As a Master in Industrial Engineering Candidate, I discussed with the Lecturer Bpk. Dadang Surjasa, S.Si, MT, one of the important discussions on this matter is related to components of supply chain architecture, Description of all supply chain processes (plans, sources, manufacture, deliver, and return) and how they are interconnected, a view of the interactions between supply chain processes and other company core processes, application needed to support the supply of chain processes, including data and performance indicators needed for the execution and control processes. And then description of how the application will be integrated, including specific data and frequency of communication, which is supported by the 4 parameter feasibility test of supply chain ​​architecture, I hope this information is useful for readers to get more insight.

1. Nama : Adis Suhur Nahar – 163011900005
Mata Kuliah : Manajemen Rantai Pasok
Magister TI - Universitas Trisakti
2020
Dosen : Dr. Dadang Surjasa, S.Si, MT
Program Studi Magister Teknik Industri
Fakultas Teknologi Industri
Universitas Trisakti
UNIVERSITAS TRISAKTI
Source ; The Five Disciplines for Top Performance, Shoshanah
Cohen & Joseph Roussel, McGraw-Hill

2. Architecture is a structured working relationship of a system consisting of hardware, software
and network. Architecture is also known as the basis of organizational systems that connect
components to the system environment and have design and evaluation rules. Architecture
(architecture) in the discussion of enterprise-scale information systems is defined as the structure
of components, reciprocal relationships, and the principles and guidelines for their design and
evolution from time to time, this understanding has the meaning that architecture is basically in
the form of a description of the structure of a company / institution / institutions consisting of
various kinds of supporting components and relations between these components.
Generally
Process architecture
Develop an end-to-end process architecture
https://www.apqc.or
g/expertise/supply-
chain-management
https://medium.com/ea
syread/android-mvp-
series-membangun-
aplikasi-android-
dengan-arsitektur-mvp-
fbf1f77ecaec

3. Develop an end-to-end process architecture
Components of
supply chain
architecture
• Description of all supply chain processes (plans, sources,
manufacture, deliver, and return) and how they are
interconnected.
• A view of the interactions between supply chain
processes and other company core processes.
• Description of the application needed to support the
supply of chain processes, including data and
performance indicators needed for the execution and
control processes.
• Description of how the application will be integrated,
including specific data and frequency of communication.
The Five Disciplines for Top Performance,
Shoshanah Cohen & Joseph Roussel, McGraw-Hill

4. Develop an end-to-end process architecture
1. Strategic conformity
Your company's overall supply chain strategy must drive the
choices you make in your supply chain architecture, so that
priorities can actually be determined to be the basis of
competition.
2. Process Focus (end-to-end)
The supply chain process must ensure end-to-end
management with an architecture that provides an end-to-
end vision of the supply chain and the goals that govern the
work processes of each player in the supply chain.
FOUR TEST
FEASIBILITY TEST
SUPPLY
CHAIN ARCHITECTURE 3. Simplicity of process
Simple processes Supply chain architecture can streamline
which minimizes complexity which adds to costs and
reduces management. With the condition that this simple
process must be clear and easily understood by those who
use it.
4. Integrity
Architecture must be very reliable, can ensure a coherent
and strong relationship between processes, data and
information systems.The Five Disciplines for Top
Performance, Shoshanah Cohen
& Joseph Roussel, McGraw-Hill

5. Primary Strategy Critical SC Practices
Innovation • Chain design / supply chain integration
• Collaborative innovation with suppliers
• Special NPI supply chain
Cost • Integrated factory planning and scheduling
• Standardization of raw materials and manufacturing processes
• Design for manufacturing, procurement, order management
Service • Customer collaborative planning
• Customer segmentation
• Delay
Quality • Product traceability and lot-level
• Lifecycle tracking of products sold
Aligning supply chain practices based on competition :
Feasibility of strategic suitability parameters, when:
• The value of the new practice is quantified before it is integrated into the supply
chain architecture.
• New business practices are prioritized based on their ability to advance the supply
chain strategy.
• The supply chain architecture is regularly reviewed to ensure alignment with the
current strategic direction.
1. Strategic conformity
The Five Disciplines for Top
Performance, Shoshanah Cohen &
Joseph Roussel, McGraw-Hill

6. 2. Process Focus (end-to-end)
End-to-end supply chain architecture that identifies places of internal and external
integration and can create value for the company as a whole, by improving
customer service and working capital, which leads to targets based on 4 metrics
are:
Timely delivery (to date of
commitment). Percentage of
orders fulfilled on or before the
date of internal commitment.
Shipping measurements are based
on the date the complete order
was shipped.
1. Order fulfillment lead time. The
average waiting time that is achieved
consistently (in calendar days) from
customer orders to customer order
receipts.
2.
Cash-to-cash cycle time. The
average waiting time that is
achieved consistently (in calendar
days) from customer orders to
customer order receipts.
3. Total supply chain management cost.
Total costs for managing orders,
obtaining materials, managing and
storing inventory, and managing supply
chain costs, planning, and information
technology, represented as a percentage
of revenue
4.
The Five Disciplines for Top
Performance, Shoshanah Cohen &
Joseph Roussel, McGraw-Hill

7. Collaborative planning in the company can be
described below :
Collaborative planning in an expanded
company can be described below :
2. Process Focus (end-to-end)
The Five Disciplines for Top
Performance, Shoshanah Cohen &
Joseph Roussel, McGraw-Hill

8. End-to-end Process Focus Parameters :
4. Performance and management visibility is shared throughout
the organization and with key suppliers and customers.
1. Integrated information systems and support systems inside
and outside the company - reaching key suppliers and
customers.
2. Supply chain resources such as capacity and inventory are
optimized throughout the organization and with key suppliers
and customers.
3. Standard metrics and quantitative goals are shared
throughout the organization and with key suppliers and
customers.
2. Process Focus (end-to-end)
The Five Disciplines for Top
Performance, Shoshanah Cohen &
Joseph Roussel, McGraw-Hill

9. Before looking at how this complexity can be simplified, it can be
examined from 4 different drivers of complexity :
1
Supply chain
configuration
How to structure the physical assets of the network and the
activities that are distributed in that network.
2
Product and service
proliferation
There are two main causes: the termination or retirement of
certain products because they are replaced by newly
introduced alternatives, then related to the availability of
technology that allows organizations to "massively adjust" each
product offering.
3
Process and
information systems
inconsistency
Different locations within the same company have different
processes and are not compatible. Even when the same
software package is installed, it is often configured
differently, according to the process of each location.
4 Over-automation
The emergence of decision making applications for supply
chain planning and performance management.
3. Simplicity of process
The Five Disciplines for Top
Performance, Shoshanah Cohen &
Joseph Roussel, McGraw-Hill

10. Feasibility process simplicity parameters :
3. Simplicity of process
https://www.onescm.com/wp-
content/uploads/eBook-OneSCM-
Orchestration-Boost_.pdf
1. The rules for standardizing the supply chain process
architecture are defined and enforced.
2. The complexity of products and services and related costs are
strictly measured and managed.
3. Standards for components and materials are defined and
obeyed.
4. Physical supply chain configurations (warehouses, ordering
tables, factories, supplier locations, distribution centers) are
regularly reviewed and simplified if possible.
The Five Disciplines for Top
Performance, Shoshanah Cohen &
Joseph Roussel, McGraw-Hill

11. 4. Integrity
https://www.kindpng.com/imgv/hRioixh_it-outsourcing-services-supply-chain-
management-png-transparent/
Too many companies use applications that
are not integrated that require manual
data re-entry, changes in data format, and
some quality checking. The missing link
between the process and information
system results in a fragile supply chain that
depends on specific individuals, manual
handoffs, and work-around. The result is a
high risk of error, longer cycle times, and
additional costs, as illustrated below :
The Five Disciplines for Top
Performance, Shoshanah Cohen &
Joseph Roussel, McGraw-Hill

12. http://www.lokad.com/supply-chain-management-definition
The best supply chain has an integrated information flow, Feasibility of
Integrity Parameters :
4. Integrity
2. Processes are documented at
each level of the supply chain
architecture, with clear descriptions
of the data needed to run each
process.
1. Integration required between applications
is defined in the supply chain process
architecture, and the impact of application
integration problems on business
performance is measured.
3. Data quality is measured
and managed, with clear
ownership for data creation
and maintenance.
The Five Disciplines for Top
Performance, Shoshanah Cohen &
Joseph Roussel, McGraw-Hill

13. That a set of standard definitions for each supply chain
planning, implementation, and supporting activities is
needed. In the mid-1990s, PRTM developed a framework,
or process reference model, which included descriptions of
supply chain processes and key performance indicators to
help our clients benefit from the emerging "science" of
supply chain management.
ARCHITECTURE DEVICES
supply chain as consisting of four processes: plan, source, create, and
send. For setting targets and performance management, we set metrics
for each of these processes and for overall supply chain performance.
The Supply Chain Council (SCC) further develops and refines
this standard, called the supply chain operations reference
model (SCOR), which sets best practices, performance metrics
and software functionality requirements for each core supply
chain process, subprocesses, and SCOR Model activities.
provides a standard framework and terminology to help
organizations integrate a number of management tools, such as
business process reengineering, benchmarking, and analysis of
best practices.
The SCOR tool enables organizations to
develop and effectively manage supply chain
architectures. Using the SCOR model's top-
down design method, an organization can
quickly gain an understanding of current
supply chain performance and architecture.
He can also compare his own architecture
with the architecture of other organizations,
identify improvements based on best
practices, and design his supply chain
architecture in the future
The Five Disciplines for Top
Performance, Shoshanah Cohen &
Joseph Roussel, McGraw-Hill

14. ARCHITECTURE DEVICES
https://fanuelyk.wordpress.com/2013/03/15/bentuk-dan-model-supply-chain-management-
arsitektur-teknologi-informasi-scm/
CPFR focuses on the packaging and
retail sector, Collaborative
Commerce Standards Institute. The
CPFR standard consists of detailed
process definitions, required data
elements, and metrics for the
customer-supplier interface. CPFR's
aim is to enhance partnerships
between retailers and vendor traders
through shared information.
The Five Disciplines for Top
Performance, Shoshanah Cohen &
Joseph Roussel, McGraw-Hill

15. SCOR
level 1
Business processes will align with your
high-level business structure (business
units, regions, etc.) and supply chains
partner and perfect your supply chain
strategic objectives.
SCOR
level 2
You improve your supply chain process
choices and confirm how the supply chain
processes align with your infrastructure
(physical location and information
technology).
SCOR
level 3
You can complete your supply chain
architecture by adding operational details
to your SCOR level 2 design.
The Top Three Level
Scor model
ARCHITECTURE DEVICES
The SCOR model sets and manages supply chain
performance targets throughout the organization
The Five Disciplines for Top
Performance, Shoshanah Cohen &
Joseph Roussel, McGraw-Hill

16. 5 Process END-TO-END SCM
Plan – Source – Make – Deliver - Return
Use timely, accurate
information
Focus resources on
business priorities Aim for simplicity
Integrate all supply chain
requirements
Create explicit actions
and accountabilities
The Five Disciplines for Top
Performance, Shoshanah Cohen &
Joseph Roussel, McGraw-Hill

17. Plan – Source – Make – Deliver - Return
Aim for the lowest
total cost of
ownership (TCO)
Set procurement
strategies according
to category
Maintain an
enterprisewide focus
Measure and manage
performance
5 Proses END-TO-END SCM
The Five Disciplines for Top
Performance, Shoshanah Cohen &
Joseph Roussel, McGraw-Hill

18. Plan – Source – Make – Deliver - Return
Focus on business
priorities
Aim for speed and
flexibility, not just
low costs
Set and
monitor quality
standards Synchronize all
manufacturing activities
5 Proses END-TO-END SCM
The Five Disciplines for Top
Performance, Shoshanah Cohen &
Joseph Roussel, McGraw-Hill

19. Plan – Source – Make – Deliver - Return
Balance service with
the cost to serve
Cut costs and time
with straight-
through processing
Set up end-to-end
tracking and
traceability Manage data for ongoing
accuracy and timeliness
5 Proses END-TO-END SCM
The Five Disciplines for Top
Performance, Shoshanah Cohen &
Joseph Roussel, McGraw-Hill

20. Plan – Source – Make – Deliver - Return
Create a distinct
supply chain for
return
Feed back return
information quickly
Base return policies
on total cost of
returns
Maximize
revenue
opportunities
5 Proses END-TO-END SCM
The Five Disciplines for Top
Performance, Shoshanah Cohen &
Joseph Roussel, McGraw-Hill

21. Next generation process
Theme
Current Dominant Practice
Next-Generation Dominant Practice
Details of the 5 processes for end to end
SCM, but the integration between process
and between process and application, is
missing or incomplete.
The Process Architecture integrates all supply
chain process activities (plans, Sources create,
send and return) data, metrics, and
applications.
Content Architecture Process Decision support
Theme
Current Dominant Practice
Next-Generation Dominant Practice
The process architecture content focuses on
execution in organizational subprocesses,
with limited analytic integration
(performance monitoring, reporting,
resolution).
The process of creating visibility from a
specified set of events and actual
performance versus plan, using standard
metrics, to support proactive
management, expanding as required to
suppliers, partners and customers
1 2
The Five Disciplines for Top
Performance, Shoshanah Cohen &
Joseph Roussel, McGraw-Hill

22. Current Dominant Practice
Next-Generation Dominant Practice
Manual interventions are used to resolve
(e.g., delays in supplier shipments, out of
stock, etc.) and each exception usually
takes days or weeks to identify and resolve
them.
For the specified set of critical business
events, automated business rules and problem
solving solutions that are submitted for
approval by the business owner in a real-time
environment.
Process automation Company Scope
Current Dominant Practice
Next-Generation Dominant Practice
The contents of the process architecture
(activities, data, metrics, and applications) can
differ by country or region, based on history or
organizational control.
The content (activities, data, metrics and
applications) is standardized to support the
work of virtual teams that are geographically
dispersed and to allow sharing and transfer of
work between locations.
Theme Theme3 4
Next generation process
The Five Disciplines for Top
Performance, Shoshanah Cohen &
Joseph Roussel, McGraw-Hill

23. Current Dominant Practice
Next-Generation Dominant Practice
The focus is on the organization, and the process
of architectural structure, vocabulary, and content
is unique to each organization.
The process architecture integrates standards such as
SCOR (Supply-Chain Operations Reference mode) and
ensures common processes, data, and metrics with
suppliers, partners and customers. Standards support
the management of liabilities, critical resources
(inventory, capacity, etc.), and events in the
extended supply chain.
Current Dominant Practice
Next-Generation Dominant Practice
Development and maintenance of process
architectures led and carried out by IT; seen as an
"IT problem."
The process architecture is seen as an "asset" and is
managed jointly by business leaders (the
responsibility of P&L) and IT to balance business
requirements and the benefits of shared processes
and IT standards.
Next generation process
Theme Theme5 6
Cross-Company Scope SCPA Ownership (Supply Chain
Process Architecture)
The Five Disciplines for Top
Performance, Shoshanah Cohen &
Joseph Roussel, McGraw-Hill

24. Strategic Supply Chain Management
Source ; The Five Disciplines for Top Performance
Shoshanah Cohen & Joseph Roussel
McGraw-Hill
Thank You