A current review of supply chain performance measurement systems

Abstract

A supply chain is the network of entities (individual or organisation) who work together to fulfil customer demands efficiently with maximum profits without compromising quality of product or service. Traditionally, supply chains were assessed based on financial measures but increasing competition and changing scenarios. Supply chains today are assessed based on various non-financial parameters such as customer satisfaction, sustainability and resilience. Performance measurement quantifies the extent up to which a supply chain is achieving its perceived objectives based on performance indicators. With diverse sectors of industry and varying goals of different supply chains, the performance indicators vary as well. The paper intends to provide a critical review on supply chain performance measurement literature by compiling key performance indicators for various sectors to understand the diversity and complication of performance measurement systems.