This document discusses improving supply chain performance by linking it to the balanced scorecard. It outlines current supply chain measures and perspectives in the balanced scorecard. It then proposes linking the two by identifying performance measures that align the internal, financial, innovation/learning, and customer perspectives of the balanced scorecard with goals like unit cost reduction, time reduction, waste reduction, and flexible response in the supply chain. Aligning key performance indicators across these perspectives can help optimize supply chain performance.

1. Supply Chain Performance Improve Supply Chain Performance by linking it with Balance Scorecard Anand Subramaniam

4. Supply Chain Management

5. SCM Concept Competitively Advantage New Materials Cooperative Development White-Space Development New Processing Product Adaptation Integrated Solutions Key Process Improvement New Products Supply Chain Responsiveness Alternative Channels Cost to Serve New Sales Sales Leadership Strategies New Business Systems Suppliers Manufacturing Distribution Retailer Consumer Product / Service Flows : Information Systems & Flows : Financial Flows Product Development Distribution Efficiency Product Replenishment Order Fulfillment Marketing Strategy Business Development

6. Current Measures

8. SCM Perspectives

9. SCM Goals Unit Cost Reduction Time Reduction Waste Reduction Flexible Response SCM Goals

10. Financial Benefits Improved Working Capital & Margins Improved Cash Flows Revenue Profit Growth Higher Return on Assets Financial Benefits

11. Customer Benefits Improved Value Improved or New Product / Service Quality Improved Flexibility Improved Timelines Customer Benefits

12. SCM Improvements Integrate People, Process & Systems Improved Decision Making Strategic Partner Relations Product / Service Innovation SCM Improve-ments

13. BSC Perspectives

14. Performance Measures Internal What must we excel at ? Financial How do we add value to shareholders? Innovation How do we improve and create value? Performance Measures Customers How do customers see us?

15. Linking BSC to SC Performance