SCOR Model: Improving the Management of Supply Chains

The Supply Chain Operations Reference (SCOR) model is designed to help companies assess and optimize their supply chain management to ensure consistency, reliability, and efficiency.

The management of the supply chain (SCM) is an essential aspect for companies selling hardware, services, and software. The supply chain is everything that is involve in the movement of goods and services from a company to its clients, customers, or other businesses. It’s not something that could be create and left to its own devices. Supply chain management must evaluate regularly to ensure it is efficient and effective.

Arlin Jordin Washington

SCOR model definition

SCOR stands for supply chain operations. The model was create to analyze your supply chain’s effectiveness and effectiveness of sales and operational plans (S&OP). SCM is a complex process as S&OP Implementation can prove a challenge. However, it is the model design to standardize the process and provide an objective way of tracking the results. It can used across different industries by using common definitions that can applied to every supply chain process. By using SCOR as the SCOR model, companies can determine how mature or advanced is the supply chain process. Also, whether or not it is in line with the business objectives.


SCOR 12.0

In 1996, the original SCOR framework was create by the management consultant company PRTM. SCOR is endorse by the Supply-Chain Council. It is now part of the Association for Supply Chain Management (ASCM) and was previously called APICS. The initial SCOR framework was create through AMR Research and consulting firm Pitigliano, Rabin, Todd, and McGrath (PRTM). It was review by various companies, including Intel, IBM, Rockwell Semiconductor and Proctor and Gamble. SCOR is a framework for the supply chain management. SCOR framework was create to streamline the terminology use to define the management of supply chains. Dividing it into four phases which are plan, source, creates, and deliver well enable and return processes were later add. The most current version of this framework, SCOR 12.0, was launched on the 17th of January 2017 by ASCM.

Arlin Jordin Washington

The latest version is update to include the latest drivers for supply chain performance. Including issues like Omni channel block chain, metadata, and Omni channel as per the ACSM. The framework was update to make sure that best practices match digital-based strategies. So, it includes updated information on training and integrated sustainability standards based on an approach called the Global Reporting Initiative (GRI). Its Digital Capabilities Model (DCM), as well as SCOR’s digital standard. Thus they were release in the year 2019 to meet the increasing demand for the digitization of SCOR.

Six of SCOR’s primary processes

As the framework, SCOR focuses on all customer interactions starting from the moment an order is place to when the bill is settle. This includes all the materials and services required to complete transactions, such as components, supplies, software, and equipment. The market interactions can also be an element of the model since they aid in establishing the demand.

Arlin Jordin Washington

The procedures described within the SCOR framework are an example of the typical processes that occur in SCM. Your priorities may differ and certain steps could be unnecessary or not relevant to your business goals. However, most companies will consider SCOR helpful in organizing their supply chain. It uses standard, common definitions that can use for both simple and complicate supply chains across all industries.