## FUZZY METRICS IN SUPPLY CHAIN AGILITY: CHAIN MANAGEMENT (2)

Performance Evaluation

To take a particular process, there are three measures identified to indicate the three dimensions of its performance: cost, efficiency, and reliability. Moreover, assume there are four evaluators in the PMT with the relative weights WT = (0.45, 0.25, 0.20, 0.10) of their respective opinions.

First, one evaluator makes his judgment for the measure cost. Assume that the performance history of this cost is 20 dollars per unit, and the performance goal requires this cost to be reduced to 18 dollars per unit. The evaluator first determines the measurement scale of cost, to assume, which the interval is as (for this performance, the smaller the better). Suppose the current performance on production cost is average 19.4 dollar per unit according to the daily operation records.

The performance score and performance grades are calculated as follows:

This is the measurement result of cost judged by the first evaluator. For simplicity, assume the performance grade sets by the other three evaluators, in forms of row vector, to be:

From the mathematical sense, this vector denotes the aggregated opinion of the measurement of cost performance by the four evaluators. It takes the form of fuzzy performance grade set. The performance

These four vectors compose the fuzzy performance grade matrix:

Calculation from performance score to performance grade:

Then the measurement results of these four evaluators with their relative weights are aggregated:
index of P1 is: P Ii = 4.315

For brevity, this paper invents the performance grade sets of the other two performances, i.e. efficiency and

For all these three performance measures, the performance grade vectors of all these three performances of this process compose the 6*3 performance grade matrix of the process:
reliability, by the PMT respectively as follows: