close
Contact Us
Thank you! Our team will review your request and get in touch soon. Stay tuned for insights that drive smarter decisions with INSIA!
Oops! Something went wrong while submitting the form.
Supply Chain KPIs
chevron_right
Inbound Freight Lead Time

Production Schedule Adherence

Get Started
Category:  
Operational

Measures the time taken to receive goods from suppliers after shipment.

What it Measures ?

Time from placing a PO to goods arriving.

Relevant StakeHolders 

Procurement, Logistics

Why it Matters ?

Improves supplier lead time management.

In-depth Use Case / Real-world Example

A company manufacturing bicycles calculates Inbound Freight Lead Time by tracking the time it takes for materials (e.g., steel frames) to arrive after shipment. For example, if it takes 5 days for the goods to arrive after shipment, the lead time is 5 days. Shorter lead times ensure timely production and reduce inventory holding costs.

KPI Definition

Business Value

Movement Direction

Sample Formula

Supplier Delivery Time - Purchase Order Time

Should Aim For
1
2
3
Track Similar KPIs
Packaging Utilization Rate
Measures the percentage of packaging material used efficiently in the production process.
Scrap and Rework Costs
Measures the costs associated with defective products that need to be scrapped or reworked.
Labor Utilization Efficiency
Measures the efficiency of labor usage by comparing the actual output to the labor hours used.
Order Cycle Time
Measures the total time taken from receiving a customer order to delivery.
Line Stoppage Incidents
Measures the number of times production is halted due to machinery failures, material shortages, or other issues.
Transit Time Efficiency
Measures the efficiency of the transportation process by comparing the planned and actual transit times.
Outbound Freight Lead Time
Measures the time taken to ship products from the company’s warehouse to customers.
Inbound Freight Lead Time
Measures the time taken to receive goods from suppliers after shipment.
Production Plan Adherence
Measures the extent to which the production schedule is followed and completed on time.
Order Picking Accuracy
Measures the percentage of items picked correctly for customer orders.
Production Downtime
Measures the total time production is halted due to machine failure, maintenance, or other reasons.
First Pass Yield (FPY)
Measures the percentage of products that are manufactured correctly the first time, without defects.
Pick-and-Pack Cycle Time
Measures the time it takes to pick and pack an order from the warehouse.
Work-in-Progress (WIP) Inventory Trends
Measures the trends in inventory that is in the production process but not yet completed.
Return Rate (Defects/Quality Issues)
Measures the percentage of products returned due to defects or quality issues.
Focus on insights.
Not data preparation!
Get Started Today
Ready to transform your business with data-driven decisions?
ComplianceHippaISOGDPRAICFA
Get Demo
PRODUCT
Connect
Clean
Transform
Analyze
Report
Push AI
Security
Governance
Mobile
SOLUTIONS
Marketing
Sales
Manufacturing
Service
Procurement
Production
LEARN
INSIA Hub
Blogs
Case Studies
ABOUT
About us
Contact us
Terms & Conditions
Privacy Policy
DPA
©2024 Aramse Technologies Private Limited. All Rights Reserved.
Find us on
LinkedinInstagramFacebookYoutube