A Conceptual Framework for Green Supply Chain Performance Measurement in the Automotive Industry

Abstract:

It is an established fact that measuring the performance of a supply chain is a key strategy for achieving efficient supply chain management. Due to increasingly intensified focus on green manufacturing, measuring a supply chain without consideration on the environment is no longer adequate. Thus, there is a need to redefine supply chain performance measurement to embed environmental aspects. Measuring the green supply chain performance will indicate the effectiveness of greening exercises adopted by the supply chain echelons. Since the automotive industry constitutes a vast amount of wastes in the form of frames of end-of-life vehicles (ELV), which lead to landfill issues, it becomes imperative to focus on green supply chain performance measurement in the automotive supply chain. This study is part of an ongoing research on green supply chain performance measurement. Literatures in the area of supply chain performance measurement have been extensively reviewed. Green supply chain management literatures were reviewed as well. Different frameworks for supply chain performance measurement were considered. In addition, the disposal of end-of-life vehicles was thoroughly reviewed and studied. Based on the review and analysis, a framework for green supply chain performance measurement was developed for the automotive industry. The framework developed in this study should assist any automotive manufacturer to evaluate how green its supply chain is. It is also a useful tool to guide manufacturers in their quest for a green supply chain as well as green manufacturing.

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