Measures the time taken from placing an order to receiving the goods, providing insights into the efficiency of the procurement and supply chain process.

What it Measures ?

Time taken to complete a purchase order.

Relevant StakeHolders 

Procurement Ops, Process Improvement Teams

In-depth Use Case / Real-world Example

A company that manufactures heavy machinery calculates Order Cycle Time Insights to understand how long it takes for suppliers to deliver components after an order is placed. For instance, if a purchase order is placed for a critical part, and the supplier takes 15 days to deliver it, but the target cycle time is 10 days, the company identifies inefficiencies in the process. Reducing the order cycle time improves production timelines and minimizes inventory holding costs.