How to Improve and Accelerate your S&OP process

April 20th 2010

Logichem Düsseldorf

Elke Servaes
Senior Consultant

OM Partners © Proprietary and Confidential - p. 1 -

Contents

The OM Partners Group: 5 min

- Who we are
- What we do

How to improve & accelerate your S&OP process with OMP Plus 35 min
- S&OP?
- S&OP according to OM Partners

OM Partners © Proprietary and Confidential - p. 2 -

Contents

The OM Partners Group:

- Who we are
- What we do

How to improve & accelerate your S&OP process with OMP Plus
- S&OP?
- S&OP according to OM Partners

OM Partners © Proprietary and Confidential - p. 3 -

The OM Partners Group: Activity

OM Partners = Provider of Demand and Supply Chain Planning Solutions

Solutions

SUPPLY
SUPPLY MANUFACTURING
MANUFACTURING DISTRIBUTION
DISTRIBUTION DEMAND
DEMAND

OM Partners © Proprietary and Confidential - p. 4 -

The OM Partners Group: History

Founded in 1985
- Strong roots in Mathematical Optimization
- Subsequent evolution towards Supply Chain Solutions

Key figures
- Personnel : 130 employees
- Turnover : 15.5 mio €
- Clients : over 200 clients and 400 implementations

OM Partners © Proprietary and Confidential - p. 5 -

The OM Partners Group: International Structure

Headquarters OM Partners (Antwerpen)

Subsidiaries
- OM Partners France - OM Partners Deutschland
- OM Partners Nederland - OM Partners USA
- OM Partners UK - OM Partners Asia

OM Partners © Proprietary and Confidential - p. 6 -

The OM Partners Group: Business Partners

Integration and consulting partners

- Accenture
- Capgemini
- Tieto
- Vest Company
- Wipro Technologies
- …
Solution partners
- Radar Automation
- Ortec
Software integration with
- Oracle
- SAP
- AICOMP
- Solarsoft Packaging Systems
- Business Objects (Crystal Reports)
- MapInfo
OM Partners © Proprietary and Confidential - p. 7 -
The OM Partners Group: Focus Industries

Mill Products
Corrugated and solid board, paper Metals, plastics, flooring, …

Semi Process
Chemicals, pharmaceuticals, starch, … Consumer goods, food and beverage, dairy…
dairy…

OM Partners © Proprietary and Confidential - p. 8 -

The OM Partners Group: Some of our customers…
customers…

OM Partners © Proprietary and Confidential - p. 9 -

Our added value to your supply chain…
chain…

VISIBILITY

AGILITY

PROFITABILITY

OM Partners © Proprietary and Confidential - p. 10 -

Overview Planning processes in OMP Plus
Strategic

Supply
Supply Chain
Chain Network
Network Design
Design

Inventory
Inventory Optimization
Optimization &
& Product
Product Portfolio
Portfolio Optimization
Optimization Forecasting
Forecasting
Tactical

Sales
Sales &
& Operations
Operations Planning
Planning

Supply,
Supply, Manufacturing,
Manufacturing, DRP
DRP &
& Transport
Transport Planning
Planning
Operational

Order
Order Management,
Management,
Allocation
Allocation
Supply,
Supply, Manufacturing,
Manufacturing, Loading
Loading &
& Transport
Transport Scheduling
Scheduling &
& Promising
Promising

Supply Manufacturing Distribution Demand

OM Partners © Proprietary and Confidential - p. 11 -

OMP Plus:by
Supported Taking Integration
only one tool… OMPTo Plus
The Next Level

Design Multi-
Multi-Language
Strategic

Supply Multi-
Supply Chain-User
Multi
Chain Network
Network Design

Inventory Multi-
Multi-Site& Product Modular Forecasting
Inventory Optimization
Optimization & Product Portfolio
Portfolio Optimization
Optimization Forecasting
Tactical

Sales
Sales &
& Operations
Operations Planning
Planning

In memory integration

Supply,
Supply, Manufacturing,
Manufacturing, DRP
DRP &
& Transport
Transport Planning
Planning
Operational

Order
Order Management,
Management,
Common Data Model Allocation
Allocation
Supply,
Supply, Manufacturing,
Manufacturing, Loading
Loading &
& Transport
Transport Scheduling
Scheduling &
& Promising
Promising
Central database

Supply Manufacturing Distribution Demand

OM Partners © Proprietary and Confidential - p. 12 -

The OM Partners Solution: more than just software…
software…

Values Services

- Visibility - Business consultancy

- Agility - Implementation

- Profitability - Support Services

Our Solutions = Software Products + Services + Commitment

Our Commitment =

To make it work
To keep it running

OM Partners © Proprietary and Confidential - p. 13 -

Contents

The OM Partners Group

- Who we are
- What we do

How to improve & accelerate your S&OP process with OMP Plus
- S&OP?
- S&OP according to OM Partners

OM Partners © Proprietary and Confidential - p. 14 -

Sales & Operations Planning…
Planning…..

OM Partners © Proprietary and Confidential - p. 15 -

Why S&OP ? The general idea…
idea…

If supply > demand:

• Rising inventories
• Declining profit margins
• Obsoletes
•…

If demand > supply:

• Suffering customer service

• Cost increases
(overtime, premium freight, …)
• Quality decrease because of rush
•…

Main goal of S&OP : balance supply & demand

OM Partners © Proprietary and Confidential - p. 16 -

… more in detail: S&OP definition (by Thomas Wallace)

Sales and Operations Planning (S&OP) is a business process that helps companies keep demand and
supply in balance.
balance.

It does that by focusing on aggregate volumes (product families and groups) so that mix issues
(individual products and customer orders) can be handled more readily.
readily.

It occurs on a monthly cycle and displays information in both units and dollars,
dollars, thus it integrates
operational and financial planning.

S&OP is crossfunctional,
crossfunctional, involving General Management, Sales, Operations, Finance and Product
Product
Development.

It occurs at multiple levels within the company, up to and including the executive in charge of the
business unit,
unit, e.g. division president, business unit general manager, or CEO of a smaller corporation.

S&OP links the company’

company’s Strategic Plans and Business Plan to its detailed processes – the order
entry, master scheduling, plant scheduling, and purchasing tools it uses to run the business on a week-
week-
to-
to-week, day-
day-to-
to-day, and hour-
hour-to-
to-hour basis.

Used properly, S&OP enables the company’

company’s managers to view the business holistically and gives them
a window into the future.

Source : Thomas F. Wallace, Sales & Operations Planning: The How-To Handbook 2nd edition, 2004
OM Partners © Proprietary and Confidential - p. 17 -
S&OP: General

S&OP is not only / just a planning process that balances Supply and Demand,
but a management process
- Involving people from sales, operations, finance,…
- With a well described process description
- Following a certain workflow
- Requiring quite some change management in peoples thinking

The S&OP process should be the missing link between

- The corporate business strategy
- The operational day to day planning

A big pitfall: Beware of “operationalizing”
operationalizing” the S&OP process

Integration with these strategic and operational planning levels

- Overall consensus: is important

OM Partners © Proprietary and Confidential - p. 18 -

 S&OP: The process description

TRADITIONAL SEQUENTIAL APPROACH

Data collection and preparation:
1. Collect sales and marketing information - sales/marketing events
- product life cycle
2. Develop a demand plan - statistical forecasting
- current performance, …
3. Generate an unconstrained consensus forecast
Demand review:
- unconstrained forecast
4. Shape the demand plan for supply
Supply review:
- constrained plan
5. Make a constrained supply plan
Financial impact calculation
6. Shape demand plan Reconciliation step / Pre-S&OP meeting:
- What-if analysis
7. Review the financial impact - SWOT analysis
Consensus meeting / Senior
8. Communicate the sales plan management review / Executive S&OP
meeting
9. Measure and communicate the plan Communication of decisions

Typically a few weeks

OM Partners © Proprietary and Confidential - p. 19 -
S&OP: The process description

Although two typical approaches can be derived:

- Spreadsheet/simulation approach
. Flexible way to enter information
. Sequential demand, supply and financial review
. Trial-and-error process

- Optimization approach
. Demand, supply and finance should be considered simultaneously
. Precise definition of scope, constraints and objective function is required

consistency in S&OP process
. Strategic decisions can be taken into account (modeled as constraints)

OM Partners © Proprietary and Confidential - p. 20 -

Contents

The OM Partners Group

- Who we are
- What we do

How to improve & accelerate your S&OP process with OMP Plus
- S&OP?
- S&OP according to OM Partners

OM Partners © Proprietary and Confidential - p. 21 -

 OM Partners S&OP Approach: the basic trade-
trade-offs

Capacity Demand
+ overtime, hiring, extra machines, + marketing actions, price reductions, …
subcontracting, … - premium pricing, product/customer
- downtime, firing, … portfolio rationalization
$ variable costs + direct fixed $ sales price
costs

Inventory
+ anticipation stock accumulation
- stock build-offs
$ stock holding costs

Make trade-offs while maximizing value:

expressed as contribution to profit, taking into account
gross margin - direct fixed costs and working capital constraints

OM Partners © Proprietary and Confidential - p. 22 -

OM Partners S&OP Approach (1)

OMP Plus: integrated planning levels

integration between S&OP module and:
- Strategic decisions
- Forecasting / demand module
Visibility
- Operational (Master Planning and Scheduling) modules
Strategic

Supply
Supply Chain
Chain Network
Network Design
Design Agility

Inventory
Inventory Optimization
Optimization &
& Product
Product Portfolio
Portfolio Optimization
Optimization Forecasting
Forecasting
Tactical

Sales
Sales &
& Operations
Operations Planning
Planning

Supply,
Supply, Manufacturing,
Manufacturing, DRP
DRP &
& Transport
Transport Planning
Planning
Operational

Order
Order Management,
Management,
Allocation
Allocation
Supply,
Supply, Manufacturing,
Manufacturing, Loading
Loading &
& Transport
Transport Scheduling
Scheduling &
& Promising
Promising

Supply Manufacturing Distribution Demand

OM Partners © Proprietary and Confidential - p. 23 -

 OM Partners S&OP Approach (2)

The S&OP process: optimization approach

- Simultaneously looking at demand, supply and finance
- Including strategic business rules
- While maximizing value: value based planning
- Shorter planning / process cycles Profitability

TRADITIONAL SEQUENTIAL APPROACH Agility

1. Collect sales and marketing information INTEGRATED OMP PLUS APPROACH

2. Develop a demand plan 1. Collect sales and marketing information

3. Generate an unconstrained consensus forecast

2. Develop a demand plan with sales prices
4. Shape the demand plan for supply
3. Generate a supply and demand plan
5. Make a constrained supply plan optimized for value
Optimized for
6. Shape demand plan highest value
4. Evaluate optimized scenarios
7. Review the financial impact and reach a consensus

8. Communicate the sales plan 5. Communicate the sales plan

9. Measure and communicate the plan 6. Measure and communicate the plan

Typically a few weeks Typically a few days

OM Partners © Proprietary and Confidential - p. 24 -
 OM Partners S&OP approach (3): Process description

S&OP preparation
• Demand
Pre
Pre-S&OP: Plan
• Supply Executive
• Finance value-
alue-based, integrated communication
S&OP meeting
• New product reconciliation & execution
& process
development

OM Partners © Proprietary and Confidential - p. 25 -

 S&OP process description: step 1

S&OP preparation
• Demand
Pre
Pre-S&OP: Plan
• Supply Executive
• Finance value-
alue-based, integrated communication
S&OP meeting
• New product reconciliation & execution
& process
development

OM Partners © Proprietary and Confidential - p. 26 -

 Planning Functionality: Overview

Supply
Supply Chain
Chain Network
Network Design
Design
Strategic

Supply
Supply Chain
Chain Network
Network Design
Design

Inventory
Inventory Optimization
Optimization && Product
Product Portfolio
Portfolio Optimization
Optimization Forecasting
Forecasting
Inventory
Inventory Optimization &
Optimization & Product
Product Portfolio
Portfolio Optimization
Optimization Forecasting
Forecasting
Tactical

Sales
Sales &
& Operations
Operations Planning
Planning
Sales
Sales &
& Operations
Operations Planning
Planning

ERP
ERP
&
&
Supply,
Supply, Manufacturing,
Manufacturing, DRP
DRP &
& Transport
Transport Planning
Planning MES
MES
Supply,
Supply, Manufacturing,
Manufacturing, DRP
DRP &
& Transport
Transport Planning
Planning
Operational

Order Order
Order Management,
Management,
Order Management,
Management,
Allocation
AllocationAllocation
Allocation
Supply,
Supply, Manufacturing,
Manufacturing, Loading
Loading &
& Transport
Transport Scheduling
Scheduling & && Promising
Promising
& Promising
Promising

Supply,
Supply, Manufacturing,
Manufacturing, Loading
Loading &
& Transport
Transport Scheduling
Scheduling
Supply Manufacturing Distribution Demand

OMP
OMP FEEDBACK
FEEDBACK MANAGER
MANAGER
OM Partners © Proprietary and Confidential - p. 27 -
 Step 1a : Integrated Demand preparation

Supply
Supply Chain
Chain Network
Network Design
Design
Visibility

Forecasting:
Forecasting: Sales
history
Inventory
Inventory Optimization
Optimization &
& Product
Product Portfolio
Portfolio Optimization
Optimization Forecasting
Forecasting
Statistical
Statistical fcst
fcst
Unconstrained PLC
PLC mgmt
mgmt
forecast Promotion
Promotion mgmt
mgmt

Sales prices
Sales
Sales &
& Operations
Operations Planning
Planning
ERP
ERP
&
&
MES
MES

Supply,
Supply, Manufacturing,
Manufacturing, DRP
DRP &
& Transport
Transport Planning
Planning Order
Order Management,
Management,
Allocation
Allocation
&
& Promising
Promising

Supply,
Supply, Manufacturing,
Manufacturing, Loading
Loading &
& Transport
Transport Scheduling
Scheduling

OMP
OMP FEEDBACK
FEEDBACK MANAGER
MANAGER
OM Partners © Proprietary and Confidential - p. 28 -
Integrated Forecasting / S&OP View

S&OP Pyramid Forecast graph

of selection

Year Totals
Past Months Generate unconstrained
S&OP forecast

OM Partners © Proprietary and Confidential - p. 29 -

 Step 1b : Integrated (operational) Supply preparation

Supply
Supply Chain
Chain Network
Network Design
Design

Visibility Sales
history
Inventory
Inventory Optimization
Optimization &
& Product
Product Portfolio
Portfolio Optimization
Optimization Forecasting
Forecasting
Unconstrained
forecast
Sales
Sales &
& Operations
Operations Planning
Planning
Sales prices
-Planning
Planning
Planning Model
-Planning Model
(prod.,
(prod., transp.,
transp., purch.
purch. and
and subcontr.
subcontr. capabilities)
capabilities) ERP
ERP
-- Supply costs
Supply costs
&
&
MES
MES
Plan + stock

Supply,
Supply, Manufacturing,
Manufacturing, DRP
DRP &
& Transport
Transport Planning
Planning Order
Order Management,
Management,
Allocation
Allocation
Schedule &
& Promising
Promising

Supply,
Supply, Manufacturing,
Manufacturing, Loading
Loading &
& Transport
Transport Scheduling
Scheduling

OMP
OMP FEEDBACK
FEEDBACK MANAGER
MANAGER
OM Partners © Proprietary and Confidential - p. 30 -
Zoom in on supply planning : integrated with all planning levels

Days Weeks Months

S&OP

MPS/deployment

Scheduling

OM Partners © Proprietary and Confidential - p. 31 -

 Integrated Supply / S&OP View

Scheduled productions are

input for S&OP cycle
Month/Quarter buckets

S&OP Plan line

Campaign Gantt

OM Partners © Proprietary and Confidential - p. 32 -

 Step 1b : Integrated (strategic) Supply preparation

Supply Chain
Supply Chain Network
Network Design
Design

LT capacity & Location decisions Visibility Sales

history
Inventory
Inventory Optimization
Optimization &
& Product
Product Portfolio
Portfolio Optimization
Optimization Forecasting
Forecasting

Safety Stocks Unconstrained

forecast
Sales
Sales &
& Operations
Operations Planning
Planning
Sales prices
-Planning
Planning
Planning Model
-Planning Model
(prod.,
(prod., transp., purch. and subcontr.
transp., purch. and subcontr. capabilities)
capabilities) ERP
ERP
-- Supply
Supply costs
costs // Sales
Sales prices
prices &
&
MES
MES
Plan + stock

Supply,
Supply, Manufacturing,
Manufacturing, DRP
DRP &
& Transport
Transport Planning
Planning Order
Order Management,
Management,
Allocation
Allocation
Schedule &
& Promising
Promising

Supply,
Supply, Manufacturing,
Manufacturing, Loading
Loading &
& Transport
Transport Scheduling
Scheduling

OMP
OMP FEEDBACK
FEEDBACK MANAGER
MANAGER
OM Partners © Proprietary and Confidential - p. 33 -
Integrated Strategic balancing / S&OP View

S&OP for 3 plants

Demand & Supply plan
for Plant A
(1 Year Aggr. Bucket)

Strategic Restricted Capacity

for machine A1 (based on
Theoretically available strategic balancing between
capacity on machine A1 plants)

Compared to used
Used capacity on capacity on machine A1
machine A1 (95%) (104%)

OM Partners © Proprietary and Confidential - p. 34 -

 S&OP process description: step 2

S&OP preparation
• Demand
Pre
Pre-S&OP: Plan
• Supply Executive
• Finance value-
alue-based, integrated communication
S&OP meeting
• New product reconciliation & execution
& process
development

OM Partners © Proprietary and Confidential - p. 35 -

Step 2 : Pre
Pre-S&OP: value-
value-based, integrated
integrated reconciliation

Review past performance:

performance: analyze gaps with previous plan

Make base scenario

- Take unconstrained forecast Agility
- Apply minimal supply constraints

Profitability
Make gap analysis
- Compare base scenario with previous S&OP plan, corporate targets,
targets, …

Make alternative demand and supply scenarios based on typical S&OP trade-
trade-offs
- Derived from base scenario and gap analyses
- Value-
Value-based optimization of each scenario
- Demand shaping
- Prepare KPI view on scenarios

Reconcile demand, supply and finance views

- Evaluate alternative scenarios
- Select key scenarios

Prepare executive review

OM Partners © Proprietary and Confidential - p. 36 -
 Value Based Optimization

Value driver tree S&OP objective function Relationship with

S&OP decisions
Sales
Sales (+)
(+) sales
sales prices
prices
Select the most profitable
demand
Contribution
Contribution
EBIT
EBIT margin
margin (-)
Select most cost efficient
Variable
Variable (-) variable
variable costs,
costs, incl.
incl. supply, production,
costs
costs non-financial
non-financial stock
stock costs
costs transport, stocking

EBIT
EBIT Fixed
Fixed costs directly linked
Fixed (-)
after (-) only
only direct
direct fixed
fixed costs
costs to S&OP decisions
after costs
costs
Non-direct fixed costs
capital
capital should be left out and not
costs
costs converted into variable
costs
Working
Working (-)
(-) financial
financial stock
stock costs
costs
E.g. optimize stock levels,
Total
Total Capital
Capital subject
subject to:
to: working
working capital
capital payment terms in different
constraints markets, …
investment
investment constraints
Capital
Capital Permanent
Permanent
costs
costs Investments
Investments
Percentage
Percentage
capital
capital costs
costs

OM Partners © Proprietary and Confidential - p. 37 -

 Value based optimization

Profitability
Supply
Supply Chain
Chain Network
Network Design
Design

LT capacity & Location decisions Sales

history
Inventory
Inventory Optimization
Optimization &
& Product
Product Portfolio
Portfolio Optimization
Optimization Forecasting
Forecasting
Safety Stocks Unconstrained
forecast
Sales prices

Sales
Sales &
& Operations
Operations Planning
Planning
ERP
ERP
&
&
MES
MES
Plan + stock
Order
Order Management,
Management,
Supply,
Supply, Manufacturing,
Manufacturing, DRP
DRP &
& Transport
Transport Planning
Planning Allocation
Allocation
&
& Promising
Promising
Schedule

Supply,
Supply, Manufacturing,
Manufacturing, Loading
Loading &
& Transport
Transport Scheduling
Scheduling

OMP
OMP FEEDBACK
FEEDBACK MANAGER
MANAGER
OM Partners © Proprietary and Confidential - p. 38 -
Solver Strategies: Scenario Management

Limited Capacity vs. Capacity with extra shift

Base scenario

Shift Base

With extra shift

OM Partners © Proprietary and Confidential - p. 39 -

 S&OP process description: step 3

S&OP preparation
• Demand
Pre
Pre-S&OP: Plan
• Supply Executive
• Finance value-
alue-based, integrated communication
S&OP meeting
• New product reconciliation & execution
& process
development

OM Partners © Proprietary and Confidential - p. 40 -

Step 3 : Executive S&OP meeting

Review past performance

Decision making on key scenarios

Agility
- Validation based on KPIs, assumptions and SWOT analysis
- Tie-
Tie-breaking when pre-
pre-S&OP was unable to reach consensus
- Check alignment with business plan / budget & corporate strategy Visibility

Define action plan

- Actions on gaps between plan and performance
- Actions on consensus plan
- What-
What-if scenarios for evaluation in next S&OP cycles

Who
- Senior managers from supply, sales and finance
- Key-
Key-users from supply, sales and finance

OM Partners © Proprietary and Confidential - p. 41 -

KPI report: Scenario Management

Different Scenarios

Different KPI’
KPI’s

Scenario
Comparison chart

OM Partners © Proprietary and Confidential - p. 42 -

KPI report: Capacity report

Different KPI’
KPI’s

OM Partners © Proprietary and Confidential - p. 43 -

KPI report: Service Levels and Inventory report

KPI Alerts

OM Partners © Proprietary and Confidential - p. 44 -

OMP Reporter: Crystal Reports and Scenario Management

OM Partners © Proprietary and Confidential - p. 45 -

OMP Reporter : OLAP cubes

OLAP Cubes
- An OLAP (OnLine Analytical Processing) Cube is a data structure that allows fast and
flexible analysis of data
- Based on a set of predefined “measures”
measures” categorized by dimensions
- The tool allows to view or “pivot”
pivot” the data in numerous ways

OM Partners © Proprietary and Confidential - p. 46 -

 S&OP process description: step 4

S&OP preparation
• Demand
Pre
Pre-S&OP: Plan
• Supply Executive
• Finance value-
alue-based, integrated communication
S&OP meeting
• New product reconciliation & execution
& process
development

OM Partners © Proprietary and Confidential - p. 47 -

 Step 4: Integrated communication

Supply
Supply Chain
Chain Network
Network Design
Design Visibility
LT capacity & Location decisions Sales
history
Inventory
Inventory Optimization
Optimization &
& Product
Product Portfolio
Portfolio Optimization
Optimization Forecasting
Forecasting
Safety Stocks Unconstrained
forecast
Sales
Sales &
& Operations
Operations Planning
Planning Sales prices
Constrained
Operations plan forecast SKU constrained
Plan forecast ERP
ERP
• Sourcing
+ • Stock targets
&
&
stock MES
MES
• Capacity decisions

Supply,
Supply, Manufacturing,
Manufacturing, DRP
DRP &
& Transport
Transport Planning
Planning Order
Order Management,
Management,
Allocation
Allocation
Schedule &
& Promising
Promising

Supply,
Supply, Manufacturing,
Manufacturing, Loading
Loading &
& Transport
Transport Scheduling
Scheduling

OMP
OMP FEEDBACK
FEEDBACK MANAGER
MANAGER
OM Partners © Proprietary and Confidential - p. 48 -
Zoom in on supply planning : integrated with all planning levels

Days Weeks Months

S&OP

MPS/deployment

Scheduling

OM Partners © Proprietary and Confidential - p. 49 -

Integrated S&OP/Supply (MPS) view

S&OP view with

monthly aggregated
buckets and
product family level

MPS view with

weekly buckets and
product level

OM Partners © Proprietary and Confidential - p. 50 -

 S&OP process description

S&OP preparation
• Demand
Pre
Pre-S&OP: Plan
• Supply Executive
• Finance value-
alue-based, integrated communication
S&OP meeting
• New product reconciliation & execution
& process
development

OM Partners © Proprietary and Confidential - p. 51 -

 S&OP with OMP Plus in a mixed vendor landscape (eg. SAP)

Forecast and demand plan

APO S&OP in OMP Plus
DP
• S&OP integrated with forecasting, planning
SAP R/3 and scheduling
• Consolidated, Intuitive Forecasting, Planning
and Scheduling views
SNP • Views including Historical Plan/Realization data
Historical sales, distribution
and production data
• Scenario Management
• Powerful End to End Optimization Engines
Supply plan on finished good level

PP/DS
Short term supply schedule Supporting an integrated and
collaborative S&OP Process

• Fragmented processes

OM Partners © Proprietary and Confidential - p. 52 -

OMP Plus as an S&OP Solution: more than just software

Strategic
Supply
Supply Chain
Chain Network
Network Design
Design

Inventory
Inventory Optimization
Optimization && Product
Product Portfolio
Portfolio Optimization
Optimization Forecasting
Forecasting
Tactical
Sales
Sales && Operations
Operations Planning
Planning

Supply,
Supply, Manufacturing,
Manufacturing, DRP
DRP && Transport
Transport Planning
Planning
Operational

Order
Order Management,
Management,
Supply,
Supply, Manufacturing,
Manufacturing, Loading
Loading && Transport
Transport Scheduling
Scheduling Allocation
Allocation
&& Promising
Promising

Supply Manufacturing Distribution Demand

Visibility Agility Profitability

S&OP preparation
• Demand
• Supply Pre
Pre-S&OP: Plan
Executive
• Finance value-
alue-based, integrated communication
S&OP meeting
• New product reconciliation & execution
& process
development

OM Partners © Proprietary and Confidential - p. 53 -

Thank you

eservaes@ompartners.com
www.ompartners.com

OM Partners © Proprietary and Confidential

- p. 54 -