Sales and Operations Planning FOR NORTH AMERICA
T K E L E VATO R G M B H 27. AUGUST 2020 | VICTORIA FRANK
T K E L E VATO R
Challenges
11 11 2 2
Demand for 11 different regions
Demand for 11 different elevator types
Demand for 2 different lines of business
| August 2020 | Sales and Operations Planning | TK Elevator GmbH | Victoria Frank
S&OP - the puzzle piece to link Sales and Operations Sales Sales S&OP
Operations
3
| August 2020 | Sales and Operations Planning | TK Elevator GmbH | Victoria Frank
Operations
T K E L E VATO R
F o r e c a s t To F u l f i l l – S a l e s & O p e ra t i o n s P l a n n i n g ( S & O P ) P r o c e s s
Understand our customers demand
Build scenarios to meet the demand
demand
supply
Keep the balance between demand and supply
4
| August 2020 | Sales and Operations Planning | TK Elevator GmbH | Victoria Frank
T K E L E VATO R
F o r e c a s t To F u l f i l l – S & O P P r o c e s s
SUPPLY REVIEW MC
S&OP ROUND
DEMAND REVIEW
• Alignment between forecasted demand and capacity/resources by component
• Top Management (Field and MFG) approval of the plan
• Review of forecasted bookings and shippings by product
1 mo
SUPPLY REVIEW CSC
PLM REVIEW
• Alignment between forecasted demand and capacity by Value Stream
• Review of new product launches and end of life products
FINANCIAL ASSESSMENT • Which financial impact do we expect?
Monthly S&OP cycle ensures a comprehensive planning every month
5
| August 2020 | Sales and Operations Planning | TK Elevator GmbH | Victoria Frank
T K E L E VATO R
S & O P c yc l e : c r o s s f u n c t i o n a l , b u s i n e s s w i d e fo r N o r t h A m e r i c a
6
| August 2020 | Sales and Operations Planning | TK Elevator GmbH | Victoria Frank
T K E L E VATO R
B u t h o w t o i m p l e m e n t a n d m a n a g e a p r o c e s s v a l i d fo r a n e n t i r e continent and business?
7
| August 2020 | Sales and Operations Planning | TK Elevator GmbH | Victoria Frank
T K E L E VATO R
M a n a g i n g S & O P w i t h t h e S c r u m f ra m e w o r k
T K E L E VATO R
S c r u m f ra m e w o r k
• Transparency
• Inspection
• Adaption to change
8
| August 2020 | Sales and Operations Planning | TK Elevator GmbH | Victoria Frank
Cross functional team
No onetime show
Continuous improvement
Time is the enemy
9
| August 2020 | Sales and Operations Planning | TK Elevator GmbH | Victoria Frank
Transparency
Length of the S&OP cycle
Deliver!
Change management
T K E L E VATO R
S&OP and Scrum – The similarities lead to opportunities
10
| August 2020 | Sales and Operations Planning | TK Elevator GmbH | Victoria Frank
T K E L E VATO R
Managing S&OP with the Scrum approach
11
| August 2020 | Sales and Operations Planning | TK Elevator GmbH | Victoria Frank
T K E L E VATO R
I t d o e s n ’ t h av e t o b e fa n c y – i t m u s t w o r k !
Detailed description can be found in my master thesis “Scrum as an agile method for increasing speed in the sustainable implementation of Sales and Operations Planning� 12
| August 2020 | Sales and Operations Planning | TK Elevator GmbH | Victoria Frank
T K E L E VATO R
D e r i va t i o n o f a S & O P i m p l e m e n t a t i o n m o d e l u s i n g S c r u m
13
| August 2020 | Sales and Operations Planning | TK Elevator GmbH | Victoria Frank
T K E L E VATO R
COVID- 19
Communication, Communication, Communication
Set up of reviews made the transition to a home office/remote set up of the S&OP cycle smooth and easy
Critical suppliers in the supply chain were added to the S&OP cycle
14
| August 2020 | Sales and Operations Planning | TK Elevator GmbH | Victoria Frank
T K E L E VATO R
How S&OP supports coordinate the COVID challenges?
Mon
Tue
Wed
01
Thu
02
Fri
03
Continous communciation through out the month
Send out regional data packages
06
Regional demand reviews
07
Regional demand reviews
08
PLM alignment (Product)
14
20
PLM alignment (Component)
21
North America Demand Review
10
MFG Finance Alignment
Consolidation by demand manager
13
09
15
22
Critical supplier
16
23
Supply review prep meetings MC
17
15
S&OP review & retrospective & planning
28
Supply review prep meetings CSC MFG Finance Alignment
24 S&OP round
Supply review
27
Smoothing of shipping forecast
29
| August 2020 | Sales and Operations Planning | TK Elevator GmbH | Victoria Frank
30
31
T K E L E VATO R
S&OP July 2020 – Monthly calendar ensures a good flow
Trello made it easy to convert our backlog into the digital world.
16
| August 2020 | Sales and Operations Planning | TK Elevator GmbH | Victoria Frank
T K E L E VATO R
I n t e g ra t i o n o f t h e d a i l y s c r u m i n t o t h e r e m o t e w o r k
T K E L E VATO R
Ta ke a w ay Scrum framework supports implementing and managing your S&OP cycle Scrum framework pushes continuous improvement for future S&OP cycles
A designated team is one of the key elements Running S&OP as an agile process enables the organization to react quicker to environmental changes
17
| August 2020 | Sales and Operations Planning | TK Elevator GmbH | Victoria Frank
Scrum framework is an appropriate tool for implementing and managing a complex, cross functional and critical business process like S&OP
T K E L E VATO R
Thank you for your attention!
18
| August 2020 | Sales and Operations Planning | TK Elevator GmbH | Victoria Frank