Special feature Planning & Scheduling/Demand Forecasting
S&OP now has a critical role to play in
the effective running of any company
and of managing business risk.
According to Ewing, without active inventory
optimisation through the key processes of
Forecasting, Replenishment Planning, Sales &
Operations Planning and possibly Scheduling,
companies will suffer from inflated or excess
stocks, reduced service levels, incorrect
product mixes and unmotivated staff.
“Products available on the market today are
clean and crisp, and process information at
the press of a button; but I believe specialist
vendors should stick to what they know
best – keeping things simple and presenting
information in ways that can easily be
understood,” he remarked. “All too often,
this gets clouded when additional functions And on the bespoke front, is there still a with the configuration and personalisation
are added that have not been well thought considerable requirement for customisation capabilities of software solutions today,
through – leading to confusion, if not in terms of the software supplied to different negates the need for modifications,” he said.
unexpected cost.” types of end user, or are many of the leading
systems on the market now flexible enough According to Ewing, if a Demand Planning
Jason Murphy, managing director of Logility, to offer quicker, less protracted installation tool is programmed correctly to support best
believes, on the commoditisation issue, there in most cases? From a planning & scheduling practice, then it should not require bespoke
has definitely been a change over the past perspective, Novels believes it really depends work and customisation of the product code
few years. “Many, if not most, companies have on the application; and this is not necessarily for a specific customer – which is claimed to
Supply Chain teams that within them have a sector-based issue. “Some people have ‘enhance’ its core functionality. “To me, any
individuals who are perhaps second- or third- tried to produce what they call templates to product that does require that has not been
generation users,” he said. “These are people service a specific sector; but often it’s not a constructed with best practice in mind,” he
that appreciate depth of functionality in their case of what users make; it’s how they work – said, adding: “On the other hand, speed and
Planning solutions.” In Murphy’s view, the so there can be a problem here,” he said. ease of configuration is key these days. Too
key areas of differentiation among currently “We’ve always felt that our major advantage many products provide a ‘strait-jacket’ for the
available solutions are: Planning for new is that we can modify our solution, how it process, which then needs to be adapted to
product introductions where traditional statistical looks and how it schedules, without changing fit to the software – if it works at all.” In Ewing’s
techniques may have let them down in the past; the core code.” view, the result can be inflexibility, poor
appreciation for working with vendors who performance and a slow shift back to
truly focus on development and implementation Open attitude spreadsheets. In addition, Ewing makes the
resources on Supply Chain Planning. In Murphy’s experience, the best-run supply point that the software needs to be easily
chains are found within organisations that take adapted to the company’s requirements, whilst
a more open attitude towards looking at what always encouraging best practice. Moreover,
is available in the market; looking at best he believes it must be easy to modify the
practice and opportunities to benchmark with configuration. “How many businesses stand
other companies – and not necessarily within still in this area? – Flexibility and ease of use
those who look to replicate how they do things are essential as businesses evolve and
currently but instead in newer technology. change,” he said. “This is a certain differentiator
“The breadth of functionality out there, combined of well-constructed ‘best-in-class’ software.”
Vendor-specific developments
John Ewing: Products available on the
And what of our contributors’ most notable
market today are clean and crisp, and recent developments within their solutions
process information at the press of a
offerings? Novels cites what Preactor refers to
button; but specialist vendors should
as Supply Chain Scheduling; or Distributed
stick to what they know best – keeping
things simple and presenting information
Scheduling. “This can help companies that
in ways that can easily be understood.
have multiple live schedules – maybe in
different departments or in different plants – >>
www.logisticsit.com
MANUFACTURING
March 2009 &LOGISTICSIT
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