Supply chain performance measurement

Agami, N., Saleh, M., and Rasmy, M. Supply chain performance measurement approaches Review and classification. Journal of Organizational Management Studies, pages 1-20, 2012. doi 10.5171/2012.872753. 

Gunasekaran, A., Patel, C., and McGaughey, R. E. A framework for supply chain performance measurement. International journal of production economics, 87(3) 333-347, 2004. 

This enabler puts into place supply chain performance measures. Often, objectives are set but systems do not exist to measure performance against those objectives. This can be especially true when the source of the data is a supplier or a customer. Another problem occurs when measurement cycles are out of sync with the action response cycle. If measurements are much more frequent than the responses, the company may be drowning in useless data. If the measurement cycle is far longer than the response cycle, then responses may be too late to make timely and effective corrections. 

Beamon [51] reviewed the relevant research on supply chain design and analysis, and proposed some future research directions. Supply chain model is divided into deterministic models, stochastic analytical models, economic models, and simulation models. The future directions of the research include supply chain performance measurement methods, the establishment of the decision-making model and developing standards and technology of supply chain design and analysis. 

Case 4 Establishing a supply chain performance measurement system An SME is trying to impiement a suppiy chain performance measurement system to assess the performance of its supply chain. The company wants to measure the efficiency of its operations and the atteiinment of its objectives with the given resources. In case a strategic supply chain orientation is not yet in place, the company can implement SCD Phase 1 CM1 before starting to implement the 1 ... 

A literature analysis marks the starting point of the research process. Relevant research fields are, for instance, supply chain performance measurement or customer service literature rooted in marketing. The theory-based analysis helps to keep track of initial theoretical or practical indications and crystallize them Avithin a first conceptual model explaining the relation between the value drivers of SCM and the EVA as relevant business metric. This part expresses deductive research. The conceptual model is subsequently tested in practice to disclose inconsistencies and customize the degree of specification. Remarks and suggestions made by practice, reflecting the inductive research, inspire fiuther descriptions and improvement. The knowledge acquisition... 

An overview of the state of the art in supply chain performance measurement and suggestions for further research are presented by Busi Bititci (2006), De Toni Tonchia (2001), Neely et al (1995), Neely (2005) and Shepherd Gtlnter (2005). 

Besides conceptual contributions about supply chain performance measurement configurations and the operationalisation of value drivers, academic efforts have generated methodic-instrumental quantification attempts. Wildemann (2004), for example, presents a tool that allows the assessment of logistical performance and costs within the supply chain. Based on a benchmark of over 500 companies the tool identifies potential which can be raised by SCM. In doing so, he uses an estimation... 

Even though conceptual frameworks of supply chain performance measurement help management in the decision-making in a supply chain context, there is no workable method available for a braod scope of application to forecast the effect of an SCI on the EVA. Existing applications of simulation merely address specific issues in the SCM context and are not suitable for different types of SCIs. At the same time, most qjproaches model two echelons of a supply chain and do not allow a transfer of the results along the supply chain. In summary, there is a lack of a quantification model for the value determination of SCIs that is applicable to a variety of SCIs whilst considering the specific structures of supply chains at the same time. The following chapter introduces a simulation model for the quantification of cost and capital commitment effects that is compatible to the conceptual framework of Chapter 4. 

Reiner, G. (2004) Supply chain performance measurement with customer satisfaction and uncertainties. In Spengler, T. Vofi, S. Kopfer, H. (Eds.) Logistik Management - Prozesse, Systeme, Ausbildung. Heidelberg 2004,217-233. 

Wong, W.P. Wong, K.Y, (2007) Supply chain performance measurement system using DEA modeling. In Industrial Management Data Systems, 107(3), 361-381. 

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