- Our Process
- Transforming Business Operations with IBP Class A Proven Path
Background
In February 2021, our organization embarked on a transformative journey to achieve Class A status in Integrated Business Planning (IBP). Despite the challenges posed by the global pandemic, supply chain disruptions, and economic volatility, we were driven by the belief that reaching this milestone would significantly enhance our business operations and support future growth.
Challenges
At the onset of our journey, the business environment was fraught with major issues:
COVID-19 Global Crisis:
Worldwide lockdowns, food demand spikes, supply shortages, and travel restrictions.
Supply Chain Disruptions:
Raw material shortages, vessel booking scarcities, global container shortages, and price spikes.
Economic Volatility:
Increased VAT and unpredictable market conditions.
Initiative
Despite these hurdles, we launched the project by assembling a dedicated IBP leadership team. This team, comprising ambassadors from various functions, was tasked with ensuring the project's success. We established clear roles, responsibilities, and long-term expectations, and provided the necessary tools to support the initiative.
Key Objectives
The primary reasons for pursuing IBP Class A included:
Knowledge Sustainability:
Transitioning from a people-dependent setup to embedding information flow into our company culture.
Creating Successors:
Empowering middle management and fostering leadership development across the organization.
Improving Customer Service:
Enhancing service quality both internally and externally.
Efficient Strategy Delivery:
Maintaining an updated VGSM (Vision, Goals, Strategies, Measures) document.
Data Visibility:
Using IBP as a central hub for delivering strategic objectives.
Enabling Decision Making:
Facilitating faster and more efficient decision-making processes.
Implementation
We began with a maturity assessment to identify our starting point and gaps. Educational sessions with experts Dawn and Monte, coupled with Goody's unique setup and extensive coaching, enabled us to design and deploy our IBP cycle. Initially, the process was challenging, but through continuous learning and adaptation, it became an integral part of our operations.
Results:
By Q1-2022, the implementation of IBP Class A yielded significant benefits:
ADP as a Non-Event:
The Annual Decision Process became routine and seamless.
BIAS Improvement:
Forecasting bias improved by 10%.
Efficiency Gains:
192 man-hours saved per individual annually.
Enhanced Planning Capability:
Improved strategic and operational planning.
Focused Discussions:
Emphasis shifted to mid- and long-term planning.
Business-Wide Impact:
Positive effects across all areas of the organization.
Conclusion
Our journey to IBP Class A was marked by dedication and resilience. The collective efforts of our team and leadership were instrumental in overcoming challenges and achieving our goals. This transformation has not only enhanced our business operations but also positioned us for sustained success in the future.