IBP helps sales and operations balance supply and demand.
It also gives HR managers the right clues about hiring and training.
Before buying any of these IBP automation tools, CFOs should ask themselves which IBP issues are crucial and which executives participate in solving them.
Next, determine how the current software portfolio helps meet IBP requirements.
The CFO will want to understand the latest strategies, what capital expenditures are required to implement them and how these expenditures impact the budget.
Best practice is to hold regular monthly meetings at which executives come together to review the sales plan (demand) for the next quarter and how that demand will be met (operations) and funded.
The CFO will also scrutinize the pay structure for sales staff -- their salaries and commissions obviously impact profitability -- and their turnover rates.
How long does it take to hire and train new sales reps? VPs of operations and manufacturing must ensure an adequate supply of goods and services to meet demand.
The CFO must take enormous interest in the various processes that comprise IBP and work closely with line executives.
Vice presidents of sales and marketing are responsible for managing demand for the product.