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Keeping SCOR in Your Supply Chain - Supply Chain Council

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Welcome© 2010 <strong>Supply</strong> Cha<strong>in</strong> <strong>Council</strong>. ALL RIGHTS RESERVED. | < filename > | Slide 1 | 23 November 2010


15 th Annual 3PL Study conducted byCapgem<strong>in</strong>i i Consult<strong>in</strong>g & Georgia TechJim Morton, Manag<strong>in</strong>g ConsultantCapgem<strong>in</strong>i Consult<strong>in</strong>g© 2010 <strong>Supply</strong> Cha<strong>in</strong> <strong>Council</strong>. ALL RIGHTS RESERVED. | < filename > | Slide 3 | 23 November 2010


<strong>Keep<strong>in</strong>g</strong> <strong>SCOR</strong> <strong>in</strong> <strong>Your</strong> <strong>Supply</strong> Cha<strong>in</strong>Richard J Sherman, Director of North America<strong>Supply</strong> Cha<strong>in</strong> <strong>Council</strong>www.supply-cha<strong>in</strong>.org© 2010 <strong>Supply</strong> Cha<strong>in</strong> <strong>Council</strong>. ALL RIGHTS RESERVED. | < filename > | Slide 4 | 23 November 20104


Agenda• Who is the <strong>Supply</strong> Cha<strong>in</strong> <strong>Council</strong>?• The Bus<strong>in</strong>ess Landscape• The Role Of The <strong>SCOR</strong> Model InOptimiz<strong>in</strong>g <strong>Supply</strong> Cha<strong>in</strong> Performance• AL Look at t<strong>SCOR</strong>V Version 10• Conclusion© 2010 <strong>Supply</strong> Cha<strong>in</strong> <strong>Council</strong>. ALL RIGHTS RESERVED. | < filename > | Slide 5 | 23 November 2010


WHO IS THE SUPPLY CHAIN COUNCIL?© 2010 <strong>Supply</strong> Cha<strong>in</strong> <strong>Council</strong>. ALL RIGHTS RESERVED. | < filename > | Slide 6 | 23 November 2010


SCC: An <strong>in</strong>dependent, nonprofitglobal association• Formed <strong>in</strong> 1996 to create and evolve an open <strong>in</strong>dustry processreference model of the supply cha<strong>in</strong> for the benefit of help<strong>in</strong>g companiesrapidly and dramatically improve supply ppy cha<strong>in</strong> operations• SCC has established the supply cha<strong>in</strong> world’s most widely acceptedframework – the <strong>SCOR</strong>® process reference model – for evaluat<strong>in</strong>g andcompar<strong>in</strong>g supply cha<strong>in</strong> activities and their performance› <strong>SCOR</strong> is an open <strong>in</strong>dustry process standard conta<strong>in</strong><strong>in</strong>g over 200process elements, 550 metrics, and 500 best practices <strong>in</strong>clud<strong>in</strong>g riskand environmental management and HR skills requirements for eachprocess› It lets companies quickly determ<strong>in</strong>e and compare the performance ofsupply cha<strong>in</strong> and related operations with<strong>in</strong> their company or aga<strong>in</strong>stother companies and can be used as an unbiased foundation for valuebased outsourc<strong>in</strong>g relationships (e.g., DoD PBL standard)• SCC cont<strong>in</strong>ually advances its tools and educates members about howcompanies are capitaliz<strong>in</strong>g on those tools› With membership open to all <strong>in</strong>terested organizations© 2010 <strong>Supply</strong> Cha<strong>in</strong> <strong>Council</strong>. ALL RIGHTS RESERVED. | < filename > | Slide 7 | 23 November 2010


Global Scope With Over 800Member OrganizationsMember Distribution GeographicNorthAmericaAustralia/NewZealandCh<strong>in</strong>aSouth AfricaLat<strong>in</strong> AmericaSoutheastAsiaJapanMember AffiliationEuropeGovernmentSMEEnd UserAlso develop<strong>in</strong>g chapters <strong>in</strong> Indiaand the Middle EastEnabl<strong>in</strong>g TechnologyConsultantNon-Profit/Academic0% 10% 20% 30% 40% 50%© 2010 <strong>Supply</strong> Cha<strong>in</strong> <strong>Council</strong>. ALL RIGHTS RESERVED. | < filename > | Slide 8 | 23 November 2010


Industry Membership Scope© 2010 <strong>Supply</strong> Cha<strong>in</strong> <strong>Council</strong>. ALL RIGHTS RESERVED. | < filename > | Slide 9 | 23 November 2010


THE BUSINESS LANDSCAPE© 2010 <strong>Supply</strong> Cha<strong>in</strong> <strong>Council</strong>. ALL RIGHTS RESERVED. | < filename > | Slide 10 | 23 November 2010


The Recession Ended <strong>in</strong> June, 2009, Right?Stock Market Volatility, Oil Prices, Labor,Political Instability, SecurityReduc<strong>in</strong>g Inventory/Work<strong>in</strong>g Capital/ AssetManagementReduc<strong>in</strong>g Total <strong>Supply</strong>Cha<strong>in</strong> Costs<strong>Supply</strong> Cha<strong>in</strong> Resiliency& Susta<strong>in</strong>ability:Risk Managementage e& GreenCompet<strong>in</strong>g <strong>in</strong> aGlobal l MarketProvid<strong>in</strong>g Superior & ConsistentCustomer Service While Increas<strong>in</strong>gRevenue & Marg<strong>in</strong>Bus<strong>in</strong>ess As Usual Has Been Cancelled…Now What?© 2010 <strong>Supply</strong> Cha<strong>in</strong> <strong>Council</strong>. ALL RIGHTS RESERVED. | < filename > | Slide 11 | 23 November 2010


The New Normal?• Poor Daily Forecast Accuracy results <strong>in</strong> extensive “fire fight<strong>in</strong>g” toresolve variation from plan• Planners and Schedulers rely more on custom spreadsheets thanplann<strong>in</strong>g systems to resolve variation from plan• Lack of Visibility to changes upstream and downstream result <strong>in</strong>frequent <strong>in</strong>ventory imbalances• Inaccurate Economic Order Quantities, Cycle Stock and Safety Stockcalculations• Frequent Production Schedule and Run Length Changes• Inability to share <strong>in</strong>formation with other planners and schedulers• Lack of Performance Information and daily decision support tools• Inability to optimize resources, <strong>in</strong>ventory and operations to maximizeprofitabilityCompanies are seek<strong>in</strong>g to extend & <strong>in</strong>tegrate plann<strong>in</strong>g & execution to becomemore Collaborative & Demand Responsive!© 2010 <strong>Supply</strong> Cha<strong>in</strong> <strong>Council</strong>. ALL RIGHTS RESERVED. | < filename > | Slide 12 | 23 November 2010


Superior <strong>Supply</strong> Cha<strong>in</strong> Management (SCM) hasLong Been a Source of Competitive Advantage<strong>Supply</strong> cha<strong>in</strong> management costs per $1,000 revenue$180$168.11$160$140$120$100$80$81.32$70.12$91.49$80.52$60$56.36$40$20$22.86$29.48$23.98$9.75$24.60 $24.58$0ConsumerProducts/PackagedGoodsElectronics Industrial Products Petroleum/Chemical Retail and Wholesale ServicesBest-<strong>in</strong>-class Companies Outperform Their Median Competitors withmore than a 50% Cost Advantage… 14 of AMR’s Top 25 are SCC members!Parity (50th Percentile)Superior (90th Percentile)Source: APQC, <strong>SCOR</strong>mark benchmark<strong>in</strong>g database (www.apqc.org/scc)© 2010 <strong>Supply</strong> Cha<strong>in</strong> <strong>Council</strong>. ALL RIGHTS RESERVED. | < filename > | Slide 13 | 23 November 2010


<strong>SCOR</strong> Index of Publicly Traded Company MembersCompanies with a Focus on <strong>Supply</strong> Cha<strong>in</strong> ImprovementOutperform the Market, Even <strong>in</strong> Tough Times!© 2010 <strong>Supply</strong> Cha<strong>in</strong> <strong>Council</strong>. ALL RIGHTS RESERVED. | < filename > | Slide 14 | 23 November 2010


The Ultimate Goal of the Transformation toOperations Excellence is to Increase Shareholder ValueThe <strong>Supply</strong> Cha<strong>in</strong>Impacts . . .All F<strong>in</strong>ancialMetrics . . .& ShareholderValue• Improve customer serviceand response• Optimize <strong>in</strong>ventory flow,utilization & productivity• Best-<strong>in</strong>-class customerrelationships• Differentiated servicecapabilities• Best-<strong>in</strong>-class strategicsupplier partnerships• Leverage outsourc<strong>in</strong>g ofbus<strong>in</strong>ess processes• Unique supply cha<strong>in</strong> models& Asset Utilization© 2010 <strong>Supply</strong> Cha<strong>in</strong> <strong>Council</strong>. ALL RIGHTS RESERVED. | < filename > | Slide 15 | 23 November 2010LiberateWork<strong>in</strong>gCapitalReduceFixedCapitalIncreaseRevenueand Marg<strong>in</strong>OptimizeCost ModelImproveCapitalEfficiencyIncreaseProfitIncreaseShareholderValue(ROIC)Effective <strong>Supply</strong> Cha<strong>in</strong> Management can <strong>in</strong>crease Return on Invested Capital(ROIC) by 30% and More!


Best Practices Leadership is the Foundation forProfitable Growth to Atta<strong>in</strong> Market LeadershipLEADERSHIP <strong>in</strong>OPERATIONS EXCELLENCEHIGHERMARKETSHARESUPERIORFINANCIALRETURNSGREATERVALUETO CUSTOMERSREINVEST AT AHIGHER RATETHANCOMPETITORSNEW PRODUCTS, SERVICES,COST IMPROVEMENTSCompet<strong>in</strong>g <strong>in</strong> the 21 st Century Requires New Th<strong>in</strong>k<strong>in</strong>g and OperationsExcellence; no, Operations Innovation!© 2010 <strong>Supply</strong> Cha<strong>in</strong> <strong>Council</strong>. ALL RIGHTS RESERVED. | < filename > | Slide 16 | 23 November 2010


Creat<strong>in</strong>g Market Leadership RequiresInnovation . . . Game Chang<strong>in</strong>g StrategiesTransformationTo OperationsExcellenceCompetitiveAdvantageOperationsEfficiencyPerformanceCompanies must view Change as an Opportunity and not a Threat… CompetitiveStrategies require a new level of th<strong>in</strong>k<strong>in</strong>g!© 2010 <strong>Supply</strong> Cha<strong>in</strong> <strong>Council</strong>. ALL RIGHTS RESERVED. | < filename > | Slide 17 | 23 November 2010


Traditional <strong>Supply</strong> Cha<strong>in</strong> Th<strong>in</strong>k<strong>in</strong>gSourc<strong>in</strong>gManufactur<strong>in</strong>g Distribution Po<strong>in</strong>t of SaleSupplierManufacturer Distributor Wholesaler RetailerConsumerSalesSalesSalesSalesTimeTimeTimeTime• Bullwhipped Demand Signals• Little Collaboration• Excess Inventory• High Execution Costs• Stockouts© 2010 <strong>Supply</strong> Cha<strong>in</strong> <strong>Council</strong>. ALL RIGHTS RESERVED. | < filename > | Slide 18 | 23 November 2010


The <strong>Supply</strong> Cha<strong>in</strong> is Evolv<strong>in</strong>g to aCollaborative <strong>Supply</strong> NetworkSuppliersManufacturersWholesaleDistributorsRetailersInternet/PortalsInternet/PortalsInternet/PortalsCustomerDemandContractManufacturersVirtualManufacturers© 2010 <strong>Supply</strong> Cha<strong>in</strong> <strong>Council</strong>. ALL RIGHTS RESERVED. | < filename > | Slide 19 | 23 November 2010LogisticsProvidersInfoGoodsCompanies Must Transform Their Operat<strong>in</strong>g Processes To BecomeCustomer Focused, Demand Responsive, Collaborative, & Profitable


The Conundrum: Manag<strong>in</strong>g the Push/Pull BoundaryBalanc<strong>in</strong>g Demand and <strong>Supply</strong>DEMANDRawMaterialSchedule Rqmts No Visibilityto ChannelRequirementsPOS Store RDC Product ProductionData Rqmts Rqmts RqmtsResponse SensitiveTime SensitiveStoreRetail OrderProductionReplenishmentCycleCycleCycleDCManufacturerReplenishmentReplenishmentCycleCycleProcurementCycleData Data Data Data Data DataShelf MgmtMerchandSystemsOperationsSystemsBuyerSystemsOrderMgmtSystemsProductionSystemsPurchas<strong>in</strong>gSystemsSub-OptimalOperationalResponseLocalData &Process<strong>in</strong>gSUPPLYBalanc<strong>in</strong>g Demand & <strong>Supply</strong> Requires Collaboration that Extendsbeyond Traditional S&OP!© 2010 <strong>Supply</strong> Cha<strong>in</strong> <strong>Council</strong>. ALL RIGHTS RESERVED. | < filename > | Slide 20 | 23 November 2010


Transform<strong>in</strong>g to Collaborative Plann<strong>in</strong>gIntegratedPlann<strong>in</strong>g&ExecutionReal Time Information for…Real Time Decision i Mak<strong>in</strong>g© 2010 <strong>Supply</strong> Cha<strong>in</strong> <strong>Council</strong>. ALL RIGHTS RESERVED. | < filename > | Slide 21 | 23 November 2010


What’s The Next Big Th<strong>in</strong>g?• Cloud Comput<strong>in</strong>g› <strong>Supply</strong> Cha<strong>in</strong> Visibility› Software as a Service (SaaS)/On Demand› Location Based Technology/Mobility/Telematics› Bus<strong>in</strong>ess Intelligence/Decision Support• Auto Id/Information› Beyond RFID› Voice Recognition/Response› Intelligent Sensors, Monitors, Devices• Logistics Robotics› Pick<strong>in</strong>g, Pack<strong>in</strong>g, Putaway› Load, Unload• Internet Transparency & Social Media for Bus<strong>in</strong>ess› L<strong>in</strong>kedIn, Twitter, Blogg<strong>in</strong>g, Search› Offers, Location, Orders, Navigation, BehaviorThe Convergence of Emerg<strong>in</strong>g Technologies will lead to New Applicationsfor Integrat<strong>in</strong>g Plann<strong>in</strong>g & Execution!© 2010 <strong>Supply</strong> Cha<strong>in</strong> <strong>Council</strong>. ALL RIGHTS RESERVED. | < filename > | Slide 22 | 23 November 2010


A New Paradigm is Emerg<strong>in</strong>g:The Smart <strong>Supply</strong> Network• Optimization for Visibility & Global Flow Control• Smart Transactions (Telematics/RFID) Convey Information <strong>in</strong>Real Time Across the <strong>Supply</strong> Network… Paperless!• Convergence of Plann<strong>in</strong>g & Execution - Basis for DemandPlann<strong>in</strong>g/Crossdock<strong>in</strong>g/Outbound /O d Consolidation• Optimum <strong>Supply</strong> Network Material Flow throughCollaborative, Synchronized Activity Plann<strong>in</strong>g & Schedul<strong>in</strong>gSmart InformationSmart InformationCompanies must def<strong>in</strong>e their supply cha<strong>in</strong> processes, metrics, bestpractices and talent requirements to leverage a new paradigm <strong>in</strong> supplyVendor Crossdock & Customercha<strong>in</strong> Custom management Pack &to Distributionga<strong>in</strong> ib competitive i e Outboundadvantage! antage!LabelCenterConsolidation© 2010 <strong>Supply</strong> Cha<strong>in</strong> <strong>Council</strong>. ALL RIGHTS RESERVED. | < filename > | Slide 23 | 23 November 2010


THE ROLE OF THE <strong>SCOR</strong> MODEL INOPTIMIZING SUPPLY CHAIN PERFORMANCE© 2010 <strong>Supply</strong> Cha<strong>in</strong> <strong>Council</strong>. ALL RIGHTS RESERVED. | < filename > | Slide 24 | 23 November 2010


What is <strong>SCOR</strong> ® ?• <strong>SCOR</strong> is a supply cha<strong>in</strong>process reference modelconta<strong>in</strong><strong>in</strong>g over 200 processelements, 550 metrics, and500 best practices <strong>in</strong>clud<strong>in</strong>grisk and environmentalmanagement and HR SEAT• Organized around the fiveprimary managementprocesses of Plan, Source,Make, Deliver and Return• Developed by the <strong>in</strong>dustryfor use as an <strong>in</strong>dustry openstandard -Any <strong>in</strong>terestedorganization can participatei t<strong>in</strong> its cont<strong>in</strong>ual developmentSupplier processesSourceReturn<strong>Supply</strong> Cha<strong>in</strong>PlanMakeDeliverReturnProcess, arrow <strong>in</strong>dicates material flow directionProcess, no material flowInformation flowCustomerprocessess© 2010 <strong>Supply</strong> Cha<strong>in</strong> <strong>Council</strong>. ALL RIGHTS RESERVED. | < filename > | Slide 25 | 23 November 201025


<strong>Supply</strong> Cha<strong>in</strong> <strong>Council</strong> Extended Frameworks –DCOR and CCORProduct ManagementSupp plier processe esProduct DesignDCORSales & SupportCCORCu stomer proce esses<strong>Supply</strong> Cha<strong>in</strong> <strong>SCOR</strong>Technical Development Steer<strong>in</strong>g Committee•Work<strong>in</strong>g Groups – Frameworks, Processes, Metrics, Susta<strong>in</strong>ability,Risk, Skills, etc.•Special Interest Groups – Industry, Methodologies, Best Practices,etc.•Other Ongo<strong>in</strong>g g Research Projects© 2010 <strong>Supply</strong> Cha<strong>in</strong> <strong>Council</strong>. ALL RIGHTS RESERVED. | < filename > | Slide 26 | 23 November 2010


<strong>SCOR</strong> Def<strong>in</strong>es the First 3 Levels of DetailsLevel 1 Level 2 Level 3 Level 4 Level 5Scope Configuration Activity Workflow Transactions<strong>Supply</strong>-Cha<strong>in</strong>SourceS1SourceStocked ProductS1.2Receive ProductEDIXMLDifferentiates Differentiates Names Tasks Sequences Steps L<strong>in</strong>ksBus<strong>in</strong>ess Complexity TransactionsDef<strong>in</strong>es Scope:The Basis forCompetitivePerformanceTargets are setFrameworkLanguageDifferentiatesCapabilities:Companiesimplement theiroperationsstrategy based onunique SCconfigurationFrameworkLanguageL<strong>in</strong>ks, Metrics,Tasks andPractices:Companies “f<strong>in</strong>etune” theiroperationsstrategyFrameworkLanguageJob Details:Def<strong>in</strong>es practicesto achievecompetitiveadvantage and toadapt to chang<strong>in</strong>gbus<strong>in</strong>essconditionsIndustry orCompanySpecificLanguagegDetails ofAutomation:Def<strong>in</strong>es “processgates” and<strong>in</strong>tegration po<strong>in</strong>ts/requirementsTechnologySpecificLanguageStandard <strong>SCOR</strong> def<strong>in</strong>itionsCompany/Industry def<strong>in</strong>itions


Best PracticesBest practice: "A current, structured, proven and repeatablemethod for mak<strong>in</strong>g a positive impact on desired operationalresults.""• CurrentMust not be emerg<strong>in</strong>g and can not be antiquated• StructuredHas clearly stated Goal, Scope, Process, and Procedure• ProvenSuccess has been demonstrated <strong>in</strong> a work<strong>in</strong>genvironment and can be l<strong>in</strong>ked to key metrics• RepeatableThe practice has been proven <strong>in</strong> multiple environments.© 2010 <strong>Supply</strong> Cha<strong>in</strong> <strong>Council</strong>. ALL RIGHTS RESERVED. | < filename > | Slide 28 | 23 November 2010


P1 Plan <strong>Supply</strong> Cha<strong>in</strong>MetricsCash-to-Cash Cycle TimeCost to Plan SCOrder Fulfillment CycleTimePlan Cycle TimeReturn on SC Fixed AssetsReturn on Work<strong>in</strong>g CapitalBest PracticesCapability to run What-if simulationsChange <strong>in</strong> Demand signal <strong>in</strong>stantaneously“reconfigures” Production and <strong>Supply</strong> PlansCPFROn-l<strong>in</strong>e visibility of demandRe-balanc<strong>in</strong>g on full-stream supply anddemand<strong>Supply</strong>/Demand Processes are fully<strong>in</strong>tegratedS&OPTools support balanced decision mak<strong>in</strong>gVMI© 2010 <strong>Supply</strong> Cha<strong>in</strong> <strong>Council</strong>. ALL RIGHTS RESERVED. | < filename > | Slide 29 | 23 November 2010


<strong>Supply</strong> Cha<strong>in</strong> Balanced <strong>SCOR</strong>cardStandard Strategic (Level 1) MetricsCust tomerInternalAttributeReliabilityResponsivenessAgilityCostAssetsMetric (Strategic)Perfect Order FulfillmentOrder Fulfillment Cycle Time<strong>Supply</strong> Cha<strong>in</strong> Flexibility<strong>Supply</strong> Cha<strong>in</strong> Adaptability †<strong>Supply</strong> Cha<strong>in</strong> Management CostCost of Goods SoldCash‐to‐Cash Cycle TimeReturn on <strong>Supply</strong> Cha<strong>in</strong> Fixed AssetsReturn on Work<strong>in</strong>g Capital† upside and downside de adaptability ab metrics© 2010 <strong>Supply</strong> Cha<strong>in</strong> <strong>Council</strong>. ALL RIGHTS RESERVED. | < filename > | Slide 30 | 23 November 2010


<strong>SCOR</strong>mark Benchmark<strong>in</strong>g – Diagnoses the AreasMost <strong>in</strong> Need of Improvement© 2010 <strong>Supply</strong> Cha<strong>in</strong> <strong>Council</strong>. ALL RIGHTS RESERVED. | < filename > | Slide 31 | 23 November 2010


Benchmark to Identify Process Parity,Advantage, or SuperiorityAttribute Metric (level 1) Company Parity Adv SuperiorParityGapReqGapReliability Perfect Order Fulfillment 98% 92% 96% 98% -6%Responsiveness Order Fulfillment Cycle Time 14 days 8 days 6 days 4 days 6 days 8 daysFlexibility Ups. <strong>Supply</strong> Cha<strong>in</strong> Flexibility 62 days 80 days 62 days 40 days -18 daysCost <strong>Supply</strong> Cha<strong>in</strong> Mgmt Cost 10.1% 10.8% 10.4% 10.2% -0.7%Assets Cash-to-Cash Cycle Time 22 days 45 days 30 days 20 days -23 daysScop<strong>in</strong>g Identifies one or moretargeted metrics forParity Median ofStatistical Sampleimprovement Advantage Midpo<strong>in</strong>t of Parityand SuperiorPotential OutsourceOpportunitySuperior90 th percentile ofpopulation© 2010 <strong>Supply</strong> Cha<strong>in</strong> <strong>Council</strong>. ALL RIGHTS RESERVED. | < filename > | Slide 32 | 23 November 2010


Best Practices – What does it take to improve?<strong>SCOR</strong> conta<strong>in</strong>s over 200 best practices today• Do you need to implement all 200+ <strong>in</strong> your company?turnHigh ReLow Riskquickw<strong>in</strong>sHigh RisksponsorissueHow to determ<strong>in</strong>e fit?• For each best practice› Determ<strong>in</strong>e risk› Determ<strong>in</strong>e return• P<strong>in</strong> <strong>in</strong> the quadrantLowReturnnice to haveconsidercarefully• Implement a best practice IF it makes sense for your specificprocesses, bus<strong>in</strong>ess, or <strong>in</strong>dustry.© 2010 <strong>Supply</strong> Cha<strong>in</strong> <strong>Council</strong>. ALL RIGHTS RESERVED. | < filename > | Slide 33 | 23 November 2010<strong>SCOR</strong> 8.0 Framework Tra<strong>in</strong><strong>in</strong>g33


<strong>SCOR</strong> Provides Analytic Framework forOutsourc<strong>in</strong>g Bus<strong>in</strong>ess Processes<strong>SCOR</strong> enables you to map, measure, benchmark and analyze yourprocesses.• When and how should you outsource?High ValueLow ExpertiseHigh ExpertiseHow to determ<strong>in</strong>e fit?• For each bus<strong>in</strong>ess process› Determ<strong>in</strong>e expertise› Determ<strong>in</strong>e value• P<strong>in</strong> <strong>in</strong> the quadrantepPerformanceBasedOpportunityCoreCompetency/High IPLow ValueTraditional3PLCan a ThirdParty Performat a LowerCost?• Outsource or implement best practice IF it makes sense for your specificprocesses, bus<strong>in</strong>ess, or <strong>in</strong>dustry.© 2010 <strong>Supply</strong> Cha<strong>in</strong> <strong>Council</strong>. ALL RIGHTS RESERVED. | < filename > | Slide 34 | 23 November 2010


A LOOK AT <strong>SCOR</strong> V10© 2010 <strong>Supply</strong> Cha<strong>in</strong> <strong>Council</strong>. ALL RIGHTS RESERVED. | < filename > | Slide 35 | 23 November 2010


New <strong>in</strong> Version 10 - On-l<strong>in</strong>e <strong>SCOR</strong> BrowserThe on-l<strong>in</strong>e version willallow the user fullaccess to….© 2010 <strong>Supply</strong> Cha<strong>in</strong> <strong>Council</strong>. ALL RIGHTS RESERVED. | < filename > | Slide 36 | 23 November 2010


On‐l<strong>in</strong>e <strong>SCOR</strong> BrowserProcesses© 2010 <strong>Supply</strong> Cha<strong>in</strong> <strong>Council</strong>. ALL RIGHTS RESERVED. | < filename > | Slide 37 | 23 November 2010


On‐l<strong>in</strong>e <strong>SCOR</strong> BrowserMetrics© 2010 <strong>Supply</strong> Cha<strong>in</strong> <strong>Council</strong>. ALL RIGHTS RESERVED. | < filename > | Slide 38 | 23 November 2010


On‐l<strong>in</strong>e <strong>SCOR</strong> BrowserBest Practices© 2010 <strong>Supply</strong> Cha<strong>in</strong> <strong>Council</strong>. ALL RIGHTS RESERVED. | < filename > | Slide 39 | 23 November 2010


On‐l<strong>in</strong>e <strong>SCOR</strong> BrowserSkills© 2010 <strong>Supply</strong> Cha<strong>in</strong> <strong>Council</strong>. ALL RIGHTS RESERVED. | < filename > | Slide 40 | 23 November 2010


Process Steps ‐ S1 Source Stocked ProductAll Process StepsIncluded© 2010 <strong>Supply</strong> Cha<strong>in</strong> <strong>Council</strong>. ALL RIGHTS RESERVED. | < filename > | Slide 41 | 23 November 2010


<strong>SCOR</strong> 10 Browser – Skills List© 2010 <strong>Supply</strong> Cha<strong>in</strong> <strong>Council</strong>. ALL RIGHTS RESERVED. | < filename > | Slide 42 | 23 November 2010


Individual Skills Page“3-wayReceiv<strong>in</strong>gMatch”Select anexperience,aptitude ortra<strong>in</strong><strong>in</strong>gassociated withthat skill or tosee what otherprocesses areus<strong>in</strong>g the sameskill for moredetail.For Example: BarCod<strong>in</strong>g/RFID© 2010 <strong>Supply</strong> Cha<strong>in</strong> <strong>Council</strong>. ALL RIGHTS RESERVED. | < filename > | Slide 43 | 23 November 2010


Experience PageSomeone with experience<strong>in</strong> Bar Cod<strong>in</strong>g/RFID canidentify other skills wherethat experience isapplicable and may qualifythem to work or, aid <strong>in</strong>determ<strong>in</strong><strong>in</strong>g where such aperson might best beutilized© 2010 <strong>Supply</strong> Cha<strong>in</strong> <strong>Council</strong>. ALL RIGHTS RESERVED. | < filename > | Slide 44 | 23 November 2010


The <strong>SCOR</strong> ® framework –a cross-<strong>in</strong>dustry open standard• The five <strong>in</strong>tegrated processes provide a boundary-free view of the trueend-to-end Extended <strong>Supply</strong> Cha<strong>in</strong>• Supports Outsourc<strong>in</strong>g Analysis and Performance Based or VestedOutsourc<strong>in</strong>gPlanDeliverSourceMakeDeliverSource Make DeliverSource Make DeliverSourceReturn Return ReturnReturnReturnReturnReturnReturnSuppliers’SupplierSupplier<strong>Your</strong> CompanyCustomerCustomer’sCustomerInternal or ExternalInternal or External© 2010 <strong>Supply</strong> Cha<strong>in</strong> <strong>Council</strong>. ALL RIGHTS RESERVED. | < filename > | Slide 45 | 23 November 2010


A “Game Plan” for TransformationPhase Name Deliverable ResolvesORGANIZE • Organizational Support Who is the sponsor?IDISCOVER• <strong>Supply</strong>-Cha<strong>in</strong> Def<strong>in</strong>ition• <strong>Supply</strong>-Cha<strong>in</strong> Priorities• Project CharterWhat will the program cover?IIANALYZE• Scorecard• Benchmark• Competitive RequirementsWhat are the strategicrequirements of your supplycha<strong>in</strong>?• Geo MapIII MATERIAL • Thread Diagram• Disconnect AnalysisInitial Analysis – where are theproblems?IVWORK• Transactions• Level 3, Level 4 Processes• Best Practices AnalysisF<strong>in</strong>al Analysis – where are thesolutions?VIMPLEMENT• Opportunity Analysis• Project Def<strong>in</strong>ition• Deployment OrganizationHow to deploy?© 2010 <strong>Supply</strong> Cha<strong>in</strong> <strong>Council</strong>. ALL RIGHTS RESERVED. | < filename > | Slide 46 | 23 November 201046 46


<strong>Keep<strong>in</strong>g</strong> <strong>SCOR</strong> <strong>in</strong> <strong>Your</strong> <strong>Supply</strong> Cha<strong>in</strong> ProducesResults!$200M Cost Improvements S<strong>in</strong>gleDivisionUS$2.3B Sav<strong>in</strong>gs supported withMerger$5B Work<strong>in</strong>g Capital$66M Revenue/Inventory€2M Improvements S<strong>in</strong>gle Division(Peroxides)© 2010 <strong>Supply</strong> Cha<strong>in</strong> <strong>Council</strong>. ALL RIGHTS RESERVED. | < filename > | Slide 47 | 23 November 2010


Thank You!www.supply-cha<strong>in</strong>.orgRich Sherman, Director of North AmericaEmail: rsherman@supply-cha<strong>in</strong>.orgDirect: +1 512-266-9041Mobile: +1 512-294-6558© 2010 <strong>Supply</strong> Cha<strong>in</strong> <strong>Council</strong>. ALL RIGHTS RESERVED. | < filename > | Slide 48 | 23 November 2010

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