Some of the most important components of the perfect order KPI include: It can also help you track your storage and delivery operations, manage costs, and gauge customer satisfaction. #1: Perfect OrderĮasily the most important metric for measuring the effectiveness of a supply chain, the perfect order KPI is a compound of several important metrics that give you insight into several areas of your order fulfillment process. So, to ensure you don’t get sidetracked, it’s essential to identify the supply chain metrics that are most important to your specific organization. The two main goals of supply chain metrics are to increase productivity and improve customer satisfaction. 10 Key Supply Chain KPIs You Should Be Measuring Specifically, they’ll reveal any shortcomings allowing you to leverage your strengths to improve your supply chain operations. If you’re planning to (1) make business decisions related to expansion and business development or (2) improve your company’s order fulfillment and shipping operations or warehouse management, your KPIs will make it easier to track. It also enables you to make future projections based on the progress you’re making. These parameters reveal helpful insights like order accuracy, inventory turnover, inventory-to-sales ratio, and inventory velocity.Įssentially, these KPIs act as benchmarks that help you track the operational metrics of your business and reveal how effectively it’s meeting targets. To define your supply chain KPIs, you must first set specific performance parameters required for tracking operations. In this post, we’ll take a look at some of the most essential supply chain KPIs that’ll give you actionable insights into your business operations.

KPIs enable you to monitor the processes of your supply chain so that you’re able to identify the ones that need improvement.

As you can expect, this results in negative reviews and refund requests. Minor errors can cause major problems for instance, the wrong package gets shipped to the wrong customer. They require certain factors like order accuracy and on-time, damage-free delivery for smooth operations. Omnichannel supply chains help businesses sell products through all possible sales channels. Specifically, they enable you to monitor how effectively your organization is achieving its target goals. Key performance indicators ( KPIs) are a set of quantitative metrics that can help you gauge your business’ performance over time.

Ontime supply