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Running an Effective S&OP Process

What a working sales and operations planning cycle actually looks like month to month.

By SupplyChain.management · Last updated

Definition

S&OP is a monthly decision cycle that aligns demand, supply, inventory and financial plans.

Why it matters

Without a decision forum, planning conflicts get resolved informally and inconsistently.

How to interpret it

Judge the process by decisions made, not by meetings held.

How to improve it

Publish a fixed calendar, bring one agreed demand number, and close each cycle with owned actions.

Common mistakes

Turning S&OP into a reporting review with no decisions.

Related KPIs