Steelwedge Software

Steelwedge Software


Guest Perspective: More S&OP Q&A’s with Oliver Wight

Posted: 02 Aug 2012 06:00 AM PDT

Ed. Note: In today's guest post, Eric Deutsch, principal with Oliver Wight consulting, provides some additional insights into the Oliver White method of sales and operations planning, answering some of our most-asked questions. You can also see earlier thoughts on S&OP here. For more from Eric, see our June webinar, Developing Corporate Muscle Memory with IBP Are you working with any aerospace companies and what is different about handling them? Yes, several aerospace companies have implemented S&OP. According to my colleague Jim Correll, “Aerospace companies have the same challenges that other companies have when it comes to IBP.  Adapting IBP to the multitude of  organizational structures that we encounter in aerospace companies and other types of industry is always a challenge.  What we do find is that forecasting in aerospace companies that are  suppliers to the large airframe manufactures and military contracts is easier because their schedules are typically much firmer than in other industries.” In a Consensus forecast, how do you reconcile high expectations of the Marketing people with the statistical forecast? Especially with highly variable demand, both intermitent and highly volatile.First, there is a place for statistics, and it typically doesn’t work well in highly variable, volatile, and sporadic environments.… Read the rest

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