Framework for Measuring the Performance of Production Operations in the Dairy Industry

For the business operations in the dairy industry, the quick, safe, and hygienic production processes are of crucial importance. The chapter is aimed to develop a framework for evaluating the performance of production operations in dairy industry. An optimum production model is developed through factor analysis and structural equation modelling (SEM) methods applied to the responses collected from different dairy industries. The hypotheses testing suggests that all five factors positively affect the production operations of dairy supply chain. The outcome of the study reveals that the dairy industry needs significant improvement in their production operations to attain competitiveness. Further, this study is helpful for the dairy industry in handling the demand fluctuation, execution of effective production and information systems, improved product quality, process flexibility, etc.