Sales and operations planning for delivery date setting in engineer-to-order manufacturing: a research synthesis and framework

Sales and operations planning (S&OP) has emerged as a planning approach that integrates tactical level decisions across functions and supply chains while aligning day-to-day operations with long-term strategy through these decisions. The extant knowledge on S&OP has evolved primarily based on the needs of mass production contexts, and applications of S&OP in engineer-to-order (ETO) contexts have not been explored by previous research. Arguing that the cross-functionally coordinated planning enabled by S&OP can improve the effectiveness of the challenging and competitively critical tendering process, this paper develops an S&OP framework for the tactical planning process design to support delivery date setting in ETO contexts. The paper adopts a systematic literature review approach for identifying the main tactical planning activities managers in ETO companies should consider while designing the S&OP process and the information inputs required for performing and coordinating these planning activities. The identified planning activities and planning inputs are synthesised to develop the proposed S&OP framework for delivery date setting in ETO contexts. The proposed framework can support managers in assessing which tactical planning activities are strategically essential in their respective companies and redesigning or reconfiguring existing planning processes to address the planning needs of their environment.