The Reaction Rate Method

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Abstract

Deals with the "reaction rate method" of production planning. The production control rule suggested by this approach is illustrated by means of an example. Broadly, the control rule determines the extent to which the preliminary production level should be adjusted to accommodate forecast errors. In achieving this, it focuses on two main variables under managerial control??namely, frequency of adjustment in production levels and the reaction rate of adjustment to changes in forecasted sales in the immediate period ahead.

Additional Information

Product Type Technical Note
Reference No. PROD0149TEC
Title The Reaction Rate Method
Pages 8
Published on Jan 1, 1979
Year of Event 1979
Authors Korgaonker, M G;
Area Production Management (PROD)
Discipline Operations Management
Sector Miscellaneous

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