Chapter 9. Measuring Performance

One of the keys to improving supply chain operations is having a solid set of measures in place to monitor performance. The challenge here is making good choices among the dozens of measures available. Some companies try to measure too much, overwhelming themselves with data that never quite form a coherent picture. Others measure too little, relying on one or two indicators that don't reflect the full spectrum of performance. This tendency to focus too narrowly is exacerbated by management fads such as cycle-time reduction in the 1990s and the current obsession with inventory velocity. Just as there is no easy answer to all supply chain problems, there is no magic measure for improving performance. This chapter ...

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