Abstract:
The aim of this document is to review different engineering methods that can be
used to identify performance drivers, measures and processes and as a result align the most key performance drivers of the IMPERIAL companies with Nampak Tissue’s key performance drivers.
According to Kanji (2002) effective management of a company depends on how effectively performance is measured. As a result it is necessary to develop and implement a system for performance measurement.
IMPERIAL Logistics is a logistics and supply chain management service provider
(LSP) based in South Africa. IMPERIAL Logistics focus not only on warehousing,
distribution and transportation but also on improving services, value adding,
reducing costs and exceeding their clients’ expectations in the supply chain
environment.
In a fragmented supply chain such as IMPERIAL Logistics and Nampak it is of
great importance to align each company in the supply chain according to its key
performance drivers and measurements. It is essential that the aligned companies
share common goals and visions to ensure optimal satisfaction of each company.
The Balanced Scorecard creates a cause and effect relationship between
measures from each of the four perspectives, namely: the learning and growth
perspective, internal business process perspective, the customer perspective and
the financial perspective; it can also be used as a strategic management system
or as a communication tool in the organization. For each of the strategic
objectives identified, measure will be created. The final stage will consist of
aligning the key drivers of the IMPERIAL companies with Nampak’s drivers.
In conclusion this project has analyzed and used the Balanced Scorecard method
to identify the key performance drivers of each company, created measures for
each performance driver and as a result create a performance measurement
system.
