Title: A new approach to design supply chain key performance indicator for actors and regulator: a case study in innovative product in Indonesia

Authors: Elisa Kusrini; Subagyo; Nur Aini Masruroh

Addresses: Department of Mechanical and Industrial Engineering, Faculty of Engineering, Gadjah Mada University, Jl. Grafika No. 2, Yogyakarta, 55281, Indonesia; Department of Industrial Engineering, Faculty of Industrial Technology, Islamic University of Indonesia, Jl. Kaliurang Km 14.5, Sleman, Yogyakarta, 55584, Indonesia ' Department of Mechanical and Industrial Engineering, Faculty of Engineering, Gadjah Mada University, Jl. Grafika No. 2, Yogyakarta, 55281, Indonesia ' Department of Mechanical and Industrial Engineering, Faculty of Engineering, Gadjah Mada University, Jl. Grafika No. 2, Yogyakarta, 55281, Indonesia

Abstract: Nowadays, supply chain performance measurements are focused on the performance measurement from the internal side of supply chain actors. Meanwhile, the concern of this issue is becoming important for the government (regulator) especially with regard to public sector policy. The regulator needs to recognise the key indicators to measure the effectiveness of their programs. This paper aims to identify the supply chain key performance indicator based on strategic objectives of supply chain's actors and regulator simultaneously. The integrated model of balanced scorecard (BSC) that combined with supply chain operation reference (SCOR) and regulator contribution were proposed to identify these indicators. This integrated model was validated based on behaviour data of innovative product in Yogyakarta, Indonesia using structural equation modelling (SEM). This research found that there were 31 valid key indicators consisting 19 indicators to measure actors's performance and 12 indicators to measure regulator's performance.

Keywords: performance measurement; supply chain management; SCM; balanced scorecard; BSC; supply chain operation reference; SCOR; regulator contribution; supply chain actors; Indonesia; key performance indicators; KPIs; case study; supply chain performance; public policy; innovative products; product innovation; structural equation modelling; SEM.

DOI: 10.1504/IJBPM.2016.073315

International Journal of Business Performance Management, 2016 Vol.17 No.1, pp.1 - 29

Received: 23 Feb 2014
Accepted: 15 Nov 2014

Published online: 30 Nov 2015 *

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