The SCOR model is based on six management processes: But most businesses should find SCOR useful in organizing their supply chain - the framework uses standardized, common definitions so it can be adapted for simple or complex supply chains across any industry.
Your business priorities might differ, and some steps may be redundant or irrelevant to your goals. The processes defined in the SCOR framework are examples of what commonly takes place in SCM. Market interactions are also considered a part of the model because they help establish demand. That includes all material and services needed to complete transactions, including supplies, parts, software, and equipment. SCOR’s six primary processesĪs a framework, SCOR focuses on all customer interactions from the moment an order is placed until the invoice is paid. The Digital Capabilities Model (DCM) and the SCOR digital standard (SCOR DS) were also released in 2019 to address the growing need for digitization in the SCOR model. The framework was modernized so that best practices better align with digital strategies, including new training information and integrated sustainability standards using the Global Reporting Initiative (GRI).
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The updated version includes more “emerging drivers of supply chain success,” covering topics such as omnichannel, metadata, and blockchain, according to the ACSM. The most recent version of the framework, SCOR 12.0, was released in 2017 by ASCM. The SCOR framework was designed to help streamline the language used to describe supply chain management, categorizing it into four processes: plan, source, make, and deliver - the return and enable steps were added later. The original SCOR framework was developed by AMR Research and consulting firm Pitiglio, Rabin, Todd and McGrath (PRTM) and it was vetted by companies such as Intel, IBM, Rockwell Semiconductor, and Proctor and Gamble. Originally developed in 1996 by management consulting firm PRTM, SCOR is endorsed by the Supply-Chain Council, which is now part of the Association for Supply Chain Management (ASCM), formerly known as APICS. Using the SCOR model, businesses can judge how advanced or mature a supply chain process is and how well it aligns with business goals. It works across industries using common definitions that apply to any supply chain process. SCM is complex, and S&OP implementation can be difficult, but the SCOR model is intended to help standardize the process and create a measurable way to track results. The supply chain operations reference (SCOR) model is designed to evaluate your supply chain for effectiveness and efficiency of sales and operational planning (S&OP). It’s not something that can be set up and left alone - your supply chain needs to be regularly evaluated so it stays efficient and productive. The supply chain includes everything involved in the flow of goods from a business to its customers, clients, or other businesses. Supply chain management (SCM) is a critical focus for companies that sell products, services, hardware, and software.
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