I t includes design flexibility and production flexibility. Design flexibility is the company's ability to introduce new products and modifications to current products. Production flexibility is the company's ability to change product mix within short lead times, such as day to day. Quality Quality is the degree of excellence performed in designing, selling, producing, and delivering products and information. It is the conformance to requirements in measuring if the information, product, part or component does what it is supposed to do.
Quality includes form, fit, function, reliability, consistency and accuracy.
Cost Costs are the total cost of the conversion and movement through the supply chain per unit. The cost of adding value per unit is a measure of the productivity of he supply chain. Service Customer service is a quantitative as well as qualitative measurement. The quantitative approach is the more traditional method of calculating customer service used on a comparison of orders placed to orders shipped. This can mean daily, twice-daily, and sometimes hourly deliveries of purchased items.