Introduction to SCOR Model

Atif N. Mughal
SCOR Model

“SCOR is an acronym for Supply Chain

Operations Reference model, which was
developed to assist business in
understanding, structuring, and evaluating
the performance of supply chains.”

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Origin

• The Supply Chain Operations Reference – model (SCOR) has

been developed and endorsed by the Supply Chain Council
(SCC) as the cross-industry standard for supply chain
management.
• The SCC was established in 1996 by Pittiglio Rabin Todd and
McGrath (PRTM) and Advanced Manufacturing Research
(AMR), and initially included 69 voluntary members.
• The SCC is an independent, not-for-profit, global corporation
with membership open to all companies and organisations.

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Origin (contd …)

• SCOR is a management tool; it is a process reference model for

supply chain management spanning from the supplier’s supplier
to the customer’s customer.
• By describing supply chains using process building blocks, the
model can be used to describe supply chains that are very simple
or very complex using a common set of definitions.
• SCOR uses the historical data of the supply chain to see how it
performs and develops, it defines five generic performance
attributes and three level of measures that the analysts can use.

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 Business Process
Reengineering: Capture the
present state of the process and
drive the desired future (to-be) state

Benchmarking: Calculate the

operational performance of similar
SCOR Reference companies and set internal targets
based on the best result
Model
Process Measurement:
Characterise the management
practices and software solution that
result in best performance

A process reference model integrates the well known concepts of

business process re-engiennering, benchmarking and process
measurement into a cross-functional framework 5
SCOR Process Model

• Standard description of management processes

• A framework of relationships among the standard processes
• Standard metrices to measure process performance
• Management practices that produces best-in-class performances
• Standard alignment to features and functionality

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SCOR Process Model

Once a completed management process is captured in Standard

Processs Reference Model Form, it can be:

• Measured, managed & controlled

• Implemented purposefully to achieve competitive advantage
• Tuned and returned to a specific purpose
• Described simply and communicated

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SCOR Process Model

• Processes that balance aggregate demand and supply to develop a course of

Plan
action which best meets sourcing, production, and delivery requirements

Source • Processes that procure goods and services to meet planned or actual demand

• Processes that transform product to a finished state to meet planned or actual

Make
demand

• Process that provide finished goods and services to meet planned or actual
Deliver
demand, typically including order, transport and distribution management

• Processes associated with returning or receiving returned products for any

Return
reason. These processes extend into post-delivery customer support.

• Processes being associated with the management of the supply chain such as
Enable
management of: business rules, performance, data, resources, facilities
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SCOR Process Model

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 SCOR Process
Model (contd …)

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Thank you