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Parker Hannifin Up to Complex S&OP Challenge

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Company Working to Bring Standard Planning Process to more than 140 Decentralized Global Divisions; Insights from S&OP Expert Robert McAdoo.

 How do you create a successful Sales & Operations Planning process across a very large global company that has experienced rapid growth in the past decade, both organically and through acquisition, and operates using a decentralized business structure?

One division at a time, says Robert McAdoo, Vice President, Business Systems at motion and control technologies company Parker Hannifin, headquartered in the Cleveland, OH area. McAdoo has been working for several years toward rolling out an S&OP program across the $13 billion maker of valves, pumps and a whole lot more. Parker is a company that has more than 140 divisions, with a culture that is highly entrepreneurial and decentralized, strongly committed to Lean and continuous improvement, and very focused on keeping inventories low and customer service high.

McAdoo's real challenge became convincing each division leader that adopting S&OP will not weigh his or her business down with process overhead, but rather provide a powerful tool that will help them reach the division's objectives.

He said the goal of S&OP at Parker is simple: "To meet customer demands through the usage of the minimum amount of Parker's capacity." That's a clear and succinct message to send to business managers regarding what S&OP should be all about...Read more on SC Digest.

Last modified on Tuesday, 18 February 2014 15:27

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