HACKETT: Fixing An Overly Complicated Sales & Operations Planning Process

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Author: Bob Allen, Hanna Hamburger and Tyler Roth, The Hackett Group

Sales and operations planning (S&OP) has become a cumbersome and complex business management process for many companies.

This is due to a lack of executive and leadership buy-in or a failure to align and synchronize the relevant business functions, such as sales, marketing, finance, engineering and manufacturing.

Leading companies that have integrated strategic and financial planning with traditional S&OP into integrated business planning (IBP) models are also frustrated by process complexities.

Numerous signs indicate when an organization’s S&OP or IBP processes have become overly complex, including: failure of the process to deliver timely and actionable insights to management; key leaders losing interest in the process; emergence of “shadow” planning processes and tools; and the need for a lot of “muscle” to complete the process each month.

This article looks at what causes process complexity and offers examples of innovative solutions that industry leaders are implementing to reestablish S&OP as an effective, exception-based and value-added planning capability that is successfully integrated with financial planning (i.e., IBP). These strategic solutions generally span four key dimensions: simplification, analytics, automation and data quality.

If you’re interested in looking at the full research please register and download at this link: http://go.poweredbyhackett.com/fsop1806sm

 

About Author

Procurement and Supply Australasia (PASA) is the leading provider of information and education to procurement and supply professionals throughout Australia and New Zealand. PASA supports the largest community of engaged procurement stakeholders in the region, through its renowned series of events, publications, awards, plus various community and network building activities. PASA is a trading name of BTTB Marketing, for many years recognised as the leading producer of conferences and events for the procurement profession in Australia and New Zealand. Whether producing under the BTTB, CIPSA Conferences or now PASA brands over the last ten years, our events have consistently led the market in terms of both educational and networking opportunities.

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