OMP

January 30, 2023

S&OP for paper packaging manufacturers

OMP helps companies facing complex planning challenges to excel, grow, and thrive by offering the best-digitized supply chain planning solution on the market. Hundreds of customers in a wide range of industries—focusing on paper and packaging, consumer goods, life sciences, chemicals, and metals—benefit from using OMP’s unique Unison Planning™ concept.

Complete solution

OMP for Packaging is the leading supply chain planning solution for the paper packaging industry. Offering a user-friendly, comprehensive, and fully integrated production planning and control solution to shorten lead times, and guarantee order reliability all the while minimizing the cost of production. OMP delivers an extensive and fully integrated set of solutions for forecasting and S&OP, capacity planning, order promising, corrugator trimming, scheduling, transportation scheduling, shop-floor data collection, large displays, quality tracking, and management reporting.

Longer-term planning is now a must-have

Paper packaging manufacturers must continually evolve their products and services to their customers. As a long-term solution provider to the industry, OMP is also constantly broadening its offerings to help its customers excel at delivering the perfect order. We deliver solutions that enable our customers to be proactive in their short- and long-term planning, thus delivering a more stable plan for manufacturing execution, leading to higher efficiencies, less waste, and happy packaging buyers. Corrugator trimming and conversion scheduling are no longer enough of a differentiator in today’s competitive market. Packaging manufacturers, to remain competitive, must extend their planning horizon beyond the typical norm of hours and days, to weeks and months.

Industry first

OMP’s Forecasting and S&OP for paper packaging manufacturers, a first for the industry, enables our customers to gain control of their longer-term planning. S&OP is a planning activity that balances the commercial objectives of sales and marketing with operational capabilities and capacity. An optimal S&OP solution should not only balance sales with operations but also drive the business to target opportunities that generate healthy contribution margins all the while respecting customer service level agreements.

Paper packaging manufacturers operating multiple sites face tough decisions as to what plant should run what lines of business. With the shift to online shopping, the demand for carton boxes increased while the demand for new machinery can’t be met. As a result, paper packaging companies need to find ways to get more throughput on existing equipment. By implementing S&OP, these businesses can make decisions on the mission of each of their facilities, thus increasing consensus, profitability, and throughput. We like to call it value-based planning.

Boxmakers face a unique challenge when tackling an S&OP implementation. They manufacture thousands of different products for myriad customers. Trying to plan on a longer-term horizon using individual SKUs is just not practical. OMP’s S&OP solves this problem with an out-of-the-box solution.

The S&OP exercise includes decisions such as sourcing, capacity and resource allocation, inventory management, demand shaping, and incorporates the domains of supply, manufacturing, and distribution. Solving and evaluating such a wide array of cases requires a solution that enables comparison of different situations. The OMP Solution enables this evaluation through scenario management by volume as well as financial comparison.

Plan to succeed by planning ahead!

Peter is leading the business development efforts for mill products industries in the Americas with a special focus on the paper packaging industry.