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1. Introduction
Supply chain managers need performance measurement systems to improve the efficiency and effectiveness of their operations (Shepherd and Günter, 2006; Simchi-Levi et al., 2007). In the last ten years there is an increasing interest from both academics and practitioners in incorporating sustainability practices in supply chain operations and models (Hassini et al., 2012). Sustainability is increasingly becoming a strategic business initiative as both large and small companies are realizing that sustainable practices can be economical and may create new revenue streams as well as increase customer and employee satisfaction (Mincer, 2008). With this comes the need to develop key performance indicators to measure the progress of implementing these sustainability practices. As argued in Hassini et al. (2012), current supply chain performance measurement systems are not geared toward the complexities that are involved when measuring performance across supply chain interfaces. This is further complicated by the fact that different parties within the supply chain may have different, and often conflicting, views of sustainability (Salzmann et al., 2005), and that companies, such as Walmart, are enlarging their sustainability scope to all their supply chain partners all over the world (Allen et al., 2012). With these trends it is important to understand the different aspects of sustainability and how these can be measured within the different areas of supply chain operations. That is the focus of our study. We look at existing performance measurement systems for sustainability in supply chains and propose a framework for integrating the different aspects of sustainability and supply chain operations. The rest of the paper is organized as follows. In Section 2, we discuss relevant terminology and related reviews. We describe our review methodology in Section 3. In Section 4, a summary of review results as well as the classification of performance measures are provided. A synthesis of performance measures by supply chain stage, type of sustainability measure, and type of operations decisions is provided Section 5. Finally, in Section 6, we propose some research questions and our conclusions.
2. Background
There have been different attempts at defining supply chain sustainability and in this section we report on some of them and clarify the perspective that we take in this paper. In addition, we extend the triple...