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Strategic Supply Chain Management - Supply Chain Online

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APPENDIX A Source and Methodology for Benchmarking Data 263<br />

FIGURE A–2<br />

Primary manufacturing strategy.<br />

Engineer to Order 2%<br />

Make to<br />

Order 27%<br />

Make to<br />

Stock 56%<br />

Configure to<br />

Order 15%<br />

Number of Businesses / Data Sets = 89<br />

© Copyright 2004 The Performance Measurement Group, LLC<br />

Quantitative performance is assessed using a detailed questionnaire<br />

that covers a set of SCOR-compliant metrics, as well as other questions<br />

designed to assess supply chain performance. High-level metrics such as<br />

delivery performance or cash-to-cash cycle time (SCOR level 1) are calculated<br />

based on responses to more detailed questions. For example, delivery<br />

performance to commit is calculated based on the number of orders delivered<br />

on time to the customer request date divided by the total number of<br />

orders delivered. More detailed metrics such as materials acquisition cost<br />

are collected using detailed definitions that break out all the various<br />

components (e.g., inbound freight and duty cost, a SCOR level 3 measure).<br />

The quantitative part of the survey also includes questions that provide<br />

further insight into supply chain operations, for example, number of<br />

weeks of firm forecast needed in advance of ship date window, as well as<br />

questions that assess processing of product returns and repairs.<br />

Qualitative performance is assessed using more than 270 questions that<br />

characterize supply chain practices in four areas: plan, source, make, and<br />

deliver, as well as a number of questions that address overall supply chain

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