Presentation: Purposeful Collaboration for SOP . Supplier . ... Purposeful Collaboration for SOP ... purposeful collaboration, sop, sales and operations planning, sop process

  • View
    220

  • Download
    8

Embed Size (px)

Transcript

  • Copyright 2014 Kinaxis All Rights Reserved. Copyright 2014 Kinaxis All Rights Reserved.

    Purposeful Collaboration: What It Could Mean For Your S&OP Process

    Alan Lepofsky VP and Principal Analyst Constellation Research

    Trevor Miles VP, Thought Leadership Kinaxis

  • 2010 - 2014 Constellation Research, Inc. All rights reserved.

    How Collaboration Can Improve Sales and Operations Planning

    Alan Lepofsky VP and Principal Analyst @alanlepo

    Enable effective decision-making, resolution and consensus building

    Oct 2014

  • 2010 - 2014 Constellation Research, Inc. All rights reserved.

    Communications Is Not A New Idea

    2

  • 2010 - 2014 Constellation Research, Inc. All rights reserved.

    Collaboration Is Working Together

    3

  • 2010 - 2014 Constellation Research, Inc. All rights reserved.

    The Evolution of Collaboration Software

    Email & Chat

    Blogs & Wikis

    4

  • 2010 - 2014 Constellation Research, Inc. All rights reserved.

    Sharing Is The New Normal

    5

  • 2010 - 2014 Constellation Research, Inc. All rights reserved. 6

    So Whos Sharing?

    Millennials Vs.

    Boomers

  • 2010 - 2014 Constellation Research, Inc. All rights reserved.

    Defining Digital Proficiency

    Knowledge

    Education Experience

    Accessibility

    Comfort

    Beliefs Desires

    Trust

    Determines needs and behaviours

    Proficiency

    7

  • 2010 - 2014 Constellation Research, Inc. All rights reserved.

    Not good at it

    Want to do it

    Good at it

    Dont want to do it

    Good at it

    Want to do it

    Not good at it

    Dont want to do it

    Knowledge

    Com

    fort

    8

    Defining Digital Proficiency

  • 2010 - 2014 Constellation Research, Inc. All rights reserved.

    Knowledge

    Com

    fort

    9

    Defining Digital Proficiency

    Holdouts

    Immigrants Natives

    Voyeurs

    Disengaged

  • 2010 - 2014 Constellation Research, Inc. All rights reserved.

    The Evolution of Collaboration Software

    Email & Chat

    Blogs & Wikis

    Enterprise Social

    Networks

    10

  • 2010 - 2014 Constellation Research, Inc. All rights reserved.

    Its Not About What You Had For Lunch

    11

  • 2010 - 2014 Constellation Research, Inc. All rights reserved. 12

    Its not about being social

    Connect people

    Make information available

    Improve business processes

  • 2010 - 2014 Constellation Research, Inc. All rights reserved.

    ERP CRM

    13

    Getting Work Done In The Stream

  • 2010 - 2014 Constellation Research, Inc. All rights reserved.

    The Evolution of Collaboration Software

    Email & Chat

    Blogs & Wikis

    Enterprise Social

    Networks

    Socially Enhanced Enterprise Software

    14

  • 2010 - 2014 Constellation Research, Inc. All rights reserved.

    Social HR/HCM

    Learning/Development

    Customer Support

    Sales / CRM Marketing

    Supply Chain

    Engineering

    Sharing In The Content Getting Work Done

    15

    Finance

  • 2010 - 2014 Constellation Research, Inc. All rights reserved. 16

    Make Social A Feature of Your Processes

    Support Ticket

    Customer Record

    Marketing Campaign

    Social Network

  • 2010 - 2014 Constellation Research, Inc. All rights reserved.

    Network Effects

    17

  • 2010 - 2014 Constellation Research, Inc. All rights reserved.

    Team Collaboration

    Sales Marketing Support Engineering Finance Etc.

    18

  • 2010 - 2014 Constellation Research, Inc. All rights reserved.

    Cross Functional Collaboration

    Sales Marketing 19

  • 2010 - 2014 Constellation Research, Inc. All rights reserved.

    All Company Collaboration

    20

  • 2010 - 2014 Constellation Research, Inc. All rights reserved.

    External Collaboration Customers Partners

    21

  • 2010 - 2014 Constellation Research, Inc. All rights reserved.

    Here is where it gets really exciting

    22

  • 2010 - 2014 Constellation Research, Inc. All rights reserved.

    Supply Chain

    Shipping

    Manufacturing

    Distribution Supplier

    Customer

    Supplier

    Supplier

    Invoicing

    Retailer

    23

  • 2010 - 2014 Constellation Research, Inc. All rights reserved.

    Recap

    Understand the differences between Communication and Collaboration as well as the strengths and weaknesses of each

    Collaboration needs to be woven into business processes

    Networks effects = the more the merrier

    24

  • 2010 - 2014 Constellation Research, Inc. All rights reserved. 2010 - 2014 Constellation Research, Inc. All rights reserved. www.constellationr.com

    TM

    Alan Lepofsky @alanlepo

  • Copyright 2014 Kinaxis All Rights Reserved. Copyright 2014 Kinaxis All Rights Reserved.

    Why Purposeful Collaboration is so important for Effective S&OP

    Trevor Miles | VP, Thought Leadership @MilesAhead | +1.647.248.6269 | tmiles@kinaxis.com

  • 3

    Copyright 2014 Kinaxis All Rights Reserved.

    Class A

    People

    Technology Process

    Requires focus,

    alignment, and engagement

    throughout the company

    Adapted from Oliver Wight, Ventana Research and AMR Research

    Key Tech Capabilities What-if analysis Integrate supporting

    applications Workflow management Action item assignment Automate financial

    reconciliation Reporting & Visibility

    Include executives, finance, manufacturing, demand planning, supply marketing, product engineering & design and IT Use cross functional teams for developing & reporting

    Align operations with strategic corporate objectives Regular demand and

    supply reviews Compare forecast vs

    actuals Include multiple lines

    of business / brands / factories

    Have all departments use S&OP output as the plan of record Engage the CEO or

    CFO as the sponsor

    Sales & Operations Planning It cannot be performed without collaboration

  • 4

    Copyright 2014 Kinaxis All Rights Reserved.

    Traditional S&OP Description Gets in the way of collaboration

    Step 1 Data

    Gathering

    Step 2 Demand Planning

    Step 3 Supply

    Planning

    Step 4 Pre-S&OP Meeting

    Step 5 Exec-S&OP

    Meeting

    Actuals Demand, Supply,

    Inventory, & Backlog + Statistical Forecasts

    and Worksheets

    Management Forecast 1st-pass spreadsheets

    Resource Requirements Plan Capacity Constraints

    2nd-pass spreadsheets

    Decisions. Recommendations,

    Scenarios, & Agenda for Exec Meeting

    Decisions & Updated

    Game Plan

  • 5

    Copyright 2014 Kinaxis All Rights Reserved.

    Traditional S&OP Description Results in slow, disconnected processes

    Step 1 Data

    Gathering

    Step 2 Demand Planning

    Step 3 Supply

    Planning

    Step 4 Pre-S&OP Meeting

    Step 5 Exec-S&OP

    Meeting

    Actuals Demand, Supply,

    Inventory, & Backlog + Statistical Forecasts

    and Worksheets

    Management Forecast 1st-pass spreadsheets

    Resource Requirements Plan Capacity Constraints

    2nd-pass spreadsheets

    Decisions. Recommendations,

    Scenarios, & Agenda for Exec Meeting

    Decisions & Updated

    Game Plan

    How long does that

    take?

    CEO: I want to increase demand In Asia by 5% to compensate for revenue drop in Europe

    Demand Manager/Planner: Given the last 12 months history and our existing Marketing plans which countries make most sense? Is this spread across all product families? What about NPI?

    Supply Manager/Planner: Does the usual factory have capacity? If not, where else can we get supply? What will be the additional mfg & delivery cost? Which materials do we need to increase? Can the suppliers meet our new demand? If not, do we have alternative suppliers?

    Inventory Manager/Planner: How much RM, WIP, and FG do we need to carry? Where are we going to place it? Do we have the warehouse capacity? What does this mean in terms of min order qtys? How close does FG need to be to customers?

    S&OP Team: Do we have the right demand/supply balance? Will this meet the new revenue targets? Do we need additional Marketing campaigns? What-if the NPI does not take off as we assume?

    Executive S&OP Team: Can we live with the projected revenue shortfall? Have all the risks been considered? Will Europe drop even more if we shift Marketing emphasis to Asia? What-if we accelerate R&D by 6 months?

  • 6

    Copyright 2014 Kinaxis All Rights Reserved.

    Core Issues driving adoption of S&OP What we hear from all customers & prospects

    Complexity (regulations, expanding product portfolios, rapid growing sales in emerging markets) Less predictable demand

    Multiple independent systems Lack of visibility across the supply chain Employee time spent on non-value-add data collection

    Immature S&OP processes Dependent on individuals and tribal knowledge No standard metrics

    Resulting in, amongst others