What Is the Purpose of S&OP and What Takes Place

question 49

Essay

What is the purpose of S&OP and what takes place at the strategic, tactical, and detailed planning and control levels?

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Definitions:

Variance

A measure of the dispersion or spread of a set of data points around their mean value, indicating how much the data points differ from the average.

Standard Deviation

A calculation that quantifies the extent of deviation or spread within a group of data points.

Sample Variance

A measure of how datapoints in a sample are spread out from their sample mean, quantifying the extent of variation within the sample.

Kurtosis

A measure of the "tailedness" of the probability distribution of a real-valued random variable; high kurtosis indicates a distribution with heavy tails and a sharp peak, while low kurtosis indicates a flatter distribution.