GEON Performance Solutions is a global leader in plastic compounded solutions and the leading brand … [+] GEON Performance Materials When a company undergoes a digital transformation, the transformation should be based on an understanding of what they want to achieve. A transformation that is based on the idea that by putting in new applications the company will automate a process, or processes, and provide more and better data to make decisions, is a poor foundation for a true transformation. When companies want to digitally transform their supply chain capabilities, moving to an integrated business planning process (IBP) is often at the heart of the transformation. The roots of IBP are in sales & operations planning (S&OP). S&OP is usually a month-long cross functional process that involves five steps. The output from the monthly process is an updated plan that balances demand with supply over a 24-month time horizon. Ideally, IBP adds a stronger financial perspective to the process that in theory optimally balances customer service with profitability and even cash flow. The IBP Process Over Promises and Under Delivers Research by McKinsie concludes that all too often IBP is an ineffective process. “In a survey of 54 senior […]