Definitive Guides for Supply Chain Management Professionals (Collection)

6. Metrics and Frameworks for Assessing Performance

Importance of Metrics and Measurement

Most of us have heard some version of the standard performance measurement slogans: “What gets measured gets done”; “If you don’t measure results, you can’t tell success from failure”; “If you can’t recognize success, you can’t learn from it; if you can’t recognize failure, you can’t correct it”; “If you can’t measure it, you can neither manage it nor improve it.” Although these are slogans, or clichés, they underscore the reality of managing a business and the importance of measuring performance. This is especially true when managing operations.

Just consider the area of quality management. When a company promises and delivers on quality, there is a ...