Comparison Between Lean, Six Sigma, Scor and Toc

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Date Submitted: 09/16/2012 09:05 AM

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Before identify the differences and similarities of “SCOR mode”, “Lean”, “Six Sigma”, and “Theory of Constraints (TOC)”, here are roughly explanations of the four frameworks;

SCOR model: The Council of Supply Chain Management Professionals (CSCMP) explains about SCOR model as “The model developed by the Supply-Chain Council SCC and is built around six major processes: plan, source, make, deliver, return and enable. The aim of the SCOR is to provide a standardized method of measuring supply chain performance and to use a common set of metrics to benchmark against other organizations.

The score model provides a framework and standardized terminology to help organizations integrate management tools, such as business process reengineering, benchmarking, and best-practice analysis. The SCOR model helps organizations understand its current supply chain performance and to develop and manage effective supply chain architectures.

Lean: Lean is about creating more value with less work by elimination wastes or unwanted activities. Lean’s concept improves process through continuous improvement, by flowing the product at the pull of the customer, in pursuit of perfection (Manrodt et al., 2008).

Lean is about doing more with less. Hence, lean framework is about improving efficiency.

Six Sigma: Six Sigma is a framework to improve process by using statistical tools. The fundamental objective of six sigma methodology is the implementation of a measurement-based that focuses on process improvement and variation reduction. The target of six sigma is to allow defect in process not more than 3.4 defects per million opportunities, In other words, to guarantee percentage of yield to be 99.99966%. The assumption is the outcome of the entire process will be improved by reducing the variation of multiple elements (Nave, 2002). Six sigma is widely used in manufacturing but actually it can be used in any process where an opportunity exists for error. While lean tends to...