The Supply Chain Operations Reference (SCOR) model is a process reference model originally developed and endorsed by the Supply Chain Council, now a part of ASCM, as the cross-industry, standard diagnostic tool for supply chain management. The SCOR model describes the business activities associated with satisfying a customer's demand, which include plan, source, make, deliver, return, and enable. Use of the model includes analyzing the current state of a company's processes and goals, quantifying operational performance, and comparing company performance to benchmark data. SCOR has developed a set of metrics for supply chain performance, and ASCM members have formed industry groups to collect best practices information that companies can use to elevate their supply chain models. This reference model enables users to address, improve, and communicate supply chain management practices within and between all interested parties in the extended enterprise. SCOR was developed in 1996 by the management consulting firm PRTM, now part of PricewaterhouseCoopers LLP (PwC), and AMR Research, now part of Gartner, and endorsed by the Supply Chain Council, now part of ASCM, as the cross-industry de facto standard strategy, performance management, and process improvement diagnostic tool for supply chain management.
SCOR DS The SCOR Digital Standard (DS) was released in 2019 and updated in 2022 to digitize the model to make it more accessible and then to better describe dynamic, asynchronous digital supply chains, rather than the linear system presented by previous versions of the model. The 2022 update restructured the six major processes into the following processes:
Plan. Source. Transform — essentially an expanded version of Make that applies to more types of manufacturers and service providers. Order — the first part of the previously-combined Deliver process. Fulfill — the second part of the previously-combined Deliver process. Return. Orchestrate — a new focus on strategy, business rules, technology and human resources and their roles in supporting efficient supply chains. This new version of the model is illustrated as a type of infinity loop which reflects the modern reality of supply chain networks, rather than linear supply chains, and with "no artificial starts or stops from process to process". SCOR DS puts greater emphasis on collaboration, visibility and the effects of market drivers. The SCOR DS model is currently available free of charge.
SCOR 1.0 - 12.0 Pillars The original version of the SCOR model was based on four major pillars:
Process modeling and re-engineering. Performance measurements. Best practices. Skills.
Process modeling By describing supply chains using process modeling building blocks, the model can be used to describe supply chains that are very simple or very complex using a common set of definitions. As a result, disparate industries can be linked to describe the depth and breadth of virtually any supply chain. SCOR model 12.0 was based on six distinct management processes: Plan, Source, Make, Deliver, Return, and Enable.
Plan – Processes that balance aggregate demand and supply to develop a course of action that best meets sourcing, production, and delivery requirements. Source – Processes that procure goods and services to meet planned or actual demand. Make – Processes that transform product to a finished state to meet planned or actual demand. Deliver – Processes that provide finished goods and services to meet planned or actual demand, typically including order management, transportation management, and distribution management. Return – Processes associated with returning or receiving returned products for any reason. These processes extend into post-delivery customer support. Enable – Processes being associated with the management of the supply chain. These processes include management of business rules, performance, data, resources, facilities, contracts, supply chain network management, managing regulatory compliance, and risk management. The process is implemented in Version 11.0, released in December 2012. With all reference models, there is a specific scope that the model addresses. SCOR is no different, and the model focuses on the following:
All customer interactions, from order entry through paid invoice. All product (physical material and service) transactions, from your supplier's supplier to your customer's customer, including equipment, supplies, spare parts, bulk product, software, etc. All market interactions, from the understanding of aggregate demand to the fulfillment of each order. SCOR does not attempt to describe every business process or activity. Relationships between these processes can be made to the SCOR model and some have been noted within the model. Other key assumptions addressed by SCOR include training, quality, information technology, and administration (not supply chain management). These areas are not explicitly addressed in the model but rather assumed to be a fundamental supporting process throughout the model. SCOR provides three-levels of process detail. Each level of detail assists a company in defining scope (Level 1); configuration or type of supply chain (Level 2); and process element details, including performance attributes (Level 3). Beyond level 3, companies decompose process elements and start implementing specific supply chain management practices. It is at this stage that companies define practices to achieve a competitive advantage, and adapt to changing business conditions. SCOR is a process reference model designed for effective communication among supply chain partners. As an industry standard, it also facilitates inter- and intra- supply chain collaboration and horizontal process integration by explaining the relationships between processes (i.e., Plan-Source, Plan-Make, etc.). It also can be used as a data input to completing an analysis of configuration alternatives (e.g., Level 2) such as: Make-to-Stock or Make-To-Order. SCOR is used to describe, measure, and evaluate supply chains in support of strategic planning and continuous improvement.
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