Escolar Documentos
Profissional Documentos
Cultura Documentos
Models
Measurement of SCM
performance through Supply
Chain Operations Reference
(SCOR) model
1
Agenda
Foundations
Phase I: Opportunity identification
Phase II: Analyzing basis of
competition
Phase III: Designing Material flow
Phase IV: Implementation
Extending SCOR beyond Supply
Chain
2
Foundations
The roots lie in the Supply Chain council a
non-profit organization www.supply-chain.org
An initiative that had individuals from 69
leading companies (Compaq, Procter &
Gamble, Lockheed Martin, 3M, etc)
Focus: develop a supply chain process model
MISSION: Promote use of the SCOR Model through
development, research, conference events and
application in industry
Foundations
SCOR Model
Foundations
Organizational Support
Requires an Evangelist [Leader]
o Understanding of business domain
o Keen listener
o Can drive incremental as well as radical
change
Assess the
financial
performance
o Top line sales,
etc
o Bottomline
profits
Trousers
T-Shirts
Suits
Peter
England
Shirts
Trousers
T-Shirts
Blazers
Planet
Fashion
Multi Brand
Outlets
Exclusive
Brand Outlets
Factory
Seconds
outlet
External Facing
Internal Facing
Data in each Shareholder
scorecard Facing
Biz Unit I
Biz Unit II
Omit
Omit
Omit
Omit
10
Financial metrics
o Asset turns
o Gross margins
o Return on Assets
11
PRODUCT
Jeans
T-Shirts
Shirts
Jackets
Bags
Ordered
1512
1000
500
250
100
Picked
55
100
47
31
0
Despatche
d
1235
700
412
212
72
Pending
222
200
41
7
28
Order Fill
Rate
82%
70%
82%
85%
72%
13
14
15
16
17
External
Internal
Perf. Metric
OTIF
Supply Chain
Delivery reliability Perfect Order
Requirement
Supply Chain
Responsiveness Cycle time
Supply Chain
Upside SC
flexibility
Flexibility
COGs
96%
Total SCM costs 15.50%
Supply Chain Cost
SG&A costs
7%
Warranty/Return
Costs
0.70%
Cash-to-cash
197
Supply Chain Asset cycle time
Management
Inventory days
Efficiency
of supply
91
Asset turns
2
45 days
3 days
1 day
-31.5
29 days days
27.00%
3.90% -6.00%
10%
69%
9.50%
17%
35%
6.70%
9%
1.50%
1.00%
0.50%
1%
97.9
63.8
29.7
-99
74
2.5
37
4.7
7.0
-18
-1
18
20
Forecast or
replenishment
requirement from PLAN
23
Forecast or
replenishment
requirement
24
Two types
o Returns from customers (DRx)
o Returns to suppliers (SRx)
25
100
80
60
40
20
0
Disconnect
Analysis: Using
Fishbone
Diagram
Cause
Methods
Machinery
Re-design screen
Office Layout
New office
working
method
Training
Teamwork
Materials
Manpower
30
Trading Partner
Organization
Process
People-Jobs
Technology
Goals-Strategy
Design
Replenishment &
Cost & Service
purchasing
Priority
relationship
Competitive
Requirements,
Organizational
i.e. SAP
Structure
Measurement
Service Level
Agreement
Scorecard
Customer
Responsiveness TO BE processes,
[more efficient] leading practices
Defect Analysis
Annual
Performance
Job Scope &
Goals
Responsibilities Performance Appraisal
Screenshot
Technology
Storyline, detailed Uptime, response
Strategy
solution, etc
time
31
33