Supply Chain Management System - Assignment Example

Running Head: Supply Chain Management and Performance Measurement Systems Supply Chain Management and Performance Measurement Systems ] [Name of Institution] Supply Chain Management and Performance Measure Systems In recent times, business organizations have to survive in competitive markets and for this purpose, they need to concentrate on the needs and requirements of customers. In this regard, supply chain management is considered to be an important tool that concentrates on creating and maintaining the “competitive edge in order to enhance all activities associated with the flow and transformation of goods from the raw material stage through to the end user”(Chan, 2008).

Current research concentrates on the implementation and development of performance measurement systems in supply chains. Chan, (2008) asserts that the maintenance of performance management systems in supply chains needs to be organized, efficient, and methodical in “monitoring supply chain performance” (p.539). The main components of supply chains revolve around “six core processes (supplier, inbound logistics, manufacturing, outbound logistics, marketing, and sales, end customers) and present input, output and composite measures for each”(Fynes, de Burca & Voss, 2005,p.3306). Performance measurement systems in supply chains have been proven to be effective in catering to the needs of the customer and for this purpose, methods of performance measurement systems such as balance scorecards, performance questionnaires, and performance matrices, are being used.

Tenet Healthcare cooperation can adopt performance measurement systems in their supply chains and focus on meeting the needs and requirements of the clients. This would assist the company to maintain the “competitive edge in order to enhance all activities associated with the flow and transformation of goods from the raw material stage through to the end user” (Chan, 2008, p.540). Furthermore, its performance measurement system would evaluate the weak areas in order to enhance productivity and increase profitability, while saving costs.

Furthermore, it would assist in identifying the key players and hence, collaboration within the community would increase, thus, enabling the organization to create innovative solutions and strategies.