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Effective measurements of Supply Chain Management (SCM) in the context of the Balanced Scorecard (BSC) have become more important. In the existing SCM performance studies, there are three limitations. First, the SCM measures are not reconciled with the BSC. Second, SCM measures have not comprehensively considered the goals that can be achieved by S...
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Supply chain management (SCM)is a strategic paradigm to coordinate cash, material, and information flows from raw material to customer. Supply chain simulation (SCS)is a strong and popular tool for designing, evaluating, and optimizing the structure of supply chains, and it requires an important task to estimate the effect of the planning to coordi...
Citations
... Similarly, Santos et al. [48] summarised the SC performance systems (SCPS) researched in the literature. For some researchers, developing an SCPS has been based on the Balanced Scorecard method (BSC), such as Park et al. [49] as well as Bhagwat and Sharma [50]. Some other researchers com- bined BSC and SCOR models [51]. ...
Previous research has identified metrics that are applicable to both lean and agile strategies and has hypothesised that financial and efficiency metrics are more relevant to the lean supply chain strategy, while customer service and flexibility metrics are more relevant to the agile supply chain strategy. These metrics need to be assessed empirically to confirm their relevance and validate these hypotheses. Drawing upon contingency theory, which mandates that supply chain performance metrics should vary based on the supply chain strategy, the research methodology resulted in developing a survey instrument that has been subsequently tested in 45 large enterprises and analysed by Partial Least Square-Path Modelling using XLSTAT software v.2020.4. The results support the existing beliefs and suggest that financial and efficiency indicator sets are more applicable to the lean supply chain strategy, whereas customer service and flexibility indicator sets are more pertinent to the agile supply chain strategy. This research distinguishes itself, through its novelty, in validating an adaptable framework for supply chain performance metrics, acknowledging the necessity of developing a suitable supply chain performance system. Ultimately, the findings of this research might serve as an initial foundation for practitioners in shaping the design of supply chain performance systems since the strong relationship between SC strategies and specific metrics may serve as a strategic approach to evaluate and improve performance.
... Many authors proposed many frameworks, changing the focus from performance measures to PMS (e.g. Van Hoek, 1998;Beamon, 1999;Holmberg, 2000;Brewer and Speh, 2000;Gunasekaran et al., 2001;Chan and Qi, 2003;Park et al., 2005;Bhagwat and Sharma, 2007;Reefke and Trocchi, 2013;Beske-Janssen et al., 2015;Liang, 2015;Laihonen and Pekkola, 2016;Dweekat et al., 2017;Nouri et al., 2019). More recently, following the context of the Fourth Industrial Revolution, Frederico et al. (2021) proposed a PM framework for Supply Chain 4.0. ...
The COVID-19 outbreak has threatened and caused unprecedented disruptions to supply chains showing the supply chain management's inability to deal with black swan events. The unexpected COVID-19 event has deeply impacted the world in terms of health systems as well as the business environment. Supply chains have been challenged to avoid imminent disruptions in their upstream and downstream flows. Both practitioners and researchers have engaged in discussions to exchange knowledge and explore strategies to enhance the robustness and resilience of supply chains to minimise disruptions when subjected to events like that. According to Kumar et al. (2018), unprecedented supply chain disruptions are low-frequency, high-impact events that result in the severance of one or more nodes of the supply chain, leading to the unavailability of services or goods. Supply chain disruptions represent an opportunity to learn from their effects (Bode et al., 2011), and, in particular, learning from the COVID-19 event can improve future decision-making during disruptive situations (Van Hoek, 2020). That is relevant because disruption events cause a significant impact on both financial and operational performances (Macdonald and Corsi, 2013). The challenge is to improve or design new performance measurement systems (PMSs) to provide warnings regarding the risks of disruptions to better support decision-making processes during situations such as the COVID-19 pandemic. Furthermore, PMSs should also provide the impacts of decision-making to managers during unpredictable events.
PMSs provide meaningful information about past actions to decision-makers to help them make informed decisions regarding future performance (Neely et al., 1995; Lebas and Euske, 2002; Rouse and Putterill, 2003). Furthermore, a supply chain PMS is “a set of metrics used to quantify the efficiency and effectiveness of supply chain processes and relationships, spanning multiple organisational functions and multiple firms and enabling SC orchestration” (Maestrini et al., 2017). Besides, the supply chain PMS encompasses both the internal and the external supply chain that includes the immediate supply chain (customers and first-tier suppliers) and other supply chain tiers (the entire supply chain) (Maestrini et al., 2017). Considering the environmental transformation due to the pandemic occurrence, some authors argue the importance of adapting PMS according to the environmental dynamics and changes of the business environment (Bititci et al., 2000; Kennerley and Neely, 2003). Yet, in the supply chain context, some authors also point out that performance measurement (PM) must be adapted according to the organisational context and stakeholders' requirements as well as to the dynamic of the environment where the supply chain is inserted (Cuthbertson and Piotrowicz, 2011; Mishra et al., 2018). Hence, it becomes essential to understand the PM aspects in the face of emergency situations such as COVID-19.
Since the seminal article by Benita Beamon proposing new performance measures for evaluating supply chain performance, the literature has evolved. Many authors proposed many frameworks, changing the focus from performance measures to PMS (e.g. Van Hoek, 1998; Beamon, 1999; Holmberg, 2000; Brewer and Speh, 2000; Gunasekaran et al., 2001; Chan and Qi, 2003; Park et al., 2005; Bhagwat and Sharma, 2007; Reefke and Trocchi, 2013; Beske-Janssen et al., 2015; Liang, 2015; Laihonen and Pekkola, 2016; Dweekat et al., 2017; Nouri et al., 2019). More recently, following the context of the Fourth Industrial Revolution, Frederico et al. (2021) proposed a PM framework for Supply Chain 4.0
... Moreover, different methods are used for SC performance measurement (Jardioui et al., 2019;Sharma et al., 2022b). The methods frequently used in the literature are balanced scorecard (Brewer and Speh, 2000;Park et al., 2005;Nouri et al., 2019;Agarwal et al., 2022;Maryono and Ambarwati, 2022), logistics scoreboard (Saleheen et al., 2018), ABC analysis (Kharub et al., 2022), Economic Value Analysis (EVA) (Sakdiyah, 2022) and SCOR model (Macchion et al., 2018). ...
Purpose
COVID-19 is a global event affecting supply chain operations and human health. With COVID-19, many issues in business models, business processes and supply chains, especially in the manufacturing industry, have had to change. The ability to analyze supply chain performances and ensure circularity in supply chains has become one of the factors whose importance has increased rapidly with COVID-19. Therefore, it aims to determine which supply chain performance criteria come to the fore for the company under consideration to accelerate the transformation into high performance and circularity in supply chains.
Design/methodology/approach
In this study, a new circular-SCOR model is proposed, and 17 supply chain performance measurement criteria are prioritized for a manufacturing company in the context of circular economy principles during COVID-19 by using stepwise weight assessment ratio analysis and analytical hierarchy process method, separately.
Findings
As a result, for both methods, in the case study discussed, the demand fulfillment rate is determined as the most prominent criterion in line with the circular economy principles in the COVID-19 period in manufacturing supply chains.
Originality/value
It is expected that this study will contribute to managers and policy makers as it addresses the “new normal” that started after COVID-19 and the criteria to be considered in supply chain performance measurement and emphasizes the need to adopt circular supply chains, especially in manufacturing industries.
... The level of harmonious and holistic behavior of system components [66] Management ability Effectiveness and commitment of top and middle management [81] On-time delivery rate The rate of delivery on the promised date to the customers [46] Predictability Adaptability to the program promised to the customers [97] Secure food level Secure level of food supply [46] Staff training Training standards of employees in components within the supply chain [86] Transaction cost Cost incurred throughout supply chain activities [77] Visibility Transparency and traceability capability [65] FIG. 1 ...
Blockchain technologies (BT) began to be used in many areas because of the many advantages they offer. In this respect, BT applications take place in different types of supply chains. One of the areas where blockchain is used is the food supply chain (FSC). FSC is a general concept that also covers different types such as agri-FSC and cold chain. These supply chains need the ad- vantages of modern BT for crucial reasons such as the products’ time-dependent nature and direct impact on human health. We evaluate the use of blockchain applications in the field of FSC in order to provide a deep understanding of problems inherent to the FSC and present insights to companies into developing and implementing their own blockchain-driven solutions to address the FSC performance challenges. As the FSC is a complex and dynamic system, where multi-stakeholders are involved, a systematic approach should be established to reveal the BT integration behavior of the FSC. An extensive literature review was conducted within the scope of the study. A critical review of the studies shows which BT applications are used in the FSC chain to drive supply chain performance, their application areas, and main problems in various aspects in the applications. Using the causal loop diagram (CLD) as a system dynamics approach, the interrelationship of causes and effects is visualized and prescriptive information is generated to guide researchers and practitioners in the field of new technology adoption in FSCs in general and BT integration in particular. This study is intended to encourage the use of BT in FSC applications.
... Previous literature on CPS development attempted to use existing PMS models for the supply chain context, the study Park et al. (2005), used the BSC in supply chain management without proposing a detailed approach on how to implement, proposes performance metrics and their importance in a model named "BSC Scorecard". A study by Varma et al. (2008) tried combining the BSC with the Analytical Hierarchy Process (AHP) to measure performance in the petroleum supply chain. ...
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.
... As well as some models being conceptual (Chen & Paulraj, 2004; and others based on mathematical models and simulations with practical cases (Ramanathan, 2014), in addition to questionnaires measuring the performance of the collaborative chain. Source: Park, Lee, &Yoo (2005). ...
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.
... Aligns financial and non-financial metrics with the four areas of the supply chain, namely: planning, supplying, making/assembling, and delivering. Park et al. (2005) The fusion of the concepts related to BSC and the management of the chain and supplies produced the Balanced Supply Chain Scorecard (BSCS). ...
... The Table 3 shows this grouping. Park et al. (2005) propose a BSC for GCS. For this, a comparative case study which explores the effect of product characteristics on measuring importance and design was used. ...
... Objectives in BSCS. Source:Park et al. (2005). ...
Environmental impacts due to supply chains are seen as a challenge to innovation and criteria for prioritizing the application of organizational resources. In this context, the research question arises: how to build the necessary knowledge about supply chain performance indicators in sustainability, systematizing in an evaluation process integrated with the organizational results? The general objective of this research is to build an integrated system of sustainability performance analysis of the supply chain. In order to achieve the general objective, the specific objectives are the following: (i) selection of the bibliographic portfolio and (ii) analysis of articles content. The exploratory-descriptive research method presents and illustrates a structured process for the selection of scientific articles on supply chain performance indicators in the sustainability context. The method identified the most important keywords and the main databases of full texts and abstracts aligned with the topic. An important review of the literature reveals that efforts to improve or influence the practice of sustainability in the supply chain raise critical questions about the transaction costs and effectiveness of the approach. The review promoted the development of a system of indicators inspired by the Balanced ScorCard (BSC) to address sustainability performance issues. The originality or value lies on the useful for managers throughout the supply chain. It was identified in the literature that supply chains still generate significant environmental impacts, social impacts, and use of natural resources, even though they individually present statements in their strategies and accountability indicating the priority regarding the mitigation of social, environmental, and economic impacts. Another finding is that it is not just a matter of complying with legal and institutional frameworks. The scientific literature defines the need to prioritize studies on Green Supply Chain Management (GSCM), which helps organizations in the production chain to achieve competitiveness and at the same time emphasize the reduction of social risks and environmental impacts. The main findings of the paper are related to the possibility of interfacing the dimensions present in TBL with performance measurement in a supply chain.
... Furthermore, the results here show significant structural differences in the intensity of the usage patterns for internal processes performance indicators, depending on the role played by companies' S.C. coordinating process. Inter-organisational processes carried out in S.C. consider all participants (Park, Lee, and Yoo 2005) as a single entity (Bigliardi, Bottani, and Amaratunga 2010). Optimisation of production is a key source of value (Lazzarini, Chaddad, and Cook 2001), as is the identification of best practices for improvement of S.C. performance (Barros, Barbosa-Póvoa, and Blanco 2013). ...
The purpose of this paper is to analyse the extent to which companies’ roles in supply chain coordination mechanisms affect supply chain (S.C.) performance measurement processes. It addresses the gap in the S.C. performance measurement literature for empirical studies of participant roles across whole supply chains.
A survey of 114 individual agribusiness companies was undertaken in Brazil, and it was found that both performance measurement process and performance indicators selection were statistically related to the role played by companies in supply chain coordination mechanisms. Usage of performance indicators regarding new customers and quality was also statistically related to the role played by companies in supply chain mechanisms, as was the overall usage of internal processes performance indicators. The findings also suggest that the specificities of an S.C. coordination mechanism could be related to the design and implementation of S.C. management control practices, rather than being based only on contracts and formal long term agreements.
... More specifically, transportation activities are determinant in the supply chain, and some work has been done oriented to improve their efficiency. In this sense, among the work that has documented the use of balanced scorecard around freight transportation activities are Park et al. (2005), Bhagwat & Sharma (2007), Rajesh et al. (2012), Najmi & Makui (2012), Kucukaltan et al. (2016), and finally, Tushin et al. (2020). ...
The adoption of performance indicators at the different stages of the supply chain allows identifying activities that, through the correct design of a strategy, can substantially improve their performance. This present work proposes the use of an evaluation model for freight transportation companies adapted to measure the performance of a company located at Mexico State. The selection of the metrics model took place after having a comparison of the information generated by the company and an extensive review of the state-of-the-art in the sector of freight transportation companies. Based on the SCOR model, some metrics and indicators were selected and applied to determine the current performance of a company. The results obtained indicate that the shortcomings of small companies in this sector can be identified through specific metrics using indicators that are easy to understand and collect, but still relevant for controlling and monitoring the improvement of the logistics process performance. This paper includes some suggestions to improve the desired state for the case study company analyzed.
... Globalized competition leads organizations to establish highly responsive supply chains [1], a complex and challenging process because an interwoven network of relationships needs to be managed [2]. A relevant decision in designing a supply chain refers to the number of suppliers and the underlying relationships an organization needs to maintain for a product or service -the so-called supply base [3]. ...
Reducing the number of suppliers – a process known as supply base optimization – is crucial for organizations to achieve better quality, higher service levels, and lower prices. The buyers in the role of the business analyst in corporate purchasing departments are responsible for this process and usually consider various selection criteria. Their decisions rely on accessing and analyzing large amounts of data from different source systems, but typically, they lack the necessary technological and analytical knowledge, as well as adequate tools, to do this effectively. In this paper, we present the design and evaluation of a self-service analytics (SSA) system that helps business analysts manage the maintenance, repair, and operations (MRO) supply base. The system recommends shifting purchasing volume between suppliers based on a machine learning (ML) algorithm. The results demonstrate the potential of SSA systems in facilitating ML model consumption by business analysts to perform supply base optimization more effectively.
