Linked in posth…

Posted on July 3, 2012

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Linked in post on S&OP deployed without outside help

 

What seems to often get lost with pure IT / some software vendors and even many consultants with “expert” on their cards is KNOW ONE knows a business better then the people / management team doing it. This concept applies exponentially more to an S&OP process then anything else we know of as S&OP really IS the business not some “add on” technology or process.

However, what DOES happens is a business and players can get comfortable and uninspired. Fixing this is generally senior management’s job… would you ALL not agree ?

Once this “inspiration” in in place then a team with the right enabling tools and jump start with S&OP should “in theory” be able to take more advantage of S&OP then an outside lead effort

Of course a REAL consultant operates and engages with this theory in mind not with the idea of screwing in someone else’s light bulb (ERP) or taking the client on a “unending cab ride” to the destination with checklists from hell, best practice BS, meetings after meetings etc.

So our experience is 90% of companies and teams just don’t know about S&OP, don’t have a way to “get started”, have not been exposed to the extreme value and job satisfaction improvements. Even when they get somewhat inspired some unrelated solution or provider with no knowledge of S&OP calls something they have S&OP to maliciously distract … So executive education is lacking

Thus our conclusion from many clients of S&OP deployment – is with a competitively inspired leadership team and a jump start tool kit and maybe a modicum of some off site advice a reasonable company could execute on S&OP theory and practice – thus achieving economic and operational success.

If nothing else the industry and CEO’s should realize with the world as it is today there is a BETTER way and these same teams should have their ERP blinders removed and given the kick in the pants to go find capabilities like S&OP vs. hanging back and using “ERP does that” excuses over and over again.

This direction should be given in financial working capital, cycle time, customer service and competitive advantage terms…. NOT S&OP or supply chain terms. S&OP an enabler for business goals… is not a goal itself

The not for profit site http://www.texaslcc.org embedded in sopbook.com was founded in 2005 to help provide this type of guidance

Just a quick quote I say from Jeff Bezos at Amazon. “There are two kinds of business ones that look to charge more for the same product or service or ones that look to charge less… Amazon is the latter”…. I paraphrased a bit

All CEO’s should understand their strategy in and around Amazon quote. Some may look to charge more but are unlikely to exist a decade from now. S&OP is likely to be one of the key enablers a CEO discovers…. from what I can tell Amazon is all over S&OP… including real-time S&OP ? Have you seen in past couple of years how much of Amazon cataloged items get drop shipped from a supplier to customer. Pretty nice ROI 🙂 on selling someone else’s inventory. Does not take a complex S&OP software solution to understand or even do… will take some tools to scale

Cheers

Jon
http://www.sopbook.com
http://www.DCRASolutions.com

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