Aggregate Planning

This white paper details Robert Hirschey’s experience in using aggregate planning to keep executives “out of the weeds” and focused on the “big picture.” Hirschey has worked as an executive at both the operating and strategic levels. When the executive mindset and skills for aggregate planning are lacking, company leaders experience detail dysfunction. They lose sight of the “big picture.”

Hirschey describes how to use multiple-level planning to combat detail dysfunction. He explains the fundamentals of aggregate planning and the role of Integrated Business Planning in performing aggregate planning. Multiple-level planning helps to ensure the right people make decisions at the right level. Ultimately the decisions made at the strategic and tactical levels should drive what is made and sold at the execution level.
“Execution should not drive strategy and tactics. Strategy and tactics should drive execution, but all three need to be tied together,” Hirschey writes.