Filling the gaps in S&OP: Flexible techniques improve balance between sales and operations plans

摘要

Dealing with constraints is part of the daily routine at Phoenix-based On Semiconductor. Whether it involves creating demand scenarios or determining supply levels, numerous factors must be considered when moving goods down the supply chain. "During forecasting, we try to have the right amount of capacity, and also stage the right level of inventory," says Ravi Vancheeswaran, director of global customer service operations. "We create different demand scenarios to see the impact of constraints on supply. If we squeeze the back end, we starve the front end. So we must determine the right capacity to invest in across our 20 entities in the supply chain."