Business Analysis Toolkit

Keeping track of your supply chain scorecard calculations is a crucial responsibility in the management of a supply chain. Here, you have to take note of every chain activity from the delivery of raw materials from the origin to the distribution of the finished product to the end consumer. Plus, you have to monitor the efficiency of every aspect of the chain to ensure that nothing goes wrong and that the end consumer gets the product as soon as possible and in the best quality possible.

The balanced scorecard is a valuable tool in determining the efficiency and productivity level of each aspect of the supply chain. When lumped together, the scorecard can determine the performance quality of the entire chain. This is very important for supply chain managers and operators because they are the ones who are directly responsible for making sure that the supply chain functions properly. In fact, the balanced scorecard can be used for virtually any activity or organization having a management aspect in order to determine how each aspect of management performs and functions.

In taking note of the various aspects and perspectives of the supply chain, from the internal operations to the consumer-targeted plans and actions, the functions and processes of productions are being monitored. Also, the goals and objectives of the supply chain are kept in check if they are still being pursued by the actions and motives of the members of the chain for the very purpose of accomplishing the consumer-targeted goals.

It is admitted that it is not an easy job monitoring the metrics given out by the balanced scorecard. Of course, interpreting it and applying the interpretations is an easy thing to do since being easy to use and convenience are two of the main aspects and benefits that is given by the evaluation tool. However, by reason of the sensitive and quick-paced nature of the operations of a supply chain, it may become difficult to keep up with the activities of each aspect of the chain. It may even come to a time when the chain manager will have to chase each branch in order to get their feedbacks and reports so as to continue with the calculations of the scorecard metrics.

Of course, everything generally becomes easier when aspects of the job are delegated and the whole responsibility is shared by several people. This means that there is more accountability and responsibility, making the whole process more reliable and efficient. There will be a need for the chain manager to employ some assistants to monitor each aspect of the chain and report back to him in order for metrics to be properly calculated.

The job of monitoring the supply chain scorecard calculations is indeed equally, if not more important than monitoring the supply chain activities itself. This is because every act of the chain has a direct bearing on its performance levels. And every performance level has a direct bearing on the efficiency of the production process and the satisfaction of the end consumer – the latter being the paramount objective of every production activity.

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