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Home » A Perspective from Asia on Real-World Constraints to Sales and Operations Planning

A Perspective from Asia on Real-World Constraints to Sales and Operations Planning

February 17, 2011
Kien Leong, Managing Partner, JCIT Asia Pacific

On the supply side, sale and operations planning (S&OP) most commonly fails when an unconstrained plan meets real-world constraints. But there are ways to moderate the operations plan in order to come up with a more predictable supply capability.

Supply constraints can be divided into two broad groups: material and process.  The operations planning objective is to position product and capacity in the right place, in the right quantity and at the right time.

However, depending on the way the organization measures constraints in the operations plan, there are several problems that can occur.

If you want S&OP to blend well with process constraints, the answer is a finite capacity model.

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Logistics Outsourcing Technology Forecasting & Demand Planning Sales & Operations Planning Business Strategy Alignment Global Supply Chain Management Quality & Metrics Asia Pacific
KEYWORDS Asia Pacific Business Strategy Alignment Forecasting & Demand Planning Global Supply Chain Management Logistics Outsourcing Quality & Metrics Sales & Operations Planning Supply Chain Analysis & Consulting Technology
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Kien Leong, Managing Partner, JCIT Asia Pacific

A Perspective from Asia on Real-World Constraints to Sales and Operations Planning

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