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World Class Sales and Operations Planning by Donald Sheldon

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WHY IS THE S&OP PROCESS IMPORTANT?

The question of value analysis of the S&OP process is one with many answers. There are so many positive things to say and describe about a well-managed S&OP process and the importance of it. This chapter is dedicated to the possibilities. There are probably others. These benefits are best divided into four categories (see also Figure 2.1): top-management efficiency, planning discipline, keeping the business objectives on track, and payback on investment. Details of each follow.

TOP-MANAGEMENT EFFICIENCY

In today’s environment top managers in most businesses are pulled in several directions at once. The days ...

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