Organizations that successfully transform are those that invest in and heavily rely on sales-operations teams to drive change and fuel continuous sales-productivity improvement over time, after all, sales operations is typically the group within the sales organization that has the knowledge about where the pockets of growth are, and what technology, people, and processes are needed to drive both growth and productivity.
The S&OP process includes an updated forecast that leads to a sales plan, production plan, inventory plan, customer lead time plan, new product development plan, strategic initiative plan and resulting financial plan, you should be responsible for functions including IT, sales and Operations Planning, manufacturing, logistics, worldwide Procurement, supplier Quality, order Management, and collections, first to consider is the impact a sales forecast will have on your organizations financial planning.
Research abounds on the benefits of developing a productive sales and operations planning (S&OP) process, develop and execute all inclusive marketing plan for your customer life-cycle and communications to drive increases in engagement and repeat sales while growing the lifetime value of customers, for example trends in e-commerce will see ai-powered applications provide a more personalized and better shopping experience to end users with chatbots and customer support.
Smart organizations prepare and create a defined, repeatable process executives have confidence in to develop and execute the best plan possible to drive the business toward the goals, one can improve customer service levels – defined as the percentage of complete and on-time deliveries – by expanding inventories, also, frequently sales planning can be improved in terms of process and underlying data quality and governance, followed by inventory or human resource planning projects, an overarching integrated annual operations plan may actually deliver on the promise.
Integration and synchronization of the logistics, IT, operations, and sourcing functions is needed, whereas the function of business development strategies is working through the channels or partners to make sales happen to organizations.
Demand and capacity forecasting processes are often poorly defined or undisciplined, and often rely on informal communication channels that fail to take advantage of useful analytical tools. As well, your plan also needs to be built into your sales operations so that you have all the checks and balances and reporting mechanisms on hand to help you to execute your plan efficiently and effectively.
You have to introduce, test, evaluate, iterate and optimize marketing initiatives into go to market programs. Among the most common mistakes that supply organizations make is looking at just a small subset of inventory, often finished goods stored in their main warehouses, resulting in missed savings.
Enterprise resource planning (ERP) is business process management software that allows your organization to use a system of integrated applications to manage the business and automate many back office functions related to technology, services and human resources, digitally transforming your business so that you can integrate business partners across your supply chain or to other systems, on premise or in the cloud, and leverage the power of Artificial Intelligence and Machine Learning to get rich insights, unidentified trends and anomalies in your business brought to the forefront. Howeve, inventory can also include maintenance, repair and operating supplies needed to support the business operation.
Want to check how your Sales and Operations Planning Processes are performing? You don’t know what you don’t know. Find out with our Sales and Operations Planning Self Assessment Toolkit: