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Sales and operations planning. So important, yet success is so elusive. While many companies approach S&OP as a technology implementation, success requires a focus on 60 percent culture, 30 percent process and 10 percent technology. Companies cannot get to success without technology, but it cannot be the primary focus. A successful implementation can improve agility by 25 percent to 35 percent. -Lora Cecere, Founder, Supply Chain Insights
Agility—the ability to do more with less—improves with a successful sales and operations planning (S&OP) program. In our research, we define agility as the ability to have the same cost, quality and levels of customer service with changes in demand and supply volatility. In the face of rising volatility, this is desirable. The fix is S&OP, but achieving success for leadership teams often is elusive because of the need to build the right cultural elements. Here we share insights on some for focus:
The Outlook
With the increase in volatility, companies want to be more agile. The answer lies in S&OP, but success can only happen when companies build the right cultural elements to improve alignment and success in planning.
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