Proposal of a model for sales and operations planning (S&OP) maturity evaluation

A successful S&OP implementation can bring many benefits to organizations, and after its implementation, the S&OP process can evolve and reach higher levels of maturity. Considering that, only through a measurement system, goals and benefits can be achieved, thus, it is essential to assess S&OP maturity level. Many papers on literature adopt a quantitative perspective on S&OP, but just few of them deal with uncertainty present in S&OP decision-making, such as maturity model assessment process that carries subjectivity and uncertainty. Thus, this study proposes a decision making model based on fuzzy theory to evaluate and to categorize S&OP maturity levels and to suggest strategies to increase S&OP maturity. A pilot application was conducted in two manufacturing organizations that have implemented the S&OP process. The results, according to the performance presented, suggest different actions must be taken in terms of ensuring enablers to S&OP implementation.

[1]  D. Tranfield,et al.  Producing a systematic review. , 2009 .

[2]  Philip B. Crosby,et al.  Quality Is Free: The Art of Making Quality Certain , 1979 .

[3]  Lauro Osiro,et al.  A fuzzy logic approach to supplier evaluation for development , 2014 .

[4]  Gerd J. Hahn,et al.  Value-Based Performance and Risk Management in Supply Chains: A Robust Optimization Approach , 2012 .

[5]  Stephan M. Wagner,et al.  The game plan for aligning the organization , 2014 .

[6]  Mike Gregory,et al.  The use of maturity models/grids as a tool in assessing product development capability , 2002, IEEE International Engineering Management Conference.

[7]  Robert LIN,et al.  NOTE ON FUZZY SETS , 2014 .

[8]  Mark C. Paulk,et al.  Capability Maturity Model for Software , 2001 .

[9]  Antonio Márcio Tavares Thomé,et al.  Complexity as contingency in sales and operations planning , 2014, Ind. Manag. Data Syst..

[10]  Alan L. Milliken Using Exception Management to Improve the Demand Forecast , 2011 .

[11]  Rudolf Kruse,et al.  Fuzzy Control , 2015, Handbook of Computational Intelligence.

[12]  B. Lantz,et al.  From knowledge to decision – a case study of sales and operations planning in health care , 2016 .

[13]  Riikka Kaipia,et al.  Contingency between S & OP design and planning environment , 2015 .

[14]  Dag Näslund,et al.  Framework for Measuring Performance of the Sales and Operations Planning Process , 2016 .

[15]  David Tranfield,et al.  Co‐producing management knowledge , 2004 .

[16]  Wen-Pai Wang,et al.  A fuzzy linguistic computing approach to supplier evaluation , 2010 .

[17]  Mark A. Moon Breaking Down the Barriers to Forecast Process Improvement , 2006 .

[18]  Riikka Kaipia,et al.  Sales and operations planning: responding to the needs of industrial food producers , 2014 .

[19]  Patrick Bower,et al.  12 Most Common Threats to Sales and Operations Planning Process , 2005 .

[20]  Larry Lapide,et al.  Sales and Operations Planning Part Iii: A Diagnostic Model , 2005 .

[21]  Jun-Zhong Wang,et al.  Advanced sales and operations planning framework in a company supply chain , 2012, Int. J. Comput. Integr. Manuf..

[22]  John E. Boyer,et al.  10 Proven Steps to Successful S&op , 2009 .

[23]  A. Scavarda,et al.  Sales and operations planning: A research synthesis , 2012 .

[24]  Antônio Márcio Tavares Thomé,et al.  A maturity model for demand-driven supply chains in the consumer product goods industry , 2016 .

[25]  E. H. Mamdani,et al.  An Experiment in Linguistic Synthesis with a Fuzzy Logic Controller , 1999, Int. J. Man Mach. Stud..

[26]  Patrik Jonsson,et al.  The potential benefits of advanced planning and scheduling systems in sales and operations planning , 2010 .

[27]  Richard Bellman,et al.  Decision-making in fuzzy environment , 2012 .

[28]  Sophie D'Amours,et al.  Simulation and performance evaluation of partially and fully integrated sales and operations planning , 2010 .

[29]  David F. Pyke,et al.  Sales and operations planning: an exploratory study and framework , 2007 .

[30]  Terry P. Harrison,et al.  Sales and operations planning in systems with order configuration uncertainty , 2010, Eur. J. Oper. Res..

[31]  Richard Pibernik,et al.  Customer-facing supply chain practices—The impact of demand and distribution management on supply chain success , 2012 .

[32]  Bernard Penz,et al.  A Simulation-Optimization approach for Managing the Sales and Operations Planning in the Automotive Industry , 2015 .

[33]  Francisco Rodrigues Lima Junior,et al.  A comparison between Fuzzy AHP and Fuzzy TOPSIS methods to supplier selection , 2014, Appl. Soft Comput..

[34]  Antônio Márcio Tavares Thomé,et al.  Sales and operations planning and the firm performance , 2012 .

[35]  André Thomas,et al.  A neural network for the reduction of a product-driven system emulation model , 2011 .

[36]  Francisco Rodrigues Lima Junior,et al.  A fuzzy inference and categorization approach for supplier selection using compensatory and non-compensatory decision rules , 2013, Appl. Soft Comput..

[37]  Hans-Jürgen Zimmermann,et al.  Fuzzy set theory , 1992 .

[38]  Francisco Herrera,et al.  A model based on linguistic 2-tuples for dealing with multigranular hierarchical linguistic contexts in multi-expert decision-making , 2001, IEEE Trans. Syst. Man Cybern. Part B.

[39]  Ramnath Ganesan Sales and Operations Planning , 2015 .

[40]  Witold Pedrycz,et al.  Fuzzy Systems Engineering - Toward Human-Centric Computing , 2007 .

[41]  Glynn Perry Toward Twenty-First-Century Pharmaceutical Sales and Operations Planning , 2001 .

[42]  Garth Boehm Report on the industry blend uniformity practices survey , 2001 .

[43]  N. Denzin Sociological Methods: A Sourcebook , 1978 .

[44]  Nils Brunsson My own book review : The Irrational Organization , 2014 .

[45]  Jan Olhager,et al.  Linking manufacturing strategy decisions on process choice with manufacturing planning and control systems , 2002 .

[46]  Stephen Eldridge,et al.  New product introduction and supplier integration in sales and operations planning:evidence from the Asia Pacific region , 2015 .

[47]  Larry Lapide,et al.  Sales and Operations Planning Part I: The Process , 2004 .

[48]  Cengiz Kahraman,et al.  Fuzzy Multi-Criteria Decision Making: Theory and Applications with Recent Developments , 2008 .

[49]  Raik Stolletz,et al.  Planning for ramp-ups and new product introductions in the automotive industry: Extending sales and operations planning , 2016 .

[50]  Wendy L. Tate,et al.  Sales and Operations Planning (S&OP): Insights from a multi-case study of Brazilian Organizations , 2016 .

[51]  S. D'Amours,et al.  The value of sales and operations planning in oriented strand board industry with make-to-order manufacturing system: Cross functional integration under deterministic demand and spot market recourse , 2008 .

[52]  José Geraldo Vidal Vieira,et al.  Estudo da logística de distribuição física de um laticínio utilizando lógica fuzzy , 2012 .

[53]  Saleem Abdullah,et al.  A new type of fuzzy normal subgroups and fuzzy cosets , 2013, J. Intell. Fuzzy Syst..

[54]  Jennifer Rowley,et al.  Conducting a literature review , 2004 .

[55]  Bernard Grabot,et al.  Sales and operations planning: the supply chain pillar , 2008 .

[56]  Graham R. Massey,et al.  The antecedents and consequence of functional and dysfunctional conflict between Marketing Managers and Sales Managers , 2007 .

[57]  Tonette S. Rocco,et al.  Taking the Next Step: Mixed Methods Taking the Next Step: Mixed Methods Research in Organizational Systems Research in Organizational Systems , 2003 .

[58]  J. Fontanella,et al.  The secrets to S&OP success , 2006 .

[59]  Joakim Wikner,et al.  Sales and operations planning in the process industry , 2017 .

[60]  Masoud Rabbani,et al.  Robust optimization approach to production system with failure in rework and breakdown under uncertainty: evolutionary methods , 2015 .

[61]  L. Lapide An S&op Maturity Model , 2005 .

[62]  Yu Zheng,et al.  Integrating production planning and maintenance: an iterative method , 2014, Ind. Manag. Data Syst..

[63]  John Mello,et al.  Antecedents to effective sales and operations planning , 2016, Ind. Manag. Data Syst..

[64]  Ignacio E. Grossmann,et al.  Data-Driven Simulation and Optimization Approaches To Incorporate Production Variability in Sales and Operations Planning , 2015 .

[65]  Larry Lapide,et al.  Top-Down & Bottom-Up Forecasting in S&op , 2006 .

[66]  Hans-Jürgen Zimmermann,et al.  Fuzzy Set Theory - and Its Applications , 1985 .

[67]  Z. Caner Taskin,et al.  Mathematical Programming-Based Sales and Operations Planning at Vestel Electronics , 2015, Interfaces.

[68]  D. Tranfield,et al.  Towards a Methodology for Developing Evidence-Informed Management Knowledge by Means of Systematic Review , 2003 .

[69]  L. Lapide S&OP: The Linchpin Planning Process , 2011 .

[70]  Bhaba R. Sarker,et al.  Aggregate production planning with learning effect and uncertain demand , 2015 .

[71]  Riikka Kaipia,et al.  A coordination framework for sales and operations planning (S&OP): Synthesis from the literature , 2014 .

[72]  Josefa Mula,et al.  Using systems dynamics to evaluate the tradeoff among supply chain aggregate production planning policies , 2014 .