Supply Chain · Odoo glossary
Sales and Operations Planning (S&OP)
Sales and operations planning is a cross-functional process for agreeing a feasible business plan that balances demand, supply and financial objectives.
Definition
In general ERP practice
Sales and operations planning is a cross-functional process for agreeing a feasible business plan that balances demand, supply and financial objectives.
Sales, operations, purchasing and finance review forecasts, constraints and alternatives before management approves a shared plan. S&OP connects decisions across functions rather than merely generating a production schedule.
In Odoo
Odoo demand, inventory, purchasing and production data can inform the planning discussion. Define the review cycle, assumptions, approval responsibilities and agreed output; a master production schedule alone does not constitute the full S&OP process.
Practical example
If forecast demand exceeds capacity, the team can compare overtime, subcontracting, inventory changes or revised customer commitments and assess their financial effects before choosing a plan.
References and further reading
Primary references for the concept and its implementation context.
Related glossary terms
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