Lean mindset companies define their work as driving value to customers. Yet many digital initiatives such as ERP implementations push work to people with business software dictating what to do and when to do it – restricting problem solving to the system instead of the people.
Todays global ERP solutions offer robust, fully-functional supply chain management capabilities. And they need to. Customers, both consumer and commercial, expect a lot from a business and its ability to supply materials and products. The demand side of the supply chain has become, well, more demanding. Perhaps its the fact that customers have product and company information available at all times via social networks and mobile technology. Or it could be the speed at which consumers receive their items from online retailers, who have made same-day delivery routine. The consumers in these B2C relationships start wondering why they cant have similar response in their B2B transactions at work.
Everyone knows that an organization has reporting requirements within their accounting departments, but an organization should think beyond financials and recognize that compliance is relevant to so much more.
Many of us think of S&OP and think of days in meetings and unending discussions between the functional groups in the business. Many will agree it is a powerful tool. Many will also contend the benefits might not justify the tremendous cost of the exercise. Others might also look at expensive software for sale at high prices that could simplify the process but still would not yield the necessary benefit.