In today’s business climate, many companies have difficulty setting quotas, creating sales budgets, or accurately planning sales and operations when using spreadsheets.
Therefore, recently more and more attention has been paid to using cloud services to collect more accurate information based on data analysis and improve sales and operations planning.
We bet this is true for your company too, so we’ll share with you #proven tips for a more successful S&OP.
Choose the right software tools
The tool you will use must meet the following requirements:
- it is designed specifically for planning;
- the solution is flexible enough and capable of modeling the unmatched complexities that exist throughout the S&OP process;
- it is suitable to operate in the high speed and complexity environment of today’s business;
- is tailored to the specific business operations of your company;
- it is an easy solution to implement;
- must be able to evolve with your companyetc.
But most importantly, these software tools should allow your company to practice more dynamic sales and planning policies, improving your flexibility for a rapidly changing market and supply chain, and responding quickly to external and internal changes.
To achieve this, you can use Dynamic Guided Selling, a salesperson-centric approach that enables sales teams to gain complete visibility into the organization’s offerings and channels, control the entire sales process, and make the most of data. when selling.
One of the most advanced modern solutions for that is the Revenue Grid Guided Selling Tool which includes a set of essential features for success. Sales and operations planning and get more predictable operational performance.
Revenue Grid’s pipeline visibility feature simplifies business sales and operations planning, offering significant opportunities for both sales leaders and sales reps, enabling them to:
- analyze S&OP metrics to understand sales and develop best practices;
- provides a clear picture of the health of your pipeline, multiple key metrics, and the reasons behind increased scores or decreased sales;
- lets you instantly see where a deal is, allowing you to understand where the supply needs to be for various products;
- receive contextual alerts that help guide sellers to the best option;
- take the guesswork out, help your reps adhere to the established sales process, and increase the predictability of offers;
- integrates directly with Salesforce, helping to simplify incorporation into daily operations.
Include S&OP in your Strategic Plan
This is a very important step that will allow both of these processes to benefit from it. Your Strategic Plan focuses on achieving long-term goals, which, in turn, will create a solid platform for the most accurate company S&OP.
On the other hand, S&OP enables the organization’s management to understand how the various functions work, which helps to create effective and relevant long-term strategies.
View sales trends and metrics and update your plan in real time
Another critical step in connecting an accurate S&OP is creating a unified repository of key metrics. Make these metrics available to different departments in the company so they can instantly get a detailed view of achievements against plan and overall performance, and access their progress.
Please note that the automatic display of sales trends and metrics has a positive effect on your forecasting ability.
Involve all departments of the company (Finance, Marketing, Sales, Product Management, HR, etc.) in the process of connecting S&OP: Explain the most basic benefits to them, make sure they clearly understand that they will all have to go through a long try and failure.
Try to clearly define for them all the intermediate stages of this process, outlining who is Responsible, Achievable, Consulted, Informed (RACI). Create a unified calendar to show that activities to achieve results are being completed on time.
The most important thing is to instill in the staff the Culture of Continuous Improvement.
Consider the tertiary factors that influence supply and demand.
Beyond supplier capabilities and customer forecasts, you must define what external factors affect supply and demand, and try to estimate their potential impact.
For example, companies that deliver products to retail stores when Walmart opens a new one can use past history to estimate the impact of demand on existing customers in that area.
You will need a similar perspective on the supply side. For example, a supplier of a critical component may initiate controversial contract negotiations with his union. Therefore, you must identify and qualify alternative providers long before this happens.