How do you plan in the face of uncertainty? Produce more than expected? If so, by how much? Re-plan when an undesired event occurs? It might take too long and it may be too late!
S&OP is only a visibility tool for long term planning. All the heavy lifting is done by the planners manually trying to make a long-term plan work for actual short-term execution.
Most supply chain professionals and planners think of finished goods when they hear attributes. But attributes are present in every part of the supply chain from suppliers to raw materials, to machinery, products and distribution centers.
Expert systems are composed of a set of rules that the users train the system with. Over time the system learns enough how to mold itself to the environment and grow with the organization as policies change and/or business re-shapes.
S&OP combined with S&OE allows for highly accurate plans and is the path to digitalization and autonomous supply chains.
Planning is probably the second oldest profession in the world! Just about everything we do requires some form of planning. What really matters is the quality and accuracy of the plans.
Wouldn’t it be nice to be able to predict which orders for which customers are likely to be late even before they place the order and what might be the cause of it ?
Inventory generates revenue as long as it is moving! If it does not, then it becomes a cost item. So, the basic issue is how to make it move or as they say “turn”.
It may not be a surprise that you are both! You are constantly planning trying to be predictive and you keep adjusting your plans to execute the predictions that you made.
Yes, it is nice to have visibility into your supply chain. It is also helpful to be…