Sales & operations planning keeps organizations in balance
Sales & operations planning is commonly abbreviated to S&OP by industry professionals. Sales & operations planning is focused on achieving savings by reducing your supply chain or logistics costs and/or improving your service level.
Consulting firm Groenewout helps you to implement sales & operations planning effectively. We share with you a set of business processes and business techniques that enable you to improve your responsiveness to fluctuations in manufacturing levels or customer demand. When providing S&OP advice, we tackle issues such as:
- The (re)organization of the supply chain business processes
- Job descriptions relating to S&OP activities
- The set-up and functional design of the supply chain
- The definition of Key Performance Indicators (KPIs)
Just as with all our consulting services, our S&OP advice is supplied together with a pragmatic plan to ensure that the implementation phase runs as smoothly as possible.
Sales & operations planning for Dulcinea Farms
In order to give you a sense of our approach in the area of S&OP, we are pleased to outline a project we completed for Dulcinea Farms, a fresh produce company (melons and tomatoes) that was founded in 2003. Dulcinea Farms is a subsidiary of Syngenta, a world-leading agribusiness company. Within its fully integrated supply chain, Dulcinea was seeking to improve the balance between the quality and volume of its crop production and customer demand, and approached us for advice. We started by conducting analysis to arrive at a pragmatic and complete evaluation of the existing bottlenecks and opportunities.
Our analysis produced two different objectives, as follows:
- Supplying pragmatic recommendations relating to the sales order management process: an execution plan including relevant improvements, investment levels, operational savings, implementation plan and timing.
- The findings from the analysis should be regarded as a trigger for realizing overall improvements.
Once the goals had been established, we designed a new supply chain set-up including an organizational structure and an overview in line with the S&OP concepts, an overview of the new business processes and a KPI dashboard. For Dulcinea, the advantages of effective sales & operations planning were as follows:
- ‘Plug & play’ organization, procedures and policy to support the supply chain
- Greater delivery reliability
- Less overproduction, and hence waste, of crops
If you have any questions or would like to receive more information about sales & operations planning (S&OP), please feel free to contact our expert: