Modern Tools Transform Sales & Operations Planning
More and more companies face the challenge of optimizing their Sales & Operations Planning (S&OP) process. Due to increasing market volatility, there is a need for flexible and rapid solutions that go beyond the traditional monthly cycle. During the S&OP Flavour Day, various leading software providers shared their vision on the role of technology in this process.
Summary
- Traditional S&OP processes are often too rigid and do not align with market dynamics.
- Modern technology, including AI, offers opportunities for dynamic workflow orchestration and real-time adjustments.
- A solid knowledge base among employees is crucial for the success of S&OP initiatives.
The Challenge of S&OP
In today’s market, it is essential to be flexible in responding to changes in supply and demand. The traditional approach to S&OP, with only twelve decision points per year, is no longer sufficient. Involving various departments such as sales, finance, and supply chain in a single decision-making process is crucial for effectively managing uncertainties.
Moving Away from the Linear Workflow
According to Melis Teksan from Icron, the traditional linear workflow of S&OP often lags behind reality. Changes in the market, such as unexpected deals or new import tariffs, render a static demand plan useless. ‘Dynamic workflow orchestration’ offers a solution by integrating major events directly into the planning, using advanced software and AI agents.
Responding Dynamically to Deviations
Jack Cheesbrough from iPlan advocates for a tactical planning layer where companies can set how quickly they want to respond to deviations in the plan. It is crucial to keep an eye on the impact of these deviations on strategic KPIs. With prescriptive analytics, the software can suggest possible measures, enabling S&OP teams to make faster and better-informed decisions.
AI as a Connecting Factor
A significant challenge in S&OP is collaboration between departments. Oliver Jenneskens from Remira states that AI can assist by combining sales forecasts with external data, such as weather information and social media. This accelerates the achievement of consensus during meetings.
Results from Practice
Glenn Campbell from Oracle points out that while AI has a lot of potential, the results can sometimes be disappointing. The success of AI in S&OP processes heavily depends on the context in which it is applied. Ruud Verstegen from John Galt emphasizes that a carefully chosen strategy is essential. ‘Know your goals’ is valuable advice for companies looking to maximize the benefits of S&OP.
Speed of Implementation
Getting started quickly with S&OP is another crucial tip from Verstegen. Spending too much time on preparation can cause delays. It is wiser to adopt an iterative approach, where implementation is refined step by step.
Focus on People
David Food from Slimstock emphasizes not only technology but also the importance of people in the S&OP process. Training and knowledge are necessary to ensure that employees can effectively use the new systems. Therefore, Slimstock offers a comprehensive training program.
Maintenance and Continuous Improvement
Hans van der Drift from consulting firm Involvation stresses that maintaining an S&OP process is just as important as the initial implementation. Changes in the organization or the departure of key employees can affect the effectiveness of the process.
Optimizing S&OP with modern tools and technologies offers significant advantages. By planning dynamically and fostering collaboration between departments, organizations can better respond to the ongoing changes in the market.
Source: Henrieke Wagenvoort, Mon, 01 Dec 2025, https://www.supplychainmagazine.nl/moderne-tools-maken-sop-sneller-en-dynamischer/
