Question: Compare and contrast the SCM Framework we covered in this class with the widely cited Supply Chain Operations Reference Model. Below is a brief description
Compare and contrast the SCM Framework we covered in this class with the widely cited Supply Chain Operations Reference Model. Below is a brief description of SCOR, so please base your comparison on the information provided here. You do not need to go beyond the information below, but as you have extensive knowledge of the framework that we covered, you can talk about them in detail.
Introduction to Processes
A process is a unique activity performed to meet predefined outcomes. The SCOR processes are those that a supply chain must execute in order to meet its primary objective of fulfilling customer orders. For each unique process, SCOR only has one representation.
At the top of the SCOR Processes hierarchy is Orchestrate - a Level-0 process. Orchestrate is the only SCOR section that has a Level 0. The Level-0 process is at the Strategy level and informs and influences all of the levels below it.
After the Level-0 process, SCOR recognizes six major Level-1 processes Plan, Order, Source, Transform, Fulfill, and Return.
Orchestrate Supply Chain
The Orchestrate Supply Chain process describes the activities associated with the integration and enablement of supply chain strategies. These include the creation of and management of business rules, performance management through continuous improvement, managing data, information, and supply chain technology, human resources management, contracts and agreements management, network design, regulatory and compliance management, risk management, Environment, Social, and Governance (ESG) management, enterprise business planning, segmentation creation and management, and circular supply chain management.
Plan
The Plan process describes the activities associated with developing plans to operate the supply chain. Planning is executed for the Order, Source, Transform, Fulfill and Return processes. These include determining requirements, gathering information about available resources, balancing requirements and resources to determine planned capabilities and gaps in demand or resources, and identifying actions to correct these gaps.
Order
The Order process describes the activities associated with the customer purchase of products and services, including attributes such as locations, payment methods, pricing, fulfillment status, and any other order data.
Source
The Source process describes the activities associated with procuring, ordering, scheduling the ordering, delivery, receipt, and transfer of products and/or services.
Transform
The Transform process describes the activities associated with the scheduling and creation of products (e.g., production, assembly/disassembly, MRO) and services.
Fulfill
The fulfill process describes the activities associated with fulfilling customer orders for products, including scheduling order delivery, picking, packing, shipping, assembling, installing, commissioning, and invoicing.
Return
The Return process describes the activities associated with the reverse flow of goods, services, and/or any service components from a customer back through a supply/service chain to diagnose condition, evaluate entitlement, disposition back into Transform or other circular activities.
Levels
For each level-1 process, three or more differentiating level-2 processes exist. Each level-2 process contains level-3 process elements. These hierarchical relationships provide process classification.
When conducting a SCOR project, SCOR users may decide to move some lower-level processes, such as those involving sourcing, delivery, and procurement, into other Process sections. SCOR can serve as a flexible and customizable model that can be applied to multiple industries and situations, so the framework process locations are not rigid. If this is done, SCOR users should be careful not to duplicate processes.
In your answer: be sure to compare the scope of the two frameworks, including what is required for each process, how the processes relate to each other and what key decisions a company would have to make to implement each framework.
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