To improve their operations, companies need to understand
both the demand and supply sides of their business. By understanding
customers’ future requirements, these can be fed into a sales
and operations planning (S&OP) system.
S&OP has been developed in order to manage this balancing
act; it provides a set of planning and decision-making processes
that link day-to-day operations with business goals and operational
and financial planning. S&OP has now evolved into a powerful
integrated business management tool that enables companies
to create a single operating plan that can allocate critical
resources to achieve corporate performance targets.
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