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Route to Market & Supply Chain Blog

“People and Process lead – IT supports” Regional & Global S&OP Critical Success Factors

Posted by Christian Cusworth on Fri, Jul 30, 2010

IT system enables S&OPThis is a debate that I am starting to loose, I’ll stick with it though at least until such time as IT systems develop intelligence and personality. The theoretical debate on the role of IT in S&OP will of course run for a long time, hence this week’s blog highlights some past approaches to IT interaction that have delivered positive results.

Key also to a successful S&OP programme (and less contentious) is the need to accurately measure performance and success. Thoughts around this area are also highlighted below:  

IT – Key Enabler :

  • Be careful not to let IT lead the project.
  • But the business & financial success of the programme is directly proportional to SAP effectiveness, cluster planning tools, data capture and master data management.
  • Do not let IT cause excessive delay – people will lose interest.
  • Consider interim IT tools – these can work extremely well & maintain programme momentum.
Measuring Performance & Success:
  • Decide programme outcomes in advance.
  • Decide what is not negotiable.
  • Be prepared to learn and adapt during the programme.
  • Use established PM methodology (e.g. Prince 2) – plan, review etc
  • KPIs – consider Balanced Scorecard
  • Build End Market success into GM bonuses

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Also in this series:

Tags: ERP/SAP, KPI, S&OP, Forecasting & Demand Planning

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