7Developing a Production Plan


Learning Objectives

By the end of this chapter, you should be able to:

•  List the information needed to prepare a complete and adequate production plan.

•  Explain how to use historical information, the results of the situational diagnosis, and the sales and revenue objectives to prepare an appropriate production schedule and budget.

•  Demonstrate how the production schedule is used to prepare an adequate plan for the acquisition and management of production resources.

•  Describe the raw materials planning process.

•  List the costs included in production overhead.

The development of a production plan should flow ...

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