggregat.htm MEMBER #1's POST TO SAME DISCUSION: L.w. Aggregate planning: "Attempts to match the supply of and demand for a product or service by determining the appropriate quantities and timing of inputs, transformation, and outputs. Decisions made on production, staffing, inventory and backorder levels (Aggregate). Strategic planning "is an organizational management activity that is used to set priorities, focus energy and resources, strengthen operations, ensure that employees and other stakeholders are working toward common goals, establish agreement around intended outcomes/results, and assess and adjust the organization's direction in response to a changing environment. It is a disciplined effort that produces fundamental decisions and actions that shape and guide what an organization is, who it serves, what it does, and why it does it, with a focus on the future" (Strategic). The link between aggregate planning and strategic planning is the fact that aggregate is needed for strategic, and strategic is needed for aggregate. You need both to make sure that the company is being run smoothly and proper ordering is done correctly and efficiently to meet the needs of supply and demand. If these needs are not met with aggregate planning and strategic planning, customers will not be happy and will do their business else where. And, if the company does not have the customers to make a profit, they will not be in business any longer. (1998-2014). Balanced Scorecard Institute, Strategy Management Group: Strategic Planning Basics. Retrieved April 4, 2015, from http://balancedscorecard.org/Resources/Strategic-Planning-Basics Aggregate Planning. Retrieved April 4, 2015, from http://www.uoguelph.ca/~dsparlin/aggregat.htm MEMBER #2's POST TO SAME DISCUSION: m.r. Both are undisputably interrelated with each other. Aggregate planning is an operational activity critical to the corporation as it seeks to balance long-term strategic planning with short term production success. The goals for the desired end are set forth in strategic planning and go backwards step by step to break up what has to be done for them to be achieved, and that is what is achieved by the aggregate planning. Strategic planning therefore, creates an apportunity to carry out a functional aggregate planning. The functions that aggregate planning is used for mainly are adjusting production towards the current supply and demand of the market. Strategic planning, simply stated, is responsible for extending the amount of customers, shareholders. Both are vital, and will always remain an essential part of planning for an enterprise
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