A business process oriented method to design supply chain performance measurement systems

While performance management forms an integral part of the concept of supply chain management, designing a consistent and powerful performance measurement system (PMS) at the level of an enterprise network is still proving very problematic. In this paper, a business process oriented approach is proposed to tackle problems of heterogeneity between partners. Special attention is paid to the representation of both decisional and operational activities, taking into account the links between them. Based on this framework, a method is applied to select, implement and publish the key performance indicators (KPI). We propose a classification of KPI into three categories related to management abilities: ambition, reality and facility. These classes form a consistent set to support decision making and process control at a network level. A business case is used to show the potential of this approach.