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Strategic Supply Chain Management - Supply Chain Online

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CA P P E N D I X<br />

Comparison of<br />

Characteristics for Levels<br />

2 and 3 SCOR Metrics<br />

The metrics contained within the <strong>Supply</strong>-<strong>Chain</strong> Operations Referencemodel<br />

(SCOR) are hierarchical, just as the process elements are hierarchical.<br />

Level 1 metrics are high-level measures that may cross multiple<br />

SCOR processes; they do not necessarily relate to a specific SCOR level<br />

1 process (plan, source, make, deliver, and return). Each of the 13 level 1<br />

metrics is associated with one of five specific performance attributes—<br />

supply chain reliability, supply chain responsiveness, supply chain flexibility,<br />

supply chain costs, and supply chain asset management. The<br />

performance attributes are the characteristics of the supply chain that<br />

enable evaluation against other supply chains with competing strategies.<br />

For example, without these characteristics, it would be extremely difficult<br />

to compare an organization that chooses to be the low-cost provider<br />

against an organization that chooses to compete on reliability and performance.<br />

Figure C-1 shows this alignment.<br />

Level 1 metrics are typically “assigned” to the plan supply chain<br />

process category and then decomposed into lower-level metrics. Level 2<br />

metrics are associated with a narrower subset of processes. Level 3 metrics<br />

(also called diagnostic metrics) are used to identify variations in performance<br />

against plan. Each level 2 and level 3 metric is also associated<br />

with one of the five performance attributes.<br />

279<br />

Copyright © 2005 by The McGraw-Hill Companies, Inc. Click here for terms of use.

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