Henkel reimagined its S & OP to ride out pandemic
“ In the next five years , I see S & OP still being underexploited by many businesses ”
MARK LEVY , SUPPLY CHAIN PLANNING ADVISORY MD , KPMG
Henkel reimagined its S & OP to ride out pandemic
In the pandemic , German multinational consumer goods company Henkel reacted decisively to reimagine its sales and operations planning ( S & OP ) strategy within days of being hit by the first Covid shockwaves .
“ We introduced a new element in our S & OP process , whereby there was daily by-country management of capacity and demand ,” says Dirk Holbach , Henkel Chief Supply Chain Officer for Laundry & Home . “ Innovative thinking and entrepreneurial spirit are part of our DNA .”
The German chemical and consumer goods company is headquartered in Düsseldorf and employs around 53,000 people . It began life in 1874 , as the brainchild of a merchant who had a science obsession .
Henkel has three divisions . Henkel Beauty Care develops , produces and sells hair , body , skin and oral products that are available in 150 countries . Schwarzkopf is one of its noted lines .
Its Adhesives division , meanwhile , is a world leader in adhesives , sealants and coatings . Loctite is one of its household-name brands
And then there is its Laundry & Home Care unit – the cornerstone of the company ’ s success story . Today , it produces detergents for laundry and dishwashers , surface cleaners , and products for toilet care , as well as for insect control .
“ Being able to adjust our capabilities and processes is ingrained in the organisation ,” adds Holbach . “ It was a muscle that helped us a lot during the pandemic .”
" A key part of our pandemic effort was to empower our teams . We have invested heavily in talent and the tools to support people in their roles . Without the right investment in people development you can have the greatest system , the greatest footprint , or even the greatest technology but , at the end of the day , it will not yield the expected benefits over time .”
42 December 2022