Supply Chain Council & Supply Chain Operations Reference (SCOR) Model Overview,Scott Stephens Chief Technology Officer Supply-Chain Council, Inc. 303 Freeport Road Pittsburgh, PA 15215 USA www.supply-chain.org,Supply Chain Management Changing Times,Eighteen months ago “boom” Central issues Revenue Capture Demand forecast Speed One month ago “bust” Central Issues CostInventory Now Uncertainty Emerging Issues Just-in-case vs. just-in-time Consumer confidence Supply chain management is now a watchword in business, Wall Street, and in the news media,Supply Chain Management & The Supply Chain Council,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.Over 700 Company Members Cross-industry representation Chapters in Australia/New Zealand, Europe, Japan, Korea, Latin America, and South East Asia with petitions for additional chapters pending.Over 30 new members per monthThe Supply-Chain Council (SCC) has developed and endorsed the Supply Chain Operations Reference-model (SCOR) as the cross-industry standard for supply chain managementThe SCC was organized in 1996 by Pittiglio Rabin Todd & McGrath (PRTM) and Advanced Manufacturing Research (AMR), and initially included 69 voluntary member companies,SCC Organization - Chapters and Staffing,Sydney Australia / New Zealand Accantia,SingaporeSouthEast Asia Intel,Tokyo, Japan Hitachi,Seoul, Korea Korean Management Assoc.,Mexico City, Latin AmericaEXEL,Pittsburgh, PA Bayer Headquarters *Executive Director,Amsterdam- Europe Siemens,Under Development: Hong Kong, India,Membership,700+ SCC members, Composition 40%: Practitioners 25%: Enabling Technology Providers 20%: Consultants 15%: Universities, Associations, Government Organizations,C-Dennis Zagrodnik Daimler/Chrylser VC -Paul Welch - Nokia,Current Technical Committee Structure,Integration Committee,Plan Committee,Source Committee,Make Committee,Deliver Committee,Metrics Committee,C-Peter Bolstorff Pragmatek V-Larry Gray Cobre Group,C-Katie Kaspar - VC -Oscar Chappel Tech Connection,C -Ed Biancarelli Washington Group VC -Irving Briks BellSouth,C - Dan Swartwood Pragmatek VC - Rick Hughes Lockheed Martin,Intel Siemens RosettaNet,George Brown INTEL Herbert Heinzel - Siemens,C- Major Scott Koster (USMC),Return Committee,Supply-Chain Operations Reference-model (SCOR) Overview,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,Best Practices Analysis,Process Reference Model,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,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?,Process reference models integrate the well-known concepts of business process reengineering, benchmarking, and process measurement into a cross-functional framework,Supplier,Customer,Customers Customer,Suppliers Supplier,Make,Deliver,Make,Deliver,Make,Source,Deliver,Source,Internal or External,Internal or External,Your Company,Source,SCOR is structured around five distinct management processes,SCOR Model,Building Block ApproachProcesses MetricsBest Practice Technology,Customers,Suppliers,P1 Plan Supply Chain,Plan,P2 Plan Source,P3 Plan Make,P4 Plan Deliver,Source,Make,Deliver,S1 Source Stocked Products,M1 Make-to-Stock,M2 Make-to-Order,M3 Engineer-to-Order,D1 Deliver Stocked Products,D2 Deliver MTO Products,D3 Deliver ETO Products,S2 Source MTO Products,S3 Source ETO Products,Supply-Chain Operations Reference-model (SCOR) 5.0 - Processes,Return Source,P5 Plan Returns,Return Deliver,Enable,#,Level,Schematic,Comments,1,2,3,4,Configuration,Level,(Process,Categories),Process,Element Level,(Decompose,Processes),Plan,Deliver,Make,Source,A companys supply chain can be “configured-to- order” at Level 2 from approximately 24 core “process categories.”,Companies implement their operations strategy through their unique supply chain configuration.,Companies “fine tune” their Operations Strategy at Level 3,Level 3 defines a companys ability to compete successfully in its chosen markets and consists of:Process element definitions Process element information inputs and outputsProcess performance metrics Best practices, where applicable System capabilities required to support bestpractices,