Effect of Product Type on Designing the Balanced Supply Chain Scorecard

Abstract

In the era of globalization and outsourcing, Supply Chain Management (SCM) has become one of the leading business strategies for a company to gain competitiveness in the global market. To manage the supply chain efficiently and effectively, many companies realize the need for accurate SCM performance measurement. In spite of existing SCM performance studies, there are two kinds of limitations. First, the measures are uniform although each company has its own characteristics such as industry, product type, and supply chain strategies. Second, the measures do not consider the perspectives of the Balanced Scorecard. So we propose the framework of the Balanced Supply Chain Scorecard based on literature and case studies, and suggested 74 measures in this regard. To investigate the effect of product types-whether they are functional of innovative, we have proposed six categories of contrast, and studied the importance of measures by interviewing supply chain experts in the companies being compared. According to this exploratory study, we discovered that the identification of the Balanced Supply Chain Scorecard is influenced by the characteristics of product types and other factors. This implies that the design of the Balanced Supply Chain Scorecard should consider these factors.