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Supply Chain Performance Measures

Result example better asset utilization improved

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Unformatted text preview: asset utilization Improved planning/forecasting Increased Profit Supply Chain Cost Reduction Improved Cash Flow Lower inventories Reduced Inventory Shorter Cycle Times Marketing Advantage Short/Consistent Cycle Time Manufacturing Efficiency Improved Inbound Flow Improved ROA Effective use of 3PL’s Lower Total System Cost Integrated planning Improved Customer Relations Effective Collaboration Metric Framework Part I (2006 report) developed a framework of sample metrics by linking performance measures to the balanced scorecard perspectives. The following is a set of sample metrics developed for customer intimacy and product leadership companies. Many of the metrics for customer intimacy and product leadership firms may be similar due to the fact that the supply chains are more focused on responsiveness than efficiency, however there can only be one true product leader in any industry, so it is important to make some distinctions. For example, in the sale of electronic goods, eBay would be a customer intimacy type firm providing unique solutions, while Best Buy would represent more of a product leadership type of firm focusing on the latest and greatest new technology. Product leadership metrics will tend to c...
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