Scribd Logo
Upload

Welcome to Scribd!

  • 580 views

    Siop Process

    Uploaded by

    Adrian Tajmani
    The document describes the Sales and Inventory Operations Planning (SIOP) process. SIOP is a monthly process that engages all functions to create aligned, forward-looking plans and optimize resources to achieve business goals. The key elements of the SIOP process are demand planning, inventory planning, supply planning, and financial planning. The process involves weekly meetings over 4 weeks to review the portfolio, demand and inventory, supply, and perform reconciliation. The goals of SIOP are to maximize customer service and satisfaction while minimizing operating costs and inventory.

    Copyright:

    © All Rights Reserved
    Download as PDF, TXT or read online from Scribd

    Siop Process

    Uploaded by

    Adrian Tajmani
    580 views8 pages
    The document describes the Sales and Inventory Operations Planning (SIOP) process. SIOP is a monthly process that engages all functions to create aligned, forward-looking plans and optimize resources to achieve business goals. The key elements of the SIOP process are demand planning, inventory planning, supply planning, and financial planning. The process involves weekly meetings over 4 weeks to review the portfolio, demand and inventory, supply, and perform reconciliation. The goals of SIOP are to maximize customer service and satisfaction while minimizing operating costs and inventory.

    Original Description:

    Siop Process

    Copyright

    © © All Rights Reserved

    Available Formats

    PDF, TXT or read online from Scribd

    Did you find this document useful?

    Is this content inappropriate?

    The document describes the Sales and Inventory Operations Planning (SIOP) process. SIOP is a monthly process that engages all functions to create aligned, forward-looking plans and optimize resources to achieve business goals. The key elements of the SIOP process are demand planning, inventory planning, supply planning, and financial planning. The process involves weekly meetings over 4 weeks to review the portfolio, demand and inventory, supply, and perform reconciliation. The goals of SIOP are to maximize customer service and satisfaction while minimizing operating costs and inventory.

    Copyright:

    © All Rights Reserved
    Download as PDF, TXT or read online from Scribd
    Download as pdf or txt
    580 views8 pages

    Siop Process

    Uploaded by

    Adrian Tajmani
    The document describes the Sales and Inventory Operations Planning (SIOP) process. SIOP is a monthly process that engages all functions to create aligned, forward-looking plans and optimize resources to achieve business goals. The key elements of the SIOP process are demand planning, inventory planning, supply planning, and financial planning. The process involves weekly meetings over 4 weeks to review the portfolio, demand and inventory, supply, and perform reconciliation. The goals of SIOP are to maximize customer service and satisfaction while minimizing operating costs and inventory.

    Copyright:

    © All Rights Reserved
    Download as PDF, TXT or read online from Scribd
    Download as pdf or txt
    of 8

    SIOP Process

    Overview
    55
    Executive
    Executive
    SIOP
    SIOP Meeting
    Meeting
    (Wk4)
    (Wk4)

    44
    SIOP
    SIOP
    Reconciliation
    Reconciliation
    (Wk3)
    (Wk3)

    33
    Supply
    Supply Review
    Review
    (Wk3)
    (Wk3)

    Integrated
    reconciliation
    & financial
    appraisal

    11
    Portfolio
    Portfolio
    &
    & Product
    Product Review
    Review
    (Wk1)
    (Wk1)

    22
    Demand
    Demand &
    & Inventory
    Inventory
    Review
    Review
    (Wk2)
    (Wk2)

    What Is SIOP ?

    Sales & Inventory Operations Planning


    is the single process to engage all functions in creating
    aligned, forward looking plans & make decisions that will
    optimise resources & achieve a balanced set of goals
    A cohesive process to plan our main business activities
    SIOP
    Demand
    Planning

    Inventory
    Planning

    Supply
    Planning

    Financial
    Planning

    SIOP Must be Built On A Standard Process, World Class Tools


    & A Fully Engaged Culture

    Process = 40%

    Tools = 10%

    Cultural Change = 50%

    Why Do We Need SIOP ?


    Increasing concentration on inventory & working
    capital within the business
    Drive towards demand growth in new markets

    Maximise customer service & satisfaction


    Glues key Demand & Supply functions together

    Focus on the future business performance rather


    than the past
    Drive consistent business processes
    SIOP Focuses on key business goals via agreed metrics

    SIOP Optimisation
    Maximize
    Customer
    Service

    Minimize
    Operating
    Costs

    Minimize
    Inventory

    SIOP Principles
    World class businesses have supply chains that are:
    Demand driven
    Collaborative involving all departments
    We will advocate a SIOP process that reflects this:
    Demand-led; it begins with the Voice of the Customer (VOC)
    Inventory management as an integral part
    Strong demand-supply links through information & feedback
    Structured and disciplined monthly meetings with buy in & clear objectives
    We believe in:
    Actively involving Marketing & Sales in the process
    Sharing and discussing stocking policies and customer needs.
    Actively seeking consensus (agreement)
    Translating the plan into cash terms & linking to AOP to give relevance to the whole business
    A robust SIOP process will lead to:
    Improved customer focus and service
    Lower finished goods inventory levels
    Reduced IOS via strong NPI management / product lifecycle management

    SIOP A consistent cycle of events


    55
    Executive
    Executive
    SIOP
    SIOP Meeting
    Meeting
    (Wk4)
    (Wk4)

    44
    SIOP
    SIOP

    11
    Portfolio
    Portfolio

    Reconciliation
    Reconciliation

    &
    & Product
    Product Review
    Review

    (Wk3)
    (Wk3)

    33
    Supply
    Supply Review
    Review
    (Wk3)
    (Wk3)

    Integrated
    reconciliation
    & financial
    appraisal

    (Wk1)
    (Wk1)

    22
    Demand
    Demand &
    & Inventory
    Inventory
    Review
    Review
    (Wk2)
    (Wk2)

    A robust monthly process of continuous improvement .

    SIOP A structured monthly process


    1

    Portfolio

    Demand &

    & Product Review

    Inventory Review

    (Wk1)

    (Wk2)

    Review changes
    to product
    portfolio (NPI &
    phase in / out ) &
    current promos

    Capture VOC
    through
    forecast key
    projects /
    spikes /
    abnormal
    demand

    Review Supplier
    capability &
    performance
    (OTD)

    Review NPI
    initial order /
    forecast

    Gain commitment
    from the
    suppliers to the
    demand plan

    Statistical
    forecast made
    based on
    historical sales
    Obtain input from
    Sales &
    marketing to
    improve forecast
    Review IOS
    status & develop
    activities

    Review safety
    stock levels &
    Inventory
    Policy

    Supply Review
    (Wk3)

    Review inventory
    projections

    Reconciliation

    5
    Executive
    SIOP
    Meeting

    (Wk3)

    (Wk4)

    4
    SIOP

    Cashing up
    the plan Translate
    SIOP plans
    into $ and
    compare with
    AOP
    Evaluate any
    gap plan to
    AOP
    Solve or
    escalate
    issues

    Business
    Review
    Solutions
    Review
    Confirmation
    of alignment
    of Plan v AOP
    & STRAP
    plans

    The Continuous Management of Change


    Week:

    Continuous reconciliation

    Product Review

    Continual
    Change

    11
    Stat.
    Stat. forecasting
    forecasting
    &
    & Product
    Product Review
    Review
    (Wk1)
    (Wk1)

    Demand Review

    22
    Demand
    Demand &
    & Inventory
    Inventory
    Review
    Review
    (Wk2)
    (Wk2)

    Supply Review

    33
    Supply
    Supply Review
    Review
    (Wk3)
    (Wk3)

    Reconciliation Review

    44
    Pre-SIOP/
    Pre-SIOP/
    Reconciliation
    Reconciliation
    Review
    Review
    (Wk3)
    (Wk3)

    Exec. SIOP meeting

    55
    Executive
    Executive
    SIOP
    SIOP Meeting
    Meeting
    (Wk4)
    (Wk4)

    SIOP is not a series of meetings, it is a continuous process

    You might also like