Effective Execution of S&OP/IBP Plans through Integrated Tactical Planning
The importance of ensuring a process such as Integrated Tactical Planning exists is particularly topical given the unnerving climate of uncertainty and the challenges facing many organisations right now.
Many companies that have embarked on an Integrated Business Planning implementation still find senior managers being dragged into short-term tactical issues and problem-solving. Despite putting considerable effort and energy into executing their plans, many still struggle with poor customer service, high costs, and high inventories. While Integrated Business Planning is highly effective in aiding planning over a four to 24- or 36-month horizon right down to EBIT projections, it was never designed to control the execution of those plans within the one-to-three-month tactical horizon. This is the role of Integrated Tactical Planning. Unless plans are properly managed and coordinated during this time period, execution is problematic. The constant last-minute changes and “firefighting” that plague the business also lead to high levels of frustration.
The importance of ensuring a process such as Integrated Tactical Planning exists is particularly topical given the unnerving climate of uncertainty and the challenges facing many organisations right now. The time frame in which decisions must be made has shifted from years and months to weeks and days. This is where Integrated Tactical Planning – synchronised processes with clear responsibilities and expected outcomes – can help.
The successful deployment of Integrated Tactical Planning will define and calm the process of management and communication in the execution window, creating the integration between the various functions within the organisation, and ultimately leading to improvements in customer service, inventory levels, and other key metrics.
With over 20 years of experience in global supply chain and demand management across international markets, Dawn brings a pragmatic and practical approach to organisational development.
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