The Peculiarities of Sales and Operations Planning in Wholesale Trading Company
MAGAZINE №1 (78) February 2017
AUTHORS
KULAKOV V.M. - Manager of product distribution, LLC "IRWIN 2" (Moscow, Russia)
CATEGORY Modern concepts and technologies in logistics and SCM Supply chain planning
ABSTRACT
During the last fifteen years wholesalers faced a great number of challenges including the desire of manufacturing companies to establish direct contacts with clients, bypassing wholesalers, and weakening suppliers influence. So, wholesalers started to find the way out of this situation. Some companies have changed their development course and strategy, others began to look for internal reserves to overcome hardships and to restrict their business in order to adapt to new conditions. One of the universal methods that can improve the company efficiency is Sales and Operations Planning. Nowadays the S&OP implementation is one of the main trends in different branches of industry, such as FMCG, vertically integrated fields of heavy engineering, automotive and aircraft industry and some others.
Wholesalers are in need of the mechanism that would allow them to plan their activities for several months ahead, basing on the current business conditions in industry, market forecasts and the analysis of available resources. Considering the fact that the ability to respond to the demand for the wholesale company is of a crucial importance to provide stable further development of the company and increase the resource efficiency, Sales and Operations Planning process implementation seems to be extremely appropriate for the wholesale company.
The main features and prerequisites of the organization of Sales and Operations Planning for enterprises of wholesale trade are described in the article. The general algorithm the Sales and Operations Planning cycle for the wholesale company is also represented and the participants of the S&OP process and their roles are described. Furthermore, the peculiar features of Sales and Operations Planning for various supply chain configurations for the wholesalers are additionally discussed in the article.
Keywords:
Interaction between logistics department and other company's departments during customer service policy elaboration
MAGAZINE №1 (72) February 2016
AUTHOR DYBSKAYA V.V.
CATEGORY Logistics integration and coordination Logistics services Management
ABSTRACT
The article is devoted to the peculiarities of business units interaction developing a flexible customer service policy to provide logistics services. Logistic service represented by specific services, related to the material flow and logistic infrastructure use, is regarded as one of the customer service component.
The process of service policy elaboration carried out in close cooperation between logistics and other related departments of the company is presented in two forms. The overall structure of the procedure reflects the logic of service provision to customers by logistics department. Detailed presentation of each step in the procedure clarifies responsibilities of the departments prescribing implemented actions and expected results of each step. The procedure emphasis the focus on the system of logistics service development the base of which is an approach how to develop standards of logistics service. Standards of logistics service take into account the restrictions on the logistics service provision and are the basis for the calculation of logistics tariffs. The paper argues the necessity of time-totime analysis of the adopted customer service policy that can be changed not only by commercial departments, but also by logistics department being the result of logistics service activities optimization.
The specific attention of the article is paid to the examination of cross-functional interaction in the company of logistics provider during of the expansion of the logistics service system portfolio by innovative proposals. Not only step by step procedure of designing an innovative portfolio of logistics services, but also the management structure of the logistics provider is described.
Keywords:
