Metrics - Integrated Supply Chain Performance Measures Rev....

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© Warren H. Hausman Warren H. Hausman Integrated Supply Chain Performance Measures Rev. 4/08
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© Warren H. Hausman s Why be concerned about Metrics? s Service Metrics s Asset Metrics (Inventory) s Time/Speed/Flexibility Metrics s Other Metrics s Summary Outline of Session:
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© Warren H. Hausman Why Worry About Metrics? s Performance measures drive performance! s Facilitates incentive setting for cross-functional collaboration and integration . .. crucial in design for supply chain management. s Facilitates negotiation and resource deployment in cross-company collaboration and integration . .. crucial in coordinated planning and in industry integration initiatives.
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© Warren H. Hausman With What Should They Align? s The business strategy s The true reward structure (must Walk the Talk) s E hence it’s risky to present “generic” metrics!
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© Warren H. Hausman s Customer Service s Assets (Inventory, Capacity) s Time/Speed/Flexibility Generic Supply Chain Metrics:
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© Warren H. Hausman Service Inventory Goal High Low Poor Good Tradeoff Curve Metric:
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© Warren H. Hausman Service Metrics: Build to. .. Stock | Order Line Item Fill Rate Order Fill Rate % On-Time Delivery Backorders: #, Value Aging of Backorders: time frequency Quoted Response Time % on-time completion % On-Time Delivery Late Orders: #, Value Aging of late Orders: time frequency Quality Accuracy . ..
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© Warren H. Hausman s 100% Fill (complete order) s On-Time Delivery s Error-Free Documentation s Damage-Free Goods s Quality as Expected The Perfect Order:
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© Warren H. Hausman 0 days early days late Window Orders Filled 100% 0% A B Order Window Metric
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© Warren H. Hausman
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This note was uploaded on 06/16/2010 for the course MS&E 262 taught by Professor Warrenhausman during the Spring '08 term at Stanford.

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Metrics - Integrated Supply Chain Performance Measures Rev....

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