Misconceptions, Missteps, and Bad Practices in S&OP, Part 3: Automating at the Expense of Judgment and Accountability

Chris Gray and John Dougherty

Foresight: The International Journal of Applied Forecasting, 2018, issue 48, 34-42

Abstract: In the previous two issues of Foresight, Chris and John discussed 11 common misconceptions, missteps, and bad practices in S&OP. Here in the final segment they emphasize the danger of excessive automation of the planning processes. This peril has at least two sources: one is the temptation to develop the supply plan (which attempts to ensure that overall resource capabilities are adequate to meet total market demand) by simply aggregating the detailed production schedules for individual items (a bottom-up approach); the second is to rely on advanced planning systems to the extent that requisite human judgment and leadership are marginalized. Copyright International Institute of Forecasters, 2018

Date: 2018
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