| Over the past two decades, supply chain management has come to be a key component of organization competitiveness and effectiveness. In the same period, most organizations have put a great deal of effort into improving their own and their supplier's supply chain performance. To a large extent, much of this effort has been aimed at improving the efficiency of supply chain operations. However, organizations have ignored or played down the risks from supply chain disruptions when developing supply strategies, which focus on cost reduction.;It is proposed, therefore, that one such standard measure should measure the risk involved with organizations and their supply chains. In this context, the intent of this research is to develop a new methodology in supply chain performance and risk analysis, and build several models for evaluation of general supply chain performance and risk. We have developed two new multi-tier DEA models that can be applied to evaluate the relative effective values of the supply chain by optimizing weights of each component in the supply chain. The models not only provide the overall efficiency of supply chain but also show the efficiency of each component, which is valuable information for analysts to consider in improving the supply chain. |
