Sales & Operations Planning

The right software to enable your S&OP process

S&OP (Sales & Operations Planning)

The purpose of S&OP is to discuss important questions today to prevent them from causing urgent issues 12 months from now. The business impact of this is profound. As Lora Cecere (Supply Chain Insights) explains, an effective S&OP process can result in a more controlled, aligned, agile, proactive and strategic supply chain. A successful S&OP process incorporates demand planning and forecasting, supply planning, and new product introductions, enabling management to make integrated decisions that are beneficial for the business. But every company has different business drivers and different requirements for S&OP. This makes S&OP implementation a difficult process, especially when it comes to finding the right tools. Many of our clients have developed Apps in AIMMS to support their S&OP process. We did some research to find out why they preferred to use AIMMS over best of breed packages. As a result, we found 5 dysfunctions of existing systems: 

  1. Flexibility: truly capturing the complete (!) essence of the company’s business planning process 

  1. Agility: allowing companies to capture their complete process in a fast and responsive way 

  1. Capability: being able to deal with the complexity of all multiple and interdependent trade-offs 

  1. Analytics: empowering users with transparent prescriptive analytics (optimization) capabilities to generate scenarios and solutions automatically 

  1. Connectivity: supporting both horizontal (end-to-end) and vertical (multiple time horizons) planning scopes. 

A modeling and analytics environment like AIMMS allows companies to overcome these limitations. Client projects are typically finished within two to four months, demonstrating agility from day one.

Read a white paper to learn more about taking S&OP and IBP to the Next Level.