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Overview Presentation Supply Chain Operations Reference-model (SCOR). The SCC is an independent, not-for-profit, global corporation with membership open to all companies and organizations interested in applying and advancing state-of-the-art supply chain management systems and practices. - PowerPoint PPT Presentation
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June 2003June 2003 11
Overview PresentationOverview Presentation
Supply Chain Supply Chain Operations Reference-modelOperations Reference-model
(SCOR) (SCOR)
SCOR OverviewJuly 2004 2
• The SCC is an independent, not-for-profit, global corporation with The SCC is an independent, not-for-profit, global corporation with membership open to all companies and organizations interested in membership open to all companies and organizations interested in applying and advancing state-of-the-art supply chain management applying and advancing state-of-the-art supply chain management systems and practices.systems and practices.
• Over 800 Company Members Over 800 Company Members
• Cross-industry representation Cross-industry representation
• Chapters in Australia/New Zealand, Brazil, Europe, Japan, Chapters in Australia/New Zealand, Brazil, Europe, Japan, North America, Southern Africa, and South East Asia with North America, Southern Africa, and South East Asia with petitions for additional chapters pending.petitions for additional chapters pending.
•The Supply-Chain Council (SCC) has developed and endorsed the The Supply-Chain Council (SCC) has developed and endorsed the Supply Chain Operations Reference-model (SCOR) as the cross-Supply Chain Operations Reference-model (SCOR) as the cross-industry standard for supply chain managementindustry standard for supply chain management
SCOR OverviewJuly 2004 3
SCC Organization - Chapters and StaffingSCC Organization - Chapters and Staffing
Australia/New Zealand Chapter Australia/New Zealand Chapter Sydney, AustraliaSydney, Australia
Australia/New Zealand Chapter Australia/New Zealand Chapter Sydney, AustraliaSydney, Australia
South East Asia Chapter South East Asia Chapter SingaporeSingapore
Venture Inc.Venture Inc.
South East Asia Chapter South East Asia Chapter SingaporeSingapore
Venture Inc.Venture Inc.
Japan Chapter Japan Chapter Tokyo, JapanTokyo, Japan
NECNEC
Japan Chapter Japan Chapter Tokyo, JapanTokyo, Japan
NECNEC
SCC Global Headquarters SCC Global Headquarters Pittsburgh, Pennsylvania, Pittsburgh, Pennsylvania,
USAUSA
DisneyDisney
SCC Global Headquarters SCC Global Headquarters Pittsburgh, Pennsylvania, Pittsburgh, Pennsylvania,
USAUSA
DisneyDisney
EuropeEurope
Oslo, NorwayOslo, Norway
Modus MediaModus Media
EuropeEurope
Oslo, NorwayOslo, Norway
Modus MediaModus Media
Southern Africa Southern Africa Johannesburg, South AfricaJohannesburg, South Africa
UTiUTi
Southern Africa Southern Africa Johannesburg, South AfricaJohannesburg, South Africa
UTiUTi
North America North America ChapterChapter
North America North America ChapterChapter
Brazil ChapterBrazil Chapter
Effective 9/1/03Effective 9/1/03
Brazil ChapterBrazil Chapter
Effective 9/1/03Effective 9/1/03
SCOR OverviewJuly 2004 4
SCC Leadership TeamsSCC Leadership Teams
Australia/New ZealandOwens Global Logistics – C
Health Purchasing Victoria – VCOracle
RMIT UniversityMI Services
BHPEAN Australia
EuropeDiversey Lever– CSiemens AG – VC
Euro-ChainBomardier Tansportation
BASF AGBorealisSAP AG
Oracle EMEARhodia
Swiss Federal Institute of Technology
EDS UK and SA
South East AsiaVemture Corporation – C
Phillips CFT – VCModus Media
DeloitteSingapore Institute of Mfg. Technology
SCM InstituteAutoscan TechnologyPolyolefin Company
Asia Pacific BreweriesI2 Technologies
iPerintis Sdn Bhd
JapanNEC – C
JBC Create – VCMitsui Global Strategic Studies
Olympus OpticalEXA
Chubu Electric PowerJ.D. EdwardsNihon Unisys
HitachiHokkaido University
Matsushita Electric IndustrialYamaha
Toray Systems Center
Board of DirectorsDisney - CEaton - VC
DaimlerChrysler MOPARBusiness Process Training Center Europe
PeopleSoftI2 Technologies
Georgia Institute of TechnologyIBM
SCE LimitedICI Supply ChainPhillips Lighting
PRTMMcCormick & Company, Inc.
HPNorth America
Toys R Us - CRaytheon
IBM Adjoined Consulting
AviconBayer Chemicals
The Boeing CompanyCenter for Supply Chain Research / Penn State
Air Products and ChemicalsRaytheon
SAP
Elections PendingSouth Africa
Brazil
China
SCOR OverviewJuly 2004 5
MembershipMembership
Member by TypeMember by Type Members by RegionMembers by Region
800+ SCC members, 800+ SCC members, CompositionComposition
• 40%: Practitioners40%: Practitioners• 25%: Enabling Technology Providers25%: Enabling Technology Providers• 20%: Consultants20%: Consultants• 15%: Universities, Associations, Government 15%: Universities, Associations, Government
OrganizationsOrganizations
Europe
Japan
SEA
ANZ
USA/Canada/Mex
ROW
SAfrica
Practitioners
Software Vendors
Consultants
Non-Profits
SCOR OverviewJuly 2004 6
Current Technical ProjectsCurrent Technical Projects
C - Tom Phelps – HPV – Paul Schiller – BP Amoco
C- Lt Col Scott Koster (USMC)
Returns Returns
C- Michael Memmel - Siemens
MetricsMetricsMRO ReturnsMRO Returns
C- Joe Burak (Boeing)
SCOR Technical DevelopmentSteering Committee
Best PracticeBest Practice
C- Paul Janke (Nokia)
Supply Chain Operations Reference-Supply Chain Operations Reference-Model (SCOR) OverviewModel (SCOR) Overview
SCOR OverviewJuly 2004 8
Quantify the operational performance of similar companies and establish internal targets based on “best-in-class” results
Quantify the operational performance of similar companies and establish internal targets based on “best-in-class” results
Benchmarking
Characterize the management practices and software solutions that result in “best-in-class” performance
Characterize the management practices and software solutions that result in “best-in-class” performance
Best Practices Analysis
Process Reference Model
Capture the “as-is” state of a process and derive the desired “to-be” future state
Capture the “as-is” state of a process and derive the desired “to-be” future state
Business Process Reengineering
Capture the “as-is” state of a process and derive the desired “to-be” future state
Capture the “as-is” state of a process and derive the desired “to-be” future state
Quantify the operational performance of similar companies and establish internal targets based on “best-in-class” results
Characterize the management practices and software solutions that result in “best-in-class” performance
What is a process reference model?What is a process reference model?
Process reference models integrate the well-known Process reference models integrate the well-known concepts of business process reengineering, concepts of business process reengineering, benchmarking, and process measurement into a cross-benchmarking, and process measurement into a cross-functional frameworkfunctional framework
SCOR OverviewJuly 2004 9
Supplier
Plan
Customer Customer’sCustomer
Suppliers’Supplier
Make DeliverSource Make DeliverMakeSourceDeliver SourceDeliver
Internal or External Internal or External
Your Company
Source
SCOR is structured around five distinct SCOR is structured around five distinct management processesmanagement processes
SCOR Model SCOR Model
Return Return ReturnReturn Return Return Return Return
Building Block Approach
Processes Metrics
Best Practice Technology
SCOR OverviewJuly 2004 10
Cu
sto
mer
sC
ust
om
ers
Su
pp
lier
sS
up
pli
ers
P1 Plan Supply ChainP1 Plan Supply ChainPlanPlan
P2 Plan SourceP2 Plan Source P3 Plan MakeP3 Plan Make P4 Plan DeliverP4 Plan Deliver
SourceSource MakeMake DeliverDeliver
S1 Source Stocked ProductsS1 Source Stocked Products M1 Make-to-StockM1 Make-to-Stock
M2 Make-to-OrderM2 Make-to-Order
M3 Engineer-to-OrderM3 Engineer-to-Order
D1 Deliver Stocked ProductsD1 Deliver Stocked Products
D2 Deliver MTO ProductsD2 Deliver MTO Products
D3 Deliver ETO ProductsD3 Deliver ETO Products
S2 Source MTO ProductsS2 Source MTO Products
S3 Source ETO ProductsS3 Source ETO Products
Supply-Chain Operations Reference-model Supply-Chain Operations Reference-model (SCOR) 6.1 - Processes(SCOR) 6.1 - Processes
Return Return SourceSource
P5 Plan ReturnsP5 Plan Returns
Return Return DeliverDeliver
EnableEnable
D4 Deliver Retail ProductsD4 Deliver Retail Products
SCOR OverviewJuly 2004 11
SCOR BoundariesSCOR Boundaries
SCOR Spans:SCOR Spans:• All supplier / customer interactionsAll supplier / customer interactions
Order entry through paid invoiceOrder entry through paid invoice• All physical material transactionsAll physical material transactions
From your supplier’s supplier to your customer’s From your supplier’s supplier to your customer’s customer, including equipment, supplies, spare parts, customer, including equipment, supplies, spare parts, bulk product, software, etc.bulk product, software, etc.
• All market interactionsAll market interactions From the understanding of aggregate demand to the From the understanding of aggregate demand to the
fulfillment of each orderfulfillment of each order• ReturnsReturns
SCOR OverviewJuly 2004 12
SCOR Boundaries (cont’d)SCOR Boundaries (cont’d)
SCOR does not include:SCOR does not include:
• Sales administration processesSales administration processes
• Technology development processesTechnology development processes
• Product and process design and development processesProduct and process design and development processes
• Some post-delivery technical support processesSome post-delivery technical support processes
SCOR assumes but does not explicitly addressSCOR assumes but does not explicitly address
• TrainingTraining
• QualityQuality
• Information Technology (IT) administration (non-SCM)Information Technology (IT) administration (non-SCM)
SCOR OverviewJuly 2004 13
Material FlowMaterial Flow
SCOR Level 1
Operations Operations StrategyStrategy
Analyze Basisof
Competition
SCOR Level 2
Configuresupply chain
AlignPerformance
Levels, Practices, and
Systems
Implementsupply chain
Processes and Systems
Implementsupply chain
Processes and Systems
SCOR Project RoadmapSCOR Project Roadmap
•Competitive Performance Requirements•Performance Metrics•Supply Chain Scorecard•Scorecard Gap Analysis•Project Plan
•AS IS Geographic Map•AS IS Thread Diagram•Design Specifications•TO BE Thread Diagram•TO BE Geographic Map
InformationInformationand Work Flowand Work Flow
•AS IS Level 2, 3, and 4 Maps•Disconnects•Design Specifications•TO BE Level 2, 3, and 4 Maps
Develop, Develop, Test, and Roll Test, and Roll
OutOut
•Organization•Technology•Process•People
SCOR Level 3
SCOR OverviewJuly 2004 14
Mapping material flowMapping material flow
Latin AmericanLatin AmericanSuppliersSuppliers
(D1)(D1)
WarehouseWarehouse
Other SuppliersOther Suppliers(D1)(D1)
ManufacturingManufacturing
European SupplierEuropean Supplier(S1)(S1)
(SR1,SR3)(SR1,SR3)
C ustom er
C ustom er
C ustom er
C ustom er
(S1, D1)(S1, D1)(SR1,DR1,DR3)(SR1,DR1,DR3)
(D2)(D2)(DR1)(DR1)
WarehouseWarehouse
WarehouseWarehouse
WarehouseWarehouse
(S1, D1)(S1, D1)(SR1, DR3)(SR1, DR3)
(S1, D1)(S1, D1)(SR1,DR1,DR3)(SR1,DR1,DR3)
(S1, D1)(S1, D1)(SR1,DR1,DR3)(SR1,DR1,DR3)
(S1)(S1)(SR1,SR3)(SR1,SR3)
(S1)(S1)(SR1,SR3)(SR1,SR3)
(S1)(S1)(SR1,SR3)(SR1,SR3)
(S1, S2, M1, D1)(S1, S2, M1, D1)(SR1,,DR1)(SR1,,DR1)
SCOR OverviewJuly 2004 15
Mapping the execution processesMapping the execution processes
S1S1
D1D1 S1S1
M2M2S2S2 D2D2
M1M1 D1D1 S1S1
S2S2
D1D1M1M1
European European RM SupplierRM Supplier
European European RM SupplierRM Supplier
Key Other Key Other RM RM
SuppliersSuppliers
Key Other Key Other RM RM
SuppliersSuppliers
Alpha Alpha RegionalRegional
WarehousesWarehouses
S1S1
DR1DR1 SR1SR1
DR1DR1 SR1SR1 DR1DR1 SR1SR1
DR3DR3 SR3SR3
RM RM SuppliersSuppliers
DistributorsDistributorsALPHAALPHA
DR3DR3 SR3SR3
S1S1
AmericasDistributors
AmericasDistributors
SR1SR1
SR3SR3
SCOR OverviewJuly 2004 16
Identifying Plan ActivitiesIdentifying Plan Activities
Consumer
P2P2P2P2
PP44
PP44
P3P3P3P3
PP44
PP44
S1S1 D1D1 S1S1
PP22
PP22
P2P2P2P2
PP33
PP33
PP44
PP44
M2M2S2S2 D2D2
M1M1 D1 S1S1S2S2D1D1
M1M1
European European RM SupplierRM Supplier
European European RM SupplierRM Supplier
Key Other Key Other RM RM
SuppliersSuppliers
Key Other Key Other RM RM
SuppliersSuppliers
S1S1
Alpha Alpha RegionalRegional
WarehousesWarehousesRM RM
SuppliersSuppliersDistributorsDistributorsALPHAALPHA
P1P1P1P1
P1P1P1P1
P1P1P1P1
SCOR OverviewJuly 2004 17
Performance Attribute
Performance Attribute Definition Level 1 Metric
Supply Chain Delivery Reliability
The performance of the supply chain in delivering: the correct product, to the correct place, at the correct time, in the correct condition and packaging, in the correct quantity, with the correct documentation, to the correct customer.
Delivery Performance
Fill Rates
Perfect Order Fulfillment
Supply Chain Responsiveness
The velocity at which a at which a supply chain provides products to the customer.
Order Fulfillment Lead Times
Supply Chain Flexibility
The agility of a supply chain in responding to marketplace changes to gain or maintain competitive advantage.
Supply Chain Response Time
Production Flexibility
Supply Chain Costs The costs associated with operating the supply chain.
Cost of Goods Sold
Total Supply Chain Management Costs
Value-Added Productivity
Warranty / Returns Processing Costs
Supply Chain Asset Management Efficiency
The effectiveness of an organization in managing assets to support demand satisfaction. This includes the management of all assets: fixed and working capital.
Cash-to-Cash Cycle Time
Inventory Days of Supply
Asset Turns
Linking Supply Chain Performance Linking Supply Chain Performance Attributes and Level 1 MetricsAttributes and Level 1 Metrics
SCOR OverviewJuly 2004 18
Customer-Facing
SCOR Level 1supply chain Management
Assets
Supply Chain Reliability
Cost Responsiveness
Delivery performance Fill rate Perfect order fulfillment Order fulfillment lead time Supply Chain Response Time Production flexibility Total SCM management cost Cost of Goods Sold Value-added productivity Warranty cost or returns processing cost Cash-to-cash cycle time Inventory days of supply Asset turns
Internal-Facing
Level 1 Performance MetricsLevel 1 Performance Metrics
Flexibility
SCOR OverviewJuly 2004 19
Supply Chain Scorecard & Gap AnalysisSupply Chain Scorecard & Gap Analysis
50%
$30M Revenue
$30M Indirect Cost
35 days
97 days
0%
63%
Supply Chain SCORcard Performance Versus Competitive Population
Overview Metrics SCOR Level 1 Metrics Actual Parity Advantage Superior Value from ImprovementsDelivery Performance to Commit Date 85% 90% 95%
Fill Rates 94% 96% 98%
EX
TE
RN
AL
SupplySupplyChainChainReliabilityReliability
Perfect Order Fulfillment 80% 85% 90%
Order Fulfillment Lead times 7 days 5 days 3 days
Flexibility
Responsiveness
Production Flexibility 30 days 25 days 20 days
Total SCM Management Cost 19% 13% 8%
3%
INT
ER
NA
L Cost Warranty Cost NA NA NA NA NA
Value Added Employee Productivity NA $156K $306K $460K NA
Inventory Days of Supply 119 days 55 days 38 days 22 days NA
AssetsCash-to-Cash Cycle Time
196 days 80 days 46 days 28 days
Net Asset Turns (Working Capital) 2.2 turns 8 turns 12 turns 19 turns NA
Supply Chain Response Time 82 days 55 days 13 days
45 days
$7 M Capital Charge
Key enabler to cost and asset improvements
$30M Revenue
SCOR OverviewJuly 2004 20
S1S1 D1D1 S1S1
M2M2S2S2 D2D2
M1M1 D1D1 S1S1
S2S2
D1D1M1M1
S1S1
Cycle TimeCycle Time
ScheduleScheduleAchievementAchievement
Perfect OrderPerfect OrderFulfillmentFulfillment
DeliveryDeliveryPerformancePerformance
SupplierSupplier on time deliveryon time delivery
Perfect OrderPerfect Order FulfillmentFulfillment
SupplierSupplier on time deliveryon time delivery
Perfect OrderPerfect Order FulfillmentFulfillment
On TimeOn Time
In FullIn Full
DocsDocs
DamageDamage
On TimeOn Time
In FullIn Full
DocsDocs
DamageDamage
RevenueRevenueAccounts ReceivableAccounts Receivable
Cash FlowCash Flow
Decomposing MetricsDecomposing Metrics
European European RM SupplierRM Supplier
European European RM SupplierRM Supplier
Key Other Key Other RM RM
SuppliersSuppliers
Key Other Key Other RM RM
SuppliersSuppliers
ConsumeConsumerr
Alpha Alpha RegionalRegional
WarehousesWarehousesRM RM
SuppliersSuppliersConsumerConsumerALPHAALPHA
SCOR OverviewJuly 2004 21
ConsumeConsumerr
RM RM SuppliersSuppliers
S1S1 D1D1 S1S1
M2M2S2S2 D2D2
M1M1 D1D1 S1S1
S2S2
D1D1M1M1
S1S1
Cycle TimeCycle Time
ScheduleScheduleAchievementAchievement
Perfect OrderPerfect OrderFulfillmentFulfillment
DeliveryDeliveryPerformancePerformance
SupplierSupplier on time deliveryon time delivery
Perfect OrderPerfect Order FulfillmentFulfillment
SupplierSupplier on time deliveryon time delivery
Perfect OrderPerfect Order FulfillmentFulfillment
On TimeOn Time
In FullIn Full
DocsDocs
DamageDamage
On TimeOn Time
In FullIn Full
DocsDocs
DamageDamage
RevenueRevenueAccounts ReceivableAccounts Receivable
Cash FlowCash Flow
Perfect OrderPerfect Order Fulfillment Fulfillment Actual - 85%Actual - 85%
Perfect OrderPerfect OrderFulfillmentFulfillmentGoal – 95%Goal – 95%
ScheduleScheduleAchievementAchievementActual – 95%Actual – 95%
Perfect OrderPerfect Order Fulfillment Fulfillment
Actual – 90%Actual – 90%
DeliveryDeliveryPerformance Performance Actual – 99%Actual – 99%
SupplierSupplier on time deliveryon time delivery
Actual – 85%Actual – 85%
MetricsMetricsConflictConflict
InventoryInventory
Under-performanceUnder-performance•ProcessProcess•SystemsSystems
Under-performanceUnder-performance•ProcessProcess•SystemsSystems
Performance MeasurementPerformance Measurement
ConsumeConsumerr
Alpha Alpha RegionalRegional
WarehousesWarehousesRM RM
SuppliersSuppliersConsumerConsumerALPHAALPHA
European European RM SupplierRM Supplier
European European RM SupplierRM Supplier
Key Other Key Other RM RM
SuppliersSuppliers
Key Other Key Other RM RM
SuppliersSuppliers
SCOR OverviewJuly 2004 22
Implementation IssuesImplementation Issues SCOR ImplementationsSCOR Implementations
• Vary in scope and objectiveVary in scope and objective Green FieldGreen Field Distribution analysisDistribution analysis Planning ImprovementsPlanning Improvements Change Management / COTS-Consultant SelectionChange Management / COTS-Consultant Selection
How to conduct an ROI evaluationHow to conduct an ROI evaluation Senior Management support vs. Middle Manager resistanceSenior Management support vs. Middle Manager resistance Project timelinesProject timelines
• BenchmarkingBenchmarking• ImplementationImplementation
ToolsTools
SCOR Overview
July 2004 23Information Systems Inputs and Outputs
Move toTruck
Mfg Pro
Legend
Plan Infrastructure
P0. 1Perform Make/ Buy
Deci si on Making
P0. 2Reconfigure t he
Supply Chain
P0. 3Perform Long Term
Capaci ty and ResourcePl anni ng
P0. 4Perform Business
Pl anni ng
P0. 5Manage Product Line
Pl ans
P0. 6Manage Pl anning Data
P0. 7Perform Supply Chain
Bench Marki ng
P0. 8Manage Busi ness Rules
Plan
Source I nfras tructure
S0. 1Est abl i sh New
Mat eri al
S0. 2Est abl i sh New
Source
S0. 3Manage Suppl i er
Agreement s
S0. 4Mai nt ai n Source
Pl anni ng and Execut ionData
S0. 5Manage Incomi ng
Frei ght
S0. 6Manage Suppl i er
Cert i fi cat i on
S0. 7Manage Sourcing
Busi ness Rul es
S0. 8Authori ze Suppl i er
Payment
S0. 9Determi ne Emerging
Suppl i er Technol ogi es
S0. 10Manage Mat eri al
Invent ory
S2. 1Schedule Materi al
Del i veri es
S2. 2Receive & Veri fy
Mat eri al
S2. 3TransferMat eri al
P2. 4Est abl i sh Detai l ed
Sourci ng Pl ans
Source
E xecution M 3 "M ake to Order (D is cre te M anufactur ing)"
M anufactur ing I nfras tructure
M0. 1Creat e/Mange Si t e
Reci pes/ Process Flows
M0. 2Manage Engi neeri ng/
Reci pe Changes
M0. 3Mai nt ai n Equipment /
Faci l i t i es
M0. 4Cont rol Product ion
Processes
M0. 5Manage Product ion
Mat eri al s
M0. 6Moni t or Product i on
St at us
M0. 7Moni t or Equipment
St at us
M0. 8Manage Product ion
Qual i t y Pol i ci es
M0. 9Manage Short -t erm
Capaci ty
M0. 10Manufacturi ng Training
M3. 1Schedule Manufacturi ng
Act i vi t i es
M3. 2Issue Mat eri al
M3. 3Manufacture and Test
M3. 4Package
M3. 5St age
Product
P3. 1Ident i fy & Aggregat e
Product i on Rqmts
P3. 2Ident . & Aggregat e
Product i on Resources
P3. 3Balance Resources Wi th
Product i on Rqmts
P3. 4Est abl i sh Detai l edProduct i on Pl ans
MakeDeliver Infrastructure
D0 .1Ma n a g e Pro d u c t a n d
Pro c e s s Da ta
D0 .2Ma n a g e Ch a n n e lBu s i n e s s Ru l e s
D0 .3Ma n a g e Ord e r Ru l e s
D0 .4Ma n a g e De l i v e r
In v e n to ri e s
D0 .5Ma n a g e W a re h o u s e
Ne two rk
D0 .6Ma n a g e
W a re h o u s e s
D0 .7Ma n a g e De l i v e ry
Qu a l i ty
D0 .8Ma n a g e De l i v e ry
Co n tra c ts
D0 .9Es ta b l i s h Ne w De l i v e ry
Ch a n n e l s
D0 .1 0Ma n a g e Ou tb o u n d
Tra n s p o rta t i o n
D4. 1. 1Aggregate
Requirements
D4. 4. 1Establ i sh
Detai l ed Plans
D4. 1Ident i fy, Priori t i ze and
Aggregat e Del iveryRequi rement s
D4. 2Ident i fy, Assess andAggregat e Del ivery
Resources
D4. 3Balance Del i very
Resources wi th Del i veryRequi rement s
D4. 4Est abl i sh Detai l ed
Del i very Pl ans
D4. 3. 1Balance
Resources wi thRequirements
D4. 2. 1AggregateResources
Deliver
Fixed Wireless Operations ManagementRevis ion Y April 5, 1999
S2. 2. 1Stockroom and
Receiving Process
D0. 4. 5Consignment
Fi ni shed Goods
S0. 10. 6Cycl e Count
S2. 1. 2Value Added
Di stri butor (VAD)
S0. 1. 1Part Creation
Process forPurchased
Components
S0. 8. 1AccountsPayabl e
S0. 10. 2Stock Room
Inventory Mgmt.
S0. 10. 3Suppl i er
Inventory
M0. 5. 2PCA Fl oor
Stock
M0. 1. 6Methods
Di stri buti on
P0. 5. 4Manage Fi el d
Configurations
M0. 3. 1Faci l i ti es
Mai ntenance
M0. 3. 2Mai ntai n &
Cal i brateEqui pment
M0. 7. 2Asset Tracking
M0. 6. 3BOM Variance at
Backfl ush
M0. 8. 4Operati ons Qual i ty
Management
M0. 8. 5Measuri ng of Base
Faul tl ess Instal l s
M0. 6. 2Labor Tracking
M0. 7. 1Moni tor Prod.
Equi pment
M0. 8. 1CLCA Process
M0. 8. 2Non Conforming
Material
M0. 8. 3Recal l ed Product
M0. 9. 1Short Term
Capaci ty Plan
P0. 9. 2Determi ni ng
Staffi ngRequirements
M0. 10. 1Techni calTrai ni ng
M0. 10. 2Team Bui l di ng
P3. 1. 1Volume
Depl oyment
P3. 2. 1Producti on
ManagementP3. 3. 1
Create MPS
P3. 4. 1Create MRP OrderRecommendations
M3. 1. 1Producti onSchedul i ng
M3. 2. 1Ki tti ng and
Issuing Materi al
M3. 3. 2Base Assembl y and
Test
M3. 3. 3RU Assembl y
M3. 3. 10PCA Test
M3. 3. 12RU Test
M3. 4. 1Package
Menlo
M3. 5. 1Stage
Product
P0. 3. 1Long Term
Capaci ty
D0. 1. 5Product Barcode
Del i very
P0. 3. 2Operati ons Staffing
P0. 3. 3Suppl i er Capaci ty
Pl an
P0. 4. 1Goals / Strategy
S2. 1. 4External Drop Shi p
Process
P0. 4. 3Standard Cost
P0. 5. 1Manage Fi el d
Spares Plan 10533
P0. 5. 2Manufacturi ng
Input to SRP
P0. 5. 3Manufacturi ng
Input to the PRP
P0. 8. 1Values andPrinci pl es
D0. 4. 1Fi el d Inv. Cycl e
Count -
D0. 3. 1CLE Provi sioning
D0. 4. 4Fi ni shed Goods
D0. 4. 3Fi el d Inventori es
D0. 6. 1Consignment
Warehouse Process
D0. 9. 1New Ci ty
Introducti on
D0. 10. 1OutboundLogi sti cs
D0. 10. 2In Transi t Tracki ng
S2. 2. 4Fi el d Di screpant
Receipts
D0. 4. 2E&O Material
Processi ng
P2. 1 Pri ori t i ze and Aggregat e
Mat eri al Req.
P2. 2Assess and Aggregat e
Resources
P2. 3Balance Resources Wi t hMat eri al Requi rement s
D2. 7Sel ect Carri ers
& Rat e Shipment s
D2. 6Rout e Shipment s
D2. 5Pl an & Bui l d Loads
D2. 4Consol idat e
Orders
D2. 3Reserve Resources and
Set Del i very Dates
D2. 2Val i dat e
Order
D2. 1Process Inqui ry & Quot e
D2. 8Pi ck St aged
Product
D2. 9Load Vehi cl e
Generat e Shi p Docs &Ship
D2. 10Receive & Veri fy
Product at Cust omer Si t e
D2. 11Test & Inst al l
Product
D2. 8. 1Pi ck Staged
Product
D2. 9. 1Load Vehi cl e Gen.Ship Docs & Ship
D2. 10. 1Receive & Veri fy
Product atWarehouses
D2. 11. 2Test & Instal l
Bases
D2. 12Invoice & Receive
Payment
D2. 12. 1Transfer Asset to
Instal l ed BaseAccount
Deliver D2 "Deliver M ake to Order Products
P0. 5. 5Fi el d ChangeManagement
M3. 1. 2Producti on
Schedule Review
D0. 3. 2Base Stati onProvi sioni ng
S2. 1. 3AutoRepl eni sh
Process
M3. 5. 2Stage Product
Outsi deWarehouses
D2. 10. 2Receive & Veri fy
Product atCustomer Si te
S2. 2. 5Receive and
Veri fy Material
Planning P3 "Plan M ake"Planning P4 "Plan Deliver"
Source M ake to Order M ater ialPlanning P2 "Plan Source"
S0. 5. 2Inbound Frei ght
Management
S0. 9. 1Strategy
Development
D0. 3. 4Fi el d Returns
S2. 3. 3Program
Parts
P0. 2. 1Reconfigure the
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P0. 7. 1Perform Supply
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M3. 1. 3Modi fy Schedul e
and Execute
M3. 1. 4Del i ver Reports to
Customers
D0. 7. 1Manage Del i very
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D0. 1. 3Outbound EDI
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awai ti ngManufacturi ng
Engi neering review.
Fi rmPurchase
OrdersMfg Pro
Pl annedOrderReport
Mfg Pro
Pl annedWork
OrdersMfg Pro
ReleasedWork
OrdersMfg Pro
Mat eri alAl locat edMfg Pro
ForecastLoadedMfg Pro
Sal esOrders
Mfg Pro
Mat eri alPi ck Li st sMfg Pro
WIP Materi al Moves and Qual i t y DataSyst emMi t ron
Backfl ushAft er TestMfg Pro
MoveMat eri alt o FloorMfg Pro
Move toFi ni shed
GoodsMfg Pro
Min MaxMat eri al
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Move toFi ni shed
GoodsMfg Pro
Bi l l ofLadi ng &Mani festMfg Pro
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BaseSt at i on
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D2. 11. 1Test and Instal l
CLEs
CLEsInst al l edMfg Pro
D2. 5. 1Pl an, Bui l d, and Consol idate Loads
Kevin MonahanMenlo Logi sti cs
D2. 7. 1Outbound Logisti cs
Kevin Monahan
M0. 5. 6Overal l Material
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P0. 4. 2Budget Planning
P0. 8. 2Operati ons
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SoftwareArchive
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Kevin Monahan
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Procedure
P3. 3. 2Revi ew and
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M0. 8. 6Measuri ng of RUFaul tl ess Instal l s
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M0. 8. 7Out of Box Audi t
D0. 1. 1Manage Indi cative
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Doc 10407 (C0. 1. 1)Product Numbering
DDTS
DocumentRelease
S0. 6. 3Part Preference
M3. 3. 5Internal Return
Process
M3. 3. 6Producti on
Operati ons ReturnCenter
M3. 3. 1PCB Assembly
P0. 1. 2Perform Make/ Buy
P0. 5. 6NPI Process 10093
P0. 6. 2Pl anner Code
Assi gnment andMai ntenance
S0. 1. 4 - RSuppl i er Sel ectionand qual i fi cati on
S0. 9. 2Technology
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P0. 4. 4Product CostManagement
S0. 6. 4Suppl i er Preference
5.Document acceptedby RACI team and
basel i ned
ATT Wireless – Fixed Wireless OperationsATT Wireless – Fixed Wireless Operations
SCOR OverviewJuly 2004 24
Suppliers Supplier
Suppliers Assemble/ Package Distribution Centers Geo Ports of Entry
Americas--->
Europe--->
Asia--->
Intel As-Is Modeled in Easy SCORIntel As-Is Modeled in Easy SCOR
SCOR Overview
July 2004 25
Sales
Marketin
g
Planning
Executive
Logistics
Gold'n Plump Supply ChainPlanning Process Map
Manufacturin
g
Live
Supplier
Process Inquiry &Quote
Receive, Enter, &Validate Order
Reserve Inventory &
Determine Delivery Date
Consolidate Orders Plan & Build Loads Route Shipments Select Carriers & RateShipments
Receive Product Pick Product Load Vehicle, GenerateShip Docs & Ship
Invoice & ReceivePayment
0-7 day ScheduleManufacturing Activities
Issue Material
Manufactcure & Test Package Stage ProductRelease Product to
Deliver
0-7 day ScheduleMaterial Deliveries
Receive & VerifyMaterial Transfer Material
0-7 day ScheduleMaterial Deliveries
Plan Supply Chain (P1)30-90 AggregateDemandSupplyBalance
Plan Source (P2)0-30 MaterialRequirementsResourcesBalance
LeadershipReview
Plan Make (P3)0-30 ProductionRequirementsResourcesBalance
Plan Deliver (P4)0-30 FulfillmentRequirmentsResourcesBalance
0-30 MaterialRequirements
Plan
0-30 day MasterProductionSchedule
0-30 dayInventory
Plan
Strategy, Goals,Annual Business
Plan
Updated AnnualBusiness
Plan w/ action plan
DailyOrders
Actual OrderHistory
30-90 demandforecast & supply
plan
0-30 dayExpectedReceipts
0-30 dayOutsource
Needs
Sales
Marketin
g
Planning
Executive
Logistics
Gold'n Plump Supply ChainPlanning Process Map
Manufacturin
g
Live
Supplier
Process Inquiry &Quote
Receive, Enter, &Validate Order
Reserve Inventory &
Determine Delivery Date
Consolidate Orders Plan & Build Loads Route Shipments Select Carriers & RateShipments
Receive Product Pick Product Load Vehicle, GenerateShip Docs & Ship
Invoice & ReceivePayment
0-7 day ScheduleManufacturing Activities
Issue Material
Manufactcure & Test Package Stage ProductRelease Product to
Deliver
0-7 day ScheduleMaterial Deliveries
Receive & VerifyMaterial Transfer Material
0-7 day ScheduleMaterial Deliveries
Plan Supply Chain (P1)30-90 AggregateDemandSupplyBalance
Plan Source (P2)0-30 MaterialRequirementsResourcesBalance
LeadershipReview
Plan Make (P3)0-30 ProductionRequirementsResourcesBalance
Plan Deliver (P4)0-30 FulfillmentRequirmentsResourcesBalance
0-30 MaterialRequirements
Plan
0-30 day MasterProductionSchedule
0-30 dayInventory
Plan
Strategy, Goals,Annual Business
Plan
Updated AnnualBusiness
Plan w/ action plan
DailyOrders
Actual OrderHistory
30-90 demandforecast & supply
plan
0-30 dayExpectedReceipts
0-30 dayOutsource
Needs
Gold’n Plump Supply Chain PlanningGold’n Plump Supply Chain Planning
SCOR OverviewJuly 2004 26
F404 Engine HP Rotor AssyF404 Engine HP Rotor Assy
SR2DR2
NASNASCVCV
NADEPNADEP NAVICPNAVICPDSCDSC
S1
S2(carcass)
M2 D2 S1 D1 S1
M2
ServiceableRotorAssy
UnserviceableRotor Assy
S1 D1D2
Self LockingSelf Locking NutNut
S2(carcass)
Unserviced Engine Module
D1SvcEngine
Fairchild Fairchild FastenersFasteners
164 Days
32 Days 98 days
60% ofRequireme
nt Accepted,
90% of that Completed
on time
77%SMA
25%On-
Time
F/AF/A1818
Serviceable Modules 188% of
Requirement, Svc Engines
112% of Requirement
SCOR Overview
July 2004 27
BestPractice
BusinessRules P1
P4P2 P3
BestPractice
BestPractice
D1
S1D2M1 M2
Best practice achievedPractice adoptedPractice not yet adopted
Carter Holt Harvey – Focus on Best Carter Holt Harvey – Focus on Best Practice / Change ManagementPractice / Change Management
COTS / Consultant EvaluationsCOTS / Consultant Evaluations
SCOR OverviewJuly 2004 28
USMC SRAC – IT Gaps and RedundanciesUSMC SRAC – IT Gaps and Redundancies
SRAC
Tra
nsfe
r mate
riel
Receiv
e a
nd
Verify
mate
riel
Insta
ll Pro
du
ct
Sele
ct F
inal S
up
plie
r(s) a
nd
Neg
otia
te
Iden
tify S
ou
rces o
f Su
pp
ly
Tra
nsfe
r mate
riel
Receiv
e a
nd
Verify
mate
riel
Sch
ed
ule
Mate
riel D
eliv
erie
s
Tra
nsfe
r Mate
riel
Receiv
e a
nd
Verify
Mate
riel
Sch
ed
ule
mate
riel D
eliv
erie
s
Man
ag
e m
ate
riel In
ven
tory
Dete
rmin
e E
merg
ing
Su
pp
lier T
ech
no
log
ies
Au
tho
rize V
en
do
r Paym
en
t
Man
ag
e S
ou
rcin
g B
usin
ess
Ru
les
Man
ag
e V
en
do
r Calib
ratio
n
Man
ag
e In
co
min
g F
reig
ht
Main
tain
So
urc
e P
lan
nin
g
an
d E
xecu
tion
Data
Man
ag
e V
en
do
r Ag
reem
en
ts
Esta
blis
h N
ew
So
urc
e
Esta
blis
h N
ew
mate
riel
Source
S3: Source Engineer-to-Order materiel
S2: SourceMake-to-Order
materiel
S1: SourceStockedmateriel
S0: Source Infrastructure
AMMOLOGS ATLASS MAGTFII SASSY
SS07(DSSC) SCS
Ga
p in
Cap
ab
ility
Ga
p in
Cap
ab
ility
Ga
p in
Cap
ab
ility
SRAC
Tra
nsfe
r mate
riel
Receiv
e a
nd
Verify
mate
riel
Insta
ll Pro
du
ct
Sele
ct F
inal S
up
plie
r(s) a
nd
Neg
otia
te
Iden
tify S
ou
rces o
f Su
pp
ly
Tra
nsfe
r mate
riel
Receiv
e a
nd
Verify
mate
riel
Sch
ed
ule
Mate
riel D
eliv
erie
s
Tra
nsfe
r Mate
riel
Receiv
e a
nd
Verify
Mate
riel
Sch
ed
ule
mate
riel D
eliv
erie
s
Man
ag
e m
ate
riel In
ven
tory
Dete
rmin
e E
merg
ing
Su
pp
lier T
ech
no
log
ies
Au
tho
rize V
en
do
r Paym
en
t
Man
ag
e S
ou
rcin
g B
usin
ess
Ru
les
Man
ag
e V
en
do
r Calib
ratio
n
Man
ag
e In
co
min
g F
reig
ht
Main
tain
So
urc
e P
lan
nin
g
an
d E
xecu
tion
Data
Man
ag
e V
en
do
r Ag
reem
en
ts
Esta
blis
h N
ew
So
urc
e
Esta
blis
h N
ew
mate
riel
Source
S3: Source Engineer-to-Order materiel
S2: SourceMake-to-Order
materiel
S1: SourceStockedmateriel
S0: Source Infrastructure
AMMOLOGS ATLASS MAGTFII SASSY
SS07(DSSC) SCS
Ga
p in
Cap
ab
ility
Ga
p in
Cap
ab
ility
Ga
p in
Cap
ab
ility
SCOR OverviewJuly 2004 29
SCOR Projects – A Wide Range of AdoptionSCOR Projects – A Wide Range of AdoptionSCOR Projects – A Wide Range of AdoptionSCOR Projects – A Wide Range of Adoption
Consumer FoodsConsumer Foods• Project Time (Start to Finish) – 3 monthsProject Time (Start to Finish) – 3 months• Investment - $50,000 USInvestment - $50,000 US• 11stst Year Return - $4,300,000 US Year Return - $4,300,000 US
ElectronicsElectronics• Project Time (Start to Finish) – 6 monthsProject Time (Start to Finish) – 6 months• Investment - $3-5 Million USInvestment - $3-5 Million US• Projected Return on Investment - $ 230 Million USProjected Return on Investment - $ 230 Million US
Software and PlanningSoftware and Planning• SAP bases APO key performance indicators (KPIs) on SCOR Model SAP bases APO key performance indicators (KPIs) on SCOR Model
Aerospace and DefenseAerospace and Defense• SCOR Benchmarking and use of SCOR metrics to specify SCOR Benchmarking and use of SCOR metrics to specify
performance criteria and provide basis for contracts / purchase performance criteria and provide basis for contracts / purchase ordersorders
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