The S&OP is one of the key processes for execution of the business strategy. It directly impacts business management and decision-making for balancing supply and demand, and in the alignment of commercial, operative, and financial plans with the business plan.
It is imperative for a company to have common information from all the areas and take it to a level of adequate detail to support decision-making for business needs. The Sales & Operation Planning (S&OP) cycle is not only important because of the planning tactic that it generates, but is important due to the simple process execution, which has important benefits. The most significant is the organizational alignment by the flow of standard and open communication between relevant participants for the achievement of the company’s business objectives.
An AMR Research investigation of S&OP concluded that, “Companies without strong S&OP practices take from four to six months longer to understand changes in demand, adjust portfolios, and respond with adequate inventory strategies.” These days, when reaction times are critical, this time interval can make the difference between successful companies and those that fail in areas of growth and profitability.
At Sintec we offer to implement a holistic strategy based on best process and IT practices:
1. Demand Structure and Forecast
2. Colaboration Processes (Commercial and Operations department)
3. Supply Chain Planning
4. Financial Validation
5. Production and Distribution program
6. Inventory Replenishment
7. Indicators (KPI) system
8. Organizational competencies and structure
9. Information Technology
Recommended publication:
S&OP: The key process for Strategy execution