“IBP is the radar for icebergs”

“A lot of companies that claim to do Sales & Operations Planning are actually balancing just short-term supply and demand,” says Les Brookes, CEO of Oliver Wight. That’s why this consulting firm has developed Integrated Business Planning (IBP) a few years ago as a strategic model with long-term horizon. Now Oliver Wight has added Performance Benchmarking as a new service of their supply chain consulting.

According to Brookes companies behave like the Titanic. They see an iceberg coming, but it’s too late to react because of their short-term, mostly quarterly focus. ‘IBP is the radar that gives a company visibility of their horizon far ahead.  There are more icebergs and other things on the horizon. The model of IBP provides an overview of what the risks are. When companies are aware of long-term risks they can come up with a recovery plans. Looking only at the short-term you are limiting your options.”

Oliver Wight has introduced recently the improvement programme Supply Chain Design and Optimization, which leverages the total capability of a company’s extended supply chain in support of cost reduction, service excellence, minimized inventories at the most appropriate locations and a rapid, cost-effective response to the ever-changing needs of consumers. Taking account of matrix structures and local, regional and global challenges, Oliver Wight Supply Chain Design and Optimization is tailored to company’s specific needs. It will help identify and prioritise opportunities, and it provides a logical sequence of steps for a company to take towards a fully optimized supply chain, with measurable milestones along the way.

Oliver Wight uses performance benchmarking, for example on supply chain costs, to determine where a company is not optimal. The performance of a company is recorded against 128 criteria in online assessment tool.  Benchmarking the company’s performance against best-in-class, Oliver Wight Supply Chain Design and Optimization allows this company you to evaluate the existing design and capability of their supply chain and, using performance measures aligned with the business strategy, to drive sustainable ongoing improvement.