Saturday, 14 June 2014

Performance measures in Supply Chain Management

· Accuracy of
forecasting techniques
· Order entry methods
· Product development 
cycle time
· Total cycle time
·  Total cash flow time
· Supplier interest in
developing partnership
· Supplier delivery 
performance
· Supplier cost saving 
initiatives
· Supplier lead time 
against industry norm
· Supplier pricing 
against market
· Manufacturing cost
· Capacity utilization
· Economic order 
quantity
· Effectiveness of 
master production 
schedule
· Production/process
cycle time
· Delivery lead time
· Effectiveness of 
delivery invoice 
methods
· Information richness 
in carrying out delivery
· Number of faultless 
deliveries
· Customer query time
· Flexibility to meet 
particular customer 
needs
Plan Performance
Source Performance
Production Performance
Delivery Performance
Customer Service and Satisfaction
·  Information carry 
cost
· Order lead time
· Net profit vs 
productivity ratio
· Range of product 
and services
· Rate of return on 
investment
· Achievement of 
defect free deliveries
· Mutual ability to 
respond to quality 
problems
·Purchase order cycle 
time Supplier booking in 
procedures
Inventory level as:
· Incoming stock
· Inventory in transit
· Finished goods
· Scrap, waste Work 
in progress
· Response to number 
of urgent deliveries
· Total distribution cost
· Level of customer 
perceived value of 
product

Source: Measure and metrics at four basic links in a supply chain (Gunasekaran et al 2001)

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