Chapter 13—Resource Management

1. Resource management deals primarily with managing inventories in a value chain.

2. Aggregate planning and disaggregation methods in goods-producing industries involve fewer levels of planning than service-providing organizations, because service organizations deal with more than just materials.

3. Service firms frequently take their aggregate plans and disaggregate them down to the execution level as detailed front-line staff and resources schedules, job sequences and service encounter execution.

4. An example of aggregation would be an ice cream manufacturer developing targets for the number of gallons of each flavor to produce along with purchasing requirements for specific ingredients.

5. “Level 3” planning represents aggregate planning at higher management levels of an organization.