integrated business planning - blue ridge · 2018-05-02 · integrated business planning • a...

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INTEGRATED BUSINESS PLANNINGROD DAUGHERTY, Vice President, Product Strategy | Blue Ridge

SANTHOSH SRIRAMBHATLAVice President, Product Development | Blue Ridge

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INTEGRATED BUSINESS PLANNING (IBP)Configurable, long-range collaborative planning

2018 BLUEPRINT

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INTEGRATED BUSINESS PLANNING

Introduction/ Business Problem

How Does IBP Help?

Terminology

IBP Process Flow

What Is IBP?

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THE CHALLENGE

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INTEGRATED BUSINESS PLANNNING

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“THE DISCONNECT”

SALES

Maximize Revenue Minimize inventoryMaximize profitMinimize costs

Manage cash flow

$Typically by product family

UnitsTypically by SKU

$Typically by business unit

Current quarterCurrent year

Planning horizonFiscal year

2-5 year projection

OPERATIONS FINANCE

GOALS

UNITS OF MEASURE

FORECAST HORIZON

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WHAT IS IBP?Integrated Business Planning

• A formal process led by senior management that on a monthly basis, evaluates time-phased projections for new products, demands and resulting financials

• Is a decision-making process to ensure the tactical plans in all business functions and geographies are aligned and in support of the companies' strategy

• A Process to reach consensus on a single operating plan, which allocates critical resources to most effectively and profitably meet customer's needs

• Cross functional involving Top Management, Sales, Supply and Purchasing

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HOW DOES IBP HELP?Integrated Business

• Highlights imbalance between supply and demand

• Requires action to be taken

• Allocates resources effectively (people, facilities, equipment, materials)

• Meet customers needs

• Consider short and long term constraints

• Drives profitability

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INTEGRATED BUSINESS PLANNING

IBPIntegrated Business Planning

BUYERS&

OP COLLABORATIONDemand PlannerAccountability

VISIBILITY ACROSS ORGANIZATIONTeam work

Sales Growth

acco

untab

ility

Cost Reduction

Brand Manager

Supply Planner

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A FEW DEFINITIONSFORECASTING: An attempt to predict the future. In business, an attempt to predict demand and impact on resources (materials, labor, equipment, facilities, etc.).

DEMAND MANAGEMENT: Method of recognizing independent demand for goods and services. Users forecast, firm customers orders and other analysis to project and support market demands.

INTEGRATED BUSINESS: A process used to bring together functionally separate business groups to develop a consensus plan of record.

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IBP PROCESS FLOW IBP PROCESS FLOW

Scenarios

Resources

Performance Measures

START

Demand ReviewSupply Review

ProductReview

FinancialReview

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INTEGRATED BUSINESS PLANNING – A LIST OF TEMPLATES

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INTEGRATED BUSINESS PLANNING – EXECUTIVE EXCEPTIONS

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INTEGRATED BUSINESS PLANNING – SUPPLY PLAN

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INTEGRATED BUSINESS PLANNING – SALES MANAGER VIEW

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INTEGRATED BUSINESS PLANNING – BRAND MANAGER VIEW

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INTEGRATED BUSINESS PLANNING – EXPAND BRAND MANAGER VIEW

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INTEGRATED BUSINESS PLANNING – FINANCIAL VIEW

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INTERESTED IN IBP? CONTACT:

Greg.Huffman@blueridgeglobal.comJeff.Jatcko@blueridgeglobal.com