Article

Collaborative performance measurement in supply chain

September 2010
Industrial Management & Data Systems 110(9):1297-1318

DOI:10.1108/02635571011087400

Source
DBLP

Authors:

Dimitris A. Papakiriakopoulos

University of West Attica

Katerina Pramatari

Athens University of Economics and Business

Purpose The objective of this paper is to demonstrate the challenges when developing a common performance measurement system (PMS) in the context of a collaborative supply chain. Design/methodology/approach The paper utilizes qualitative and quantitative data from a case study. The qualitative data refer to the assessment of collaborative performance measures based on interviews with experts, while the quantitative data demonstrate the use of two performance measures in a collaborative supply chain network. Findings The development of a collaborative PMS is a challenging task. Through the systematic study of two significant performance measures for a supply chain, it was found that the one could not be supported due to reliability restrictions, while the other requires the development of a complex information system. Based on these, a discussion of specific challenges follows. Research limitations/implications The paper has the general case study limitations. Practical implications Companies operating in supply chain networks need to synchronize existing business processes and data before the design of a new PMS. Selecting the measures and the measurement method is not a trivial task. Important challenges reveal when dealing with, underlying data, business processes and the evaluation method of a PMS in supply chains. Originality/value The management control function usually focuses on the design and development of PMSs for a single organization. Limited knowledge exists when more than two companies require the development of a PMS for a jointly agreed business process.

Mediation effect of collaborative performance system on fresh produce supply chain performance with a lateral collaboration structure model

Article

Full-text available

Aug 2022

Fresh produce which are part of agricultural products that can survive during the pandemic in Indonesia, there is even an increase in supply, this contribution is important for the availability of these products in maintaining consumption needs in maintaining public health levels in the midst of an unfavorable situation for all parties, including sustainability of business in this chain network. However, the development of this commodity still has many obstacles, especially in the ability to provide high-quality products, resource capabilities and manage existing information, especially the farmers who are involved in cooperation in this supply chain system, so that it can impact their performance. This study explores the mediating effect of collaborative performance systems (CPS) in lateral collaboration structures such as information sharing (ISH), resource sharing (RSH), contract farming (CTF) and join mode transportation (JTM) in individual companies (CIP) and supply chain performance (SPO) in the fresh produce supply chain (FPSC). The sample in this study was taken based on purposive sampling from the participation of respondents in the FPSC network consisting of farmers producing fresh vegetables and fruits who are members of the Association of the Farmers Group (Gapoktan), distributors, owners of transportation modes and supermarkets. Respondents consisted of 72 people who had filled out complete questionnaires from their four supply chain channel partners. Data collection methods were analyzed using a structural equation approach. The results of the study that the mediation of CPS on the performance of CIP and SPO in the FPSC was confirmed.

Artigo PE Publico Priv IJPPM

Article

Full-text available

Mar 2021
Int J Prod Perform Manag

Purpose This study analysed international publications related to the performance evaluation (PE) theme to compare the public and private sectors with a focus on the metrics and a reflection on the consideration of each sector's characteristics. Design/methodology/approach In total, two bibliographic portfolios (BPs) were selected with the aid of the Knowledge Development Process-Constructivist (ProKnow-C) instrument, and the literature was systematically and critically reviewed to construct a theme literature map; the metrics analysed the performance evaluation systems (PESs) used in the studies and identified each sector's characteristics and PES behaviour based on these characteristics. Findings The two sectors stand out because of the low incidence of articles with cardinal scales, which enable the measurement and identification of the consequences of performance that are below or above the target. The behaviour of the sector characteristics was unusual, especially regarding the user and the organisational structure; it was found that the presence or absence of critical factors, such as communication, may prove to be a differential of success or failure. An absence of the organisation's particularities when designing and using a PES was noted. Originality/value The contributions relate to (1) identification of the public and private sector characteristics based on the selected literature, which helps in understanding the critical success and failure factors of an organisation's PES, especially with regard to metrics adequacy for each context; and (2) verification of the paths taken by the literature in both sectors.

Supply Chain Collaborative (SCC) Measures Cases of Food Manufacturing Firms in Thailand

Article

Full-text available

Jun 2019

Many academics and practitioners have attempted to investigate supply chain performance, which mainly revolve around financial and non-financial (delivery, flexibility, and quality) performance measures along the chain. Some studies have extended the research scope to explore how supply chain collaboration impacts a supply chain' s or a firm' s performance (Ataseven & Nair, 2017; Flynn et al., 2010). However, the inter-firm collaborative measures within supply chains, which can result in a poor supply chain, have received very little attention (Fawcett et al. , 2015; Soosay & Hyland, 2015) , despite the fact that supply chain collaboration (SCC) has been widely accepted and researched as a key to improve a firm' s and supply chain performance as a whole. Performance measures of SCC is still a challenging task because the objective of each player in the chain can be different and misaligned (Gopal & Thakka, 2012; Fawcett et al. , 2015). Therefore, this paper seeks to preliminarily explore the collaborative performance measures of a firm in both upstream and downstream supply chains through a case studies investigation. Six leading food manufacturing firms along with their key suppliers and key customers in Thailand were interviewed to explore their inter-firm collaborative measures that help improving supply chain performance as a whole. Case studies were conducted in the food manufacturing industry. This industry has several unique characteristics such as product perishability, temperature-control and safety requirements in the chain. The findings offer new insights to supply chain collaborative measures. Both upstream and downstream collaborative measures should be different and customized instead of using a general set of inter-firm collaborative measures, particularly in the food industry where supplies can be varied.

Connecting relational mechanisms to performance measurement in a digital service supply chain

Article

Full-text available

Dec 2019

This study examines the connection between relational mechanisms and performance measurement. The objective of the paper is to uncover the essential types of relational mechanisms and what factors determine the relational mechanisms of performance measurement in digital service supply chains. The authors conducted a multi-case study at companies that provide digital services. Relational mechanisms refer to mechanisms that initiate and enhance social interactions in performance measurement. The results show that trust between supply chain actors and improvement of knowledge through information sharing are the essential types of relational mechanisms of performance measurement in the digital service supply chain. These relational mechanisms enable performance measurement by engaging actors in providing measurement information. Personalization of services and the criticality of the service, but also compensation, and suppliers’ ability to sell were highlighted to determine the relational mechanisms adopted.

Understanding the practice of performance measurement in industrial collaboration: From design to implementation

Article

Feb 2019
J Purch Supply Manag

This study focuses on the design and implementation of a performance measurement system (PMS) for industrial collaboration. This article provides insights from two case studies of industrial collaboration. The research aims to study the crucial characteristics of PMS design and implementation in industrial collaboration, in which multiple tiers, extending beyond the buyer-supplier dyad, are considered. Prerequisites and challenges are crucial characteristics that should be examined in the design and implementation of a PMS. The results indicate three main characteristics affect the design and implementation of a PMS in an industrial collaboration: 1) the importance of collaboration, 2) the importance of coordination and integrated information systems within the system implementation, and 3) the importance of acknowledging the impact of varied customer needs.

Editorial for the 67/08 issue of IJPPM

Article

Sep 2018
Int J Prod Perform Manag

Comparison of performance measurement in different purchasing and supply management practices

Article

Full-text available

Sep 2018
Int J Prod Perform Manag

Aki Jääskeläinen

Purpose This study compares the characteristics of performance measurement in cross-functional and supplier-oriented purchasing and supply management (PSM) practices. It clarifies the purposes and content of performance measurement in three PSM practices. Design/methodology/approach A multiple case study approach is utilized in this study. Each of the cases is related to a contemporary performance measurement development project during the period 2015-2016. Interviews are conducted to obtain a pre-understanding of the research questions at hand. The case studies continue as an action research including measurement development workshops. Findings Identification of causalities between measurement objects and the measurement value benefits are contemporary issues of performance measurement development in the PSM context. The findings indicate that the measurement of outputs and outcomes instead of inputs and measurement supporting supplier relationship management are increasingly important in the service context. Measurement purpose affects the characteristics of PSM performance measurement. This study identifies that more informal control and non-standard measures are needed in interactive PSM practices such as cross-functional integration. Research limitations/implications The study provides practical examples of performance measurement in service purchasing, classifies the characteristics of performance measurement and highlights the need to extend the scope of measurement in the PSM context. The findings of the case studies reported support practitioners in developing performance measurement that satisfies contemporary managerial needs. Originality/value Earlier studies are often not explicit with the purpose of performance measurement. This study contributes to the existing literature by linking performance measurement characteristics to the understanding of PSM practices and providing a wider overview of the varying characteristics of performance measurement supporting strategic purchasing of services.

A REVIEW OF COLLABORATIVE PERFORMANCE SYSTEM IMPLEMENTATION IN THE FRESH PRODUCE SUPPLY CHAIN TO IMPROVE PERFORMANCE

Article

Full-text available

Aug 2020

Purpose of the study: The purpose of this research is to extend the review to which CPS implementation as part of the performance management system (PMS) in the fresh produce supply chain (FPSC), can improve performance, especially to reduce inefficiencies, improve services, and provide joint results for all partners. This paper focuses on the possibility of CPS implementation in FPSC, as well as reviewing a holistic understanding of CPS in the FPSC. Methodology: This systematic review was conducted by analyzing selected articles and categorization to identify potentially relevant articles referring to peer-reviewed journals, thesis Ph.D., and proceedings. Using four steps, the first step found 161 articles. The second step obtained 56 articles. The third step, 17 articles were selected as topics of importance. The fourth step was designated to categorize and analyze the 17 articles. Main Findings: Research results show a comprehensive review of the description of the CPS classification model in FPSC by categorizing previous literatures on different collaborative structures and different levels of planning. This paper also shows the relevant solution methods used in each level of planning. A review of the current state of CPS in the FPSC model is conducted by highlighting areas that have not been addressed or gaps in the literature and by suggesting directions for further study. The implication of this study: Intended for CPS in FPSC, by reviewing CPS implementation in FPSC, it can develop and become the basis for seeing the benefits of a collaborative performance system in the field of fresh produce, this field still rarely applied, and it could be further identified what kind of collaboration should be carried out from the existing collaboration structure. Novelty/Originality of this study: This study is considered as our best knowledge to observe the CPS system in the FPSC, which is an attempt to introduce it by exploring and evaluating the values that could be shared among collaborative partners under classification model of a collaborative structure, general characteristic, level collaboration and solution of the method. It also provides information for interested parties in the collaboration of supply chain to improve the performance based on CPS.

Effect of Supply Chain Management Practices on Financial and Economic Sustainable Performance of Indonesian SMEs

Article

Full-text available

Oct 2019

In contemporary business environment firms focus on sustainable Financial and Economic performance. Sustainable performance of the firms happens is the result of continuous value generation for shareholders and stakeholders of firm. This study intended to investigate the effect of Supply Chain Management Practices (SCMP) on Financial and Economic Sustainable Performance of Indonesian SMEs. For the achievement of the objective of study, researcher used quantitative research approach and questioner method was applied for the collection of data. To fulfil the objectives of this study, the data was collected from the managing directors, supply chain managers, planning managers, and procurement managers. PLS-SEM approach was carried out by the study for the examination hypotheses. The results of study concluded that SCM Practices have significant and positive influence on Financial and Economic Sustainable Performance of Indonesian SMEs. Moreover, findings of this study indicated that effective application of SCMP could enhance the financial and economic performance of the SMEs in developing countries. Findings of the study highlighted that the relationship with customer, strategic supplier integration and level of information sharing is necessary for financial and economic sustainable performance of SMEs. This study contributes to Supply chain literature and offer new empirical evidence that supply chain management practices are significant for sustainable financial performance. However, this study used only three SCM practices (relationship with customer, strategic supplier integration and level of information sharing), the other important aspects of SCM practices such as SCM formulation, implementation and evaluation would be used in future research.

SUPPLY CHAIN INNOVATION BOLSTERED UP BY SUPPLY CHAIN MODEL

Article

Full-text available

Jun 2023

Nur Fathin Nadira Abdul Rasib

The purpose of this study was to examine the level and relationship between supply chain management practices (SCMP), competitive advantage (CA), and supply chain innovation (SCI) among manufacturing firms in Malaysia. Giri and Bardhan (2015) found out that supply chain process becomes inefficient and lack business strategies has affect the operation which led to poor profitability. That’s why manufacturing supply chain needs to innovate constantly for maintaining their position in the marketplace and to fight uncertainties. Hence firms are focusing on strategies for developing innovation within and across its manufacturing supply chain. In line with following objectives, this study employed a quantitative research approach that utilized stratified sampling technique and self-administered questionnaire survey. The respondents for this survey were the senior managers (top management) in operations management from manufacturing firms in Malaysia. Subsequently, the survey data have been utilized to test the research framework and hypothesis. The results of the study are useful for supply chain practitioners and manufacturers in integrating the right SCMPs and competitive advantage on improving SCI. Furthermore, industrial practitioners also receive insight on how to take account of the mediating effect of competitive advantage in designing their supply chain innovation for better manufacturing performance. In fact, organizations are not certain of what to implement, due to a lack of understanding of what constitute a comprehensive set of SCMPs. There was far too little knowledge available on the role of competitive advantage in mediating the effect between SCMPs and supply chain innovation. As such, this paper is one of the first to address the mediating effect of competitive advantage between SCMPs and supply chain innovation. Also, the results have suggested successful dimensions of SCMPs that could be implemented in order to obtain competitive advantage and foster supply chain innovation in manufacturing industry in Malaysia.

The Impact of Collaborative Networks on Supply Chain Performance: A Case Study of Fresh Vegetable Commodities in Indonesia

Article

Full-text available

Apr 2023

A collaborative performance system focuses on sustainable performance management in a sustainable supply chain. This system was employed to determine the relationship between the farmer group association (Gapoktan) of Lembang Agri (LA) that produce fresh vegetables and supermarkets as purchasing partners to improve performance. This study is crucial due to the shift in farmers' roles from merely producers to entrepreneurs. This study utilized the dependency theory to explore the impact of collaborative networks on information and resource sharing and supply chain performance, as well as determine the appropriate orientation for collaborative supply chain indicators. The study surveyed 80 respondents representing different types of partnership structures from a parallel or supplier-buyer supply chain structure perspective. Moreover, the model developed on collaborative networks, information sharing, resource sharing and supply chain performance was analyzed using structural equation modeling (SEM). The results unveiled a positive and significant indirect relationship between collaborative networks and supply chain performance. The implication could be applied to identify the developing theories concerning collaborative network relationships and information and resource sharing related to supply chain performance on their networks, especially in producing fresh horticultural commodities. This study is essential to enrich the limited research in this industry.

Performance management process integration in humanitarian supply chains: focusing on the natural disaster preparedness stage

Article

Full-text available

Apr 2023

Purpose This study aims to explore how to apply and integrate the performance management (PM) process in humanitarian supply chains (HSCs) among and between humanitarian organizations (HOs) and donors so as to improve cost-efficiency (CE) and lead-time effectiveness (LTE) in the stage of natural disaster preparedness. Design/methodology/approach This study adapts and operationalizes a framework for the PM process used in commercial supply chains to assess HSCs. A multiple-case study with two types of actors – six HOs and three donors—is used to describe the applications of the PM process and analyze the level of integration between the actors. Findings The activities in the PM process could sometimes be only vaguely described. Both actors emphasized improving CE, with less emphasis on LTE. Both actors have a low level of integration in each PM process activity, decreasing the CE and LTE. Therefore, guidelines for improving the level of PM process integration are provided. Research limitations/implications To the best of the authors’ knowledge, this study is one of the first to combine literature on HSCs and PM process integration, thereby contributing to both literature fields. The concrete contribution of this study is a framework for PM process application and integration among and between HOs and donors. Practical implications The PM process framework can be used to assess PM process application, as well as current and increased level of integration, to improve CE and LTE. The current applications can also inspire other HOs and donors. Originality/value Previous studies indicate the lack of frameworks in the PM domain of HSCs, especially in the stage of natural disaster preparedness.

Performance management process integration in humanitarian supply chains: focusing on the natural disaster preparedness stage

Article

Full-text available

Apr 2023

The influence of supply chain partners’ integrations on organizational performance: The moderating role of trust

Article

Sep 2022

Supply chain management and integration have become more important business topics mainly addressed within the different businesses industries in order to influence the organizational performance. The current research study aims to investigate this effect by involving some key of supply chain partners on organizational performance. Also, the moderation role of trust as an influential aspect in the business was also studied in this work. To conduct this research and meet the stated research objective, a quantitative research method was used to collect data from food products manufacturers in Jordan due to the main contribution of this sector to the national economy of Jordan. PLS-SEM approach was selected in the phase of analysis and the findings revealed a significant effect of all hypothesized research assumptions and a significant moderating effect of trust on the relationship between supply chain partners’ integration and organizational performance. The research findings also provided expected implications and supported the relevant evidence and literature in this area, as well it would contribute to cover the existing research knowledge gaps by integrating a new model including sets of new variables that have not been examined together within a single conceptual framework.

Supply chain performance measurement on small medium enterprise garment industry: application of supply chain operation reference

Article

Full-text available

Jun 2022

In 2020, the textile industry contributed nearly 7% of Indonesia's gross domestic product. The garment industry is still dominated by small and medium enterprises (SMEs) among the textile products. Although these SMEs are considered one of the economic pillars in Indonesia, many challenges require strategical scale-up to improve their competitiveness. One of the aspects to be improved is supply chain performance, as the supply chain controls material, information, and financial flow from both supply and demand sides. This study seeks to measure and evaluate supply chain performance in the garment industry, focusing the case on small and medium-scale enterprises. The Supply Chain Operation Reference (SCOR) is used for Key Performance Index (KPI) determinants. Performance measurement starts by determining the criteria based on the performance measurement literature and expert opinion. Then, the weight of each criterion on the performance score is determined using the Analytical Hierarchy Process (AHP). Paired comparison questionnaires for the criteria weighting were distributed to experts, and the answers were analyzed. The final performance value is obtained by multiplying the weight with the normalized performance value using the Snorm-De Boer formula. This study obtained 23 indicators from five processes: plan, make, source, deliver, and return, with the final value of SCM performance classified as good. The result can evaluate the company's current condition and propose a strategy to improve its performance.

Seizing the opportunity: the emergence of shared leadership during the deployment of an integrated performance management system

Article

Full-text available

Mar 2022
BMC HEALTH SERV RES

Background Performance management systems have been introduced in health and social services institutions to improve organizational performance, supporting the emergence of new management behaviors that are more rooted in collaborative management practices. This study aims to understand how different leadership styles emerge through the implementation of a performance management system and its related tools, and how these can foster distributed leadership. Methods Over two years, the implementation of an integrated performance management system supporting the integration of social services for children, youth, and families was studied at a recently merged Canadian healthcare organization. Qualitative analysis of data collected from 15 interviews, 3 focus groups, and over 350 h of non-participant observation was conducted. Results The results show that leadership evolved to adapt to the context of organizational integration and was no longer confined to a single manager. Transformational leadership was needed to encourage the emergence of a new integrated performance management system and new behaviors among middle managers and team members. Transactional leadership was legitimized through the use of a status sheet when the integration project did not deliver the expected results. Both transformational and transactional leadership paved the way to distributed leadership, which in turn promoted collaborative practices associated with activities in control rooms and dialogue stemming from the status sheets. Distributed leadership among team members made a difference in the outcome of the integration project, which became a driver of collaboration. Conclusions The integrated performance management system and the use of its tools can help renew leadership in health and social service organizations. The results lend credence to the importance of distributed leadership in promoting collaborative practices to improve services for children, youth, and families. The results also highlight how various leadership styles can contribute to the emergence of distributed leadership over time.

A systematic review of humanitarian supply chains performance measurement literature from 2007 to 2021

Article

Full-text available

Feb 2022

Performance measurement has been an integral component of decision-making concerning the efficiency, effectiveness, and transparency of disaster relief operations. Recently, there has been an increasing amount of research in humanitarian relief supply chain performance measurement, which necessitates a thorough analysis of recent developments. To this end, this paper provides a systematic review of humanitarian supply chain performance measurement studies, through a categorical analysis of research articles. The authors identified and categorized research articles according to seven structural dimensions: disaster type, context of operation, disaster management phase, data analysis technique, level of analysis, performance measurement system development process, and performance measurement theme. This review intends to link the trends and theories in the broader body of performance measurement to the specific issues encountered in humanitarian supply chain performance measurement. A systematic literature review was developed by employing the Preferred Reporting Items for Systematic Reviews and Meta-Analysis methodology. The authors identified and reviewed 83 peer-reviewed journal articles that have appeared since 2007, the year in which the first journal article on humanitarian supply chain performance measurement was published. The review reveals that while there is a growing literature on humanitarian supply chain performance measurement, there is limited empirical evidence about performance measurement system implementation. This paper identifies two key research streams: contextual-based performance measurement and simulation and predictive performance measurement. This review contributes to theory by developing detailed categories of performance measurement studies and future research directions. The results are limited to peer-reviewed journals focusing on supply chain and operations management literature, and hence do not cover the literature from humanitarian organizations technical reports, independent evaluations and other academic fields such as organizational studies or accounting literature.

The Integrated Performance Management System: A Key to Service Trajectory Integration

Article

Full-text available

Nov 2021
Int J Integrated Care

Introduction: This article presents an experience of deploying an integrated performance management system as a catalyst for the integration of a service trajectory for children in vulnerable situations. Called ''Jimmy'', the project identifies how the integrated performance management system makes it possible to improve accessibility, continuity of services and well-being at work among stakeholders. Methods: An action research was conducted in a large healthcare organization in Canada, between August 2016 and October 2018. Data was systematically collected throughout the various cycles of research using field notes, more than 350 hours of observations, 15 interviews and 3 focus groups. Results: This research supports using an integrated performance management system as a model for collaborative management that supports both horizontal and vertical integration in the service trajectory. The use of visual boards and status sheet meetings were determining factors for service integration and the functioning of integrated teams. This also led to improvements in accessibility and continuity of services, as well as in employee well-being. Discussion and conclusion: Supported by the various tools of the integrated performance management system, Project ''Jimmy'' reinforces the implementation of linkage and coordination models, which in turn helps create strong connections among teams. The status sheet meetings and visual boards are tools that vertically integrate different hierarchical levels and horizontally integrate various front-line stakeholders through the user-oriented trajectory.

Towards a sustainable development assessment framework to bridge supply chain practices and technologies

Article

Full-text available

Nov 2021

Managing sustainable practices has received increasing attention in the field of supply chain management to tackle environmental, financial and social issues in an integrated way. However, extant research still lacks a systemic framework explaining how sustainable practices can support individual companies to promote orchestration, collaboration, and coordination in the entire supply chain. This paper aims to provide a systemic framework including a taxonomy of sustainable development practices supporting individual firms in managing supply chain relationships. The proposed framework seeks to connect the supply chain practices and the technological systems that support them. Specifically, the findings highlight the relationship between technology capabilities and supply chain practices, focusing on the benefits their interaction brings to the complex dyadic relationships of supply networks. Finally, this study outlines promising future research directions for scholars and practitioners operating in the field of sustainable supply chain design and supply chain relationship management.

Evaluating interaction between internal hospital supply chain performance indicators: a rough-DEMATEL-based approach

Article

Aug 2021
Int J Prod Perform Manag

Purpose Previous studies on hospital supply chain performance have attempted to measure the performance of the hospital supply chain either by the measurement of performance indicators or the performance of specific activities. This paper attempts to measure the internal hospital supply chain's performance indicators to find their interdependencies to understand the relationship among them and identify the key performance indicators for each of those aspects of the logistics process toward improvement. Design/methodology/approach In this research, a systematic assessment and analysis method under vagueness is proposed to assess, analyze and measure the internal health care performance aspects (HCPA). The proposed method combines the group Decision-Making and Trial Evaluation Laboratory (DEMATEL) method and rough set theory. Findings The study results indicate that the most critical aspects of hospital supply chain performance are completeness of treatment, clinical care process time and no delay in treatment. Originality/value The causal relationship from rough-DEMATEL can advise management officials that to improve the completeness of treatment toward patient safety, clinical care process time should be addressed initially and with it, patient safety aspects such as free from error, clinical care productivity, etc. should be improved as well. Improvement of these aspects will improve the other aspects they are related to.

The relational outcomes of performance management in buyer-supplier relationships

Article

Full-text available

Nov 2020
INT J PROD ECON

Aki Jääskeläinen

This study analyzes how relational governance facilitates the relationship benefits of performance information provided by both a supplier and a buyer. It also examines the effect of strategic supplier status on value creation supported by performance information in a buyer-supplier relationship. The empirical data was collected with a survey addressed to suppliers of large-scale industrial companies operating in both manufacturing and service sector. Confirmatory factor analysis and structural equation modeling (CB-SEM) were utilized in the analysis of data. The results demonstrate the positive impact of operative performance information provided by a supplier on buyer-supplier relationship value. Mature supplier performance evaluation relates to relationship value only through the mediation of relational governance, i.e. collaborative performance management activities. Relational governance is important in relationships with both strategic and non-strategic suppliers, but for different reasons. In strategic supplier relationships, relational governance is even more important than the availability of performance information. The results of this study add to the limited body of research analyzing the outcomes of performance measurement and management in supply chains. They also extend the literature of information sharing in supply chains by presenting the varying roles played by relational governance in the use of two different forms of performance information.

Management The influence of antecedents of supply chain integration on company performance

Article

Full-text available

May 2020

This research extends the developing literature on enterprise supply chain integration which is a series of collaborations between internal and external levels of an enterprise that collaborates strategically between suppliers, customers, and the company's internal management. Enterprise supply chain integration is needed to ensure an enterprise achieves a certain level of service performance, have a discernible information flow, generates profit, and creates an effective and efficient decision in order to provide maximum value-added benefits to customers and suppliers. The results of previous studies are not consistent, namely the relationship between supply chain integration and the company's internal performance.

On the relationship between financial performance and position of businesses in supply chain networks

Article

Feb 2020
INT J PROD ECON

We investigate how the network position of organisations in an extended supply chain network impacts their financial performance. The paper argues that performance measurement tools should incorporate a network (external, connectedness) perspective in addition to an internal financial perspective. We merge local networks of companies in a supply chain into a single, extended network in which the transactional value-flows on arcs are known. Network position characteristics of focal companies are determined using social network analysis. The impact of these characteristics on financial performance is studied using regression analysis. In the context of our case study, there is some evidence that profitability is related to connectedness and market share. In this way, the paper describes how organisations might enrich their performance measurement tools with connectedness metrics.

The Brazilian microalgae production chain and alternatives for its consolidation

Article

Dec 2019
J CLEAN PROD

The intensive cultivation of microalgae is an alternative for the sustainable and clean production of energy, protein, and pigments, particularly when associated with agribusiness and wastewater treatment. Intensive microalgae cultivation aims to mitigate environmental risks and microalgae by-products add value to the production chain. However, studies on the microalgae production chain in Brazil are few. Thus, the aim of this study was to review the Brazilian microalgae production chain (BMPC) and suggest alternatives for its consolidation. Its structure was mapped, showing how BMPC public research funds, research, development and innovation, publications, patents, and companies are linked. State-of-the-art research on microalgae was analyzed using the research database from the Brazilian National Council for Scientific and Technological Development. Information on the number of documents published was evaluated using the Scopus database and patent information was gathered from World Intellectual Property Organization database, Latin American Patent Bank and National Institute for Industrial Property. Despite microalgae research initiatives in Brazil, which have leveraged several research groups and generated patents, the dissemination of this knowledge to companies appears limited and is restricted to only a few regions in the country. Furthermore, Brazil has neither regionalized alignment of microalgae supplies and demand nor any organization or adequate interaction among stakeholders. The high cost of producing the raw material and the lack of organizations representing the sector are the primary barriers to the yet incipient Brazilian microalgae production chain. Likewise, a main challenge for consolidation and development of the production chain concerns the representative organization of the microalgae sector through the creation of associations.

Yritysten yhteistyöverkostojen kehittäminen: Toimintamalli tuottavuuden ja yhteistyön keittämiseksi pk-yritysverkostossa (2019) Seinäjoen ammattikorkeakoulun julkaisusarja B. Raportteja ja selvityksiä 146. Sorama, K., Luomanmäki, T., Siltamäki, M., Matalamäki, M., Joensuu-Salo, S., Teittinen, H., Lehtinen, H. & Alakoski, H.

Article

Oct 2019

Päätavoite oli luoda toimintamalli pk-yritysverkostoille tuottavuuden ja yhteistyön kehittämiseen. Mallin rakentamiseen osallistui kuusi eteläpohjalaista yritystä verkostoineen. Päätavoite jakautui kolmeen alatavoitteeseen. Seinäjoen ammattikorkeakoulu vastasi kahdesta ensimmäisestä osiosta ja Vaasan yliopisto kolmannesta. Hankkeen toimenpiteet ja tulokset jakautuvat alatavoitteiden mukaisesti siten, että ensimmäinen toimintamalli ja työkalu liittyivät alihankintaverkoston suorituskyvyn reaaliaikaiseen mittaamiseen toimitusketjun simuloinnilla. Tässä testattiin simuloinnin onnistumista verkostotasoisena, koska aikaisemmin simulointia on tehty pääasiassa yrityksen sisäisenä. Toisessa osassa luotiin toimintamalli yritysten omaehtoiseen yhteistyöverkoston suorituskyvyn arviointiin ja mittaamiseen. Toimintamalliin liittyi myös kolme eri teemaan keskittyvää digitaalista työkalua, joilla yhteistyötä voidaan arvioida eri näkökulmista. Nämä teemat nostettiin työkalujen pohjaksi aikaisemman tutkimuksen ja hankkeessa tehdyn kyselyn perusteella. Jokainen työkalu on itsenäisesti käytettävissä yrityksen tarpeiden mukaisesti. Tähän osioon tuotettiin myös opas toimintamallin ja työkalun käyttöön. Nämä löytyvät osoitteesta https://vertti-verkostojenarviointi.seamk.fi. Simulointiin liittyvä arviointityökalu on liitetty osaksi näitä työkaluja. Kolmantena alatavoitteena oli tunnistaa uusia liiketoiminta- ja ansaintamalleja yhteistyöverkostoissa digitalisoituvassa maailmassa. Tässä osassa kehitettiin verkostostrategiamalli, joka mahdollistaa verkostotasoisten liiketoimintamallien kartoituksen ja uusien ansaintalogiikkojen selvittämisen. Tämä malli löytyy osoitteesta https://www.verttisovellus.fi.

Identifying drivers and barriers for market growth within the industry producing wooden multi-family houses -Land allocation process for future growth

Thesis

Full-text available

Sep 2019

Fredrik Lindblad

At present, Sweden is experiencing a housing shortage, which Swedish authorities expect to continue until at least 2025. Producers of wooden multi-family houses have a relatively small market share compared to those who use traditional building materials. Limited ability to meet the increased building demand restricts possibilities for development regarding innovation, bio-economy and sustainability. Swedish municipalities are responsible for planning the building development in their regions based on their projected requirements and strategies. Combining this with a desire to develop sustainable building solutions based on wood increases complexity in the public procurement process. Currently, public building developments are achieved through the Public Procurement Act or land-allocation activity, depending on the development strategy. This normally involves developing local strategies regarding, e.g. design, material choice and geographical development. Identifying drivers and barriers in the industry and market enables improved market entry activities related to public building initiatives using wood-based solutions. Hence, improving transparency in land-allocation activity generates possibilities for companies to respond successfully to requests from municipalities. This knowledge is used to better understand the required strategic development for companies, the government and municipalities to increase use of sustainable building materials such as wood in Swedish multi-family housing projects. Results show that the industry experiences barriers associated with municipalities' actions and knowledge related to wood as a building solution. Further, concrete’s strength as a building material is an issue, since municipalities tend to opt for familiar solutions. Furthermore, the way in which municipalities manage land-allocation activity is perceived as insufficient, with limited information, a subjective evaluation process, and uncertainties regarding their roles in the process. These factors contribute to ambiguity and sub-optimisation for developers proposing wood-based building solutions.

Strategic fit in buyer-supplier relationships: A systematic literature review from a supply chain perspective

Conference Paper

Full-text available

May 2019

This Systematic Literature Review aims to reveal important antecedents of Strategic Fit (SF) over the period 2007-2011. Peer reviewed papers have been analysed to search for antecedents, trends and gaps in studies on SF. Important topics are motivations for starting supply chain alliances, product-and process characteristics, relational capabilities and supply chain integration, supply chain contingencies and the position of the focal firm within the supply chain. Furthermore the role of ICT within globalized supply chain networks deserves specific attention because of its functional role in integration of strategies. Finally a research agenda has been set up.

Strategic fit in buyer-supplier relationships: A systematic literature review from a supply chain perspective

Conference Paper

Full-text available

May 2019

Measuring agri-food supply chain performance and risk through a new analytical framework: a case study of New Zealand dairy

Article

Nov 2018

Many researchers and practitioners have long recognized the significance of measuring performance. Although general guidelines for measuring business performance are widely available, no appropriate measurement frameworks have been developed for measuring agri-food supply chain performance. Particularly, food quality and risk-related indicators have not been well integrated into existing performance measurement systems. Our research, therefore, addresses this knowledge gap by first providing an in-depth review of extant performance measurement systems and frameworks. It then develops an analytical framework by extending the Supply Chain Operations Reference (SCOR) model which has been extensively implemented across non-food industries. The analytical framework is further validated by utilizing a case study of 50 farmers and 10 dairy companies, operating in the New Zealand dairy industry. Our pilot testing and subsequent findings show that the individual metrics interlocked with the analytical framework are in-line with the key industrial practices adapted by the New Zealand dairy industry. In addition, the framework is flexible and scalable to evaluate and benchmark other agri-food supply chains – ranging from fresh products such as fruits and vegetables to processed foods such as canned fruits. The findings further show that the detailed information required for measuring the level-3 SCOR metrics is not easily available in the industry, as researchers need to access specific company records that may be confidential. Consequently, this study provides how agri-food supply chain managers can employ our new analytical framework in-conjunction with the SCOR model for a deeper understanding of the complicated performance measurement indicators applied in their agri-food production systems and relevant supply chains.

International Journal of Economics, Commerce and Management PERFORMANCE MEASUREMENT: HOW FAR IT HAS TRAVELED AND WHERE IS IT HEADED

Article

Full-text available

Apr 2018

Purpose of this paper is to understand the phases of evolution of organizational Performance Measurement (PM) so that the future direction of PM may be predicted and organizations can prepare for it accordingly. Literature review method was adopted for the study. It was found that the PM started taking roots in the business world around 1900. In the last hundred plus years PM has evolved through four distinct phases, namely, Efficiency oriented era, Result oriented era, Quality oriented era, and Integrated perspective era. Business practices in each phase were dominated by a particular management philosophy which greatly influenced PM in that era. The future PM system is expected to be responsive, dynamic and predictive. It is expected that in future the risk management system will be combined with the PM system. The role of PM is seen to be changing from measuring past results to a system which will be able to predict the performance in the future and also identify the factors hindering success. The future scope of PM is seen to be widening to include supply chain and other network partners. Organizations taking a lead in moving towards futuristic PM will stand a better chance to succeed.

Perspectives on supply chain quality management research

Article

Full-text available

Oct 2017

This study focuses on reviewing the current understanding of supply chain quality management research field in order to critically provide a systematic view about the existing relevant literature, and identify shortcomings and further research directions that should be explored. The Creswell’s methodology [1] in doing literature review is followed to conduct this study. As a result, three prevailing perspectives in supply chain quality management are (a) Supply chain management & quality management perspective in which the factors affecting supply chain quality management, integration, coordination, and sharing in supply chain, etc are done. But the sufficient investigation in entire supply chain as well as industry, barriers or facilitators, the role of other functions, quality of the supply chain, upstream-oriented quality activities, and organization learning within partners in the supply chain are less concerned; (b) Supply chain management & Lean perspective, prior studies identify factors affecting on supply chain performance and firm’s competitive advantages, benefits, characteristics, principles, practices and basic techniques for Lean supply chain management, etc. They have less interests in the entire supply chain investigation, Lean service, barriers or facilitators of supply chain quality management performance; and (c) Supply chain management & Innovation perspective, recent studies investigate factors affecting supply chain innovation, barriers or facilitators, developing innovation frameworks and approaches or strategies, etc. But they reveal limitations in the integration of supply chain strategies with innovation strategies and business strategies, barriers of innovation process, and how to cope with challenges and differences of various types of innovation. Overall, most of the existing researches on three mentioned perspectives mainly investigate within the manufacturing sector in developed countries, and they gives much attention to supply chain fulfillment; few studies focus on supply chain development and lack the combination.

Assessment of traditional food supply chain performance using triadic approach: the role of relationships quality

Article

Full-text available

Oct 2018
SUPPLY CHAIN MANAG

Purpose The objectives of this paper were twofold: to explore if there are differences in the perceptions about supply chain performance (SCP) and relationship quality (RQ) among traditional food supply chain members, and to examine the influence of individual relationship variables and aggregated relationship quality on SCP in the traditional food sector. Design/methodology/approach The survey was conducted in a triadic context with 189 supply chain members (62 suppliers, 65 focal companies and 62 customers) of 65 traditional food supply chains (cheese, olive oil, meat products, brandies and liqueurs, wine and honey) in Croatia. The influence of individual relationship variables and aggregated RQ on perceived SCP was tested using regression analysis. Findings It was found that there were no significant differences in the perception of overall SCP and RQ among supply chain members. It was identified that aggregated RQ and all individual relationship variables (trust, commitment, economic satisfaction, non-coercive and coercive power, reputation and conflict) have a significant influence on perceived SCP of the traditional food supply chains. Practical implication This study provides a systematic approach to investigate the SCP and supply chain RQ in the traditional food sector. The findings suggest that managers should not neglect any aspect of supply chain relationship to keep high SCP and to be competitive on the market. Originality/value This multiple supply chain study makes an original empirical contribution to the supply chain and network management literature by using a triadic approach to investigate RQ and SCP. The influence of individual RQ constructs and aggregated RQ on traditional food SCP examined in this study has not been explored thus far. This study also makes an original empirical contribution by investigating RQ and SCP in the traditional food sector, which has received little attention recently.

Implantation of Total Productive Maintenance: A Case Study in the Manufacturing Industry: International Joint Conference ICIEOM-ADINGOR-IISE-AIM-ASEM

Chapter

Aug 2019

The objective of this research was to apply the total productive maintenance analyzing the performance of the autonomous maintenance pillar in a pilot manufacturing industry. The case study used as a procedure with the nature of research as applied quantitative approach. The results showed that even the pillar of autonomous maintenance, being the process of training, in order to make operators able to promote changes in their work environment that guarantee high levels of productivity, it needs the support of the basic pillars. Without them, such pillar would not have the necessary conditions to act in the planning of application of the methodology. The overall equipment efficiency had its value maximized by 30% in two and a half years, indicating that had its productive capacity high, enabling the increase in the organization’s revenues.

Performance measurement: The next station

Article

Full-text available

May 2018

Sarmad Hasan

Enabling Factors to Supply Chain Collaboration and Firm Performance: a Theoretical Framework

Conference Paper

Full-text available

May 2018

Manufacturing Enterprises play significant roles to the development of economic in Indonesia. Since the announcement of ASEAN Economic Community in 2015, the challenges for increasing their competitiveness through efficient and effective supply chain collaboration is in demand. This study aims to identify enabling factors that influence supply chain collaborative relationship, and the impact of such collaboration on firm’s performance. Literature studies show that dependence, commitment, trust and communication play certain roles on supply chain collaboration. Moreover, the effect of supply chain collaboration on firm’s performance is also conceptualized. Keywords: enabling factors, supply chain collaboration, firm performance.

A Joint Modeling and Exploratory Framework for Intra-firm Collaboration within Construction and Mining Equipment Industry

Article

Full-text available

Nov 2022
IND MANAGE DATA SYST

Purpose In this research, collaboration attributes related to the firm's intrinsic and extrinsic facets at pertinent levels (i.e. enterprise, strategic, operational, and tactical levels) for construction equipment OEMs (original equipment manufacturers) operating in India have been quantified and modeled. Design/methodology/approach For modeling the intra-firm collaboration at respective organizational levels, relevant attributes have been populated employing literature review followed by subsequent validation from pertinent focus groups. The focus groups comprising professionals working in the construction and mining equipment industry in India aided us in estimating the extent of interdependencies and influences within/amongst collaboration attributes. The collaboration attributes and respective interdependencies/influences are modeled employing the concept of graph theory wherein the individual attributes are represented using vertices and influences/interdependencies are represented using edges. The collaboration indices resulting from the variable permanent matrix have been derived as well. Findings Scenario and subsequent sensitivity analysis are performed. This research discusses the significance and aspects related to various collaborative attributes and the interrelations amongst them. Further, the research also evolves quantitative measures of collaboration indices at enterprise, strategic, tactical and operational levels by employing a graph-theoretic approach (GTA). The authors have also extricated and discussed a number of meaningful implications from both the perspectives of interorganizational relationships (IORs) and the normative theory of organizations using a cross-case analysis of five firms having operations in India. Originality/value The research would aid organizations (particularly those belonging to the construction equipment sector) measure the efficacy of collaboration in respective value-chains at strategic, tactical and operational levels. From the theoretical perspective, the integration of the IORs and normative theory of organizations enables looking at the intra-firm collaboration problem from a multi-dimensional standpoint involving activities, performance measures, action initiation, communication, shades of top management, level of activity, etc.

Measuring the collaborative supply chain performance: a literature review

Article

Full-text available

Apr 2022

Inter-company competition explains the increased interest of researchers towards supply chain management, which is seen as a better way of managing logistics activities and processes from upstream to downstream. In fact, supply chain management aims to offer a better overall performance of the chain and a better return for its members by increasing consumer satisfaction. In addition, collaboration in the supply chain creates a strategy-based value creation process that allows members of the chain to coordinate and synchronize their efforts in order to optimize their activities and rationalize their resources. Hence, to reap the expected benefits of collaboration, there is a need for continuous assessment of collaborative practices in the supply chain. In this sense, the objective of this article is to raise the main models for assessing the performance of the supply chain and particularly the collaborative aspect. However, through the analysis of the literature we realized that, despite the focus of companies on collaboration, the number of research studies on this subject remains limited.

Supply chain strategy in the luxury fashion industry: impacts on performance indicators

Article

Full-text available

Nov 2021
Int J Prod Perform Manag

Purpose The purpose of this paper was to investigate what types of supply chain strategies (SCS) are implemented within luxury fashion companies, according to the drivers that regulate competitiveness in this sector (brand positioning, distribution channel, type and line of product). Moreover, the objective was to define which key performance indicators (KPIs) should be measured according to the chosen strategy, and finally to evaluate the alignment of luxury fashion companies with the proposed indicators. Design/methodology/approach The literature review was the first step performed. Thereafter, a case study was conducted and the sample, composed of six companies, was selected, a questionnaire was then developed to guide the interviews, after which the data were collected. From the data, a primary case analysis was conducted, from which cross-case patterns were also researched. Findings From the results obtained, it was possible to state that companies involved in the case study adopted different SCS within the same company according to the drivers that regulate the sector competitiveness. As a result, the product line was shown to be the only driver that affected both the alignment between the expected and implemented SCS, respectively, and the alignment with the selected KPIs. Originality/value The paper provides valuable insights to companies that are trying to align SCS and KPIs. The close link between these aspects had not yet been explored previously. In particular, there were no indications about the KPIs that have to be measured for a specific SCS.

A cost evaluation model for IoT-enabled prefabricated construction supply chain management

Article

Sep 2021
IND MANAGE DATA SYST

Purpose This paper proposes an evaluation model for prefabricated construction to guide a supply chain with controllable costs. Prefabricated construction is prevalent due to area limitations. Nevertheless, the development is limited by budget control and identifying the factors affecting cost. The degree of close collaboration in the supply chain is closely interconnected with cost performance that includes direct and indirect factors. This paper not only quantizes these factors but also distinguishes the degree of influence of various factors. Design/methodology/approach System dynamics is applied to simulate and analyze the construction cost factors through Vensim software. It can also clarify the relationship between cost and other influencing factors. The input data are collected from an Internet of Things (IoT)-enabled system under a Building Information Modeling (BIM) system and Hong Kong government reports. Findings Simulation results indicate that prefabricated construction cost is mainly influenced by government promotion degree (GPD), working pressure from on-site construction (WPOSC), prefab quality (PQ), load-bearing capacity per vehicle (LBPV) and mold quality (MQ). However, it is more sensitive toward GPD, which indicates that the government should take measures to promote this construction technology. On-site worker management is also essential for the assembly process and indirectly influences the construction cost. Research limitations/implications This paper quantifies indirect influential factors to clarify the specific features for prefabricated construction. The investigated factors are limited. Practical implications The contractor can identify all factors and classify the levels of influence to make decisions under the supply chain system boundary. Social implications The input data are collected from an IoT-enabled system under a BIM system and Hong Kong government reports. Thus, the relationship between construction cost influential factors can be investigated. Originality/value This paper quantifies indirect influencing factors and clarifies the specific features in prefabricated construction. The contractor could identify these factors to make decisions and classify the levels of influence under the supply chain system boundary.

A study on the impact of digital tobacco logistics on tobacco supply chain performance: taking the tobacco industry in Guangxi as an example

Article

Aug 2021
IND MANAGE DATA SYST

Purpose This paper, with the tobacco industry as the background, establishes an indicator system for tobacco supply chain performance evaluation using the FAHP method. Design/methodology/approach Based on the relevant data of tobacco enterprises in Guangxi, the paper calculates the performance values of tobacco companies in various cities of Guangxi, and through the analysis of each indicator and the performance values of each city, the authors find that the improvement ability has a major impact on tobacco supply chain performance. Then, the paper establishes a system dynamics model to further demonstrate the impact of information digitalization on the performance of the tobacco supply chain in Guangxi, thus providing theoretical support for building digital tobacco logistics in Guangxi. Findings The findings of the study show that the performance of the tobacco supply chains in various cities of Guangxi is generally at the level of “Pass–Good,” which can barely meet the requirements of tobacco supply chain operation, but there is still plenty of room for improvement. Originality/value The authors show that digital and IT-based empowerment can maximize the performance of Guangxi's tobacco logistics performance.

Supply chain risk management: manufacturing- and service-oriented firms

Article

Feb 2018
J Manuf Tech Manag

Purpose A risk, when it occurs, causes negative effects on outputs. Typically, risks are not independent as multiple risks occur simultaneously. The purpose of this paper is to compare the impact various risks have on the performance of manufacturing-oriented and service-oriented firms from a supply chain (SC) perspective. Design/methodology/approach First, SC risks were identified and classified into two criteria: context and probability. Then, the different characteristics between manufacturing- and service-oriented firms were distinguished by the theory of goods-dominant logic (GDL) and service-dominant logic (SDL). Structural equations modeling and multiple-group analysis were then used to validate research hypotheses and compare the two groups. Findings The empirical evidence, gathered from the Vietnamese construction sector, indicated that in a serious situation all of the five risks proposed occur at the same time, thus the remarkable 87.1% variance in SC performance was explained. Furthermore, this rate is significant when the two groups are compared: manufacturing-oriented firms (88.3 percent) and service-oriented firms (85.6 percent), implying that risks in the manufacturing-oriented group have a greater effect on SC performance. While manufacturing-oriented companies should pay close attention to the operational and demand risks that adversely affect SC performance, they should treat information risk as an opportunity to improve. Service-oriented companies, however, need to manage supply risk which, in their case, can be attributed to a 51.2 percent variance in SC performance. Moreover, service quality can also be improved remarkably if information risk is well managed. Research limitations/implications This study provides a detailed picture of the relationship between risks and performance in the SC. Risks are illustrated as affecting the SC performance simultaneously, (not separately) and so the approach outlined here will give firms a comprehensive view of their SCs and provide guidelines for predicting the impact risks will have on the SC performance. Moreover, by comparing manufacturing- and service-oriented firms, a thorough overview of risk behaviors is provided and appropriate solutions for each type of company can be determined. Originality/value The “novelty of approach” of this study is in applying GDL and SDL theory to classify the manufacturing-oriented and service-oriented firms. The different characteristics between the two groups are identified and explained in terms of resources, value, network, effectiveness vs efficiency and communication, thus providing an insight into risk management activities in the SC network.

The factors influencing modeling of collaborative performance supply chain: A review on fresh produce

Article

Full-text available

Feb 2021

The aim of this study is to identify and explore the success factors that influence the fresh product supply chain collaborative performance system (CPS) towards the flow of information among partners along the chain, and the supply chain relationships of all partners in it by identifying the role played by information structures at the planning level of supply chain collaboration, as well as providing policy insights to stakeholders in different countries to analyze applicable implementation. This research method uses a research approach by reviewing the previous literature that was selected deliberately during the last 10 years; journal papers, conferences, working papers, and Ph.D. thesis. Using three steps, the first step found 189 articles. The second step was to get 96 articles that match the topics raised. Finally, the third step, determined 39 articles selected as important topics focusing on fresh production areas and they were categorized and analyzed. This study is considered to be our best knowledge to examine the success factors influencing CPS in FPSC, such as; knowledge of the benefits of collaborative performance systems, reluctance to change, collaborative culture, trust, technology and information, social relations, environmental friendliness, and sustainability security and safety. The theoretical framework, was also developed incorporating the principles of supply chain network collaboration, taking into account the importance of business strategy and inter-organizational network theory, to strengthen the evidence for the relationship between the collaborative planning levels in usable information flow, at both the strategic, operational and tactical levels in the supply chain collaboration. The implication of this research is intended to examine the success factors that influence it, so that it can be developed and become the basis for improvement models that are still rarely applied in this field, from the influencing factors that exist in the collaboration structure.. ; license Growing Science, Canada by the authors 1 202 ©

Financial performance measurement of supply chains: a review

Article

Full-text available

Feb 2021
Int J Prod Perform Manag

Purpose This study provides a systematic review on performance measurement of supply chains from a financial perspective. Design/methodology/approach This study systematically reviews the financial performance measures of supply chains. More specifically, this research reviews a total of 100 papers published in more than 50 peer-reviewed journals. The reviewed papers are categorized into three major areas of engineering, business and management. Additionally, the papers are investigated based on country, journal frequency, applied methods, publication date and research type (application or developmental). Findings According to the obtained results, cost, return on assets (ROA), sales, asset turnover, return on investment (ROI), market share, inventory turnover, profit margin, revenue growth, economic value added (EVA) and cash-to-cash cycle are the most common metrics of financial performance measurement. Next, a framework is developed based on different categories of performance measurement and decision levels of the supply chain. Finally, some research directions are suggested to be further investigated by other scholars. Originality/value Although available studies on supply chain performance measurement are very vast and comprehensive, the majority of the studies have neglected to highlight the importance of financial measures. In other words, with the advent of nonfinancial measures, however, the majority of supply chain managers still prefer to consider financial issues in their performance assessment process.

Building supply chain collaboration on SMEs: The role of ICT and trust

Article

Full-text available

Jul 2020

This study aims to investigate the relationship between information and communication technology (ICT), trust, and supply chain collaboration and their impact on companies' operational performance. Partial Least Square (PLS) was used to test the research models. A survey was conducted to collect data from screen-printing SME, which is one of the leading creative industries, in Yogyakarta. Questionnaires were directly distributed and collected from 48 SMEs. The results show that trust and ICT have a significant and direct effect on supply chain collaboration and operational performance. The indirect effect of ICT and trust on operational performance through supply chain collaboration also prove to be significant. The practical implication of this research is the importance of SMEs understanding of the strategic role of technology in sharing information, because with ICT, companies will be able to build more effective business communication. Besides, it is also important to understand the role of trust as a factor supporting the companies' commitment to building sustainable cooperation and achieving higher operational performance.

KPIs for performance measurement of e-fulfillment systems in multi-channel retailing: An exploratory study

Article

Sep 2019
Int J Retail Distrib Manag

Purpose The purpose of this paper is to expand existing research on fulfillment systems for multi-channel retailers by combining analysis of customer expectation (CE) with economic performance (EP) aspects. Design/methodology/approach This exploratory study is based on a literature review of supply chain management and marketing combined with the results of an online questionnaire submitted to French and Chinese multi-channel retailers from two sectors. Findings The results enable the authors to identify 13 important key performance indicators (KPIs) used by multi-channel retailers for measuring e-fulfillment system performance and also to determine under which of the EP or CE criteria these KPIs might be linked. Research limitations/implications Although the sample size is limited, this research is intended to be exploratory, based on the practices of supply chain and marketing managers. Moreover, the results do not address interdependencies among the different KPIs. Practical implications E-fulfillment is a major challenge for multi-channel retailers; it is cost intensive and critical for customer satisfaction. The identified set of KPIs enables retailers to choose those relevant to their particular infrastructure. Originality/value A limited number of scholarly works have explored the operational implications of online retailing in terms of e-fulfillment in a multi-channel context. In order to manage such supply chains efficiently and effectively, traditional measures of supply chain performance need to be adapted. This study expands existing knowledge by developing measurement systems and metrics for the evaluation of supply chain performance in this context.

ANZAM - 2019 REVERSE COLLABORATION (2).pdf

Data

Full-text available

Dec 2019

Kumaraguru Mahadevan

The push effect of risks on supply chain performance: service-oriented firms

Article

Aug 2019
Bus Process Manag J

Purpose The purpose of this paper is to examine the push effect of risk on supply chain (SC) performance, a new concept in the SC risk body of literature, at service-oriented firms. Design/methodology/approach Two models were compared: first, contains relationships between risks that show the mechanism of the push effect, i.e. the theoretical model. The other, only exists in direct effects of risks on SC performance, i.e. the competitive model. Findings Test results proved that the mechanism of the push effect can increase the degree of impact of each and all risks on outputs. By the push effect, risks can explain up to 65 percent variance of SC performance compared with 52 percent of the model without push effect. Moreover, the research found two kinds of the push effect: positive – increasing the impact of “pushed” factors on outputs and vice versa for negative. Research limitations/implications The mechanism of the push influence will be broken if mutual interaction among risks was minimized. Practitioners and managers can apply the resultant model as a “road map” in their context to achieve this purpose. Originality/value Vargo and Lusch (2008) argued that service-oriented firms will be a new trend since the modern-day industry tends to more focus on customer demand. SC management gradually shifted toward demand chain management that organizations will not make and sell units of output but producing customized services to customers (Walters, 2008). This transformation has led to the emergence of new risks, the impact of risk on the SC also varies and the mismatch of the current risk mitigation strategies (Lusch et al. , 2007). Dealing with these changes is the purpose of this research.

A Current Review of Supply Chain Performance Measurement Systems

Chapter

Full-text available

Jan 2019

A supply chain is the network of entities (individual or organisation) who work together to fulfil customer demands efficiently with maximum profits without compromising quality of product or service. Traditionally, supply chains were assessed based on financial measures but increasing competition and changing scenarios. Supply chains today are assessed based on various non-financial parameters such as customer satisfaction, sustainability and resilience. Performance measurement quantifies the extent up to which a supply chain is achieving its perceived objectives based on performance indicators. With diverse sectors of industry and varying goals of different supply chains, the performance indicators vary as well. The paper intends to provide a critical review on supply chain performance measurement literature by compiling key performance indicators for various sectors to understand the diversity and complication of performance measurement systems.

Mpact of Supply Chain Performance Measurement: A Survey Result of Influence of Performance Measurement With Reference to Department Stores

Article

Jan 2019

Risk Identification and Its Generating Factors in a Supply Chain from the Natural Gas Sector: International Joint Conference ICIEOM-ADINGOR-IISE-AIM-ASEM

Chapter

Aug 2019

The complexity of chains, their vulnerabilities to internal and external risk factors and their relationships, have caused the managers of organizations to analyze the risk within the supply chain. This insight has led companies to seek ways to establish a relationship between processes and principles that reduce the occurrence of risks and can mitigate them and improve their competitiveness. The identification of the risk does not occur in an isolated way in the chain, and can propagate along its extension. Thus, the purpose of this article is to identify the risks and their generating factors that occur internally at a supply chain link of a natural gas industry. In the Research Methodology, we used the application of semi structured interviews and application of questionnaires and for the validation of risks we used the method of focal group. The results obtained include the identification of internal risks in the studied companies and their risk-generating factors as well as the common risks between companies, highlighting vulnerability points such as: outsourcing, increased dependence on suppliers, economic and political crises, to which the chain is exposed.

The Performance Prism: The Scorecard for Measuring and Managing Business Success

Article

Full-text available

Jan 2002

Theme of the Book The authors contend that the best way for organisations -for profit or not for profit -to survive and prosper in the long term will be to think about the wants and needs of all of their stakeholders and endeavour to deliver appropriate value to each of them. Companies in particular must assume a broader role than simply delivering value to their shareholders. To be successful over time, even for and on behalf of shareholders, businesses must address multiple stakeholders. If companies do not give each of their stakeholders the right level of focus, both their corporate reputation and their market capitalisation – and ipso facto shareholder value -are likely to suffer in one way or another.

Does Trust Matter? Exploring the Effects of Inter-Organizational and Inter-Personal Trust on Performance

Article

Full-text available

Feb 1998
ORGAN SCI

A conceptual challenge in exploring the role of trust in interorganizational exchange is translating an inherently individual-level concept-trust-to the organizational-level outcome of performance. We define interpersonal and interorganizational trust as distinct constructs and draw on theories of interorganizational relations to derive a model of exchange performance. Specifically, we investigate the role of trust in interfirm exchange at two levels of analysis and assess its effects on negotiation costs, conflict, and ultimately performance. Propositions were tested with data from a sample of 107 buyer-supplier interfirm relationships in the electrical equipment manufacturing industry using a structural equation model. The results indicate that interpersonal and interorganizational trust are related but distinct constructs, and play different roles in affecting negotiation processes and exchange performance. Further, the hypotheses linking trust to performance receive some support, although the precise nature of the link is somewhat different than initially proposed. Overall, the results show that trust in interorganizational exchange relations clearly matters.

Supply Chain Metrics

Article

Full-text available

Jan 2001
Int J Logist Manag

Most discussions and articles about supply chain metrics are, in actuality, about internal logistics performance measures. The lack of a widely accepted definition for supply chain management and the complexity associated with overlapping supply chains make the development of supply chain metrics difficult. Despite these problems, managers continue to pursue supply chain metrics as a means to increase their “line of sight” over areas they do not directly control, but have a direct impact on their company's performance. We provide a framework for developing supply chain metrics that translates performance into shareholder value. The framework focuses on managing the interfacing customer relationship management and supplier relationship management processes at each link in the supply chain. The translation of process improvements into supplier and customer profitability provides a method for developing metrics that identify opportunities for improved profitability and align objectives across all of the firms in the supply chain.

Collaborative Performance Management: Present Gaps and Future Research

Article

Full-text available

Jan 2006
Int J Prod Perform Manag

Purpose To identify gaps in current research concerning the critical issues, threats and opportunities in the design of a system for managing performance in collaborative enterprises; and to define a performance management research agenda. Design/methodology/approach An interdisciplinary study examines performance management from different disciplinary perspectives with the purpose of giving insights into the area, which is currently not sufficiently explained. Three sources of knowledge are investigated: scientific literature; practitioners' magazines; and research project reports. Findings There is a lack of understanding of what collaboration means and what it implies on the development of appropriate performance measurement systems. Future research should study the nature of collaboration and the characteristics of performance indicators to support it. Research limitations/implications The selection of the disciplines to be investigated and knowledge sources to be searched is based on the authors' definition of collaborative performance management. This implies that different definitions of the same concept could lead other researchers to study different disciplines, reach different conclusions and define a different research agenda. Practical implications It helps researchers build a sound knowledge base in collaborative performance management and focuses their research efforts on the most relevant issues. Originality/value The value of this paper resides in its ability to structurally gather most of the information available in the area, which is usually scattered in several different disciplines. This paper's contribution should be seen in the context of an ever‐increasing use in performance management research of the constructive approach, where a priori knowledge is very important.

A Conceptual Model of Performance Measurement For Supply Chains

Article

Full-text available

Sep 2003
MANAGE DECIS

Supply chain management (SCM) has gained a tremendous amount of attention from both industries and researchers since the last decade. Until now, there are numerous papers, articles, and reports that address SCM, but there is still a lack of integration between the existing performance measurement methods and practical requirements for the SCM. An innovative performance measurement method is proposed to provide necessary assistance for performance improvement in SCM. The proposed method will address this purpose in these four aspects: a simplified supply chain model; tangible and intangible performance measures in multiple dimensions; a cross-organizational performance measurement; and fuzzy set theory and weighted average method.

Dynamics of performance measurement systems

Article

Full-text available

Jun 2000
INT J OPER PROD MAN

Begins by creating a vision for dynamic performance measurement systems and goes on to describe the background to the work. Develops a model for integrated and dynamic performance measurement systems. Provides a critical review of existing frameworks, models and techniques against the model. Identifies that current knowledge and techniques are sufficiently mature to create dynamic performance measurement systems. The use of the dynamic performance measurement system is illustrated through a case study. Concludes with a series of lessons highlighting further research and development needs.

Performance measurement system design: A literature review and research agenda

Article

Full-text available

Dec 2005
INT J OPER PROD MAN

Purpose – This paper, originally published in 1995, aims to focus on the importance of performance measurement. Design/methodology/approach – Focuses on the process of performance measurement system design, rather than the detail of specific measures. Following a comprehensive review of the literature, proposes a research agenda. Findings – The importance of performance measurement has long been recognized by academics and practitioners from a variety of functional disciplines. Originality/value – Brings together this diverse body of knowledge into a coherent whole.

Collaborative planning forecasting and replenishment: New solutions needed for mass collaboration

Article

Full-text available

Aug 2002
SUPPLY CHAIN MANAG

The challenge faced by supplier companies in the grocery supply chain for implementing collaborative planning, forecasting and replenishment (CPFR) is how to get the retailer to forecast, especially when it has not been necessary before. In this paper a solution that would allow collaboration on a wide scale is presented. The forecasting approach is called “rank and share” and uses input from the retailer’s existing planning process – the category management process. The benefit of using category management as the basis is that the retailer can scale up collaboration with a large number of suppliers without increasing planning resources. For the supplier the benefit is point of sales forecasts at the time of the assortment decision. To support this collaborative forecasting process there is a need for more robust replenishment solutions, new measures to illustrate benefits, and for a distributed planning architecture and software. Potential solutions for these are also discussed in the paper.

The impact of collaborative store ordering on shelf availability

Article

Full-text available

Jan 2008
SUPPLY CHAIN MANAG

Purpose – This paper aims to focus on the store ordering and replenishment practices which appear to be the major cause behind the problem of out‐of‐stock situations. A collaborative store replenishment practice, enabled by an internet‐based platform is examined. By enabling information and knowledge sharing between retail store managers and suppliers' salesmen, this practice leads to increased order accuracy and, as a result, to fewer out‐of‐stock situations. Design/methodology/approach – The research presented in this paper has been empirical in nature, involving a field experiment with a major retailer and several suppliers in Greece. Pre‐ and post‐experiment measurements were conducted and the quantitative results were statistically analyzed in order to assess the impact of collaborative store ordering on shelf availability. The quantitative measurements were repeated over several years, offering a longitudinal view on the experiment. Qualitative findings from the field experiment are also discussed. Findings – The empirical results from the field experiment show a reduction in out‐of‐stock situations by more than 50 percent combined with no significant statistical variation in total observed inventory levels. Qualitative findings regarding the practical aspects of the process as well as organizational issues are also acquired. Originality/value – Low shelf availability and the respective sales loss is one of the major issues retailers and suppliers face today. This paper examines a new replenishment process, involving supplier‐retailer collaboration supported by daily information sharing of POS data and other information over an internet platform, which leads to increased shelf availability by addressing one of its major causes. Thus, the empirical results presented in the paper have important implications for practitioners. In addition, the paper contributes from a methodological perspective to the academic community, by describing the way the field experiment was conducted and the quantitative results were analyzed as a means to evaluate a new business practice and Internet‐based collaboration platform.

Benefits, Barriers, and Bridges to Effective Supply Chain Management

Article

Full-text available

Jan 2008
SUPPLY CHAIN MANAG

Purpose – The purpose of this article is to provide academics and practitioners a quantitative and qualitative analysis of the benefits, barriers, and bridges to successful collaboration in strategic supply chains. Design/methodology/approach – A triangulation method consisting of a literature review, a cross-functional mail survey, and 51 in-depth case analyses was implemented. Senior managers from purchasing, manufacturing, and logistics were targeted in the mail survey. The break down by channel category interviews is as follows: 14 retailers, 13 finished goods assemblers, 12 first-tier suppliers, three lower-tier suppliers, and nine service providers. Findings – Customer satisfaction and service is perceived as more enduring than cost savings. All managers recognize technology, information, and measurement systems as major barriers to successful supply chain collaboration. However, the people issues – such as culture, trust, aversion to change, and willingness to collaborate – are more intractable. People are the key bridge to successful collaborative innovation and should therefore not be overlooked as companies invest in supply chain enablers such as technology, information, and measurement systems. Research limitations/implications – The average mail-survey response rate was relatively low: 23.5 percent. The case study analyses were not consistent in frequency across channel functions. Although the majority of companies interviewed and surveyed were international, all surveys and interviews were managers based in the US. Practical implications – This study provides new insight into understanding the success and hindering factors of supply chain management. The extensive literature review, the cross-channel analysis, and case studies provide academics and managers a macro picture of the goals, challenges, and strategies for implementing supply chain management. Originality/value – This paper uses triangulation methodology for examining key issues of supply chain management at multiple levels within the supply chain.

Theory and Practice in SME Performance Measurement System

Article

Full-text available

Aug 2001
INT J OPER PROD MAN

Describes research undertaken to evaluate the appropriateness of strategic performance measurement (PM) system development processes for small- and medium-sized enterprises (SMEs). An evaluation is undertaken of ten PM approaches found in the literature. To facilitate this evaluation a typology is presented which synthesises current theory. This evaluation resulted in the identification of a process, based on its congruency to the theoretical model, which is used for an empirical investigation. Empirical data from SMEs is collected and analysed using the typology. This indicates a discontinuity between current theory and the requirements of practitioners in small companies. The paper concludes with a number of recommendations to facilitate the development of appropriate PM processes for SMEs.

Designing, implementing and updating performance measurement systems

Article

Full-text available

Jul 2000
INT J OPER PROD MAN

This paper addresses issues met when designing, implementing, using and continuously updating performance measurement systems in manufacturing companies. The paper develops, from theory, a framework for analysing the implementation of a performance measurement system and uses this framework to interpret three longitudinal case studies. The paper concludes that specific processes are required to continuously align the performance measurement system with strategy. When these processes are combined with a well defined model of strategic success, the measurement system can enhance the strategic management process by challenging the assumptions and the strategy itself.

The Collaborative Supply Chain

Article

Full-text available

Jan 2002
Int J Logist Manag

Purpose – The purpose of this paper is to review the fundamental concept of collaborative supply chain (CSC) and discuss the facts that a road to success in the process of design, implementation and operations of a supply chain is the identification of superior strategies and clear objectives. One of these strategies is known as CSC, that needs to be studied, evaluated and implemented. Design/methodology/approach – Discusses key elements of CSC and the fact that the vision for the CSC can be built upon principles as such as automation, information, trust and commitment, quality leadership, customer focused, collaborative and e-collaborative partnerships, and integrated information system. Findings – The paper finds that to make supply chain management successful, management must be committed to high standard of performance, trust including long-term collaborative relationships that can deliver results independent of industry and sector type. Originality/value – Owing to the fact that a better management of production system is related to the full understanding of the technologies implemented and the system under consideration, the CSC and its related components are discussed.

An Empirical Investigation into Supply Chain Management: A Perspective on Partnerships

Article

Full-text available

Feb 1998
SUPPLY CHAIN MANAG

This study was funded in part by a research grant provided by Ernst & Young LLP Center for Business Knowledge, which was administered by Jeffrey Pratt and LeAnne Gershkowitz. The authors appreciate and acknowledge the help and support of Ernst & Young LLP Global Supply Chain Network and especially the guidance and assistance of Christopher Gopal and Gene Tyndall. Note: This paper was subsequently published in International Journal of Physical Distribution & Logistics Management, Volume 28 Number 8, 1998.

Implementing Performance Measurement Systems: A Literature Review

Article

Full-text available

Jan 2003

Currently, there is a great interest in performance measurement with many companies attempting to implement the balanced scorecard. However, there is also evidence that many of these implementations are not successful. This paper reviews the different performance measurement system design processes published in the literature and creates a framework for comparing alternative approaches. The paper then proceeds to review the literature on performance measurement system implementations and concludes that the performance measurement literature is at the stage of identifying difficulties and pitfalls to be avoided based on practitioner experience with few published research studies. This paper is the first of two, the second going on to consider performance measurement implementation from the point of view of the change management literature. industry he spent five years at Cambridge University researching the implementation of performance measurement systems through action research involving over 20 companies. Since joining Cranfield, Mike's current research has been focused on how companies use performance measures. He has authored and co-authored over 50 papers and books on the subject including Getting the Measure of your Business and The Balanced Scorecard in a Week. He is also the editor of The Handbook of Performance Measurement published by Gee.

Performance Metrics in Supply Chain Management

Article

Full-text available

May 2003

This survey paper starts with a critical analysis of various performance metrics for supply chain management (SCM), used by a specific manufacturing company. Then it summarizes how economic theory treats multiple performance metrics. Actually, the paper proposes to deal with multiple metrics in SCM via the balanced scorecard — which measures customers, internal processes, innovations, and finance. To forecast how the values of these metrics will change — once a supply chain is redesigned — simulation may be used. This paper distinguishes four simulation types for SCM: (i) spreadsheet simulation, (ii) system dynamics, (iii) discrete-event simulation, and (iv) business games. These simulation types may explain the bullwhip effect, predict fill rate values, and educate and train users. Validation of simulation models requires sensitivity analysis; a statistical methodology is proposed. The paper concludes with suggestions for a possible research agenda in SCM. A list with 50 references for further study is included.

The Value of Information Sharing in a Two-Level Supply Chain

Article

Full-text available

May 2000

Many companies have embarked on initiatives that enable more demand information sharing between retailers and their upstream suppliers. While the literature on such initiatives in the business press is proliferating, it is not clear how one can quantify the benefits of these initiatives and how one can identify the drivers of the magnitudes of these benefits. Using analytical models, this paper aims at addressing these questions for a simple two-level supply chain with nonstationary end demands. Our analysis suggests that the value of demand information sharing can be quite high, especially when demands are significantly correlated over time.

A process quality model for the analysis, improvement and control of supply chain systems

Article

Dec 1998
Logist Inform Manag

A manufacturing supply chain is an integrated set of business functions, encompassing all activities from raw material acquisition to final customer delivery. Delivering the right product at the right time in the right amount are essential objectives of efficient and effective supply chain systems. Thus measures must be taken to ensure that all operational components of the supply chain system are operating efficiently. This research examines quality measurement in a supply chain process by developing the process quality model to be used in the assessment, improvement and control of a manufacturing supply chain system.

The hierarchy of supply chain metrics

Article

Jan 2004

D. Hofman

Performance measurement system design

Article

Apr 1995
INT J OPER PROD MAN

Do Suppliers Benefit From Collaborative Relationships With Large Retailers? An Empirical Investigation of Efficient Consumer Response Adoption

Article

Jul 2005
J MARKETING

Collaborative manufacturer-retailer relationships based on efficient consumer response (ECR) have become ubiquitous over the past decade. Yet academic studies of ECR adoption and its impact on marketing relationships are relatively scarce. Inspired by the relational view of competitive advantage, the authors empirically investigate whether the extent to which suppliers of a major retailer adopt ECR has a beneficial impact on their outcomes. The results demonstrate that whereas ECR adoption has a positive impact on supplier economic performance and capability development, it also generates greater perceptions of negative inequity on the part of the supplier. However, retailer capabilities and supplier trust moderate some of these main effects. The overall results are robust with respect to differences in supplier size as well as between branded and private-label suppliers.

Performance Measurement & Control Systems for Implementing Strategy: Text & Cases

Book

Jan 2000

The Balanced Scorecard: Translating Strategy Into Action

Book

Jan 1996

Researching performance measurement system implementation: The dynamics of success and failure

Article

Mar 2005

Mike Bourne

There is a growing literature concerned with the design and implementation of performance measurement systems but few studies of success and failure. This paper describes three phases of research into design and implementation of performance measurement systems involving 16 different businesses. The conclusion from the research is that senior management commitment is a key driver of success, but the paper will also describe the main factors which influence and change this commitment over the life of a performance measurement implementation project.

Information Inaccuracy in Inventory Systems: Stock Loss and Stockout

Article

Sep 2005

Many companies have automated their inventory management processes and now rely on information systems when making critical decisions. However, if the information is inaccurate, the ability of the system to provide a high availability of products at the minimal operating cost can be compromised. In this paper, analytical and simulation modelling demonstrate that even a small rate of stock loss undetected by the information system can lead to inventory inaccuracy that disrupts the replenishment process and creates severe out-of-stock situations. In fact, revenue losses due to out-of-stock situations can far outweigh the stock losses themselves. This sensitivity of the performance to the inventory inaccuracy becomes even greater in systems operating in lean environments. Motivated by an automatic product identification technology under development at the Auto-ID Center at MIT, various methods of compensating for the inventory inaccuracy are presented and evaluated. Comparisons of the methods reveal that the inventory inaccuracy problem can be effectively treated even without automatic product identification technologies in some situations.

Lessons from implementing the Balanced Scorecard in a small and medium size manufacturing organization

Article

May 2006
TECHNOVATION

The UK manufacturing sector is facing massive challenges to survive in today's global and volatile marketplace. In an attempt to overcome these challenges, companies are adopting newer management systems to clarify their vision and strategy and translate them into action. The balanced scorecard (BSC) is one such approach which is gaining significant interest, especially within the small and medium size enterprises (SME). In this paper, a case study with a SME demonstrates how BSC can be implemented successfully using a systematic and structured methodology. This paper lists the experimental results of the proposed deployment method and highlights the experiences, successes and lessons leant during the implementation process. In conclusion, this research exercise confirms the validity and usefulness of the proposed methodology and offers managerial insights and guidelines for similar implementations.

Overcoming the main barriers in initiating and using purchasing-BSCs

Article

Nov 2004
J Purch Supply Manag

The Balanced Scorecard (BSC), as a strategic management and control tool with an integrated set of leading and lagging performance measures, can secure successful implementation of purchasing strategies. However, the quality of the BSC itself as well as the effectiveness of the process to set up, implement, and use the BSC are crucial. Recognizing the growing importance of the purchasing-BSC (P-BSC) combined with the problems companies are facing, the authors emphasize the necessity for a better management process for purchasing strategies, introduce the P-BSC concept as a means to improve implementation success, and study the main barriers companies are facing when they initiate and use P-BSCs. This study and the recommendations how to overcome these barriers are based on seven in-depth case studies which derived from an action research project with European multinational firms.

Performance Measures and Metrics in Logistics and Supply Chain Management: A Review of Recent Literature (1995–2004) for Research and Applications

Article

Jun 2007

Performance measures and metrics are essential for effectively managing logistics operations, particularly in a competitive global economy. The global economy is featured with global operations, outsourcing and supply chain and e-commerce. The real challenge for managers of this new enterprise environment is to develop suitable performance measures and metrics to make right decisions that would contribute to an improved organizational competitiveness. Now the question is whether traditional performance measures can be used and out of them which ones should be given priority for measuring the performance in a new enterprise environment. Some of the traditional measures and metrics may not be suitable for the new environment wherein many activities are not easily identifiable. Measuring intangibles and nonfinancial performance measures pose the greater challenge in the so-called knowledge economy. Nevertheless, measuring them is so critical for the successful operations of companies in this environment. Considering the importance of nonfinancial measures and intangibles, an attempt has been made in this paper to determine the key performance measures and metrics in supply chain and logistics operations. This is based on a literature survey and some of the reported case experiences. Suggestions for future research directions are also indicated.

What Is the Right Supply Chain for Your Product

Article

Jan 1997
HARVARD BUS REV

M. L. Fisher

Bief-the core idea The Idea in Practice-p utting the idea to work 3 What Is the Righr Supply ChaiD fo. your product? 15 Further Readilg A iist ofrelated materials, with annotations to guide further exploration of the articlds ideas and applications Product 8509 Are you frequently saddledwith exces5 in-ventory? Do yoir suffer poduct sholtages that have cultorner5 leaving sioles in a hufi Do these supplychain headaches pet' ti{ despite your investments in technolo-gies such as alnornated walehousing and Gpid logirtics? lf so, you rnay be using the wrong supply chain forthe type of poduct you sell.sup-pose your offering is funational*it sati{ies basic,unchanging needt and has a long life cycle, Iow margins. and stable demand. {Think paper towels or lighl bulbs) In this case, you need an efRcienl 5u pply chain-which minimizes productron, transpona-tion, and Storaqe coJts. BLn what il your product is mnovolive-il has great vanety, a short life cycle, high profit rlargins,and volatile denEnd? (A line oflaptopswhh a lange of novel features is one example) Forthis offering, you require a responsive supplychain. Fast and flexi' ble, i helps)lcu rnanage uncenainty through strategiet trJch as cutting lead tirnes and establishinq inventory or excess-capacny buffers. Design the right supplychain for your prod_ uct, and youl profrt! soal Forexample, by building responsiveness into lls chain, inno-vative skrwear comFEny Spon obetrmyet Rduced t5 o/er-Bnd underpoduc(ion .o!ts by half-boosling prcfits 60%.

The balanced scorecard: translating vision into action

Article

Logistical Management: The Integrated Supply Chain Process

Article

Jan 1996

"Measuring the immeasurable" - Measuring and improving performance in the supply chain

Article

Dec 1998
SUPPLY CHAIN MANAG

Remko van Hoek

The supply chain concept fundamentally changes the nature of organizations; control is no longer based on direct ownership and control, but rather based on integration across interfaces between functions and companies. This has consequences for the measurement of performance. Traditional measurement approaches may have to be abolished and a supply chain measurement system developed. Traditional performance measures may limit the possibilities to optimize supply chains as management does not “see” supply chain wide areas for improvement. This note raises issues critical to measuring supply chain performance. A new measurement approach should lead the way for supply chain competitiveness and should direct management attention to areas for supply chain optimization. A preliminary framework for measuring unmeasurable performance is developed.

Designing and Managing the Supply Chain: Concepts, Strategies, and Case Studies

Book

Jan 2003

Measuring Supply Chain Performance

Article

Mar 1999
INT J OPER PROD MAN

Benita M. Beamon

The process of choosing appropriate supply chain performance measures is difficult due to the complexity of these systems. The paper presents an overview and evaluation of the performance measures used in supply chain models and also presents a framework for the selection of performance measurement systems for manufacturing supply chains. Three types of performance measures are identified as necessary components in any supply chain performance measurement system, and new flexibility measures for supply chains are developed.

A process quality model for the analysis, improvement and control of supply chain systems

Article

Apr 1998
Logist Inform Manag

Performance Measures and Metrics in a Supply Chain Environment

Article

Jan 2001
INT J OPER PROD MAN

In today’s world, supply chain management (SCM) is a key strategic factor for increasing organizational effectiveness and for better realization of organizational goals such as enhanced competitiveness, better customer care and increased profitability. The era of both globalization of markets and outsourcing has begun, and many companies select supply chain and logistics to manage their operations. Most of these companies realize that, in order to evolve an efficient and effective supply chain, SCM needs to be assessed for its performance. Based on a literature survey, an attempt has been made in this paper to develop a framework for measuring the strategic, tactical and operational level performance in a supply chain. In addition, a list of key performance metrics is presented. The emphasis is on performance measures dealing with suppliers, delivery performance, customer-service, and inventory and logistics costs in a SCM. In developing the metrics, an effort has been made to align and relate them to customer satisfaction.

Design of Performance Measures for Time-based Companies

Article

Dec 1991
INT J OPER PROD MAN

An increasing number of firms are planning to become “time-based companies”, that is to consider time as the main issue of their manufacturing strategy. However, such change in attitude, in order to be effective, must be supported by a performance measurement system focused on time. This article suggests a framework useful for designing a performance measurement system which is consistent with time-based principles and can support managers both in strategic and in operating decisions. The framework takes into account the different ways through which a company can use time to create a competitive advantage and considers the main activities that are critical for achieving such results. Hence, a “minimum set of measures”, consistent with the information requirements of each company, is determined.

New paradigms in planning and control across manufacturing supply chains - The utilisation of Internet technologies

Article

May 2001
INT J OPER PROD MAN

Collaborative performance measurement in supply chain

Abstract

No full-text available