S&OP Is Dead. What’s Replacing It?

For decades, Sales and Operations Planning (S&OP) has been the backbone of supply chain management. It promised alignment across sales, operations, and finance, providing a structured framework for planning the future. But today, S&OP needs reinvention.

Why? The Divide Between Planning and Execution Has Disappeared

The emergence of agentic workflows, Sales and Operations Execution (S&OE), and mature control towers has made the traditional S&OP cycle feel slow, redundant, and out of touch.

This isn’t just an evolution—it’s a transformation. The processes and tools that once defined supply chain planning are being dismantled, replaced by systems that prioritize strategy and real-time execution.

Why S&OP Needs Reinvention

Traditional S&OP was built on static cycles:

• Monthly or quarterly reviews.
• Siloed data collection and reconciliation.
• Tactical adjustments to balance supply and demand.

But these cycles are too slow for today’s dynamic supply chains. Disruptions happen in real time. Markets shift overnight. Customers demand instant responsiveness. S&OP, with its reliance on periodic meetings and manual intervention, can’t keep up.

Here’s what’s driving the reinvention of S&OP:

1. S&OE Eliminates the Execution Gap

S&OP was designed to align decision-makers around critical planning decisions. But execution of these decisions was always the challenge. Today, S&OE bridges the gap between planning and execution:

• S&OE ensures that day-to-day operations align with strategic objectives in real time.
• It enables organizations to adjust dynamically to market shifts, disruptions, and opportunities.

By integrating execution into the planning process, S&OE makes the traditional S&OP cycle feel outdated.

2. Automation and AI-Driven Agentic Workflows Enable On-Demand S&OP

The promise of agentic workflows is transforming supply chain planning. These AI-powered systems autonomously handle disruptions, from rerouting shipments to adjusting production schedules. As a result:

• The overhyped concept of Planning Control Towers is finally maturing into a powerful tool for real-time response and decision-making.
• Today’s control towers don’t just visualize supply chain data—they prescribe actions and continuously learn from them.
• Planners are no longer buried in spreadsheets but oversee AI-driven systems that provide insights and ensure execution aligns with strategy.

3. The Shift Toward Strategy and Network Modeling

Planners are no longer just making tactical adjustments; they’re evolving into strategic architects. Their roles now focus on:

• Leading network modeling to optimize supply chain flows.
• Contributing to long-term decisions like market expansion, capacity planning, and sustainability.
• Leveraging AI-driven scenario simulations to shape the future rather than reacting to the past.

What Happens to Planners?

As S&OP evolves, planners aren’t being sidelined—they’re being elevated. But their role is changing dramatically:

• From Tactical to Strategic – Planners are no longer problem-solvers but architects of strategy and execution.
• From Support to Leadership – They are now guiding AI systems, defining strategic priorities, and driving transformation initiatives.
• From S&OP to S&OE – The focus is shifting toward real-time execution, ensuring operations align with broader business objectives.

This shift presents a significant opportunity for planners to take on more impactful roles within their organizations.

Is This the End of Traditional S&OP?

The traditional S&OP cycle no longer fits in a world of continuous disruption. The future of supply chain planning is emerging, and it looks like this:

• Strategy as the North Star – Planners will focus on long-term goals, network optimization, and transformation initiatives.
• S&OE as the Engine – Real-time execution systems will handle the day-to-day, seamlessly integrating planning and operations.
• AI-Driven Control Towers as the Backbone – These will connect strategy and execution, providing visibility and autonomous decision-making support.

Let’s Debate the Future of S&OP

This shift raises important questions:

• Is S&OP evolving in your company to stay relevant?
• What happens to organizations still relying on traditional S&OP cycles?
• Can planners successfully pivot from tactical support to strategic leadership?

Let’s discuss:

• Share your thoughts in the comments.
• Tag someone with strong opinions on this topic.
• Or DM me to explore how your organization is adapting to this new reality.

The reinvention of S&OP signals a new era for supply chain management—one defined by strategy, execution, and autonomous systems. Are we ready to embrace it?