We’ve entered an AI era where 76% of work can be augmented or automated. The IBP paradigm has hardly changed for 30 years, the decision needle has not moved enough.
However, only 3% of companies apply automated execution and 7% autonomous end to end planning. 2% of managers apply best practice decision methods. Hardly a recipe for improving planning & decision making.
The idea of Intelligent IBP is to close these planning, decision & execution gaps and grasp the opportunities that comes with it. In this manifesto I will introduce Intelligent IBP principles. Many which I’ve highlighted over the years in blogs and articles.
Introducing Intelligent IBP
Let’s start with a definition.
Intelligent IBP effectively combines human and machine strengths with good decision practices to consistently make timely, high-quality, horizon agnostic business decisions.
This definition should become clear once you go through the principles. These principles are a first guide around the WHAT not necessarily the HOW of Intelligent IBP. It will describe more of a new business model/approach, adaptions to the realities of todays world, using the possibilities of todays technology. These are ideas of enhancement, evolution, not replacement.
In the end, IBP is a philosophy, or belief system that strives for transparency, near perfect integration and alignment, both horizontal (between functions, BUs, even companies) and vertical (between strategy, planning and execution). This is impossible, however, we can achieve a critical mass of integration and alignment that creates benefits. And we sometimes already do.
I think it is time to update the IBP belief sytem to be more reflective of current times, technology & ways of working, and create a modern IBP vision.
New IBP principles can result in a updated belief system and an evolution of IBP that leads to the creation of new supporting operating models (Organizational design, processes, roles & responsbilities, incentives, measurem
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