Performance measurement systems for green supply chains using modified balanced score card and analytical hierarchical process

Abstract

Environmental management is becoming a key strategic issue for Supply chain performance. Performance measurement systems for green supply chain is critical for its monitoring, control and improvement. A comparative analysis of some most widely cited Performance measurement systems for supply chains have been undertaken, and it indicates that the modified Balanced score card is a suitable framework for Green supply chain performance measurement. However, there are limitations in this framework when they are used for strategic alignment and planning. The frameworks do not provide weightings to the performance indicators nor does it tell the management the contribution of each performance indicator in achieving organisational goals. Use of Analytic hierarchy process, along with modified balanced score card helps in tiding over these limitations. This paper demonstrates integration of Analytic hierarchy process with modified Balanced score card to facilitate effective Green supply chain performance measurement. Key words: Analytic hierarchy process (AHP), balanced score card (BSC), performance measurement system (PMS), green supply chain (GSC).