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Supply Chain KPIs
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Perfect Order Rate

Production Schedule Adherence

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Category:  
Strategic

Measures the percentage of orders delivered to customers on time, complete, and without defects.

What it Measures ?

Percentage of orders delivered correctly and on time.

Relevant StakeHolders 

Logistics Manager, Customer Experience Head

Why it Matters ?

Enhances customer satisfaction and reliability.

In-depth Use Case / Real-world Example

A company manufacturing industrial valves tracks Perfect Order Rate by calculating the percentage of orders delivered without any issues (on-time, complete, and defect-free). For example, if the company delivers 1000 orders and 950 are perfect, the Perfect Order Rate is 95%. This KPI indicates how well the company meets customer expectations and is key to customer satisfaction and loyalty.

KPI Definition

Business Value

Movement Direction

Sample Formula

(Number of Perfect Orders / Total Orders) * 100

Should Aim For
1
2
3
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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.
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