Measuring supply chain performance: the triple E model
Luiz Eduardo Simão,
Karine Somensi,
Ricardo Villarroel Dávalos and
Carlos Manuel Taboada Rodriguez
International Journal of Productivity and Performance Management, 2021, vol. 71, issue 7, 2951-2969
Abstract:
Purpose - This work aims to measure the performance of an electric motors supply chain (SC) by using the Triple E performance measurement model to assess three performance dimensions simultaneously: efficiency, efficacy and environmental impact. Design/methodology/approach - This research presents a real case of a Brazilian company as an example for applying the Triple E performance measurement model and the discrete-event simulation to assess the performance of an SC. Findings - Performance measurements for the three dimensions were the following: (1) for efficiency, a high inventory cost in the SC, driven by the distribution center (DC) (49.7% total cost); an order cycle time operating with an average of 21.7 days and a logistic channel transport capacity of 88%; (2) for efficacy, a service level of 98% for all channels; (3) for environmental impact, the SC emits a total of 395,733 kg of CO2annually, with the DC and the regional distribution center (RDC2) being the largest emitters. Originality/value - This work allowed to measure the performance of an SC interface (manufacturing process, a DC and three regional distribution centers). It was possible to measure the inventory holding cost and out-of-stock inventory costs, order cycle time, SC service level, transport capacity utilization and CO2emissions in the transportation process of each SC stage and the whole SC. This study can be used as a decision support guide for academics and practitioners to measure and improve the SC performance.
Keywords: Performance management; CO2 emission; Inventory cost; Environmental impact; Supply chain simulation; Performance metrics (search for similar items in EconPapers)
Date: 2021
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Persistent link: https://EconPapers.repec.org/RePEc:eme:ijppmp:ijppm-06-2020-0291
DOI: 10.1108/IJPPM-06-2020-0291
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