An effective management of supply chain is a key factor for the better realization of organizational goals and customer expectations. In the era of globalization of markets and business process outsourcing, many firms realize the importance of continuous monitoring of the performance of their supply chains for its effectiveness and efficiency. In the modern era, performance measurement has a far more significant role than just quantification and accounting. It provides the management important feedback to monitor performance, reveal progress, diagnose problems and enhances transparency among the several tiers of the supply chain thus making a phenomenal contribution to decision making particularly in re-designing business goals and strategies and re-engineering processes. Developing the performance measurement systems is a difficult aspect of performance measure selection. It involves the methods by which an organization creates its measurement system. Important questions that need to be addressed include: What to measure? How often to measure? How are multiple individual measures integrated into a measurement system?


Originally published in the Proceedings of the 2007 Northeast Decision Sciences Institute Conference, Baltimore, Maryland, pp. 474-479, March 28-March 30, 2007


supply chain management, Linear physical programming (LPP)

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Production engineering





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Copyright 2007, Surendra M. Gupta

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Gupta M. Surendra

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