Source

Source is the macro process representing the processes associated with ordering and receiving products and services. This includes scheduling, receiving, inspecting and approving payment, and optionally identify and qualify suppliers, for products (materials, semi-finished goods, goods, merchandize) and services.

The Source process includes Purchase Order Management and Inbound Operations.

Standard purchasing of goods and services using purchase orders
Auto-replenishment
Supplier Kanban
In a manufacturing plant: Ordering and receiving materials required for production
In Retail: Ordering and receiving in the stock room
In a Warehouse: Receiving goods from a factory or supplier
For services procurement: Buying services, receiving and approving service invoices

Notes

Source processes are execution processes that apply to intercompany and intracompany transactions.

Intercompany is defined as "conducted between or involving two or more companies". For example: Purchasing goods from external suppliers and receipt and payment of supplier invoices.
Intracompany is defined as "conducted within or between the branches of a company". For example: Replenishing Distribution Center inventory by receiving product from the company's manufacturing plant.

Arranging transportation for purchased goods is a Deliver process; Buying Ex Works therefore involves two processes for the buying party: Source and Deliver

Consider also: Strategic Sourcing. Perfect Order Ratio Order Cycle Time Supply Chain Costs Distribution Costs Cash Conversion Cycle Discuss Contract Custom Solution Source-to-Pay Plan-to-Produce

Hierarchy

ID	Name	Level	x
SCO	Supply Chain Operations	0	SCO
S	Source	1	S
S0	Strategic Sourcing	2	S0
S1	Source-to-Replenish	2	S1
S2	Source-to-Order	2	S2
S3	Source-to-Engineering-Order	2	S3
S4	Source Returns	2	S4

Metric(s)

ID	Name	Level	x
DP1	Perfect Order Ratio	1	DP1
RS1	Order Cycle Time	1	RS1
CO1	Supply Chain Costs	1	CO1
CO12	Distribution Costs	2	CO12
AE1	Cash Conversion Cycle	1	AE1
SD1	Environmental Sustainability Ratio	1	SD1

Term(s)

ID	Name	Clear	x
S2P	Source-to-Pay		S2P

Workflow

From

Input(s)

Process

Output(s)

To

wf_process	wf_arrow
Seller	Service Delivery
Seller	Product Delivery
P	Sourcing Plan

S

wf_arrow	wf_process
Execution Data	P
Merchandise	D
Purchase Order	Seller
Material	M

Note: Common inputs and outputs are listed in alphabetical order. Other inputs and outputs may be required to support varying use cases.Source Supply Chain Operations 200000 1 Buy, Materials, Sourcing, Purchasing, Procurement, Supplier, Import, Inbound, Logistics, Supply chain Ordering and receiving products and services. This includes scheduling, receiving, inspecting and approving payment, and optionally identify and qualify suppliers, for products (materials, semi-finished goods, goods, merchandize) and services

S