The authors of the article “A Framework for Supply Chain Performance Measurement” argue that skillful supply chain management allows the company to quickly and efficiently meet the needs of its customers. Currently, the SCM concept is one of the most effective ways to increase profits and market share and is being actively implemented in the economy. Many large companies are adopting SCM principles as a new business ideology (Gunasekaran et al., 2004). The modern supply chain management concept is aimed at solving the problems of integrated management of functional areas of logistics and coordination of the company’s logistics process.
This article is based on the research and literature reviews on performance measurements and metrics. They are designed to diagnose supply chain problems and assess the possibility of achieving strategic decisions for performance indicators of the chain (Gunasekaran et al., 2004). The article analyzes the importance of the evaluation of supply link, metrics at the production level, the evaluation of delivery link, as well as the measurement of customer service and satisfaction. It also uses empirical analysis to develop a framework for performance measurement in a supply chain (Gunasekaran et al., 2004). Particular attention is paid to the development of information technology using engineering and technical tools based on the application of the ideology of supply chain management.
It can be concluded that the supply chain performance measurement focuses on resource optimization and becomes key in building promising relationships between the focus company and the supply chain participants. It aims at achieving the strategic goals of the participants in the supply chain. The combination of general and special management functions in logistics forms an integrated controlling function that ensures the achievement of logistics coordination in the supply chain.
References
Gunasekaran, A., Patel, C., & McGaughey, R. E. (2004). A framework for supply chain performance measurement. International Journal of Production Economics, 87(3), 333-347.