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Operations

S&OP

S&OP is a recurring alignment process that brings demand, supply, inventory, and financial targets into one plan.

Also known as

Sales and operations planning

Direct answer

What is S&OP?

S&OP is a recurring alignment process that brings demand, supply, inventory, and financial targets into one plan. Without one plan, marketing, purchasing, and finance optimize against each other. A lean S&OP process makes assumptions, constraints, and decisions transparent.

Practical example

A monthly review evaluates campaign uplift, supplier delays, and cash limits together before updating the purchasing plan.

What teams should remember

S&OP is a recurring alignment process that brings demand, supply, inventory, and financial targets into one plan.

Without one plan, marketing, purchasing, and finance optimize against each other. A lean S&OP process makes assumptions, constraints, and decisions transparent.