Whether it is a big organization or a small business owner, integrated business planning (IBP) is known and appreciated everywhere. This is a management system which enables the businessmen and companies to take better decisions on the basis of current and future aspects. Anaplan approach has become attractive for everyone but small business organizations are taking it more seriously. Financial and management experts are now looking in deep in order to identify the true features of Anaplan IBP to promote the small business organizations and individuals.
A proven system indeed:
Since the origin of IBP concept, it has received numerous modifications and improvements. Basically, it is a part of Sales & Operations Planning. This system is commonly used in the industry to coordinate commercial sides with supply side of trade. In this way, IBP is now considered an updated form of Sales & Operations Planning. With the passage of time, it has converted the attention of business managers towards external corporate environments as well as internal functions with a demand of synchronization and alignment. IBP also deals with other key functions such as HR, IT, Logistics, Finance and R&D.
Use of IBP brings significant returns:
Companies and businessmen already utilizing this system are now able to get significant financial returns. Development of annual business plans and budgets is a critical phase for companies. Developers including the finance managers, marketing experts and policy makers always try to combine all favorable strategies dealing with consumers. They prefer to utilize a combination of strategies having potential to satisfy the consumers in order to create a direct impact on revenue growth.
Multiple advantages for managers:
As discussed above, the integrated business planning has been proven to offer highly competitive benefits to the users. Some of the significant benefits are as given below.
- Improved financial forecasting.
- Improvement in fill rates and customer service to boost revenue growth.
- Development of an efficient supply chain assisting to reduce the costs for consumers.
- Inventory development assists in perfect asset optimization.
- Balance sheets for short as well as long term profits.
- Improved inventory and demand planning satisfies the customers.
- End to end vision for the policy makers and implementers allowing the system to evaluate performance and its impact on revenue growth.
- Annual budgeting and planning process with a streamline.
What managers should do?
Now it is clear that IBP has ability to assist the users in various ways. It is necessary to focus on the perfect planning and budgeting helping the manufacturers to organize in a better way. With the passage of time, revenue growth demand will increase and certain actions would be required to make it happen. This situation creates lots of challenges for the manufacturers. These challenges could be internal as well as external. Dealing with both types of challenges is essential to pick the diamond from a competitive environment. Following practices should be adopted to tackle this situation.
- Proper implementation of integrated business planning system with the help of Anaplan.
- Complete synchronization and optimization of the manufacturing units with demand and supply chains.
- Understanding the consumer’s concerns while adjusting weights, prices and availability.
- Delivering the products to the consumers according to their expectations by maintaining quality and standards.
- Internal audits for a healthy and transparent production system.
These steps should be taken as soon as possible in order to bring your company or business to the top. It is recommended to take all these steps according to ground reality. It could be difficult for some manufacturers and small businessmen to take immediate actions in all aspects. As a matter of fact, it is really difficult that’s why it is suggested to bring significant changes step by step. New implementations should be introduced once previous policy or strategy has gained grounds completely. This will give you a real boost to start a new journey to improve the production systems and revenue growth.