Waste to Energy – A New Application for S&OP

Large Waste-to-Energy Corporation

Supply Chain Assessment and S&OP in a non-manufacturing environment that required full S&OP knowledge transfer as well as different thinking for this value chain

Business Challenges:
  • Pursue growth given stable, low growth market
  • Optimize processing of higher-margin, but more challenging waste types with more predictable, residential waste
  • Improve coordination and decision-making across functions, often with differing priorities
  • Manage over an intermediate planning horizon, not just the day-to-day
  • Improve underlying business processes that support S&OP
Project Challenge

Our client is a large player in the waste management and waste-to-energy market. Facing a slow growth energy market for its output energy to defined channels, the company is seeking to meet ever-growing market needs for clean waste disposal while pursuing growth and enhanced profitability.

The challenge with the high-growth commercial (special) waste market is that these waste types usually release more energy per ton than traditional municipal solid waste. This creates a need to plan and mix the special waste appropriately with the municipal solid waste to maintain stable energy delivery and work within the design limits of the processing waste boilers (incinerators).

While a few leaders had experience with S&OP from other industries, most did not, and only a few on the project team possessed some level of S&OP awareness, but no experience.


Nexview was selected to assist the company because of its experience particularly in non-manufacturing environments. We quickly applied our subject matter knowledge to this value chain, but also challenged the group that many challenges were not all that different! They had to plan demand, balance capacity and integrate financial planning in a way that aligned functions around as single set of plans over an appropriate planning horizon, and managed by a set of KPIs that were appropriate for the audience and level of discussion.

Working with the internal continuous improvement group, we completed an assessment of supply chain processes and functions, the management system, as well as the enabling information technologies.

The assessment showed that while the team had some elements of S&OP, there was not a complete overarching process that structured the management of the business. The assessment also showed organizational gaps for an S&OP team as well as gaps in metrics and supporting processes (particularly demand planning) relative to what happens in other industries with more mature planning processes.

We identified a seven figure benefits case for two pilot processing facilities based on enabling a higher-margin waste type mix through S&OP.


Our solution has given the team a structure for introducing new waste types and managing the waste portfolio as well as the traditional demand management, supply management, and cross-functional S&OP components. The design is also scalable from the pilot locations to roll-up the network of plants across the US and other countries. We worked with the client to launch the pilot and transition the roll-out to the internal consulting team.

Previous Project

Supply Chain and Customer & Product Profitability

Next Project

S&OP/IBP Applied to the Upstream Value Chain

See also
Approach & Differentiators
Case Studies
Nexview Online
Contact us about guiding your process

Contact us about guiding your process

© Nexview Consulting, LLC ® | Terms & Conditions, Privacy

Download our latest S&OP Maturity Model


See where your process falls on our scale and get some ideas to get to the next level!

Thank you for subscribing!