skip to Main Content

46% of Companies are Making this Mistake When it Comes to S&OP

Events & Announcements   S&OP  

Consumers are fickle. It’s a fact. According to a recent research by Accenture, people report switching brands more than they did a few years ago, despite the fact that brands are investing $90+ billion in loyalty programs. As channels expand, competition increases and customers increasingly expect extraordinary experiences that rock their worlds, it’s getting harder and harder for companies to predict demand.

We heard a lot of about this last week when our team attended IBF’s Business Planning, Forecasting & S&OP: Best Practices Conference in sunny Orlando. We had the opportunity to hear what some amazing brands like Target and Nike are doing to improve their planning, forecasting, and SO&P processes. Unbelievable stuff! But a comment I heard from a ‘lesser known brand’ is what struck me most. Apparently, 46 percent of companies that have an S&OP process in place, center their process around spreadsheets. Wow!

Don’t get me wrong, in theory, there’s nothing wrong with spreadsheets. Spreadsheets are a top go-to productivity tool for supply chain planners, and if your organization is small, or in start-up mode, spreadsheets can offer an effective, low-cost tool for planning. But once the number of SKUs you’re managing starts heading north of 100 or 150, spreadsheet limitations become problematic—and compounding when it comes to S&OP. Why? Because successful S&OP requires that the barriers between Operations, Sales, and Finance teams be removed. And, spreadsheets by nature are not collaborative tools.

Spreadsheet data tends to vary widely from business silo to silo because each department holds each spreadsheet independently. This creates data variations between otherwise interdependent business functions. The result is a lack of collaboration that can lead to a failure in planning. Spreadsheets also make it difficult to aggregate different data sets, limiting analysis of the data and resulting insights. In a world that becomes increasingly data-rich by the day, this fact should not be ignored!

Admittedly, moving away from spreadsheets sometimes represents a scary shift for a company. But it doesn't have to if an organization is careful not to go too far down the road with spreadsheets in the first place. Affordable and intuitive supply chain planning software that rapidly delivers efficiency and productivity gains over manual spreadsheet manipulation is readily available. These solutions, like DemandCaster, offer a consistent set of data, viewable by all relevant users, to yield consensus-based demand plans.

One of the many benefits of S&OP is being able to run the business around one set of numbers, whereby Operations, Sales, and Finance all agree on anticipated sales and the company’s ability to meet them. This inevitability requires collaboration. And collaboration requires software.

Contact us if you would like to learn how DemandCaster can help you end the spreadsheet chaos and reap the benefits of an agile, collaborative S&OP process.

Related Articles

DemandCaster to Exhibit at the Best of the Best S&OP Conference Presented by ASCM and IBF

According to Mark Moon, a co-author of Advanced Demand /Supply Integration (DSI) Best Practices, a white paper published by the Global Supply Chain Institute of the University of Tennessee Knoxville, "S&OP really needs a strong rebranding effort." We couldn’t agree [...]

Our Takeaway from SuiteWorld: 5 Ways Supply Chain Planning Software Supports the Blueprint for Growth

While it is easier than ever before to start a business today, many companies are not able to remain successful and grow to the next level. It’s not surprising that the theme of last week’s SuiteWorld19 was Grow Beyond. For [...]

Ara Surenian, Founder of DemandCaster, to Discuss ‘Growing Beyond the Status Quo’ with S&OP at SuiteWorld19

Ara Surenian, founder of DemandCaster and a supply chain visionary with over 30 years of industry experience, will present 7 Steps to Getting Started with Sales and Operations Planning at the upcoming Oracle NetSuite SuiteWorld. The session will explain the [...]

DemandCaster Announces Gold Sponsorship of SuiteWorld19

DemandCaster is excited to announce it will be a Gold sponsor at SuiteWorld19, an annual celebration of Oracle NetSuite customers and partners. SuiteWorld will take place April 1-4, 2019 at the Sands Expo & Convention Center in Las Vegas. “We’re [...]

DemandCaster Recognized as a Top Demand Forecasting Software Solution Provider

Today’s customers are more connected than ever before. If they don’t find what they are looking for from one source, they’ll find it from another. Out-of-stock can quickly mean out-of-business, so accurately predicting customer trends and reacting to them is [...]

Technology Helps Brands Grow Beyond

In the 2018 National Manufacturing Outlook and Insights report, manufacturers expressed remarkable optimism for their industry and businesses in 2018. More than half of those that responded to the survey that generated the report indicated that they expected growth within [...]

Data—Our New Natural Resource

As I walked the floor at this year’s APICS conference and sat through a variety of educational sessions, I was reminded of a phrase I heard recently: “Data is becoming a new natural resource.” The statistics are quite mind-boggling. According [...]

NetSuite Delivers Machine Intelligence to Midmarket ERP

NetSuite EVP of Development Evan Goldberg concluded his SuiteWorld 2018 product keynote with a brief description of how NetSuite is applying machine learning technology to its midmarket cloud ERP platform. He reported it will cover functions such as ecommerce, supply [...]

See DemandCaster in Action at NetSuite’s SuiteWorld18, Booth 416

The DemandCaster team is excited to be exhibiting at NetSuite’s SuiteWorld conference in Las Vegas, Nevada, on April 23-26, 2018. SuiteWorld—touted as the “industry’s #1 Cloud ERP conference”—gives attendees the opportunity to tap into the power of the NetSuite ecosystem, [...]

Supply Chain Planning: It’s All About the Right People, Process, and Technology

The 2017 IBF Conference, which took place last week in Orlando, Florida, offered a wide array of presentations, exhibits, and offline discussions that drew a healthy audience of planning and forecasting practitioners and executives, all interested in sharing their experiences [...]
Subscribe to our Blog
Back To Top