Framework library · Operations and resilience

SCOR model

The SCOR model describes a supply chain as a set of standard processes, from setting the strategy and rules to taking back what customers return. Because the processes are the same for every chain, a company can compare sites, partners or peers on one basis and see which process is holding back cost, service or resilience, rather than arguing about the chain as a whole.

LevelIntermediate
TimeHalf a day to rate the processes with the right people; several weeks to benchmark against measured data
Who to involveThe supply chain lead with the owners of planning, procurement, logistics and returns, and someone from finance who knows what stock costs.
Also calledSupply Chain Operations Reference model, SCOR Digital Standard, SCOR DS, supply chain reference model

Use it when

  • Service, cost or stock is off target and each team blames another part of the chain.
  • You are comparing sites, business units or outsourcing partners and need the same process names for all of them.
  • You are planning supply chain investment and need to decide which process gets it first.
  • A merger or a new logistics partner means two supply chains have to be described in one language.

Avoid it when

  • The problem sits inside one step, such as a slow warehouse. Map that step with value stream mapping rather than rating the whole chain.
  • You need a measured benchmark against peers. A self-rating shows where you think you are; benchmarking needs ASCM's metric definitions and real data.
  • The question is how to keep going after a shock, such as a supplier failure. Use business continuity planning for recovery and keep SCOR for steady-state performance.
  • The chain is one supplier and one product. A supplier scorecard will tell you as much.

How to run it

  1. Draw the boundary of the chain

    Which products, from which suppliers, to which customers. A broadband operator's home equipment chain runs from the device maker to the customer's home and back to the refurbisher.

  2. Rate each process against the statements

    Score how true each statement is today, from evidence: plans, reports, stock records. The radar shows the profile.

  3. Set where each process needs to be

    Set a target per process from the strategy. Not every process needs a 5; a chain that competes on price needs different strengths from one that competes on speed.

  4. Find the gaps that matter most

    The gap between now and needed, weighted by what it costs the business, sets the order of work.

  5. Measure before you invest

    For the processes you will work on, agree the measures (delivery on the promised date, days of stock, time to restock a return) and record a baseline.

Work through it

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Mistakes to avoid

  • Rating the chain as it was designed rather than as it runs. Ask for the last three months of evidence behind each score.
  • Setting every target to 5. The model is a way to choose; targets that ask for everything decide nothing.
  • Leaving returns out because they look small. In equipment-heavy businesses returned devices are often the cheapest stock available.
  • Treating SCOR as the answer. It names and compares processes; the fixes come from Lean, Six Sigma or better planning.

Where it comes from

Developed in 1996 by the consultancy PRTM and AMR Research and endorsed by the Supply Chain Council, which merged with APICS in 2014. APICS is now the Association for Supply Chain Management (ASCM). In September 2022 ASCM released the SCOR Digital Standard, which added Orchestrate, split Deliver into Order and Fulfil, and renamed Make as Transform. The statements below are our own and do not reproduce ASCM's metrics or definitions. Source.

SCOR is a registered trademark of the Association for Supply Chain Management (ASCM). This page describes the model independently, does not reproduce its metrics or definitions, and is not endorsed by ASCM.

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