Analyst Insight: Not sensing the upturn in the economy is almost as bad as being hit with the downturn. Value chains have slashed inventories in their effort to remain cash-positive. Some are already scrambling as their sales pick up but their inventory coffers are empty. It's not surprising that sales and operations planning initiatives have grown in importance.
Analyst Insight: S&OP can provide a powerful way to drive better functional coordination and synchronization, particularly in the current uncertain business climate. Yet, it is a process that has had a hard time withstanding the test of time and is subject to repeated re-designs and re-imagining.
Analyst Insight: With online retail sales projected to reach 17 percent of total company sales in 2010 and double-digit growth expected each year through 2012, retailers must take measures to offer next-generation retail. That would create a model that focuses on consumers and their experiences up to and through the purchase, or moment of truth. While most retailers have invested in some form of online capabilities, few (7 percent) have built the appropriate supply chain infrastructure to support a true, seamless, cross-channel experience for the customer.
Analyst Insight: Ideally, the output of the S&OP plan should drive companies' income statement and balance sheets. Companies should create internal projects and SWAT teams wherein the S&OP plan is mapped to the key financial documents with collaboration between finance and supply chain.
The latest news, analysis, trends and solutions regarding forecasting and demand planning and its impact on supply chain management. New technologies in predictive analytics and forecasting and demand planning are transforming the way companies are operating and performing ahead of competition in their industries. As these solutions continue to evolve, businesses are discovering new ways to increase efficiency and cut costs. Learn how companies around the world are using forecasting and demand planning solutions for supply chain optimization.
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