Why Better Planning Unlocks Performance
We’ve established that the universal business problem is supply and demand (see my previous article on this topic).
I solve supply constraints. But what does that actually mean?
At its core, solving supply constraints is about one thing...
Finding the most effective way to utilise finite resources to meet customer requirements.
That requires a few fundamentals to be in place:
Management systems → Daily reviews, clear ownership, and feedback loops that make performance visible.
· Shift structures → Aligning hours of operation with demand patterns.
· Staffing availability → Ensuring the right capability and flexibility are on hand when it matters most.
· Understanding true capacities → Not just “what should be possible,” but what your lines, machines, people, or systems actually deliver.
· Lead time awareness → How long it really takes materials, suppliers, or processes to respond.
Together, these elements form the foundation for one of the most critical business functions:
Planning.
The objective of the plan is to deliver it as precisely and as accurately as possible.
Too often, we don't do that, because the plan is based on inaccurate information or we have a desire to change it.
With an effective plan, businesses can:
Match labour to actual workloads
· Order inventory at the right frequency and volume
· Balance cost with service levels
· Anticipate constraints before they hit the customer
And because the planning methodology is sound, it applies across industries and disciplines:
· In wholesale and distribution, it’s aligning warehouse throughput with inbound and outbound volumes.
· In manufacturing, it’s matching raw material lead times to production capacity.
· In human capital, it’s aligning resource planning to project demand.
The fundamentals are always the same:
1️⃣ Identify the finished good or service.
2️⃣ Break down the components, resources, and capabilities required to deliver it.
3️⃣ Define the true lead times to acquire and align those inputs.
4️⃣ Establish your planning horizon – time – and measure it against qualified and expected future demand.
Once this foundation is clear, decisions become simpler and far more effective.
Supply constraints aren’t solved by pushing harder.
They’re solved by structuring resources, systems, and planning so that capacity and capability align with customer demand.
When you get this right, you free up cash, reduce stress, and create a repeatable system that works regardless of industry.
So, the question for is:
👉 Have you mapped your resources, lead times, and planning horizons against demand?
Or are you still letting constraints dictate the outcomes for you?