Supplier Lead Time Variability
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Category:  
Analytical

Measures the consistency and reliability of suppliers in meeting their lead times or delivery schedules.

What it Measures ?

How inconsistent supplier delivery times are.

Relevant StakeHolders 

Logistics Teams, Supplier Managers

In-depth Use Case / Real-world Example

A manufacturing company that assembles household appliances tracks Supplier Lead Time Variability to assess how often suppliers deviate from their promised delivery schedules. If a supplier consistently delivers components late or early, this metric will reflect the inconsistency. A low variability score means the supplier is predictable, reducing the risk of production delays. For example, if 90% of orders are delivered within the agreed timeframe, the variability score will be low, showing high reliability.

KPI Definition

Business Value

Movement Direction

Sample Formula

Standard Deviation in Lead Times

Should Aim For
1
2
3
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