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Adapting sales and operations planning to engineer-to-order complexity: a multifaceted information processing approach to managing uncertainty and equivocality

Author

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  • Shurrab, Hafez
  • Jonsson, Patrik

Abstract

Engineer-to-order (ETO) manufacturing firms face challenges in their sales and operations planning (S&OP) processes due to inherent environmental uncertainty and equivocality stemming from extensive customization and project complexity. These factors result in frequent resource allocation inefficiencies and delays in project execution. This study investigates how the S&OP process design is adapted to manage these complexities. We build a multifaceted theoretical framework to enrich organizational information processing theory (OIPT) with insights from contingency theory, the dynamic capabilities view (DCV), and socio-technical systems (STS) theory. Through a multiple-case study of four large ETO manufacturers, we explore how firms design their S&OP processes to achieve a fit between their information processing requirements (IPRs) and capacity (IPC).

Suggested Citation

  • Shurrab, Hafez & Jonsson, Patrik, 2026. "Adapting sales and operations planning to engineer-to-order complexity: a multifaceted information processing approach to managing uncertainty and equivocality," International Journal of Production Economics, Elsevier, vol. 298(C).
    • Handle: RePEc:eee:proeco:v:298:y:2026:i:c:s0925527326001143
    DOI: 10.1016/j.ijpe.2026.110023
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