Sales and Operations Planning

Drive integrated plans and performance from the executive suite.

Companies ideally want to use sales and operations planning to create alignment between operating strategy and sales and marketing plans in order to improve revenue, decrease inventory levels, and reduce costs. The challenge for large complex organizations it that it’s difficult to establish targets and allocate resources while balancing conflicting objectives and competing priorities across multiple functions and business units. Complex organizations lack formal and effective capabilities for ensuring that plans are both executable and optimized. The net impact of these capability gaps is reduced responsiveness, delayed decisions, and organizational misalignment. The results are missed opportunities to increase revenue, reduce or avoid costs, or reallocate resources to more value added activities.

Jonova’s S&OP Applications call for a continuous and dynamic planning process that integrates strategic, financial, and sales and operations plans into a single plan of record. This baseline plan gives you a broader global view of your company’s overall capabilities and constraints, supporting more informed and profitable decisions over a longer time horizon. It also exposes planning risks. Measuring planning risks is important because once a plan is developed, new conditions will arise that violate the assumptions on which the plan is based. What governs the ability to achieve the objectives that underlie the plan is how quickly organizations can identify and react to these changes.

Jonova’s S&OP Applications have helped companies like yours:

  • Elevate the scope and effectiveness of sales and operations planning (S&OP) processes from a short-term tactical level to a more strategic long-term and ongoing basis
  • Model performance optimization risks to ensure that revenue targets are increasing both the top and bottom line and that KPI targets are optimizing the overall organization performance rather than that of individual functions
  • Analyze portfolio optimization risk to understand to what extent revenue streams are at risk because products, services and value propositions are not completely meeting customer needs and expectations; consider whether the portfolio investment is optimizing the return on investment for the organization as a whole, whether they could be sequenced to optimize value and the degree to which the ROI of one project is influenced by others
  • Manage capacity risk ensuring that there are sufficient resources to meet business units and company objectives given revenue, KPI targets, and currently funded projects; eliminate non-value added activities that may contribute to potential capacity shortfalls
  • Test revenue risk to examine volume, product mix and pricing assumptions in the revenue plan and how potential revenue shortfalls and uplifts affect capacity risk and the ability to achieve the financial plan
  • Stress the budget and KPIs to determine if the KPI targets are realistic given budgetary constraints; determine if conflicting cost, service and quality targets are appropriately balanced and if the productivity and activity mix assumptions provide a good foundation for the tradeoffs that have been made in the plan

Jonova has experience with implementing executive level S&OP with the goal of increasing asset productivity to drive higher top-line and bottom line business results. Jonova’s solution delivers the financial perspectives to examine tradeoffs and enable executives to drive performance.