Measuring Supply Chain’s Performance - Supply Chain Management, E-Commerce Video Lecture | E-Commerce - B Com

Sports is a world of measurement let's
take a sport like like basketball where
players attempt to make baskets
no I meant ball in hoop type baskets
suppose I tell you a player averages 23
points per game is that a good player a
bad player a great player a good coach
would know that based off this limited
information it would be impossible to
answer that question with any certainty
I mean basketball is about more than
just scoring right players can block
shots rebound miss shots steal the ball
and assist others in scoring they can
also make a number of mistakes that
benefit their opponents so now what if I
tell you that the player averages 23
points 9 rebounds 12 assists and 4
steals per game is that a good player a
bad player a great player a poor coach
might be tricked into answering that
question but a good coach would still
realize that those statistics measure
only certain aspects of effectiveness to
truly assess this player you still need
more information how many shots did they
take how many minutes did they play how
many possessions that their team have
during the game in essence a good coach
wants to know how the player made use of
their resources okay
so suppose I gave you the shots minutes
possessions available rebounds and any
other efficiency related data would you
feel comfortable making a decision about
that player think before you answer what
other type of data would you want I
would want to know
situational data suppose those 23 points
9 rebounds 12 assists and 4 steals were
accumulated by a tall 25 year old man
against the worst offenders
in blowout games in a league of
five-year-old children still feeling
good about this player statistics what
we're seeing is that not every set of
data is sufficient in helping us make
good decisions a good system of metrics
needs to provide information on
effectiveness efficiency and
adaptability and this isn't just true
for sports like basketball businesses
constantly seek to collect and study
data in an effort to make good decisions
in fact humans are hopelessly addicted
to metrics that will aid them in making
good decisions what time is it what's
the temperature what's your grade in
this class these are numbers that guide
our actions you see performance metrics
can actually motivate the behaviors of
athletes employees students and business
partners as the manager of a global
supply chain how can you know if your
supply chain is effective efficient and
adaptable how can you motivate employees
and supply chain partners thousands of
miles away to do the things your
customer and your company value most and
how can you identify those employees
that deserve raises and promotions as
well as those who need assistance
additional training or perhaps
disciplinary action what we're seeing is
that a good system of performance
metrics can provide guidance for
managers employees and even customers
but to do so modern managers especially
supply chain managers must marry
quantitative skill psychological
understanding and operational know how
to develop the right performance
measurement tools and systems so their
companies can achieve their own unique
set of goals and this is an enormous
challenge like a basketball coach supply
chain managers need to identify their
best players identify and improve the
weaknesses of the team know which
situations provide the team with the
best opportunities and also understand
which resources are being wasted but
your team is made up of thousands of
players all over the world
and it's your job to get them all
working toward the same set of goals so
don't let bad numbers lead you down a
destructive path take control of the
numbers and let them guide your team to
an effective efficient and adaptable
global supply chain