What is the process of translating aggregate plans into short-term operational plans called?

The process of translating aggregate plans into short-term operational plans is known as disaggregation. This involves breaking down the broader, strategic aggregate plan—which identifies overall demand, production levels, and resource allocation—into more detailed and actionable short-term plans. Disaggregation allows businesses to create specific, tactical schedules and assign resources more effectively to meet immediate operational needs.

In this context, aggregate planning focuses on the larger picture, while disaggregation aims to make those abstract plans tangible and executable on a daily or weekly basis. This is crucial for aligning the operational activities with organizational goals and ensuring that resources are utilized efficiently to meet forecasted demand. Overall, disaggregation is a vital step in effective operations management, enabling companies to react to changes in demand and optimize their production processes accordingly.