Chomping on the last bagel in the breakfast laid out on the conference room table,  the CEO stands up, stretches, and comments “Excellent presentation,  S&OP really drives change… cutting edge ideas…this will definitely work.”   The scene has been set.   Following lots of nods, another three million in cash is headed down the drain.

Does this sound familiar?  The launch of yet another change initiative triggered by a compelling presentation from external consultants, software vendor or even the latest best selling business book. However, after years of initiatives being unleashed on organizations, senior managers should understand that certain success factors must be in place to enable successful change.

1. Provide Strong Leadership

Sales and Operations Planning (S&OP) transformation initiatives are rarely sustainable unless they are led from the top.  There is a direct linkage between the success of a change management program and leadership capabilities.  An effective leader must demonstrate vision, courage & conviction

• A willingness to take both personal and business risks.
• A demonstrated commitment to change, not simply demanding it of others.
• Organizations such as Motorola and GE that have implemented exceptionally successful change programs include the development of key elements in their leadership training.

2. Develop a Compelling Vision

Developing a clear vision is important in making a culture change a reality.  With an inspiring vision, people can visualize exciting possibilities and begin to act in accordance with them.  Keeping the vision in the forefront of an organization’s thinking will ensure that energy and focus are sustained.

• What will the organization look like during and after the change program?
• Why should individuals and teams be engaged?
• What’s in it for them?
• What are the concerns that will emerge and how can they be addressed?

These are all critical questions that…

Each time I meet with a member of the Executive team at a client I am reminded as to how difficult and important change management is to successful S&OP.   And, almost without exception, Steelwedge customers look to us to assist in driving change management.  This reflects partly reflects the new world of Software-as-a-Service world we live in where people, process and technology are fully integrated.  But more importantly, it represents a milestone that Steelwedge has achieved which is that we have become a “trust adviser”  to the executive team.  They look to us for best practice expertise, widsom, lesson’s learned, and the kind of insights that only an outside team can provide.

Living up to this expectation can sometimes be challenging.  On one hand we have many constituencies inside an organization that need to be supported and nurtured, on the other hand, we sometimes need to be firm and direct when it comes to providing honest feedback.  In addition, it is easy for us to get wrapped up in the technology and forget that our broader mandate is to improve operations, drive change, and fulfill the unique S&OP mission set out by our sponsors.

In any case, transforming an organization from being silo-based, crisis-driven, spreadsheet-based, manual and sometimes rather unsystematic, into one that operates as an efficient whole — one driven by teamwork, cooperation, facts, analysis, and common objectives is never an easy objective.

It is for this reason that Steelwedge has recently established a Strategic Services team — there mission will be to assist our customers in driving change, instilling best practices, and ensuring project success.  This means moving well beyond a focus on technological success and examining S&OP adoption by all participants, effectiveness of the S&OP process, evaluation of S&OP outcomes, creation and management by metrics, and measuring…