In order to be able to assess the success of supply chains, an
adequate performance measurement system (PMS) needs to be
developed. In this study, a PMS is defined as a system that
enables a firm to monitor the relevant performance indicators of
products, services and production processes in the appropriate
time frame (Rosenau et al., 1996). Performance indicators are
the criteria with which the performance of products, services
and production processes can be evaluated. Besides,
performance indicators are operationalized process
characteristics, which compare the efficiency and/or
effectiveness of a system with a norm or target value (Van der
Vorst, 2000). A PMS comprises systematic methods of setting
business goals together with periodic feedback reports that
indicate progress against those goals (Simons, 2000). PMS
informs decision makers whether they are meeting their goals,
whether customers are satisfied and whether and where
improvements are necessary
In order to be able to assess the success of supply chains, anadequate performance measurement system (PMS) needs to bedeveloped. In this study, a PMS is defined as a system thatenables a firm to monitor the relevant performance indicators ofproducts, services and production processes in the appropriatetime frame (Rosenau et al., 1996). Performance indicators arethe criteria with which the performance of products, servicesand production processes can be evaluated. Besides,performance indicators are operationalized processcharacteristics, which compare the efficiency and/oreffectiveness of a system with a norm or target value (Van derVorst, 2000). A PMS comprises systematic methods of settingbusiness goals together with periodic feedback reports thatindicate progress against those goals (Simons, 2000). PMSinforms decision makers whether they are meeting their goals,whether customers are satisfied and whether and whereimprovements are necessary
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