 |
 |
 |
|||
 |
|
||||
 |
 |
 |
|
||
 |
|
||||
 |
|
||||
 |
|
||||
|
Vol 32 - No 04 - June 2006 Branch news : London & Southern - Sales & Operations Planning: Coping with Seasonality Sales and Operations Planning is key to the success of any manufacturing organisation, so the opportunity to hear Joe Booth presenting on this subject could not be missed. In the late 1980’s, I was part of a company that benefited from Joe’s experience and he helped us to successfully implement JIT principles. The evening presentation started with a definition of S&OP. Joe defined it as the tool to enable successful executive decision making within an organisation. He explained the five-step process that makes up S&OP, pulling together Marketing (new activities), Sales (demand) and Operations (supply) activities. The importance of S&OP was explained as the link between Business Planning and MRP. Joe stressed the importance of the information obtained from data collected, and not just the numbers. The changing demands on organisations in the 21st century were explained by Joe, which highlighted the need for S&OP in our organisations. Examples of companies that did not react to changing markets were given, and this demonstrated that efficient businesses do not necessarily succeed if they do not have S&OP in place.The seasonality effect on S&OP was explained in detail, with the need to understand that an organisation may have to behave differently when the market needs change. Joe stated that whilst you may be efficient in your activities, this may not always meet the market need, and a more responsive approach may be required as the needs change. The key message gained from this presentation was that the seasonality affect could be managed by understanding your market, and being efficient or responsive when the demand dictates. The need for accurate forecasting is clear, but not always seen as important by sales people. Joe explained that this is critical and it must form part of S&OP in any manufacturing organisation. In summary, this was an excellent presentation, albeit too short as Joe’s presentations are captivating and he leaves you wanting to learn more. It gave both Mel and myself plenty to think about with regard to our S&OP at Cash Bases. Philip Gibbs & Mel Wood Related Topics:
|
