LensReading which lens this session carries.

Sales and operations planning

One cycle, six steps, five functions, and the decisions that stay with a person

SG&A is a collection of functions and a significant heartbeat of a company, and the planning cycle is where that heartbeat is easiest to hear.

The service catalogue

How it runs

The cycle, step by step

Each step has a window in the working month, a question it exists to answer, a chair who runs it, and a decision it must leave behind.

1

Working days one to three

Product and portfolio review

Settle what the company is actually going to sell next period before anybody forecasts it.

Chaired by

Chief of Staff, Research and Development

research-development

The question

What is in the plan, and what is coming out of it?

What it decides

Which items pass their stage gate, which are stopped, and what the portfolio is weighted toward.

What it leaves behind

An item that fails its gate but has commercial commitments against it goes to step six rather than being resolved here.

17 stations · 76% agent · 12,051 runs a week

4 decisions here wait for a person

VP Innovation · Gate committee decide (RD2A)Held for a named human when the unit exceeds the program decision envelope, when confidence falls below the floor, or when a policy clause is engaged.

VP Innovation · Fund or stop (RD2A)Held for a named human when the unit exceeds the program decision envelope, when confidence falls below the floor, or when a policy clause is engaged.

Director, R&D Analytics · Leader review (RD11A)Held for a named human when the unit exceeds the analysis decision envelope, when confidence falls below the floor, or when a policy clause is engaged.

VP Innovation · Leader decide (RD2B)Held for a named human when the unit exceeds the program decision envelope, when confidence falls below the floor, or when a policy clause is engaged.

2

Working days four to six

Demand review

Build one unconstrained demand number the commercial side will stand behind, and be honest about how wrong the last one was.

Chaired by

Chief of Staff, Sales

sales

The question

What do we believe we will sell, and how good has that belief been?

What it decides

The consensus demand plan, the assumptions under it, and the accuracy read on the previous cycle.

What it leaves behind

A demand number the supply side cannot serve is not resolved here. It goes to step five as a gap.

23 stations · 78% agent · 3,893 runs a week

5 decisions here wait for a person

Director, Demand Planning · Planner review (SC1A)Held for a named human when the unit exceeds the forecast item decision envelope, when confidence falls below the floor, or when a policy clause is engaged.

VP Revenue Growth Management · Leader call (SL7A)Held for a named human when the unit exceeds the forecast cycle decision envelope, when confidence falls below the floor, or when a policy clause is engaged.

VP Revenue Growth Management · Lock commit (SL7A)Held for a named human when the unit exceeds the forecast cycle decision envelope, when confidence falls below the floor, or when a policy clause is engaged.

Director, Demand Planning · Leader review (SC1C)Held for a named human when the unit exceeds the forecast item decision envelope, when confidence falls below the floor, or when a policy clause is engaged.

VP Brand · Leader review (MK1C)Held for a named human when the unit exceeds the brand asset decision envelope, when confidence falls below the floor, or when a policy clause is engaged.

3

Working days seven to nine

Supply review

Answer the demand plan with what can actually be made, moved and held, and name every constraint that stops it.

Chaired by

Chief of Staff, Supply Chain

supply-chain

The question

Can we serve that, and what breaks if we try?

What it decides

The constrained supply plan, the inventory position behind it, and the supplier commitments it depends on.

What it leaves behind

An unresolved constraint becomes a named gap carried into step five with its value attached.

22 stations · 86% agent · 15,932 runs a week

3 decisions here wait for a person

Director, Supply Planning · Planner review (SC2A)Held for a named human when the unit exceeds the supply plan decision envelope, when confidence falls below the floor, or when a policy clause is engaged.

Director, Supply Planning · Escalate cost (SC2B)Held for a named human when the unit exceeds the supply plan decision envelope, when confidence falls below the floor, or when a policy clause is engaged.

Director, Supplier Collaboration · Negotiate (SC8A)Held for a named human when the unit exceeds the commit decision envelope, when confidence falls below the floor, or when a policy clause is engaged.

4

Working days ten to twelve

Financial reconciliation

Convert the volume plan into money and put it next to the commitment the company has already made to its owners.

Chaired by

Chief of Staff, Finance

finance

The question

What does this plan do to the number we told the market?

What it decides

The financial view of the plan, the variance to the standing forecast, and the cost to serve it.

What it leaves behind

A gap to the committed number is not closed here. It is quantified and handed to step five.

21 stations · 76% agent · 6,384 runs a week

5 decisions here wait for a person

Director, Budgeting · Owner confirm (FI2B)Held for a named human when the unit exceeds the budget line decision envelope, when confidence falls below the floor, or when a policy clause is engaged.

VP Revenue Analytics · Revenue chief review (RO11A)Held for a named human when the unit exceeds the analysis decision envelope, when confidence falls below the floor, or when a policy clause is engaged.

VP Supply Chain Strategy · Leader review (SC10C)Held for a named human when the unit exceeds the network study decision envelope, when confidence falls below the floor, or when a policy clause is engaged.

VP Pricing · Legal check (RO2A)Held for a named human when the unit exceeds the price change decision envelope, when confidence falls below the floor, or when a policy clause is engaged.

VP Pricing · Pricing council approve (RO2A)Held for a named human when the unit exceeds the price change decision envelope, when confidence falls below the floor, or when a policy clause is engaged.

5

Working days thirteen to fifteen

Pre-cycle reconciliation

Close what can be closed and build the executive pack around what cannot, with a costed option against every remaining gap.

Chaired by

Chief of Staff, Supply Chain

supply-chain

The question

What is left that only an executive can settle?

What it decides

Which gaps are closed at working level, and what the executive meeting will actually be asked.

What it leaves behind

Everything still open goes to step six with options, a value and a recommendation.

12 stations · 75% agent · 86 runs a week

3 decisions here wait for a person

VP Integrated Business Planning · Executive review (SC3A)Held for a named human when the unit exceeds the planning cycle decision envelope, when confidence falls below the floor, or when a policy clause is engaged.

VP Integrated Business Planning · Decisions (SC3A)Held for a named human when the unit exceeds the planning cycle decision envelope, when confidence falls below the floor, or when a policy clause is engaged.

VP Integrated Business Planning · Leader review (SC3B)Held for a named human when the unit exceeds the planning cycle decision envelope, when confidence falls below the floor, or when a policy clause is engaged.

6

Working days sixteen and seventeen

Executive review and decision

Take the decisions nobody below the table can take, record them against a name, and set the plan of record.

Chaired by

VP Integrated Business Planning

supply-chain

The question

What are we doing, and who owns that?

What it decides

The plan of record, the trade-offs accepted to reach it, and any standing planning position that changed.

What it leaves behind

Nothing. This is the end of the cycle: an item that cannot be decided here is deferred with a named owner and a date.

5 stations · 80% agent · 2 runs a week

One decision here waits for a person

VP Integrated Business Planning · Ratify (SC3C)Held for a named human when the unit exceeds the planning cycle decision envelope, when confidence falls below the floor, or when a policy clause is engaged.

What to pick up

Who signs what

Every station in the cycle that stops for a person, in the order the cycle reaches it.

21 decisions

12 named approvers across 6 steps

StepServiceStationApproverRuleDwell
Product and portfolio reviewStage Gate ReviewGate committee decideVP InnovationHeld for a named human when the unit exceeds the program decision envelope, when confidence falls below the floor, or when a policy clause is engaged.126m
Product and portfolio reviewStage Gate ReviewFund or stopVP InnovationHeld for a named human when the unit exceeds the program decision envelope, when confidence falls below the floor, or when a policy clause is engaged.618m
Product and portfolio reviewQuarterly Portfolio ReadLeader reviewDirector, R&D AnalyticsHeld for a named human when the unit exceeds the analysis decision envelope, when confidence falls below the floor, or when a policy clause is engaged.1813m
Product and portfolio reviewKill Signal EscalationLeader decideVP InnovationHeld for a named human when the unit exceeds the program decision envelope, when confidence falls below the floor, or when a policy clause is engaged.253m
Demand reviewMonthly Demand CyclePlanner reviewDirector, Demand PlanningHeld for a named human when the unit exceeds the forecast item decision envelope, when confidence falls below the floor, or when a policy clause is engaged.74m
Demand reviewWeekly Forecast CycleLeader callVP Revenue Growth ManagementHeld for a named human when the unit exceeds the forecast cycle decision envelope, when confidence falls below the floor, or when a policy clause is engaged.2857m
Demand reviewWeekly Forecast CycleLock commitVP Revenue Growth ManagementHeld for a named human when the unit exceeds the forecast cycle decision envelope, when confidence falls below the floor, or when a policy clause is engaged.1393m
Demand reviewForecast Accuracy ReviewLeader reviewDirector, Demand PlanningHeld for a named human when the unit exceeds the forecast item decision envelope, when confidence falls below the floor, or when a policy clause is engaged.1520m
Demand reviewBrand Health ReadLeader reviewVP BrandHeld for a named human when the unit exceeds the brand asset decision envelope, when confidence falls below the floor, or when a policy clause is engaged.1094m
Supply reviewSupply Plan CyclePlanner reviewDirector, Supply PlanningHeld for a named human when the unit exceeds the supply plan decision envelope, when confidence falls below the floor, or when a policy clause is engaged.452m
Supply reviewConstraint ResolutionEscalate costDirector, Supply PlanningHeld for a named human when the unit exceeds the supply plan decision envelope, when confidence falls below the floor, or when a policy clause is engaged.194m
Supply reviewForecast CollaborationNegotiateDirector, Supplier CollaborationHeld for a named human when the unit exceeds the commit decision envelope, when confidence falls below the floor, or when a policy clause is engaged.251m
Financial reconciliationRolling ForecastOwner confirmDirector, BudgetingHeld for a named human when the unit exceeds the budget line decision envelope, when confidence falls below the floor, or when a policy clause is engaged.476m
Financial reconciliationMonthly Revenue ReadRevenue chief reviewVP Revenue AnalyticsHeld for a named human when the unit exceeds the analysis decision envelope, when confidence falls below the floor, or when a policy clause is engaged.1188m
Financial reconciliationCost-to-Serve ReadLeader reviewVP Supply Chain StrategyHeld for a named human when the unit exceeds the network study decision envelope, when confidence falls below the floor, or when a policy clause is engaged.2457m
Financial reconciliationRate Card ReleaseLegal checkVP PricingHeld for a named human when the unit exceeds the price change decision envelope, when confidence falls below the floor, or when a policy clause is engaged.386m
Financial reconciliationRate Card ReleasePricing council approveVP PricingHeld for a named human when the unit exceeds the price change decision envelope, when confidence falls below the floor, or when a policy clause is engaged.399m
Pre-cycle reconciliationMonthly Planning CycleExecutive reviewVP Integrated Business PlanningHeld for a named human when the unit exceeds the planning cycle decision envelope, when confidence falls below the floor, or when a policy clause is engaged.1251m
Pre-cycle reconciliationMonthly Planning CycleDecisionsVP Integrated Business PlanningHeld for a named human when the unit exceeds the planning cycle decision envelope, when confidence falls below the floor, or when a policy clause is engaged.793m
Pre-cycle reconciliationScenario Stress TestLeader reviewVP Integrated Business PlanningHeld for a named human when the unit exceeds the planning cycle decision envelope, when confidence falls below the floor, or when a policy clause is engaged.1234m
Executive review and decisionPlanning Doctrine PositionRatifyVP Integrated Business PlanningHeld for a named human when the unit exceeds the planning cycle decision envelope, when confidence falls below the floor, or when a policy clause is engaged.2997m

How this cycle is put together

Assembled shape, real services

The six steps and the working-day calendar are an assembly, written here to put the estate into the shape a planning cycle actually runs in.

All 18 services named in the cycle resolve to a live row in the catalogue.

What the cycle would run on

0 of the 14 systems this cycle touches are returning records

A planning cycle is the most system-dependent thing in this estate …

plmelnerp-mmedwplanningcrmclmcpqmkt-automationweb-analyticserp-fibank-gatewaytaxtms

Why S&OP is the test

And not a queue

S&OP is the honest test of an agentic estate.

Actions

What is waiting on a person

What a planning cycle in this shape puts in front of a person.

Operations

What this desk is allowed to start

A surface that only reports is not operable.

Trigger and bound

6 steps over 17 working days, assembled from 18 real services in 6 functions.

Live observability

What the record shows right now

Human decisions by step.

Current distribution

21 decisions

1. Product and portfolio review419%
2. Demand review524%
3. Supply review314%
4. Financial reconciliation524%
5. Pre-cycle reconciliation314%
6. Executive review and decision15%

Is policy and strategy coming to fruition

Whether the written intent is holding here

Half. The cycle holds its shape and every decision in it has a name against it …

Not holding on the record

The written intent behind putting S&OP on this platform is that a planning cycle is the honest test of an agentic estate …

What this cycle is and is not

Nothing on this page is a live planning run.