Supply Chain Operation

Reference Model (SCOR)Fernanda Castillo

AlmeidaBCM 2011

Introduction.

SCOR (Supply Chain Operation Reference) Model is a Process Reference Model developed by Supply Chain Council (SCC) .

SCC is an independent, not-for-profit corporation structured in 1996 by:

Started with 69 voluntary companies; now close to 1000 members.

The SCC Objective is to develop a standard supply-chain process reference model enabling effective communication among the supply chain partners by using:

Standard terminology .

Standard metrics.

Definition.

The Primary Use of SCOR: To describe, measure and evaluate supply chain configurations.

SCOR contains:• Standard descriptions of management processes• A framework of relationships among the standard processes• Standard metrics to measure process performance• Management practices that produce best-in-class

performance

Enables the companies to:• Evaluate and compare their performances with other

companies effectively • Identify and pursue specific competitive advantages• Identify software tools best suited to their specific process

requirements.

Definition.

SCOR covers:• All customer interactions, from order entry through paid

invoice.• All product (physical material and service) transactions, from

supplier’s supplier to customer’s customer, including equipment, supplies, spare parts, bulk product, software, etc.

• All market interactions, from the understanding of aggregate demand to the fulfillment of each order

SCOR does not attempt to describe every business process or activity, including:• Sales and marketing (demand generation)• Research and technology development• Product development

Basic Management Processes.

SCOR is Based on Five Distinct Management Processes:

Basic Management Processes.

Consists of Demand/ Supply planning and Management.Establish a relationship between resources and requirements. Plans the demand and supply chain and communicates the plan to the whole supply chain.Aligns the Supply Chain Management plan to the financial plan.Consists of scheduling deliveries, receiving the stock, verifying them and transferring the product respectively.

Schedules production activities, decides how much has to be produced, and it also deals with packaging, shipping, and finishing the product. 

Basic Management Processes.

For Example: handling customer inquiries, deciding the volume that has to be delivered. Contact with the customer.

Processes associated with returning or receiving returned products for any reason.

SCOR Model Levels.

Level 1.

Level 2.

Level 2 Process Categories.

P1: Plan Supply ChainP2-P5: Plan SCOR ProcessS1: Source Stocked ProductS3: Source Engineer-to-Order ProductS2: Source Make-to-Order ProductM1: Make-to-StockM2: Make-to-OrderM3: Engineer-to-OrderD1: Deliver Stocked ProductD2: Deliver Make-to-Order ProductD3: Deliver Engineer-to-Order ProductD4: Deliver Retail Product (New in Version 6.0)SR1/DR1: Return Defective Product (Source Return/Deliver Return)SR2: Source Return MRO Product (Maintenance, Repair and Overhaul) DR2: Deliver Return MRO Product SR3/DR3: Return Excess Product (Source Return/Deliver Return)EP, ES, EM, ED, ER: Enable corresponding SCOR Processes

SCOR Version 7.0 Level 2 Toolkit

Level 3.

Level 4 and bellow.

How to use SCOR Model.

How to use SCOR Model.

How to use SCOR Model.

How to use SCOR Model.

How to use SCOR Model.

SCOR Thread Diagram

Summary.

References.

SCOR 7.0 Overview Booklet http://www.torconsulting.com/downloads/scor7_overview.pdf

http://en.wikipedia.org/wiki/Supply-Chain_Operations_Reference

http://www.exforsys.com/tutorials/supply-chain/scor-model-process.html

About ARIS: http://www.changeware.net/esitteet/scor-faq.pdf