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Supply Chain Asset Management Efficiency
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The effectiveness of an organization in managing assets to support demand satisfaction. This includes the management of all assets: fixed and working capital.
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As discussed in 5, every organization should select and use a portfolio of metrics that supports its overall business strategy and drives desired behavior. In order to provide the reader with a starting point, we have included the complete list of SCOR level 2 and level 3 metrics in this appendix (see Figures C-2 through C-14). To facilitate use of this list, we note which level 2 process category is associated with each level 3 metric. Further detail, including association of each metric with a specific performance attribute and standard definitions for each metric, is contained within SCOR, version 6.0, available through the Supply-Chain Council (www.supplychain.org).
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APPENDIX C Comparison of Characteristics for Levels 2 and 3 SCOR Metrics
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F I G U R E C 2
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SCOR metrics Plan level 2.
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Plan Level 2 Ability to Augment Return Capacity Rapidly Capacity Utilization Cash-to-Cash Cycle Time Make Cycle Time Source Cycle Time Cumulative Source/Make Cycle Time Delivery Performance to Customer Request Date Demand/Supply Planning Costs Fill Rate Finished Goods Inventory Days of Supply Forecast Accuracy Inventory Days of Supply Order Management Cycle Time Production Plan Adherence Re-Plan Cycle Time Return Assets Utilization Return on Assets Return Product Velocity Sales per Employee Source Flexibility Supplier On-Time Delivery Performance Supplier Fill Rate Total Deliver Costs Total Supply Chain Cost WIP Inventory Days of Supply Supply Chain x x x x x x x x x x x x x x x x x x x x x x x x x x Source Make Deliver Return x
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Strategic Supply Chain Management
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F I G U R E C 3
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SCOR metrics Plan level 3.
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Plan Level 3 Asset Turns Cash-to-Cash Cycle Time Cumulative Make Cycle Time Cumulative Source/Make Cycle Time Delivery Performance to Customer Request Date Fill Rate Finished Goods Inventory Days of Supply Forecast Accuracy Forecasting and Demand MIS Costs In-Stock Position (Inventory) Intra-Manufacturing Replan Cycle Time Inventory Carrying Costs Inventory Days of Supply Inventory Turns Material Planning Costs On-Time Delivery Order Fulfillment Lead Time Order Management Cycle Time % Overtime Labor Perfect Order Fulfillment Planning Costs as a % of Total Supply Chain Costs Product Data (MIS) Management Costs Production Flexibility Production Plan Adherence Return on Assets Sales Floor Error Rates on Shelf Locations Shelf SKU Accuracy Supplier Fill Rate Supplier On-Time Delivery Performance Supply Chain Finance Costs Supply Chain Response Time Total Supply Chain Cost WIP Inventory Days of Supply Value-Added Productivity Supply Chain x x x x x x x x x x x x x x x x x x x x x x x x x x x x x x x x x x x x x x x Source Make Deliver Return
APPENDIX C Comparison of Characteristics for Levels 2 and 3 SCOR Metrics
F I G U R E C 4
SCOR metrics Source level 2.
Stocked Product x x x x x Make to Order Product x x x x x Engineer to Order Product x x x x x x
Source - Level 2 % Orders/Lines Processed Complete Inventory Days of Supply Product Acquisition Costs Time and Cost Related to Expediting Total Source Cycle Time Value of Assets Provided by Service Provider (Cost Avoidance)
F I G U R E C 5a
SCOR metrics Source level 3.
Stocked Product x x x x x x x x x x x x x x x Make to Order Product x x x x x x x x x x x x x x x Engineer to Order Product x x x x x x x x x x x x x x x x x x x x x x x x
Source - Level 3 % Invoice Receipts and Payments Generated via EDI % Invoices Processed Without Issues and/or Errors % Orders/Lines Received Defect-Free % Orders/Lines Received Complete % Orders/Lines Received Damage-Free % Orders/Lines Received On-Time to Demand Requirement % Orders/Lines Received with Correct Shipping Documents % Potential Suppliers Which Become Qualified % Product Transferred Complete % Product Transferred Damage-Free % Product Transferred On Time to Demand Requirement % Product Transferred Without Transaction Errors % Qualified Suppliers Which Meet Defined Requirements % Receipts Received Without Item and Quantity Verification % Receipts Received Without Quality Verification % Schedules Changed Within Supplier's Lead Time % Schedules Generated Within Supplier's Lead Time % Single and/or Sole Source Selections % Supplier Contracts Meeting Target Terms and Conditions Average Days per Engineering Change Average Days per Schedule Change Average Release Cycle of Changes Cost per Invoice Inventory Days of Supply Payment Cycle Time
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