Supply Chain Performance-Value Matrix

The Supply Chain Performance-Value Matrix is a 2x2 matrix that helps organizations identify and prioritize supply chain activities that will maximize performance and value.

At a very high level, the Supply Chain Performance-Value Matrix is used in the context of business, supply chain management.

Supply Chain Performance-Value Matrix quadrant descriptions, including examples
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What is the Supply Chain Performance-Value Matrix?

A visual explanation is shown in the image above. The Supply Chain Performance-Value Matrix can be described as a matrix with the following quadrants:

  1. High Performance & High Value: These activities are the most important and should be prioritized. Examples include improving customer service or reducing lead times.
  2. High Performance & Low Value: These activities should be deprioritized. Examples include increasing inventory levels or increasing production capacity.
  3. Low Performance & High Value: These activities should be evaluated to determine if they are worth the investment. Examples include implementing new technology or investing in training.
  4. Low Performance & Low Value: These activities should be avoided. Examples include increasing costs or reducing quality.

What is the purpose of the Supply Chain Performance-Value Matrix?

The Supply Chain Performance-Value Matrix is a 2x2 matrix that helps organizations identify and prioritize supply chain activities that will maximize performance and value. It is based on the idea that supply chain activities can be divided into four categories: those that are high performance and high value, those that are high performance but low value, those that are low performance but high value, and those that are low performance and low value.

The Supply Chain Performance-Value Matrix helps organizations identify which activities are most important to focus on and which ones can be deprioritized. For example, an organization may decide to focus on activities that are high performance and high value, while deprioritizing activities that are low performance and low value. This helps organizations make the most of their resources and ensure that they are focusing on activities that will have the greatest impact.


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What templates are related to Supply Chain Performance-Value Matrix?

The following templates can also be categorized as business, supply chain management and are therefore related to Supply Chain Performance-Value Matrix: Effort Impact Matrix, Gap Analysis Matrix, Growth Share Matrix, Kraljic Matrix, Outsourcing Matrix, Quadrant Analysis, Risk Analysis Matrix, Risk Value Matrix. You can browse them using the menu above.

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