SCOR is a supply chain operations reference model developed to help businesses understand, structure, and evaluate supply chain performance. It was created by the Supply Chain Council, an independent nonprofit, and is used as a cross-industry standard. SCOR describes supply chains using standardized processes, metrics, and best practices applicable to companies of varying complexity. It evaluates supply chain operations at three levels: process types, categories, and elements. The model can be implemented by companies like Iranol Oil to measure, manage, and improve their planning, sourcing, production, and delivery processes.
2. SCOR OVERVIEW
What is SCOR ?
SCOR is an acronym for supply chain operations reference
model, which was developed to assist businesses in understanding,
structuring, and evaluating the performance of supply chains.
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3. Origin
• The Supply Chain Operations Reference – model (SCOR) has been
developed and endorsed by the Supply–Chain Council (SCC) as the
cross-industry standard for supply chain management.
• The SCC was established in 1996 by Pittiglio Rabin Todd and McGrath
(PRTM) and Advanced Manufacturing Research (AMR), and initially
included 69 voluntary member companies.
• The SCC is an independent, not-for-profit, global corporation with
membership open to all companies and organizations.
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4. Origin – Contd.,
• SCOR is a management tool. It is a process reference model for supply-
chain management, spanning from the supplier's supplier to the
customer's customer.
• By describing supply chains using process building blocks, the model
can be used to describe supply chains that are very simple or very complex
using a common set of definitions.
• SCOR uses the historical data of the supply chain to see how it performs
and develops, it defines five generic performance attributes and three
levels of measures that the analysts can use.
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5. A process reference model integrates the well known concepts of business process
re-engineering , benchmarking and process measurement into a cross-functional
framework.
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6. Process Reference Model
• Standard descriptions of management processes
• A framework of relationships among the standard processes
• Standard metrics to measure process performance
• Management practices that produces best-in-class performances
• Standard alignment to features and functionality
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7. Process Reference Model
Once a Complex Management Process is captured in Standard Process
Reference Model Form ,it can be
• Measured ,Managed & Controlled
• Implemented purposefully to achieve competitive advantage
• Tuned and retuned to a specific purpose
• Described simply and communicated
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8. Processes involved in SCOR
Processes that balance aggregate demand and supply to develop
a course of action which best meets sourcing, production, and delivery
requirements.
Processes that procure goods and services to meet planned or
actual demand, locations and products.
Processes that, to meet planned or actual demand, transform
product to a finished state on sites and methods.
processes that provide finished goods and services to meet
planned or actual demand
processes associated with returning or receiving returned
products for any reason.
support processes for executing operations from a Supply
Chain.
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10. Levels
SCOR analyzes a company’s supply chain operation in three levels
: Top Level (Process Types)
: Configuration Level (Process Categories)
: Process Element Level (Decompose Processes)
In top level the scope and content for the supply chain are defined, at the
configuration level the company’s supply chain is configured in order to
company strategy, at the process element level there is a “fine tuning” of
company’s operations strategy and consists of: process element definitions,
inputs – outputs, process performance metrics, best practices.
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14. Iranol Oil Company(IOC):
• Lubricant making company
• Refineries – Tehran and Abadan
• Container making company
• Make-to-Stock – Standard Quality Products
• Make-to-Order Special Quality Products
• Engineer-to-Order
• Products:
• Automobile Lubricants – Sold in containers
• Industrial Lubricants – Sold in containers
• Antifreeze
• By Products – Slack Wax, Furfural Extract, Base Oil and Petroleum
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15. Degrees of Suppliers and Customers
• Suppliers :
• chemical materials suppliers,
• container suppliers,
• spare parts suppliers,
• additive materials suppliers and
• furfural suppliers
• Metra from France,
• Euro Gulf from England
• China, Europe and Africa
• Customers:
• External – International customers receive at port
• Internal – Dealers and Exclusive customers
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17. Hypothesis
• H1: Plan process positively influences Source process.
• H2: Plan process positively influences Make process.
• H3: Plan process positively influences Deliver process.
• H4: Source process positively influences Make process.
• H5: Make process positively influences Deliver process.
• H6: The influence of Plan process on Make process is mediated by
Source process.
• H7: The influence of Plan process on Deliver process is mediated by
Make process.
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