S&OP (Sales and Operations Planning) is a business management process that helps companies balance their supply and demand. Think of it as a monthly meeting series where different departments (sales, operations, finance) come together to make sure the company is making the right amount of products at the right time. It's like a company-wide planning calendar that helps avoid making too much or too little of something. Companies use S&OP to make better decisions about inventory, production schedules, and sales targets. Similar terms include Integrated Business Planning (IBP) or Business Planning, which are newer names for the same basic idea.
Led monthly S&OP meetings for a $500M business unit
Implemented Sales and Operations Planning process across 5 global regions
Improved forecast accuracy by 25% through S&OP process improvements
Developed IBP framework aligned with S&OP best practices
Typical job title: "S&OP Managers"
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Q: How would you handle conflicting priorities between sales and operations teams in an S&OP process?
Expected Answer: A senior professional should discuss their experience in facilitating cross-functional meetings, using data to make decisions, and finding compromises that balance customer service with operational efficiency. They should mention specific examples of resolving conflicts.
Q: How have you improved an existing S&OP process?
Expected Answer: They should describe specific improvements they've implemented, such as reducing planning cycle time, improving forecast accuracy, or better aligning financial plans with operational plans. Look for mentions of measurable results.
Q: What are the key steps in a monthly S&OP cycle?
Expected Answer: Should be able to explain the basic monthly cycle: demand review, supply review, pre-S&OP meeting, and executive S&OP meeting. Should understand how each department contributes to the process.
Q: How do you measure the success of an S&OP process?
Expected Answer: Should mention key metrics like forecast accuracy, inventory levels, customer service levels, and production plan adherence. Should understand how these metrics impact business performance.
Q: What is S&OP and why is it important?
Expected Answer: Should be able to explain that S&OP is a process to balance supply and demand, and why it's important for business success. Should understand basic concepts of supply chain planning.
Q: What departments are typically involved in S&OP?
Expected Answer: Should identify key participants: Sales, Operations, Finance, Supply Chain, and sometimes Marketing and Product Development. Should understand why each department's input is necessary.