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Long-term production planning has a time frame of three to five years. What does it focus on?
AThe layout of the factory and the labor issues arising
BThe specific weekly materials management strategies
CThe order in which today's machines will be loaded
DWhich goods to produce, how many, and where to produce them
Answer & Solution
Correct answer: D. Which goods to produce, how many, and where to produce them
1. Long-term planning looks three to five years ahead.
2. Over that horizon it settles which goods to produce, how many to produce, and where they should be produced.
3. Facility layout and labor issues belong to medium-term planning, which covers about two years.
4. Weekly materials strategies belong to short-term planning inside a one-year frame.
_Source: OpenStax Introduction to Business (CC BY 4.0), Ch 10 "Achieving World-Class Operations Management", section Gearing Up: Production Planning_
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