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Supply Chain KPIs
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Logistics Cost per Unit

Production Schedule Adherence

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Category:  
Analytical

Measures the cost of logistics (transportation, warehousing, etc.) per unit of product sold.

What it Measures ?

Cost to ship one unit of product.

Relevant StakeHolders 

Logistics Head, Distribution Manager

Why it Matters ?

Optimizes logistics costs for efficiency.

In-depth Use Case / Real-world Example

A company manufacturing clothing calculates Logistics Cost per Unit by dividing the total logistics costs (transportation, warehousing, etc.) by the number of units sold. For example, if the company spends ₹5 crore on logistics and sells 1 lakh units, the logistics cost per unit is ₹500. Lowering this cost helps improve overall profitability.

KPI Definition

Business Value

Movement Direction

Sample Formula

Total Logistics Costs / Units Shipped

Should Aim For
1
2
3
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