Wednesday, July 23, 2008

Importance of Collaborative Planning (CP)

Most of the industries have their various departments managing their shows on their own and for themselves. Manufacturing crew works for a production plan which utilises the available resources to most, with more number of longer batch runs and try to achieve new production records every month. Working in a motor manufacturing industry I have seen closely how one used to focus on efficiently producing maximum numbers and achieving targets set by manufacturing team, which were not most of the time exactly in line with organisation's targets. In similar fashion we used to see around us other departments like marketing, sales, supply chain working in their own island of comfort, remaining untouched from other

Going solo is not a workable solution in today's work environment, one need to have proper communication channel and portal for sharing information, exchanging point of views and reaching to a consensus plan. All the latest application providers today have this agenda in mind and thus most of them support collaboration.

An online collaborative work environment can be utilised for communication, alerts management and in decision makings. It in one hand where brings visibility to the organization, on the other hand the results of such an environment returns in form of increased profits, sales and service level.

Oracle's Oracle Collaborative planning module which is part of their APS offerings, has capabilities for internal as well as external collaboration. Internal collaboration provides multiple enterprise planning environment, where planning time can be reduced and pro-active actions can be taken during plans execution. External collaboration with suppliers provide information regarding incoming supplies plan, utilising which supply chain plans can be created. Two-way collaboration is beneficial to both the parties, as they with empowering information are in better state of managing operations.

http://www.oracle.com/applications/planning/SCC.html

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