Applying performance measures to support decision-making in supply chain operations: A case of beverage industry

Madalena Moreira, Benny Tjahjono

Research output: Contribution to journalArticle

10 Citations (Scopus)
1 Downloads (Pure)

Abstract

Performance measurement systems (PMS) have commonly been applied to evaluate and reward performances at managerial levels, especially in the context of supply chain management. However, evidence suggests that the effective use of PMS can also positively influence the behaviour and improve performance at an operational level. The motivation is to accomplish organisational goals, namely to increase supply chain flexibility by responding to evermore-varying customer demands in a timely manner. The purpose of the study described in this paper was to develop a conceptual framework that adopts performance measures for ex-ante decision-making at an operational level within the supply chain. To guide the research, five questions were asked and subsequently key gaps have been identified. In an attempt to fill the gaps, a case study at a major global brand beverage company has been carried out, and as a result, a conceptual framework of the PMS has been developed. Overall, the research offers a foundation of the applicability and impact of PMS in the supply chain and provides a framework that attends to some of the potential uses of PMS that so far have not been practically applied. The outcomes from the testing indicate that the initial gaps identified in the literature have been addressed and that the framework is judicious with scope for practical applicability. The framework is deemed worthy of further testing in different operational contexts of the supply chain.

Original languageEnglish
Pages (from-to)2345-2365
Number of pages21
JournalInternational Journal of Production Research
Volume54
Issue number8
Early online date13 Aug 2015
DOIs
Publication statusPublished - 17 Apr 2016
Externally publishedYes

Fingerprint

Beverages
Supply chains
Decision making
Industry
Supply chain management
Testing
Performance measures
Supply chain
Performance measurement system

Bibliographical note

This is an Accepted Manuscript of an article published by Taylor & Francis in International Journal of Production Research on 13/08/15 available online: http://www.tandfonline.com/10.1080/00207543.2015.1076944

Keywords

  • decision-making
  • flexibility
  • performance measurement systems
  • performance measures
  • supply chain operations

ASJC Scopus subject areas

  • Strategy and Management
  • Management Science and Operations Research
  • Industrial and Manufacturing Engineering

Cite this

Applying performance measures to support decision-making in supply chain operations : A case of beverage industry. / Moreira, Madalena; Tjahjono, Benny.

In: International Journal of Production Research, Vol. 54, No. 8, 17.04.2016, p. 2345-2365.

Research output: Contribution to journalArticle

@article{c5dda323dc11441eba4ae58c5d3ec92e,
title = "Applying performance measures to support decision-making in supply chain operations: A case of beverage industry",
abstract = "Performance measurement systems (PMS) have commonly been applied to evaluate and reward performances at managerial levels, especially in the context of supply chain management. However, evidence suggests that the effective use of PMS can also positively influence the behaviour and improve performance at an operational level. The motivation is to accomplish organisational goals, namely to increase supply chain flexibility by responding to evermore-varying customer demands in a timely manner. The purpose of the study described in this paper was to develop a conceptual framework that adopts performance measures for ex-ante decision-making at an operational level within the supply chain. To guide the research, five questions were asked and subsequently key gaps have been identified. In an attempt to fill the gaps, a case study at a major global brand beverage company has been carried out, and as a result, a conceptual framework of the PMS has been developed. Overall, the research offers a foundation of the applicability and impact of PMS in the supply chain and provides a framework that attends to some of the potential uses of PMS that so far have not been practically applied. The outcomes from the testing indicate that the initial gaps identified in the literature have been addressed and that the framework is judicious with scope for practical applicability. The framework is deemed worthy of further testing in different operational contexts of the supply chain.",
keywords = "decision-making, flexibility, performance measurement systems, performance measures, supply chain operations",
author = "Madalena Moreira and Benny Tjahjono",
note = "This is an Accepted Manuscript of an article published by Taylor & Francis in International Journal of Production Research on 13/08/15 available online: http://www.tandfonline.com/10.1080/00207543.2015.1076944",
year = "2016",
month = "4",
day = "17",
doi = "10.1080/00207543.2015.1076944",
language = "English",
volume = "54",
pages = "2345--2365",
journal = "International Journal of Production Research",
issn = "0020-7543",
publisher = "Taylor & Francis",
number = "8",

}

TY - JOUR

T1 - Applying performance measures to support decision-making in supply chain operations

T2 - A case of beverage industry

AU - Moreira, Madalena

AU - Tjahjono, Benny

N1 - This is an Accepted Manuscript of an article published by Taylor & Francis in International Journal of Production Research on 13/08/15 available online: http://www.tandfonline.com/10.1080/00207543.2015.1076944

PY - 2016/4/17

Y1 - 2016/4/17

N2 - Performance measurement systems (PMS) have commonly been applied to evaluate and reward performances at managerial levels, especially in the context of supply chain management. However, evidence suggests that the effective use of PMS can also positively influence the behaviour and improve performance at an operational level. The motivation is to accomplish organisational goals, namely to increase supply chain flexibility by responding to evermore-varying customer demands in a timely manner. The purpose of the study described in this paper was to develop a conceptual framework that adopts performance measures for ex-ante decision-making at an operational level within the supply chain. To guide the research, five questions were asked and subsequently key gaps have been identified. In an attempt to fill the gaps, a case study at a major global brand beverage company has been carried out, and as a result, a conceptual framework of the PMS has been developed. Overall, the research offers a foundation of the applicability and impact of PMS in the supply chain and provides a framework that attends to some of the potential uses of PMS that so far have not been practically applied. The outcomes from the testing indicate that the initial gaps identified in the literature have been addressed and that the framework is judicious with scope for practical applicability. The framework is deemed worthy of further testing in different operational contexts of the supply chain.

AB - Performance measurement systems (PMS) have commonly been applied to evaluate and reward performances at managerial levels, especially in the context of supply chain management. However, evidence suggests that the effective use of PMS can also positively influence the behaviour and improve performance at an operational level. The motivation is to accomplish organisational goals, namely to increase supply chain flexibility by responding to evermore-varying customer demands in a timely manner. The purpose of the study described in this paper was to develop a conceptual framework that adopts performance measures for ex-ante decision-making at an operational level within the supply chain. To guide the research, five questions were asked and subsequently key gaps have been identified. In an attempt to fill the gaps, a case study at a major global brand beverage company has been carried out, and as a result, a conceptual framework of the PMS has been developed. Overall, the research offers a foundation of the applicability and impact of PMS in the supply chain and provides a framework that attends to some of the potential uses of PMS that so far have not been practically applied. The outcomes from the testing indicate that the initial gaps identified in the literature have been addressed and that the framework is judicious with scope for practical applicability. The framework is deemed worthy of further testing in different operational contexts of the supply chain.

KW - decision-making

KW - flexibility

KW - performance measurement systems

KW - performance measures

KW - supply chain operations

UR - http://www.scopus.com/inward/record.url?scp=84939209827&partnerID=8YFLogxK

U2 - 10.1080/00207543.2015.1076944

DO - 10.1080/00207543.2015.1076944

M3 - Article

VL - 54

SP - 2345

EP - 2365

JO - International Journal of Production Research

JF - International Journal of Production Research

SN - 0020-7543

IS - 8

ER -