Top 23 KPIs in inventory management by category
Because inventory is the lifeblood in supply chain… This infographic contains the top 23 KPIs in inventory management by category: ✅ SERVICE 1️⃣ OTIF (On Time In Full) 👉 shows how many orders are delivered on time in full 🧮 Number of On Time In Full Deliveries / Total Number of Deliveries X 100 2️⃣ Requested Delivery Date Adherence 👉 indicates how well a supplier or manufacturer meets the requested delivery dates set by the customer 🧮 Number of Orders Delivered on or before Requested Delivery Date / Total Number of Orders X 100 3️⃣ Net Promoter Score 👉 assesses customer satisfaction and loyalty 🧮 (Number of Promoter Scores / Total Number of Respondents) – (Number of Detractor Scores / Total Number of Respondents) 4️⃣ Perfect Order 👉 measures the customer orders that meet the 7 R’s criteria 🧮 Total Number of Perfect Orders / Total Number of Orders X 100 5️⃣ Order Fill Rate 👉 shows the ability of a company to meet customer orders with available stock, without backorders or delays 🧮 Number of Orders Fulfilled Immediately / Total Number of Orders X 100 6️⃣ Line Fill Rate 👉 calculates the % of lines the company can fulfill immediately with the on-hand inventory 🧮 Number of Lines Fulfilled Immediately / Number of Order Lines X 100 7️⃣ SKU Fill Rate 👉 determines the % of SKUs the company can fulfill immediately with the stock on hand 🧮 Number of SKUs Fulfilled Immediately / Total Number of SKUs X 100 8️⃣ Order Accuracy 👉 shows the % of orders shipped free of errors, focusing on the internal aspects of order fulfillment 🧮 Error Free Orders / Total Orders Shipped X 100 9️⃣ Line Order Accuracy 👉 indicates the % of line orders shipped free of errors 🧮 Error Free Line Orders / Total Lines Shipped X 100 1️⃣0️⃣ Customer Order Fulfillment Time 👉 measures the following cycles: order, source, transform, fulfill, return 🧮 Sum of Actual Cycle Times For All Orders Delivered / Total Number of Orders Delivered ✅ EFFICIENCY 1️⃣1️⃣ Inventory Days of Supply 👉 shows the number of days the current inventory will last before it runs out, considering the current rate of sales or consumption 🧮 Current Inventory / Average Daily Usage (or Sales) 1️⃣2️⃣ Days of Forecast Cover 👉 assesses how many days of future demand (as forecasted) can be met with the current inventory on hand 🧮 Current Inventory / Forecasted Daily Demand 1️⃣3️⃣ Inventory Turnover 👉 indicates how fast or slow inventory is moving 🧮 Cost of Goods Sold / Average inventory X 100 1️⃣4️⃣ Average Inventory 👉 determine the mean amount of inventory held over a specific period 🧮 (Beginning Inventory + Ending Inventory) / 2 See 👀 the infographic for the remaining KPIs. Any others to add?