Joint improvement efforts between buyers and suppliers can yield impressive results. William Sharp of 4-Africa Solutions told Smart Procurement that: When looking at joint Supply Chain Collaboration projects there are two aspects that need to be considered when mapping joint supply chain processes namely.
Taxonomy and Implementation.
Taxonomy is the aspect of using a common language, classification or using the same words to describe the same things.
Implementation again is the way a process is executed at the detail level.
Aspects that determine the implementation are:
- Organization (who is responsible),
- People (who performs the work),
- Technology (what tools support the process),
- Location (where is it done), and
- Business Rules (do’s, don’ts, and how is the process measured).
Once Supply Chain processes have been mapped the following questions arise around metrics that will be used to define current and future supply chain performance.
- What metrics are to be used?
- How are they defined?
- How do we implement the metrics that have been defined?
Sharp asks: “Have you also spent many meetings explaining why you adopted a certain set of metrics and then sat through the arguments of what the definition should be according to such-and-such.”
“Today whenever somebody asks the question how to measure an aspect of the supply-chain the response is simply SCOR: The Supply Chain Operations Reference model (SCOR), is a process reference model that has been developed and endorsed by the Supply Chain Council as the cross industry standard diagnostic tool for supply chain management.
SCOR enables users to address, improve, and communicate supply chain management practices within and between all interested parties. SCOR is a management tool. It is a process reference model for supply chain management, spanning from the supplier’s supplier to the customer’s customer.
The SCOR model has been developed to describe the business activities associated with all phases of satisfying a customer’s demand. By describing supply chains using process building blocks, the Model can be used to describe supply chains that are very simple or very complex using a common set of definitions. As a result, disparate industries can be linked to describe the depth and breadth of virtually any supply chain.
The Model has been able to successfully describe and provide a basis for supply chain improvement for global projects as well as site-specific projects.
The Supply Chain Council has selected Process Wizard as the tool of choice to enable rapid SCOR implementation.
“Simplistically ProcessWizard allows one to automate the SCOR framework,” says Sharp.
“It allows you to capture your analysis in a packaged, robust and reusable business improvement framework.
It also provides a high level of reliability and predictability with respect to project duration, cost and benefits. ”
“ProcessWizard enables an end-to-end process transformation journey:
- Easily defines process templates, ensuring modeling consistency across the organisation Facilitates enterprise-wide adoption of business process management.
- Captures employee experience, knowledge and skills – the intellectual capital of your business Empowers employees and businesses to achieve “best practice” business performance
- Clearly defines technology solution needs based on the strategic and operational requirements of the business”
“ProcessWizard allows the user to establish specific Value Chain properties View models through the Browser Complete the Balanced Scorecard for competitive positioning,” says Sharp.
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