Measurement of Supply Chain Performance in Manufacturing

Abstract

Supply chain management has been a major component of a company's strategy to compete each other through the increasing of organizational productivity and profitability. This paper is useful to provide an application of supply chain performance assessment in the manufacturing industry as an effort to increase the company profitability. Performance assessment metrics of supply chain provides information in the position of the company achievement. That condition capable to provide good management by an overview of the company achievements to meet customer demand. There is no measurement of supply chain performance in good condition of the company. Company problem found and finally caused by the company unable to meet demand leads the loss of customer trust. The Performance of Activity (POA) model is capable to describe the real conditions of the company's supply chain performance. Measure the supply chain performance using POA model. POA model have 7 dimensions of assessment, namely cost, time, capacity, capability, productivity, utilization, and results. By using the performance of activity, there are two dimensions achieved, namely the availability of the company (90.8%) and machine utilization (75,1%). which is a dimension is not achieved well, namely the reliability (86.7%).