Supply chain measurement

Hofman D (2004) The hierarchy of supply chain metrics diagnosing your supply chain health. AMR Res rep. http //www.concise-managemenLch/mediahbrary/sitel/AMR Research REPORT 16962 The Hierarchy of Supply Chain Metrics.pdf Holmberg S (2000) A systems perspective on supply chain measurements. Int J Phys Distrib Logistics Manag 30(10) 847-868... 

Supply Chain Measures Using the Balanced Scorecard... 

As a general rule, effective cross-supply chain measures should have the following characteristics (Derocher and Kilpatrick, 2000) ... 

Holmberg, S. (2000) A systems perspective on supply chain measurement In International Journal of Physical Distribution Logistics, 30(10), 847-868. 

From the consumer s perspective, cost is an important characteristic of the food and the best buy is the product that is considered to have the best ratio of quality and price. So consumers should welcome any measure that will improve quality at no extra cost or reduce the cost at no reduction in quality. In principle, using a CCP-based system at the level of a supply chain is supposed to do just that, since it will ensure that the controls are taking place at the steps where they can be implemented most effectively, thus eliminating superfluous double or triple testing of the same thing, or unnecessary waste when food is discarded because its safety is uncertain. 

Before starting an improvement process, a clear picture of the supply chain has to be obtained. Therefore, Supply Chain Analysis is a critical success factor. Usually, this analysis will describe the as-is status and the desired to-be status. As a supply chain is built up of different companies for a limited time, it is essential that all partners speak the same language to describe and measure the as-is-status as well as to evaluate the to-be-status. For this purpose, usually a widely accepted model called the SCOR-model is used. 

The SCOR-model is used to describe, measure and evaluate the configuration of a supply chain. It supports ... 

There are different levels at which the performance can be measured. At the first level performance of the supply chain as a whole is measured. Further performance levels include level 2 processes and sub-processes within a level 2 process. 

Key Performance Indicators (KPIs) in supply chain balanced scorecards and performance management are one example for analysis methods. Beamon (1998) and Chan (2003) distinguish qualitative performance measures such as customer satisfaction, on-time delivery, fill rate or flexibility as well as quantitative measures based on costs in distribution, manufacturing and inventory or warehousing. 

Chan FTS (2003) Performance Measurement in a Supply Chain. International Journal of Advanced Manufacturing Technology 21 534-548... 

Hieber R (2001) Supply Chain Management A Collaborative Performance Measurement Approach, vdf Hochschulverlag, ETH Zurich... 

Its 157 operating units have day-to-day autonomy to operate in their market, subject to strict central financial controls and measurement. As SYSCO s president, Tom Lankford, stated, Our units have complete autonomy relating to the front-of-the house, customer-facing actions, and very little autonomy on the back of the house - financial controls, accounting, supply chain, ordering, and supplier relationships. ... 

Internal corporate processes - e.g. measurement and supply chain... 

All available and relevant information on substances on their own, in preparations and in articles should be collected to assist in identifying hazardous properties, and recommendations about risk management measures should systematically be conveyed through supply chains, as reasonably necessary, to prevent adverse effects on human health and the environment. In addition, communication of technical advice to support risk management should be encouraged in the supply chain, where appropriate."... 

Regulators and customers require assurance in consistency of pharmaceutical and biopharmaceutical manufacturing operations. Today s manufacturing supply chains require multiple sites in varying locations to produce a product. Quality systems must be perceived as an integral part of the value chain. This requires that all sites be compliant in their operations and systems. Strong areas in one location do not make up for weak or absent systems in another location. Fines are levied and business is made or lost based on the individual site or weakest link in the supply chain. Management must have a mechanism to measure its processes, and a comprehensive QMS is the mechanism to demonstrate capability. 

However, although these aspects are discussed as separate topics below, in line with the way scientific studies and regulatory issues are normally defined, most consumers still see them as parts of a holistic picture where the good intentions of the people involved in the food supply chain are the most important assurance for all aspects of food quality. In this context, stringent safety measures and sophisticated process control, which are the cornerstone of food quality assurance schemes in conventional supply chains, maybe seen by consumers at best as self-imposed restrictions that prove the sincerity of these good intentions, and at worst as unfair, unnecessary burdens introduced through lobbying from big profit business to support its suppression of small-scale or local producers. 

Transparency in supply chain performance is a prerequisite for analyzing performance hitches, prioritizing any improvement efforts, monitoring the impact of the measures taken, and focusing the organization s attention - which by itself can lead to huge improvements. 

The communication requirements of REACH ensure that manufacturers, importers, and their customers (i.e., downstream users and distributors) have the information they need to use chemicals safely. Information relating to health, safety and environmental properties, and risks and risk management measures is required to be passed both up and down the supply chain. The primary tool for information is the familiar safety data sheet (SDS) for all dangerous substances. 

A systemic approach of the whole supply chain allows the designer to identify the critical stages where inefficient use of raw materials and energy takes place, as well as the sources of toxic materials and pollution. Developing sustainable processes implies the availability of consistent and general accepted sustainability measures. A comprehensive analysis should examine the evolution of sustainability over the whole life cycle, namely that raised by the dismantling the plant. 

The measure for assessing the sustainability of a process design should consider the complete manufacturing supply chain over the predictable plant life cycle. The metrics should be simple, understandable by a larger public, useful for decisionmaking agents, consistent and reproducible. The metrics described below [3] have... 

This chapter presents estimates of the costs of hydrogen, measured in terms of dollars per kilogram of hydrogen, for the most likely supply chain pathways. 

The various measures for product orientated risk management of chemicals early in the supply chain (Fig. 16.1) before or at the time chemicals are introduced on the market, referred to here as chemicals control, aim at improved control of the flow of chemicals to the market, including appropriate information to users on risks and... 

There are some key reasons for regulating the flow of chemicals to the market independently of other legislation. One reason is the need for preventive measures early in the supply chain, covering protection of the environment, workers, consumers and property. Preventive measures, such as risk and safety information (labelling and SDS), as well as bans and restrictions on trade with very hazardous chemicals support, simplify and make more cost-efficient risk management for exposure and emission control at later stages (transport, use, waste handling, etc.). 

Whilst the analysis of NDA R D needs, risks and opportunities has highlighted work to be carried out, no assessment has been made of the ability of the supply chain to meet these requirements in terms of facilities. One specific area of concern is the changing need in terms of measurement capability and the availability of laboratory facilities and laboratory standards. 

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