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Best in Class Results
Companies with more frequent S&OP processes are experiencing better order fill results. As Figure 5 shows, the order fill rate of companies doing quarterly S&OP is worse than those companies with more frequent S&OP processes. Laggard companies were the companies that have order fill rate of 50% or lower. Industry average companies have order fill rate of 51%-90% and the Best in Class have fill rates greater than 90%.

Going from a monthly frequency to a weekly or lower frequency does not seem to result in better order fill rates. Interviews have revealed the following insights regarding this phenomenon. One main reason for the order fill rates not getting impacted is probably the safety stocks that are being kept to cover short term variability in demand. However by moving into a weekly frequency S&OP process does result in improved production resource utilization, better leveling of resources and lowered obsolescence. So moving towards a weekly frequency is recommended in cases where companies have limited production capacities and are looking to level the production and labor resources based on demand.

Siloed S&OP processes
S&OP processes continue to be driven by individual organizations in the majority of companies (83%) while only 17% of companies have cross functional teams. Supply Chain Operations is the single largest organization (43%) that runs S&OP processes. There is significant opportunity for change management programs to move towards cross-functional teams.

Organization	Automotive	Chemicals	Consumer durable goods	Consumer electronics	Consumer packaged goods	Food/ beverage
Sales	-	-	11%	17%	-	8%
Marketing	50%	-	-	17%	8%	15%
Supply Chain Operations	17%	71%	56%	17%	62%	54%
Manufacturing	-	29%	11%	17%	-	-
Procurement	-	-	-	-	8%	-
Finance	17%	-	11%	-	-	-
Collaborative team	17%	-	11%	33%	23%	23%

S&OP technology adoption
As shown in Figure 6, 41% of the companies surveyed reported that they are using spreadsheets for their S&OP solution. Nearly 30% of these companies have ERP solutions that are capable of doing S&OP demand and supply planning, but these companies have chosen to supplement with spreadsheets for their S&OP process. The main reasons cited by these companies are that their users are more comfortable using spreadsheets and that the ERP technology solution was too complex for them or does not provide adequate capabilities.

Although it is convenient to use spreadsheets, this strategy lends itself to multiple versions of the data and is rarely accurate or effective over the long term. This approach also does not lend itself to executive level inputs.