An empirical study of evaluating supply chain management integration using the balanced scorecard in Taiwan

Abstract

Supply chain management (SCM) is essential for strengthening competitiveness, customer satisfaction, management performance, and achieving continued success. The development of effective measures of SCM performance is crucial to companies. Most corporations place considerable importance on SCM and the concept of balanced scorecard (BSC). Most studies, however, typically discuss SCM and BSC independently without examining their relationship. This study attempts to integrate SCM and BSC based on a thorough discussion of BSC measures in Kaplan and Norton. The main objectives of this study are to evaluate SCM performance using the BSC to thereby assess the business performance of many of Taiwan's industries that have implemented SCM. This study initially utilizes case studies; a research model and hypotheses are modified according to the case study findings. A questionnaire-based survey forms the second phase of data collection and data analysis. The research framework is analyzed and validated. Case study findings indicate that companies use varying degrees of SCM integration. Data analysis supports a positive correlation between SCM integration and BSC and a direct correlation between SCM integration and each BSC dimension.

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