Question

Which of the following statements regarding aggregate planning in services is FALSE?

Approaches to aggregate planning differ by the type of service provided

. Some service organizations conduct aggregate planning in exactly the same way as manufacturing firms, but with demand management taking a more active role.

Aggregate planning in some service industries may be easier than in manufacturing.

Labor is the primary aggregate planning vehicle.

Level scheduling is far more common than using a chase strategy.

Answer 1

Answer - Level scheduling is far more common than using a chase strategy.

In a level strategy, production is done irrespective of demand, and in chase strategy, production is done according to the request. For services, the chase strategy is more commonly used.