2. Literature review
2.1 Supply chain performance measurement
According to Neely et al. (1995), performance measurement
is defined as the process of quantifying effectiveness and
efficiency of action. Effectiveness is the extent to which
customers’ requirements are met while efficiency measures
how economically a firm’s resources are utilised. A practical
supply chain performance assessment tool should be able to
quantify both the efficiency and effectiveness of supply chain
action (Shepherd and Gu¨ nter, 2006). The assessment of
supply chain performance could be categorised into
qualitative and quantitative measures in which quantitative
techniques such as benchmarking are frequently used by both
commercial firms and academia. However, this type of
approach suffers from two main drawbacks related to the total
time taken to complete the data requirements and the
availability of a pre-existing database of benchmarked data
(Foggin et al., 2004).