2020•Economics of the transport complexOpen access

MODEL OF EVALUATING LOGISTICS PERFORMANCE

Oksana Kryvoruchko

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Abstract

Ensuring the successful operation of enterprises, reducing overall costs, obtaining quality logistics services are achieved through the use of logistics approaches, the implementation of effective logistics activities. It is necessary to evaluate the logistics activities, its efficiency and performance. However, in the modern literature and practice there are no comprehensive models for assessing logistics activities, which requires their development. The paper develops a comprehensive model for evaluating the performance of logistics activities as a constant dynamic process based on the use of theoretical provisions of total quality management (TQM) and European Quality Excellence Awards. Development and standardization of logistics procedures allows to evaluate the obtained results not only after the implementation of logistics activities, but also in the operational mode - at each stage of its implementation. Criteria for evaluating the effectiveness of logistics activities are presented by two groups, one of which evaluates the capabilities of the logistics system, and the other - the results.The entrance to the implementation of logistics processes are certain restrictions, which are in the form of external and internal factors of logistics activities. Logistics processes are also considered as a set of logistics business processes and organizational processes of logistics management.Logistics business processes (interconnected set of operations and functions that convert the resources of the enterprise into a certain result, which is set by the logistics strategy) are identified depending on the specifics of the enterprise. The most common of these are the business processes of supply, production and marketing.Organizational processes of logistics management are aimed at regulating logistics operations, functions, functional areas of various economic entities using information and communication technologies and technical means.The results are a set of logistical results (costs, cycle time, quality, customer satisfaction, etc.) and organizational results (staff satisfaction, position in society, etc.). The complexity of the model for evaluating the effectiveness of logistics activities is to combine the evaluation of opportunities and results, to establish the discrepancies between the maximum possible level and the actual and to further develop the measures to improve the relevant areas of the work.

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Ensuring the successful operation of enterprises, reducing overall costs, obtaining quality logistics services are achieved through the use of logistics approaches, the implementation of effective logistics activities. It is necessary to evaluate the logistics activities, its efficiency and performance. However, in the modern literature and practice there are no comprehensive models for assessing logistics activities, which requires their development. The paper develops a comprehensive model for evaluating the performance of logistics activities as a constant dynamic process based on the use of theoretical provisions of total quality management (TQM) and European Quality Excellence Awards. Development and standardization of logistics procedures allows to evaluate the obtained results not only after the implementation of logistics activities, but also in the operational mode - at each stage of its implementation. Criteria for evaluating the effectiveness of logistics activities are presented by two groups, one of which evaluates the capabilities of the logistics system, and the other - the results.The entrance to the implementation of logistics processes are certain restrictions, which are in the form of external and internal factors of logistics activities. Logistics processes are also considered as a set of logistics business processes and organizational processes of logistics management.Logistics business processes (interconnected set of operations and functions that convert the resources of the enterprise into a certain result, which is set by the logistics strategy) are identified depending on the specifics of the enterprise. The most common of these are the business processes of supply, production and marketing.Organizational processes of logistics management are aimed at regulating logistics operations, functions, functional areas of various economic entities using information and communication technologies and technical means.The results are a set of logistical results (costs, cycle time, quality, customer satisfaction, etc.) and organizational results (staff satisfaction, position in society, etc.). The complexity of the model for evaluating the effectiveness of logistics activities is to combine the evaluation of opportunities and results, to establish the discrepancies between the maximum possible level and the actual and to further develop the measures to improve the relevant areas of the work.

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Available abstract

Ensuring the successful operation of enterprises, reducing overall costs, obtaining quality logistics services are achieved through the use of logistics approaches, the implementation of effective logistics activities. It is necessary to evaluate the logistics activities, its efficiency and performance. However, in the modern literature and practice there are no comprehensive models for assessing logistics activities, which requires their development. The paper develops a comprehensive model for evaluating the performance of logistics activities as a constant dynamic process based on the use of theoretical provisions of total quality management (TQM) and European Quality Excellence Awards. Development and standardization of logistics procedures allows to evaluate the obtained results not only after the implementation of logistics activities, but also in the operational mode - at each stage of its implementation. Criteria for evaluating the effectiveness of logistics activities are presented by two groups, one of which evaluates the capabilities of the logistics system, and the other - the results.The entrance to the implementation of logistics processes are certain restrictions, which are in the form of external and internal factors of logistics activities. Logistics processes are also considered as a set of logistics business processes and organizational processes of logistics management.Logistics business processes (interconnected set of operations and functions that convert the resources of the enterprise into a certain result, which is set by the logistics strategy) are identified depending on the specifics of the enterprise. The most common of these are the business processes of supply, production and marketing.Organizational processes of logistics management are aimed at regulating logistics operations, functions, functional areas of various economic entities using information and communication technologies and technical means.The results are a set of logistical results (costs, cycle time, quality, customer satisfaction, etc.) and organizational results (staff satisfaction, position in society, etc.). The complexity of the model for evaluating the effectiveness of logistics activities is to combine the evaluation of opportunities and results, to establish the discrepancies between the maximum possible level and the actual and to further develop the measures to improve the relevant areas of the work.

Key concepts: Integrated logistics support, Process management, Humanitarian Logistics, Quality (philosophy), Business, Operational excellence, Standardization, Process (computing)

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