Supply Chain Performance Measurement at Louserindo Megah Permai Using SCOR Model

Abstract

A local elevator manufacturing company in Indonesia, Louserindo Megah Permai (LMP) has been competing for more than 20 years with many foreign companies that dominate the market. To stay competitive LMP needs to maintain and improve its supply chain performance. LMP strategy to stay in business is responsiveness to the customers demand. To do this LMP needs to identify and measure which specific supply chain performances need to be improved. The most popular tool for this purpose is the Supply Chain Operations Reference (SCOR) Model. Measurement variable used to measure the performance of the supply chain of LMP using the SCOR model is customer-focused that includes the Reliability attribute with Perfect Order Fulfillment metrics, and Responsiveness with Order Fulfillment Cycle Time metrics. The result shows that the measurement for the result of LMP's supply chain for the period of 2014, earned performance value of 79.95%. The calculations on SCOR performance indicators that have been done, there are 2 metrics that includes in low-performance value, which is Delivery Performance to Customer Commit Date with the performance value of 40%, and Source Cycle Time with the value of 44%. Further in 2015 LMP repeated the measurement in some different aspects of the SCOR performances. LMP gained more in terms of reliability 83.69% but lose more in terms of responsiveness with an average of 69%.