Aggregate Planning

Aggregate Planning (or Sales & Operations Planning, S&OP) is a collaborative, iterative process that balances demand and supply at a high level—typically grouping products into families and planning over a 3–18 month horizon. Developed formally by Tom Wallace and popularized through APICS, aggregate planning helps organizations align sales forecasts, production capacity, inventory, and workforce to meet demand efficiently while managing costs. It serves as the bridge between strategic business plans and detailed operational execution.