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The purpose of this paper is to explore tactical planning in grocery retailing and propose how process and integration mechanisms from sales and operations planning (S&OP) can enhance retail tactical planning.

This work follows an explorative design with case studies from the grocery retailing industry in Finland, Norway, and the UK.

The tactical planning process focuses on demand management and securing product availability from suppliers in order to reach sales targets. Less attention is directed toward balancing supply and demand or toward providing a single plan to guide company operations. Planning appeared to be functionally oriented with limited coordination between functional plans, but it did include external integration that improved forecast accuracy.

The study involves grocery retailer cases with variable levels of S&OP maturity. The propositions need to be investigated further through action research or additional case studies to confirm their validity.

The study proposes a design of an S&OP process in retailing and propositions for improving tactical planning integration.

The study complements research on retail tactical planning by taking planning process and integration viewpoints. The research suggests that retailers would benefit from a formal and company-wide S&OP process to unify different market-oriented plans to a single set of numbers, thus better balancing supply and demand without sacrificing the emphasis on demand planning.

This study explores how information and communication technologies (ICT) can contribute to empowerment in an Industry 4.0 setting.

The results are based on a case study of a Norwegian manufacturing organisation that has highly automated production and an integrated ICT platform. Data analysis was guided by the Smith and Bititci (2017) framework for performance measurement and management.

When powered by advanced ICT, the performance measurement system matures. The design and development of the ICT platform also reinforce the organisation's existing performance management practices. Empowerment is strengthened when automated collection, analysis and reporting of performance data free up middle managers' time so that they, together with operators, can drive continuous improvement.

The findings are limited to a single case study and require further testing for transferability to other organisations. Future research should explore whether performance management practices are also reinforced by ICT in more command- and control-oriented organisations.

The paper suggests an alternative strategy of Industry 4.0 transformation for organisations committed to empowerment. Such organisations should rely on in-house, iterative ICT development and build digital competence broadly.

This article contributes to the understanding of how performance measurement and management are interrelated and evolve in the context of Industry 4.0. To the best of the authors’ knowledge, highlighting the role of middle managers in empowering operators through continuous improvement is novel in the performance measurement and management literature.