SCM Champ: A Supply Chain Management Blog

SCM Champ: A Supply Chain Management Blog
Supply Chain Management: Its Not About Technology, Its About Economy

Monday, September 3, 2012

Supply Chain Operations Reference model (SCOR) Model

Supply Chain Operations Reference model (SCOR) model was first propounded by Supply Chain Council (SCC) in 1996. The Supply Chain Council now has closer to 1,000 corporate members worldwide and has established international chapters in North America, Europe, Greater China, Japan, Australia/New Zealand, South East Asia, Brazil and Southern Africa. Supply Chain Council's membership consists primarily of practitioners representing a broad cross section of industries, including manufacturers, services, distributors, and retailers.

The SCC's objective of introducing SCOR model was to assist its members to understand their supply chains, supply chain configurations, associated processes, activities, practices, workforce assets and improve their supply chain performance. SCOR model rests on four pillars:

  1. Performance; Metrics help to describe the performance of the supply chain
  2. Processes help explain how the supply chain is configured (what activities are taking place)
  3. Practices are unique ways to configure supply chain processes
  4. People; Assess needs, availability and gaps of skills in the supply chain workforce
 Each section consists of elements that have hierarchical relationships and have relationships with elements of the other sections. For example: Metrics are linked to processes, practices are linked to processes, skills are linked to processes. These relationships support the diagnostic analysis and root causing of performance gaps. SCOR is not only a process reference model, it is also a continuous process improvement methodology. The only drawback of SCOR is that it does not address sales and marketing (demand generation), product development, research and development, and some elements of post-delivery customer support.





Download SCOR quick reference guide

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