If ‘flexibility’ in your supply chain actually means continuous improvisation, there is a world to be won. Capgemini Consulting has perfected the art of Sales & Operations Planning, a holistic management process that brings insight to complex service chains.
Sales and Operations Planning (S&OP) shows an organization what the effect will be of sales targets, at the front end of the service supply chain, on operational capacities and parameters, at the back end. This simple principle, conscientiously followed through, brings unprecedented balance and predictability to the chain. With S&OP, the sales team becomes aware that the number of accounts they sell may never exceed the number of accounts that Operations can service. Vice versa, Operations can rest assured that they will never be confronted with an insurmountable demand, brought on by overambitious sales representatives. The core of S&OP consists of a meeting cycle with senior management representatives from each link in the service chain. These are authorized to make final decisions concerning sales targets and capacity planning. Together with KPN, one of Capgemini’s major clients, S&OP has now for the first time been implemented in a service supply chain. KPN receives attention from business schools and fellow service providers all over the world: they’re anxious to see how it was done, and are interested to see the results.