The Planning Process
S&OP is the result of monthly planning activities. It is usually based on an Annual Operations Plan (AOP) that acts as the company's annual target in terms of sales and supply. Therefore, the sales and operations plans are a means to gradually accomplish the AOP targets - by linking monthly sales and marketing planning directly to the operations side of a business. The process for deciding upon the monthly S&OP is illustrated in the figure below.
-
Monthly S&OP Process
Read more about this topic: Sales And Operations Planning
Famous quotes containing the words planning and/or process:
“When we are planning for posterity, we ought to remember that virtue is not hereditary.”
—Thomas Paine (1737–1809)
“Language is a process of free creation; its laws and principles are fixed, but the manner in which the principles of generation are used is free and infinitely varied. Even the interpretation and use of words involves a process of free creation.”
—Noam Chomsky (b. 1928)