Aggregate planning involves having several production strategies which often are determined through trial and error. Staffing is one such area that can prove particularly difficult, especially with service firms where the cost of labor must be controlled.
Staffing issues deal with changes to the size of the work force through hiring or layoffs, the use of part time employees, giving some employees overtime work while idling others, and outsourcing or subcontracting work loads. Each issue has its advantages and disadvantages.
Examine your own place of work or industry. Use your own personal observation and experience or use your knowledge gained through speaking with a manager or someone in the company who deals with production and staffing. If you do not work, you can use the workplace/industry of a friend or relative.
Please discuss the following information in your initial post:
- What are the staffing issues that arise throughout the year? What production needs must be met? How are high-demand/low-demand times managed? How are unexpected demands dealt with if any exist?
- What is the firm's position on the staffing issues identified above? For example, does the firm use part time, overtime, idling workers, and/or subcontracting?
- How does the firm control the cost of labor?
- Imagine you are the operations manager for this firm, after reviewing these practices, what recommendations would you suggest to improve the efficiency of the operation?