Organization and Data Management
- For a meaningful corporate planning system, the company needs
to be organized in hierarchical structures with respect to its products
(SKUís) and markets (or distribution channels), e.g.
A Market (Distribution) Hierarchy
planning (as opposed to strategic planning) is almost entirely carried
out at the grassroots level, namely at the SKU level for products
and the lowest distribution channel element (for demand planning).
These consolidate to provide macro plans. Macro targets are to be
allocated in a top-bottom across the lower hierarchy segments.
of Plans - Independent of the above business hierarchical structures,
an ABC hierarchy is important to see the consolidated result of
planning decisions. The percentage definitions of ABC (or AB) should
be flexible, and should be provided by the applied software.
Data Ė The
planning system must provide access to past data as per the defined
hierarchies, and should be able to store data on plans for the various
elements of the hierarchy.