S&OP and OG&F in Logistics Webinar
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Questions and Answers

What is the primary purpose of S&OP?

  • To enhance customer service levels.
  • To streamline production processes.
  • To increase shipping efficiency.
  • To align demand, supply, and financial planning. (correct)

S&OP is a process that is part of which larger planning framework?

  • Total Quality Management (TQM)
  • Just-In-Time (JIT) Inventory
  • Master Planning (correct)
  • Material Requirements Planning (MRP)

Who is responsible for executing S&OP within a company?

  • Executives and relevant teams (correct)
  • External consultants
  • The IT department
  • Middle management only

Which activity is not part of the S&OP process?

<p>Managing order flow (A)</p> Signup and view all the answers

What does S&OP stand for?

<p>Sales and Operations Planning (B)</p> Signup and view all the answers

Flashcards

S&OP

Sales and Operations Planning; an integrated process aligning demand, supply, and financial planning within a company's master plan, supporting executive decision-making for material and financial plans.

Integrated Planning

Combining different parts of a process (sales, operations, and finance) for a smoother, company-wide approach.

Master Planning

A company's comprehensive plan for managing resources and production.

Executive Decision-Making

The process by which senior executives make choices to guide the company.

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Order Management System

The process and technology for managing customer orders, from receipt to fulfillment.

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Study Notes

SAKSHAM: IL6 Webinar for Logistics - S&OP & OG&F

  • S&OP stands for Sales and Operations Planning
  • S&OP is an integrated planning process that aligns demand, supply, and financial planning
  • It is managed as part of a company's master plan
  • S&OP is designed to support executive decision-making
  • It involves approving a feasible and profitable financial plan

S&OP - Supply Chain Planning Process

  • Monthly S&OP cycle involves:
    • Week 1: Demand Review (gather sales forecasts, drive consensus, hold demand review meeting, propose demand plan)
    • Week 2: Supply Review (adjust supply, shape demand, hold review meeting, balance supply & demand plans)
    • Week 3: Pre-S&OP meeting (financial review, prepare for exec S&OP, hold pre-S&OP, balanced plan in units and revenue)
    • Week 4: Executive S&OP (aggregated plan review, resolve impasses, make key decisions, drive to consensus)

Order Management Group

  • The Order Management Group is an intermediary between Marketing and Sales and the Production Planning Team
  • It is a vital link in the steel supply chain
  • Order Management Group focuses on Order load visibility for mill production

Key Activities under Order Management

  • ABP Process: Product Mix Workshop
  • OSP Process: Capacity Planning, Capacity Allocation, Release of Commitment, and Sign Off Process
  • Demand Management: Forecast entry
  • Order Management: Order processes (order logging/confirmation)

Order Management System Process

  • Order Management System Processes: Direct orders, Order creation in SAP, Technical & Planning Feasibility Check, Source Plant Determination, Loading Policy Capacity Check

Order types

  • ZBTC: Direct dispatch to customer with stock available
  • ZBTS: Dispatch to EPA/Stock Yard with stock available
  • ZVCD: TOC dispatch direct to customer
  • ZBTI: Production only, not for dispatch
  • ZVCI: Production only for PWH BUFFER
  • ZVCP: Production only, MTS (protective)

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Description

This quiz covers the key concepts of Sales and Operations Planning (S&OP) within the logistics sector. It delves into the monthly cycle of S&OP, including demand and supply reviews, and highlights the role of the Order Management Group. Test your knowledge on how these processes integrate to support executive decision-making.

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