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Identifying Critical Indicators in Performance Evaluation of Green Supply Chains Using Hybrid Multiple-Criteria Decision-Making

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  • Changlu Zhang

    (School of Economic & Management, Beijing Information Science & Technology University, Beijing 100192, China
    Beijing Key Lab of Big Data Decision Making for Green Development, Beijing Information Science & Technology University, Beijing 100192, China)

  • Liqian Tang

    (School of Economic & Management, Beijing Information Science & Technology University, Beijing 100192, China
    Beijing Key Lab of Big Data Decision Making for Green Development, Beijing Information Science & Technology University, Beijing 100192, China)

  • Jian Zhang

    (School of Economic & Management, Beijing Information Science & Technology University, Beijing 100192, China
    Beijing Key Lab of Big Data Decision Making for Green Development, Beijing Information Science & Technology University, Beijing 100192, China)

Abstract

Performance evaluation of green supply chains (GSC) is an important tool to improve their comprehensive management. Identifying critical indicators is crucial to evaluation. This study examines the critical indicators in performance evaluations of GPC and provides relevant suggestions for managers to improve GSCs’ performances. Firstly, we summarized 24 evaluation indicators from five dimensions—financial value, customer service-level, business processes, innovation and development, and the so-called green level. Secondly, the Delphi method was used to determine the formal research framework. The fuzzy decision-making trial and evaluation laboratory based analytic network process (fuzzy DEMATEL-based ANP) model was applied. The weighted prominence of each indicator was calculated to identify those that were critical, and a causality diagram was constructed for them. Finally, corresponding countermeasures and implications regarding those were put forward. The research results show that the critical indicators include the return rate of net assets, the growth rate of profit, the rate of service satisfaction, market share, production flexibility, and the green consensus. Among them, the green consensus, the growth rate of profit and the rate of service satisfaction form a virtuous circle, leading to the improvement of the overall performance of GSC.

Suggested Citation

  • Changlu Zhang & Liqian Tang & Jian Zhang, 2023. "Identifying Critical Indicators in Performance Evaluation of Green Supply Chains Using Hybrid Multiple-Criteria Decision-Making," Sustainability, MDPI, vol. 15(7), pages 1-20, March.
    • Handle: RePEc:gam:jsusta:v:15:y:2023:i:7:p:6095-:d:1113273
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    References listed on IDEAS

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    1. Hamed Nozari & Esmaeil Najafi & Mohammad Fallah & Farhad Hosseinzadeh Lotfi, 2019. "Quantitative Analysis of Key Performance Indicators of Green Supply Chain in FMCG Industries Using Non-Linear Fuzzy Method," Mathematics, MDPI, vol. 7(11), pages 1-19, October.
    2. Eko Budi Leksono & Suparno Suparno & Iwan Vanany, 2019. "Integration of a Balanced Scorecard, DEMATEL, and ANP for Measuring the Performance of a Sustainable Healthcare Supply Chain," Sustainability, MDPI, vol. 11(13), pages 1, July.
    3. Changlu Zhang & Jian Zhang & Qiong Yang, 2022. "Identifying Critical Risk Factors in Green Product Certification Using Hybrid Multiple-Criteria Decision-Making," Sustainability, MDPI, vol. 14(8), pages 1-17, April.
    4. Chand, Pushpendu & Thakkar, Jitesh J. & Ghosh, Kunal Kanti, 2020. "Analysis of supply chain performance metrics for Indian mining & earthmoving equipment manufacturing companies using hybrid MCDM model," Resources Policy, Elsevier, vol. 68(C).
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    Cited by:

    1. Razika Malek & Qing Yang, 2023. "Analyzing Interrelationships and Prioritizing Performance Indicators in Global Product Development: Application in the Chinese Renewable Energy Sector," Sustainability, MDPI, vol. 15(14), pages 1-26, July.
    2. Benameur Dahinine & Abderrazak Laghouag & Wassila Bensahel & Majed Alsolamy & Tarek Guendouz, 2024. "Evaluating Performance Measurement Metrics for Lean and Agile Supply Chain Strategies in Large Enterprises," Sustainability, MDPI, vol. 16(6), pages 1-19, March.

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