Logistics cycle indexes: Supply Network Analysis takes a step further

Supply Network Analysis (SNA) is a methodology inspired by Ecological Network Analysis and based on the concept of information entropy. By measuring flows of goods and interaction costs between different sectors of activity, within the supply chain, a network of flows can be empirically built and successively investigated by SNA, a powerful tool for supply chain analysis and mapping. To reach a complete comprehension of the complexity dimension, as well as to extend the analysis to reverse logistics, SNA is here extended to the study of supply chain cycling, with the introduction of ten different Logistics Cycle Indexes (LCIs), meant to identify complexity drivers and quantify how much a supply chain contains closing loops. The theoretical model, properly developed to investigate forward and reverse logistics flows, provides a diagnosis of supply chains structure in presence of closed cycles.