Strategic Supply Chain Management - Supply Chain Online

90 Strategic Supply Chain Management
FIGURE 2–14
Next-generation practices in process architecture.
Theme
Process
Architecture
Content
Decision
Support
Process
Automation
Enterprise
Scope
Cross-
Enterprise
Scope
SCPA
(Supply
Chain
Process
Architecture)
Ownership
Current Dominant
Practice
Detailed processes (plan,
source, make, deliver,
return) are described, but
the integration between
the processes, and
between processes and
applications, is missing or
incomplete.
The process architecture
content focuses on execution
within the organization
of the subprocesses, with
limited integration of analytics
(performance
monitoring, reporting, resolution).
Manual intervention is
used to resolve even routine
exceptions (e.g., late
supplier delivery, stockouts,
etc.) and each
exception typically
requires days or weeks to
identify and resolve.
Process architecture content
(activities, data,
metrics, and applications)
may differ by country or
region, based on history or
organizational control.
The focus is the organization,
and process
architecture structure,
vocabulary, and content
are unique to each organization.
The development and
maintenance of the
process architecture are
led and conducted by IT;
seen as an “IT issue.”
Next-Generation
Dominant Practice
The process architecture integrates all
supply chain process activities (plan,
source, make, deliver and return), data,
metrics, and applications.
The processes create visibility of a
defined set of events and of actual performance
versus plan, using standard
metrics, in order to support proactive
management, extending as required to
suppliers, partners, and customers.
For a defined set of critical business
events, automated business rules, and
problem-solving propose solutions for
approval by business owners in real-time
environments.
Such content (activities, data, metrics,
and applications) is standardized to support
the work of geographically dispersed
virtual teams and to enable the sharing
and transfer of work between locations.
The process architecture integrates standards
such as SCOR® (Supply-Chain
Operations Reference-model®) and
ensures the existence of common
processes, data, and metrics with suppliers,
partners, and customers. Standards
support the management of liabilities, critical
resources (inventories, capacities,
etc.), and events in the extended supply
chain.
The process architecture is seen as “an
asset” and is co-managed by business
leaders (P&L responsibility) and IT in
order to balance business requirements
and the advantages of shared process
and IT standards.