1. Balanced Scorecard
Even though not originally developed to measure supply chain performance, the balanced scorecard provides keen insights on the core operations. This approach recommends using EIS, an Executive Information System, to monitor supply chain performance.
The balanced scorecard approach uses the aspects below to measure supply chain performance.
Customers: The balanced scorecard helps to track customer interaction such as order details, shipment tracking and delivery information. Order fill rate, on-time delivery and the status of the deliverable can be tracked during any phase of the product or project lifecycle.
Finance: The cost and the financial status, such as the cost of warehousing, transportation, delivery or manufacturing, can be monitored closely and tracked by using the balanced scorecard method. The supply chain metrics can be improved by identifying gaps in the chain and by correcting the same.
Internal Business Perspective: The balanced scorecard method is used to track the internal business perspectives. Organizations will be able to forecast errors in the supply chain and monitor whether each aspect of the product or project lifecycle adheres to the plans.
Innovative and Learning Perspectives: Training, Innovation and product development are the key features for any business to attain success. The balanced scorecard works in these areas as well. Organizations can identify the areas where training or a new product development is necessary to achieve competitive advantage.