Roger Nessier comes to Steelwedge from Symphony Services where he was a founding executive and Vice President of Products and Services.  He grew Symphony from 80 to 4000+ people over eight years and has worked with over 300 software companies to deliver outsourced development, support, services and process consulting.  At i2 Technologies where he served as the Vice President of Development, he managed 150 team members in India, Canada and US, developing and deploying order management, marketplace and content solutions.

Roger is passionate about sports, especially snow skiing and bicycling. He has a strong interest in learning about other cultures and is an active member in a Vietnamese Cycling Club. He takes great pleasure in accomplishing feats such as bicycling from San Jose to the top of Mt Diablo and back. He often rides as much as 70 miles in a single day on weekends. Roger and his wife have been married for 19 years and live in San Jose.

Q. Why did you choose to join Steelwedge?

A. It is important for me to feel engaged and excited about the value my company provides for our customers, but also feel that I am doing something socially and environmentally responsible.  The Steelwedge solution appears simple in its approach, but the results it achieves for our customers are game changing.  I can’t say that about many trendy software products on the market.  Steelwedge’s solution is one of the rare software solutions that is able to satisfy both the capitalist and the environmentalist in me.  Working at Steelwedge I feel I am doing great things by reducing waste and fuel costs, but at the same time improving the bottom line for our customers!

Q. What best practices does Steelwedge employ to effectively and efficiently undertake customer adoption?

A. User adoption is a top priority for me and my Steelwedge colleagues, because our business is growing by word of mouth, and high adoption translates into great customer satisfaction.  We ensure high user adoption by carefully reviewing current business processes and ensuring that leveraging Steelwedge becomes a natural amplifier and extension of current processes. We also heavily emphasize leveraging customer super user evangelists to help spread the value Steelwedge provides so users are led to Steelwedge, not forced to use it.  Lastly, we ensure that the user experience is impeccable by making sure our solutions are always available, reliable and intuitive.

Q. What new process do you hope to employ to empower the Steelwedge Solutions team?

A. Our company has doubled in size over the past year, and with that growth we need to continue to ensure we are paying attention to the needs of our employees and satisfying their career objectives, so they can continue to drive high levels of customer satisfaction. Happy employees deliver happy customers.  As a smaller company, it was easy to give employees personalized attention without much thought to the processes for doing that, but as our company grows it is necessary to ensure we have formalized reward programs.  I am working with our HR organization to ensure we have frequent and material recognition of our exemplary team members.

Q.  What immediate changes (if any) will you apply to make the Steelwedge Support process stronger and more efficient?

A. My support team members have heard me say this often:  The journey is as important as the destination.  Our team members are very good at developing extremely creative solutions to difficult problems, but are sometimes remiss in frequently communicating progress.  I believe in over communication and giving updates even when there is no update.  I also believe that our customers appreciate it when we can develop a solution with minimal overhead to our customers, i.e. we quickly ascertain the challenge, investigate an approach and come back with a solution without our customer having to spend a lot of time explaining their issue.

Q. What steps will you take under your leadership to improve collaboration between solutions, implementation, development and support teams?

A. We are instituting an engineer rotation program to ensure our engineers are exposed, educated and empathetic to the challenges of other engineering departments.  For example, we are putting engineers that typically conduct support on engineering projects and have implementation engineers work to solve tricky challenges in support.  The benefits of this program are great for Steelwedge and great for our employees that are looking for a more varied work experience vs. what you get in the siloed departments of large companies.  It’s even better for our clients, who can be sure that all of Steelwedge is working as a team to solve any problems and come up with creative solutions.

Q. What are your thoughts on the work culture at Steelwedge?

A. I am very impressed with the teamwork here at Steelwedge and the willingness of various teams from different departments to work through a challenge to ensure that challenges are overcome and resolved. I am particularly impressed with the caliber of everyone comprising the Steelwedge family. There’s a lot to learn with this organization and plenty of opportunity for interesting interaction with many intelligent people.  I joined Steelwedge at an interesting period of its growth and I am glad to take part in the next phase of growth.

Register here!
What does Sales and Operations Planning (S&OP) mean to you and your company? Do you know if your demand and supply decisions are in sync with your organization’s strategic priorities? Is it possible to align your S&OP process with the big picture without getting bogged down with the many details in the “process”?

Sales and supply chain decision making is complicated – particularly in today’s era of demand volatility and complex, global supply chains. Every stakeholder in the sales, marketing, finance, and supply chain needs to be queried and considered. Forecasts and assumptions need to be checked, particularly when managers are used to relying on past performance and gut feel. You will likely find yourself spending long hours gathering the necessary data before you can even begin weighing the many sales and supply chain trade-offs at your disposal Is this the best way to spend your time? What if you could optimize the process so that you and your S&OP team can quickly and confidently determine the best way forward for your company?

Chris Turner, co-founder of strategy and change management consulting firm StrataBridge, is set to inspire us to stop fretting about process details and dive right into decision-making mode in a webcast entitled “Forget the S&OP Process … Start Making Decisions!” scheduled for Thursday, December 16 at 4:00 p.m. GMT. You can learn the answers to these questions and more when he teams up with John Sookias, Vice President of International Sales and Managing Director (EMEA) of Steelwedge, to discuss powerful ways to connect strategic planning with operational decision making.

In this webinar, you’ll discover how to view S&OP through a lens of the benefits to the business as opposed to the technicalities of the process. Explore the principles of “joined-up decision-making,” driven from where your organization is going, what it will take to get there, and the decisions it will need to confront along the way and learn how to establish “joined-up behaviors’” by making S&OP relevant to people.

This webinar will help you focus on the big picture of S&OP decision making and give you the tools to get buy-in from your executive team. Join our experts as they help you to save your sanity, increase your efficiency, and improve your bottom line!

Click here to register.

A multi-billion dollar global manufacturer is struggling. Two divisions of the company are at odds on how best to achieve world class forecast accuracy. Regional sales account representatives provide forecasts well above historical sales levels. Why? Because inventories made available to each country are insufficient to meet market demand. The result: predict more sales to try to influence supply decisions and receive a greater portion of supply for your region. One division has decided that a centralized approach is best and is no longer considering regional sales input. The other division is moving to a collaborative S&OP approach where regional input is requested, evaluated and incorporated in the overall plan.

Which method do you think will produce a better plan?
Which method will distribute limited resources better?
Which method will yield higher profitability?

Time will tell for this organization. Yet, we can make a prediction today. Experience would suggest that a well-designed, collaborative S&OP process will produce better results. Here’s how we look at how Top-Down and Bottom-Up S&OP drives better results.
1. Bottom-Up Inputs: Bottom-up forecasts are accumulated from many contributors. A distributed sales force may have hundreds or thousands of contributors. Each contributor has a specific area of expertise such as a specific customer, product or geographic area. The contributor enters her forecasts for her specific area of responsibility. Forecasts from all contributors are summed to capture an overall bottom-up forecast.
2. Top-Down Inputs: Top-down projections apply a more centralized view. A small number of forecasters will look at various inputs and generate forecasts. Influencing factors may include market data, economic indicators, and general product and customer trends.
3. Balancing Top-Down and Bottom-Up Forecasts: The beauty of top-down and bottom-up planning is their ability to look at the world from differing vantage points. The folks in the “ivory tower” know important information, but they don’t know everything. The folks in the field have keen insights into their unique areas, but they only see their small piece.

Recommendations:
1. Gather Objective Inputs: The collaboration challenge is to capture the small pieces without tainting the field forecaster’s view. In other words, don’t tell the field forecasters the top-down targets. When field forecasters are told what their forecasts are expected to be, they tend to send back values right in line with the top-down values. Such tainted bottom-up forecasts miss the point of gathering field intelligence.
2. Balance Inputs: An effective marriage will capture top-down and bottom-up forecasts separately.
3. Manage by Exception: Look for forecasts with the most significant (unit and/or revenue focused) difference between top-down and bottom-up forecasts. Is there an opportunity the field sees that the top-down approach did not capture? A management by exception S&OP tool will make comparisons quickly to enable users to analyze critical differences and refine the ultimate consensus driven forecast.
4. Provide Feedback: Tell forecasters how they’re doing. Measure forecast accuracy and bias. Track performance at various levels, including individuals. Forecasters who consistently over or under forecast (bias) should know that the organization knows. Such bias may be intentional or unintentional. Either way, behavior needs to change to produce reliable projections to which the organization can deliver.
S&OP really does lead to improved bottom-line results. Break down the walls of distrust and embrace collaboration.

Through the S&OP process, the organization sets a projected business level that balances expected sales and production capabilities with financial and inventory implications. The constrained demand plan reflects a demand plan aligned with the supply plan.

Do we need both?

Many companies find it useful to distinguish and track the gap between unconstrained and constrained demand plans. An increasing gap may indicate lost opportunity to realize sales that exceed current capacity. Companies should scrutinize unconstrained demand signals to verify demand is real versus “pie-in-the-sky”. Long term capital improvements aimed at increasing capacity need to be aligned with realistic projections of future demand.

Finally, the constrained demand plan feeds a consensus plan to which the organization agrees to execute. Our Sales and Operations VPs need to stop fighting and starting aligning. S&OP facilitates this necessary collaboration.

Reduce Surprises. Reduce Inventory. Improve Operational Efficiency. Increase Sales.

The SAS70 Audit is performed in two steps, each resulting in a report that’s issued by an independent and certified auditor.

The Type I Report describes the control objectives and controls that have been put in pace by the SaaS provider. The auditor renders an opinion on whether these objectives and controls are suitable for the type of operation the SaaA provider is offering. As Steelwedge’s controls and objective have been based on relevant ISO and COBIT guidelines, a positive SAS70 Type I report was easily issued in August 2009.

The Type II Report investigates actual compliance with Type I controls. In the Type II Report, issued to Steelwedge in January 2010, the auditor confirms Steelwedge’s adherence to established and documented industry standard processes. The auditor’s opinion was formed over a five month period through on-site visits, investigations and reviews.

The SAS70 audit offers piece of mind for our customers, knowing that their data is secure with Steelwedge. Our data center, our applications and our processes conform to the highest level of industry standards, and will continue to do so as Steelwedge continues to undergo Type II Audits in regular six month intervals.
Steelwedge customers and prospects alike can rely on the opinion of a certified and independent auditor to ensure compliance with their internal data and security needs. This eliminates the need to conduct individual custom audits, saving both time and money.

Steelwedge’s regular SAS70 Audits do more than simply check the box on the currently popular topic. As the business world evolves and security requirements continue to increase, Steelwedge empowers its customers to stay ahead of the curve.

Also, Business Continuity Planning (BCP) and Disaster Recovery Process (DRP) have increasingly gained significance over the last six to twelve months in the SaaS world. Companies continue to trust Steelwedge with their S&OP needs due to our ability to provide a rapid fail-over solution in the unlikely event of disaster, enabling them to continue to run their business on Steelwedge.

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 a powerful vision can address.

3. Ensure Team Commitment

• Whether it’s the CEO or department heads, committed managers are a key to successful change programs.
• Managers who only pay lip service to change are one of the swiftest ways to undermine transformation.
• Building a supportive team is an essential part of the early stages of any effort to restructure, re-design, retool or improve.  John Kotter, in his best-selling book Leading Change, refers to such a group as a “Guiding Coalition.”

John Kotter chose his terminology carefully.  The word “guiding” defines the group as one that will not actually be implementing change, but rather removing barriers and creating an environment where responsibility is spread throughout the business.  Any change program that will be sustainable must involve the full organization.

4. Build a Coalition

A “coalition” (from the Latin coalitus, meaning to grow together) is an alliance.  It is a group that has completely aligned objectives.  Putting in place a credible group that acts as one and drives change relentlessly is critical.

• Unfortunately, many senior teams struggle to act as a coalition, often pulling in different directions. The biggest threat to any change initiative is when this is done underhandedly, with leaders saying one thing in the boardroom but really challenging the decisions in the corridors. In a true coalition, there is not only unity of thought on the overall objective, but also an environment where differences of opinion on lesser issues can be aired constructively.

• Real change can be particularly threatening to managers. After all, they reached their positions by doing things in a certain way. At a fundamental level, senior people have to review their roles, responsibilities, attitudes, behaviors, personal leadership styles and above all – their relationships with each other.

• Some of this is uncomfortable. Experience shows that a true coalition will learn how to work through conflict to get a shared view as to the best way forward. Training and development play a critical role in facilitating this “growing together” of the coalition prior to launching any initiative.

• Middle managers need to be on board early. Directors have a key role to play in leading from the top, but the attitudes and behaviors of middle managers also are vitally important. During the initial stages of a change program, there can be a great deal of excitement and activity. Keeping middle managers fully informed can ensure there isn’t a feeling of being marginalized.

• An ignored manager can end up undermining and blocking the change progress. Process improvement teams with good local management support tend to go from strength to strength. Conversely, such teams fizzle out and have to be rekindled when managers aren’t interested or see teams as a threat to their role.

5. Identify and Train Change Facilitators

Engaging people throughout the organization in change activities is a departure from the old directive style of leadership. The best way to enable broad-based action through teamwork and securing the success of change teams is by trained facilitators. (The word facilitator comes from the Latin facere, meaning to make easy or simple.)  Armed with powerful tools of problem-solving and an ability to inject energy and enthusiasm, these individuals can be the catalyst of any change initiative. By seeking volunteers from the organization who, with training, can be capable and credible agents of change, the backbone of change will be in place.

Meanwhile back in the boardroom, the coffee has been cleared away and the meeting is beginning to wrap up. Then, one by one, board members begin asking questions:

• “How will we communicate this to the business?”
• “How can we engage our middle managers?”
• “Has anyone thought about how we can resource it with trained facilitators?”
• “What exactly do we expect this will achieve – what will the business be like in two to three years as a result?”
• “What capabilities will I need to develop to make this change program a success?”

6. Communicate and then Communicate Again

All organizations know that communication takes time and effort – but the investment is worthwhile.

It is critical for people to be reminded of the vision but also how far they have come. This helps maintain morale and belief in the change process. Positive evidence that things are changing will combat any cynics.

Communicate ten times more frequently than you think is necessary.

• Recent research shows that on average the total amount of communication going to an employee during a three-month period is 2.3 million words or numbers, transmitted in meetings, notice boards, bulletins, etc.
• The typical communication of a change vision during a period of three months is approximately 13,400 words or numbers.
• So on average the vision communication captured only 0.58 percent of the company communication market share – nowhere near enough.

Communication is not through words alone – it’s the dance and it’s music too. Clear messages are sent through actions. It never ceases to amaze that companies struggle to re-launch an improvement program after just having concluded a downsizing where change facilitators were first on the list to go.

7.  Measure Performance, Track Process, and Ensure Accountability

Ownership and Accountability is the key to any successful initiative.  While ownership requires empowerment, accountability requires the development and use of key performance metrics that enable everyone to monitor progress and identify bottlenecks.

So what’s next?  Time to finish breakfast and get to work on building your world class Sales and Operations Planning (S&OP) Process (S&OP Process)!

Note: This article was created based on work by Steelwedge (www.steelwedge.com), John Kotter, the Kaizan Group, the Six Sigma Institute and others.