Term
| Seven Specific Supply Chain Performance Measures |
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Definition
1. Costs
2. Cash-to-Cash Cycle Time
3. Production Flexibility
4. Delivery Performance
5. Perfect Order Fulfillment Performance
6. e-Business Performance
7. Environmental Performance |
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Term
| Developed by Kaplan and Norton in 1992 as a way to align an org's perf. measures with its strategic plans and goals while allowing a firm to move away from reliance on merely financial measures --> better managerial decision making |
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Definition
| Purpose of Balance Score Card |
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Term
| Four Perspectives of Balance Score Card |
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Definition
1. Financial
2. Internal Business Process
3. Customer
4. Learning and Growth |
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Term
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Definition
| Supply Chain Operations Reference: used as a SCM diagnosotic, benchmarking, and process improvement tool |
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Term
| Five Process Categories of SCOR Model |
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Definition
1. Plan - supply/demand
2. Source - receiving, selecting suppliers
3. Make - testing, packaging, staging
4. Deliver - warehouse management, shipping, invoicing
5. Return - managing return inventories |
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Term
| Three Levels of Process Detail for SCOR Model |
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Definition
1. Performance Categories and Attributes
2. Process Types and Categories
3. Performance Categories and Measures |
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Term
| Name the Seven Deadly Sins |
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Definition
1. Vanity
2. Provincialism
3. Narcissism
4. Laziness
5. Pettiness
6. Inanity
7. Frivolity |
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Term
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Definition
| Using measurements to make the company look good. Ex. Measuring themselves against the date they promise to ship the delivery as oppsed to the date the customer receives the delivery |
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Term
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Definition
| Letting organizational boundaries and concerns dictate performance metrics. Ex. Using sales volume for sales dept. and risk minimizing for underwriting dept. They conflict |
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Term
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Definition
| Measuring from the company's point of view instead of the customer. Ex. Measuring whether the goods arrived in the store or not, as opposed to what actually made it on the shelf. |
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Term
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Definition
| Assuming you know what needs to be measures without giving it any real thought. Ex. Semi-conductor measured many aspects of its order processing operations but failed to measure the time it took from customer order to when the customer got the good. |
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Term
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Definition
| Measuring only a small amount of what is important. Ex. Zara uses the greater metric of profitability to make its decisions. Although producing in-house is more expensive than outsourcing, the profits by their quick turns-around offset the savings from outsourcing |
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Term
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Definition
| Not thinking about the effects the metrics can have on human behavior. Ex. Chicken waste was not okay, so fast food became slow food. |
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Term
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Definition
| Most serious sin of all, not being serious about metrics. Ex. Arguing about metrics instead of taking them to heart, by using excuses instead of finding the root of the problem, passing blame. etc. |
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Term
| Four Steps to Measurement Redemption |
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Definition
1. Select the right things to measure
2. Measure these things in the right way; usable
3. Embed these metrics in a disciplined process for performance, autopsy
4. Create organizational culture that encourages the use of metrics
4. |
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Term
| How do you create a measurement friendly environment? |
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Definition
| Personal role-modeling, reward, implementation, commitment, articulation. |
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Term
| What did Fenkel and Scott find? |
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Definition
| "Arms length" approach to suppliers, as opposed to a hands on and cooperative relationship |
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Term
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Definition
| Policing suppliers is not enough. Updated audit tools and grading systems to make them more accurate and visible to suppliers |
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