Value Chain & Operations

Sales and Operations planning

Align demand and operational planning with scenario-based decision making to improve service level

How

SHAiPE: the LTPlabs framework

Set the Decision
- Define planning scope
  product, location, time horizon
- Clarify the decision level
  tactical or operational S&OP
- Identify the planning objective
  balance service, cost, and capacity across the planning horizon
Highlight what matters
- Define core decision drivers
  business priorities, demand drivers and supply constraints
- Align on strategic metrics
  service level, industrial cost, inventory levels
- Identify key trade-offs
  service, cost, capacity
Augment with AI
- Generate integrated demand and supply scenarios, ensuring trade off are taken with an economic mindset (overall cost minimization)
- Optimize plans, while considering constraints, policies and targets
- Enable what-if simulations
- Data
  Demand forecasts
  Production capacity
  Operational constraints
  Available stocks
  AI ModelOptimization module for Plan generation
  Results
  Operational plan
  Risks of shortages (overload or delay)
  Supplier needs
  Expected impact
Prototype your solution
- Run digital-twin tests against historical performance to calibrate
- Control plans execution, ensuring the alignment and validation of process stakeholders (commercial, production, financial and supply chain)
Expand to scale
- Integrate into S&OP cycles and governance, while connecting the solution with ERP and planning systems
- Train teams and embed new AI-process into decision routines
- Enable continuous scenario testing and plan updates

Nutshell

4pp

in service level

6,5%

in industrial costs

Improved service level through better alignment of demand and supply plans
Boosted operacional efficiency, both in improving OEE and reducing inventory and working capital
Faster planning cycles, with automated scenario generation, and more resilient plans
Improved cross-functional alignment between commercial and operational teams

Insights