Supply chain operations reference model purpose

Skills The process modeling pillar[ edit ] By describing supply chains using process modeling building blocks, the model can be used to describe supply chains that are very simple or very complex using a common set of definitions. As a result, disparate industries can be linked to describe the depth and breadth of virtually any supply chain. SCOR is based on six distinct management processes: Source — Processes that procure goods and services to meet planned or actual demand.

Supply chain operations reference model purpose

It also helps to explain the processes along the entire supply chain and provides a basis for how to improve those processes. The SCOR model was developed by the supply chain council http: This framework focuses on five areas of the supply chain: These areas repeat again and again along the supply chain.

Elements include balancing resources with requirements and determining communication along the entire chain. The plan also includes determining business rules to improve and measure supply chain efficiency.

Supply Chain Business Solutions | APICS for Business

These business rules span inventory, transportation, assets, and regulatory compliance, among others. The plan also aligns the supply chain plan with the financial plan of the company 3.

Source This step describes sourcing infrastructure and material acquisition. It describes how to manage inventory, the supplier network, supplier agreements, and supplier performance.

It discusses how to handle supplier payments and when to receive, verify, and transfer product 3. Make Manufacturing and production are the emphasis of this step.

Is the manufacturing process make-to-order, make-to-stock, or engineer-to-order? The make step includes, production activities, packaging, staging product, and releasing.

It also includes managing the production network, equipment and facilities, and transportation 3. Deliver Delivery includes order management, warehousing, and transportation.

It also includes receiving orders from customers and invoicing them once product has been received. This step involves management of finished inventories, assets, transportation, product life cycles, and importing and exporting requirements 3. Return Companies must be prepared to handle the return of containers, packaging, or defective product.

The return involves the management of business rules, return inventory, assets, transportation, and regulatory requirements 3. It gives companies an idea of how advanced its supply chain is.

The process helps companies understand how the 5 steps repeat over and over again between suppliers, the company, and customers.

Each step is a link in the supply chain that is critical in getting a product successfully along each level.Supply-chain operations reference (SCOR) model is a process reference model developed and endorsed by the Supply Chain Council as the cross-industry, standard diagnostic tool for supply chain management.

The SCOR model describes the business activities associated with satisfying a customer's demand, which include plan, source, . Tax-efficient supply-chain management is a business model that considers the effect of tax in the design and implementation of supply chain management.

As the consequence of globalization, cross-national businesses pay different tax rates in different countries.

The Best Gets Better

A SCOR Reference Model of the Supply Chain Management System in an Enterprise Abstract: State-of-the-art supply chain management systems can be obtained from the supply chain operations reference-model for business applications, advancement and practices.

Problematic management processes in standard process specific purpose . The framework with the direct input supports communication between supply chain of industry leaders partners and enhances the effectiveness of supply who manage global supply chains and use it daily chain initiativeblog.com The Global Supply Chain Language The Supply Chain Operations Reference (SCOR®) SCOR is a consensus model provides a unique.

Supply Chain Integration and the SCOR Model Honggeng Zhou1, W. C. Benton, Jr.2, David A. Schilling2, and Glenn W. Milligan2 1University of New Hampshire 2The Ohio State University T he Supply Chain Operations Reference (SCOR) model has been widely adopted in many companies.

The Supply Chain Operations Reference model (SCOR®) is the product of Supply Chain Council, Inc. (SCC) a global non-profit consortium whose methodology, diagnostic and benchmarking tools help organizations make dramatic and rapid improvements in supply chain processes.

Supply chain operations reference model purpose
SCOR Supply Chain Operations Reference Model | SCOR Framework | APICS