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Creative Commons licence CC BY-NC (Attribution-NonCommercial)Logforum. 2016. 12(2), article 3, 129-145; DOI: https://doi.org/10.17270/J.LOG.2016.2.3

EVALUATION MODEL FOR PRODUCTION PROCESS ECONOMIC EFFICIENCY

Adam Koliński1, Bogusław Śliwczyński2, Paulina Golińska-Dawson3

1Poznan School of Logistics, Poznań, Poland
2
Institute of Logistics and Warehousing, Poznan, Poland
3
Poznan University of Technology, Poznań, Poland

Abstract:

Background: Economic activity focused on manufacturing and supplying products for sale is one of the basic processes in the logistics supply chain. The specificity of production processes requires concentration on the factors, which are crucial for the continuity of the material flowin terms of both business practice and in relation to the relevant literature. The significant impact of production processes on the financial result of the company affects the costs, revenues, turnover of assets and working capital cycle, so this is the main reason to focus production management on ways to improve process efficiency for both internal and external supply chain, and also on the continuous supervision and evaluation of the results obtained. This article presents an original model for the analysis and evaluation of production process efficiency in economic terms.

Material and methods: The results of research carried out in Polish companies in 2011-2013 and the results of a literature review indicate the unsatisfactory use of efficiency analyses in managing  production processes, related supply chains and the production environment. These formed the basis for the selection and compilation of factors to evaluate the production process' economic efficiency. Complementary research concerning the importance of each factor in business practice was carried out in the first half of 2015 in 138 manufacturing companies in Wielkopolska Voivodship.

Results: Based on the results and observations, the authors developed a model for evaluating the economic efficiency of the production process, which will make it possible to conduct multivariate simulations using parametric models of production processes and the environment at later stages of their research.

Conclusions: Despite numerous considerations in the literature, the issue of production process efficiency has not yet been comprehensively presented nor developed. The concept for evaluation of production process efficiency presented here applies to its economic aspects. The authors are aware of the need to combine the analytical scope with analysis  and evaluation of operational efficiency, thus further research will aim to provide a  comprehensive analysis and evaluation of production process efficiency and value engineering in its operational development.

Keywords: production process efficiency, operational controlling, balanced scorecard
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For citation:

MLA Koliński, Adam, et al. "Evaluation model for production process economic efficiency." Logforum 12.2 (2016): 3. DOI: https://doi.org/10.17270/J.LOG.2016.2.3
APA Adam Koliński, Bogusław Śliwczyński, Paulina Golińska-Dawson (2016). Evaluation model for production process economic efficiency. Logforum 12 (2), 3. DOI: https://doi.org/10.17270/J.LOG.2016.2.3
ISO 690 KOLIŃSKI, Adam, ŚLIWCZYńSKI, Bogusław, GOLIńSKA-DAWSON, Paulina. Evaluation model for production process economic efficiency. Logforum, 2016, 12.2: 3. DOI: https://doi.org/10.17270/J.LOG.2016.2.3