Goodbye Traditional Sales & Operations Planning (S&OP)

I recently asked an open question to the 12 people on our monthly S&OP Demand Planning call, “So, does anyone have any inputs on events, promotions, new or lost business… anything my team should incorporate into the forecast?…” Silence. Again. I had talked for the last 50 minutes, reviewing monthly reports on forecasted sales volume, actual sales in prior month… Read more>>

Integrating your Sales and Marketing Teams with S&OP

I recently attended the IBF APICS Best of the Best S&OP Conference that took place in Chicago back in June. When people talked about why they implemented S&OP, they listed the following as their top reasons, not in any specific order: 1) Achieve supply/demand alignment 2) Increase customer service levels 3) Lower inventories 4) Reduced lead times 5) One game plan/organizational… Read more>>

Managing Demand Planning & Forecasting for Highly Unpredictable Products

In the field of supply chain management one is bound to deal with complex problems in various shapes and forms. The key differentiator between an average practitioner and an excellent one is the ability to generate solutions that not only deliver results in the short-term, but long into the future as well. This is the challenge that I faced when I had to manage the demand planning… Read more>>

How Fujitsu Achieved a 30% Reduction in Inventory from Segmenting Demand Planning by Value and Forecast-ability

In 2000 Fujitsu Network Communications (FNC) re-engineered their forecasting process and spent the next five to six years focused on removing non-value added activities and improving forecast accuracy. During this period the company launched several new products and discontinued others, added new partner products, channel partners, and industry verticals. In this rapidly changing environment… Read more>>

Managing Complex Demand Signals and Forecasting in a Highly Promoted Environment at Kellogg’s

Back in February at an IBF conference, I heard Rick Davis, Vice President of Business Planning at Kellogg's talk about their journey over the past 13 years. He reflected on a time when promotional planning was relatively easy, “make it and sell it,” a supply driven environment. Well, it's not like that any more! As Kellogg’s grew, so did the complexity of the supply chain. As new products… Read more>>

Is your S&OP Vulnerable to “Kryptonite”

S&OP is an incredibly powerful, and effective business planning & execution process. It has seen a resurgence in interest over the past 12 months as so many businesses emerge from what history may eventually coin as the ‘Great Recession’. So why the talk about “kryptonite” (Superman’s weakness if you don’t remember) to S&OP? We’ll get to that. In today’s business… Read more>>