Supplier Evaluation Framework Based on Balanced Scorecard with Integrated Corporate Social Responsibility Perspective

Abstract

Abstract—In this research a supplier evaluation framework based on Balanced Scorecard (BSC) with integrated Corporate Social Responsibility (CSR) has been developed from literature review of 76 related papers. It was found that quality, delivery, and cost are the most significant criteria. Moreover, some criteria are changed according to shorten product life cycle, technologies, improvement of service, evolution of production system, and emergence of supply chain management (SCM). Based on BSC and CSR, 5 perspectives namely financial, customer, internal business process, learning and growth, and corporate social responsibility are proposed for categorizing supplier selection criteria. Measures for each criterion are also collected for decision makers. This framework is presented in the form of a table in which both criteria and measures are contained, this would be facilitated to use. Moreover, its BSC basis verifies suitability of a supplier with the corporate strategies. As a consequence, evaluating supplier using the proposed framework can be helpful for decision makers to qualify the most eligible supplier who can meet qualifications and buyer’s strategies as well as environmental and social responsibility issues.