A product has a demand of 200 units for next month, or in four weeks. What is the disaggregated production plan for next month?
50 units per week.
To meet a demand of 200 units over the course of four weeks, the production plan must evenly distribute the total demand per week. Dividing 200 units by 4 weeks results in a requirement of 50 units each week.
Producing 30 units per week would yield a total of 120 units over four weeks (30 units x 4 weeks = 120 units). This falls short of the 200-unit demand, making it an inadequate production plan.
Producing 50 units per week meets the exact demand of 200 units over four weeks (50 units x 4 weeks = 200 units). This option accurately fulfills the production requirements to satisfy customer demand.
An output of 80 units per week would result in a total of 320 units over four weeks (80 units x 4 weeks = 320 units). This significantly exceeds the demand of 200 units, leading to potential overproduction and excess inventory, which is inefficient.
If 130 units were produced each week, it would amount to 520 units over four weeks (130 units x 4 weeks = 520 units). Like option C, this also far surpasses the demand of 200 units, resulting in wasteful overproduction.
The disaggregated production plan must accurately reflect customer demand over the specified time frame. In this case, 50 units per week is the only option that meets the total requirement of 200 units across four weeks, while all other choices either underproduce or overproduce, leading to inefficiencies. Proper production planning is essential to align supply with demand effectively.
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