Identifying Critical Points and Improvement Strategies in Supply Chain, Using SCOR Model, Theory of Constraint, and Six Sigma

Abstract

This study combines Supply Chain Operation Reference (SCOR) Model, Theory of Constraint, and Six Sigma methodology to identify critical points and offer some strategies for improving supply chain performance. To identify critical points in supply chain, the measures of SCOR model, Shepherd and Gunter were used, facilitating systematic measurement of supply chain. Under-study unit in this paper was machinery manufacturing of Pillevaran. Identifying critical points revealed that planning process of supply chain is the weakest process and improving project’s execution time is the weakest element of the process. Using definition stages, measurement, and analysis of Six Sigma, the problem was particularly defined, measured, and analyzed, offering suggestions for its promotion.

Keywords: SCOR Model, Six Sigma, Theory of Constraint, Supply Chain

JEL Classification: L91, M11, R49