SCL HUB February 2018

1. L O N D O N 2 0 1 8
I B P D E S E R V E S G R E A T L E A D E R S H I P

2. GE RARD M.M. DE BRUIJN
B u s i n e s s L e a d e r I n t e g r a t e d P l a n n i n g
I B P D E S E R V E S G R E A T L E A D E R S H I P

3. Background Reason
No Leadership,
no Glory
The future today Good people leaveAvoidable costs
Realistic Strategy
and Goals
Right-sized
Organisation Questions

4. Integrated Business Planning ?
Assuring strategy realised without surprises
S&OP is stage 2 and 3:
 Balancing Demand and Supply
 Volume, Cost, Supply Chain and Internal fous
 Senior management
IBP is stage 4 and 5:
 Collaborate and Orchestrate
 Scrutinise the Strategy
 Align the Organisation
 Profit, Commercial and External focus
 Executive management required
20-1-2020
* in Fashion Retail IBP is (partially) called
Merchandise Planning & allocation>
4

5. MANAGEMENT
BUSINESS
REVIEW
Supply Point
Management
Supplier
Management
SUPPLY
REVIEW
Supply Chain
Management
Procurement Management
Market Management
Demand
Management
Sales
Management
DEMAND
REVIEW
Portfolio
Management
Project
Management
Resource
Management
PRODUCT
MANAGEMENT
REVIEW
OGSM
Sell what you have
planned
Plan what you sell
Consolidated By period
Detailed By week Balancing
Demand & Supply
to Control the short term
Integrated Business Planning
to manage the mid
and long term
Integrated
Reconciliation
Caring short and mid/long term deliver Strategy

6. 20-1-2020
6
Gartner 2: Anticipate
Gartner 3: Integrate
Gartner 4: Collaborate
Gartner 5:Orchestrate
Gartner 1: React
Executive level
Senior-management
level
S&OP/IBP Maturity Journey (where great Executive Leadership drives to)

7. Background Reason
No Leadership,
no Glory
The future today Good people leaveAvoidable costs
Realistic Strategy
and Goals
Right-sized
Organisation Questions

8. IBP does not bring full potential
When Executive Leadership:
Does not understand what is and how IBP
can bring them into Control
 Education on IBP and Coaching can solve this
Lacks the Capability to Lead
• Accept the limitations of your performance
• Struggling to decide and stay with your decision
• Communicate
20-1-20208
<even if processes and systems are in place>
35815986

9. IBP requires a high price
 Realistic Goal and a realistic Strategy
 A right-sized Organisation including the Board
 Clear, vulnerable and frequent Communication
 Decisive Executive Leadership
20-1-20209

10. IBP Leader can help
Bringing Executive Leadership in Control
They need to know what they don’t know
Creating Transparency and opening the eyes of the Board,
Reporting into the CEO
 Transferring Knowledge and Coaching
 Mastering the Business Issues
 Understanding the Strategy
 Temporary bridging Leadership gaps
20-1-202010
45310041

11. Coaching and Change Management
Review Effectiveness Questions
1. Compelling, Material and Strategic Issues
2. 70% of meeting focussing on 4-24 months
3. No unsourced stretch or sandbagging
4. Decisions made on business drivers,
not on functional drivers
5. At least 80% of critical issues are decided
6. Time phased assumptions
7. Everyone trust the numbers
8. What-if scenario’s
9. Execution of the Strategy
10. Clear action plan and Communication
11

12. Background Reason
No Leadership,
no Glory
The future today Good people leaveAvoidable costs
Realistic Strategy
and Goals
Right-sized
Organisation Questions

13. No Leadership, no Glory
20-1-202013
Great Leadership equips you realise Strategy
1. Strategic or material decisions are made today for an
uncertain future (brings the future in Today), otherwise
1. Taking no executive decisions or changing them
continuously result in ad-hoc isolated smaller decisions
with high impact and loads of avoidable costs
2. People feel not supported, over-stressed and the good
ones leave the company

14. Background Reason
No Leadership,
no Glory
The future today Good people leaveAvoidable costs
Realistic Strategy
and Goals
Right-sized
Organisation Questions

15. Bring the Future in Today
20-1-202015
74543866
18410799
24000212
48359907
Strategic or Material Decisions are made
today for an uncertain future
1. Mastery view of the future of the Portfolio, Category,
Consumer trends, and Demand outlook (plans behind
the numbers: what splits the Boys from the Men)
2. Healthy funnel with 3 years horizon for Product
Innovations and Terminations for radical innovations and
brand maintenance
3. Invest in future Production Technologies and Supply
Chains (Consumer Demand Driven or Commodity
Supply Driven: Make or Buy or License)
4. Focus on your core markets before expansion (Better
before Bigger)
5. Ambitious and realistic Goals

16. Key trends : Year & Season
1. MOODS Ladies Division
2. COLOUR FAMILIES s PRINTS s TEXTURES
3. SILHOUETTES s KEY DETAILS s OUTFITS
4. COLOURS OF THE SEASON
5. SUMMARY

17. 20-1-202017
Autumn / winter 2016

18. The new mix_ inspired by
spring.summer 2016

19. The new mix_ textured & fabrics
spring.summer 2016

20. 20-1-202020
Seasonal Fashion assumptions to be detailed by category

21. 20-1-202021
Let’s talk beer

22. Funnel with Stage & gate: e.g. How are we drinking beer in 5 years?

23. Let’s talk Ketchup

24. 20-1-202024
Every stage must be sufficiently filled to deliver in the future

25. 20-1-202025
18410799
What makes a good demand plan?
P1 P2 P3 P4 P5 P6 P7 P8 P9 P10 P11 P12 P13 Q5 Q6 Q7 Q8
Product
Mango/Passion launch
8k
HL
€16k
3.3 launch
Price
5% Price Increase
Retailer X
5% Price Increase
Channel Y
Place
Gain customer X listing
with 50% distribution
Increase distribution by
20% in customer Y
Promotion
1+1 promo – 8.6
5k HL
€15k
Volume Impact
5k
HL
Gross Margin Impact
€15
k
Mastery view of the Future

26. Background Reason
No Leadership,
no Glory
The future today Good people leaveAvoidable costs
Realistic Strategy
and Goals
Right-sized
Organisation Questions

27. 20-1-202027
No or changing decisions result in ad-hoc
isolated and costly consequences
1. No decision on reducing Demand because of Bias means
high unsellable stock, reduced profits, and inefficient
production
2. Changing decisions on launch timings result that
nothing is successful
3. Continue brand marketing instead of deal-making result
in deteriorating sales volumes and margins in (Asian)
regions outside your core markets
Avoidable Costs

28. 20-1-202028
Driving bias out results less overstocking, less OOS, avoidable costs
-30
-20
-10
0
10
20
30
Feb Apr Jun Aug Oct Dec Feb
% var
 Identify trends or quarter peaks, etc
 Is it “biased”?
 Are we improving?

29. Background Reason
No Leadership,
no Glory
The future today Good people leaveAvoidable costs
Realistic Strategy
and Goals
Right-sized
Organisation Questions

30. 20-1-202030
Over-stressed and not supported
1. Difficult to get good Demand Planners & Forecasters
2. Takes 3 years before a junior Demand Planner is at par
3. Mid-level managers don’t see any future in company
4. S&OP managers are mingled with IBP leaders and
expectation levels are not met
5. Put people first and you create happy customers
Good People leave

31. Background Reason
No Leadership,
no Glory
The future today Good people leaveAvoidable costs
Realistic Strategy
and Goals
Right-sized
Organisation Questions

32. 20-1-202032
Gartner 4 (Collaborate): IBP scrutinizes the
strategy and requires Executive Decisions
1. The bottom-up monthly IBP cycle produces a fact based
outlook for the future
2. The Strategy for grow defined 1/3 by acquisitions, 1/3
through New Business Development and 1/3 through
autonomous growth.
3. The latter is however too optimistic given:
a. 2% growth in recent years
b. no radical innovations in the Product Funnel
c. mismatch in sales approach for AsiaPacific
4. Central organisation instead of Country driven Demand
paralysed the entrepreneurship of the company
Realistic Strategy and Goals

33. Background Reason
No Leadership,
no Glory
The future today Good people leaveAvoidable costs
Realistic Strategy
and Goals
Right-sized
Organisation Questions

34. 20-1-202034
Gartner 4: Organisation follows Strategy and
brings down organisational costs with 20%
1. Only central coordination for support functions like
Finance, HR, R&D, Demand Forecasting
2. Plants oriented on dedicated Product Category Groups
3. Deleted a complete management layer
Right-sized Organisation
Count
ries
Coun
tries
Global
support
center
Coun
tries
Coun
tries
And no Regional offices
 Strategically driven
 Reshapes changing organisation

35. 20-1-202035
Any Questions?