Operations & Logistics

Key performance indicators, analytical tools, and composite metrics used to evaluate operational efficiency, supply chain responsiveness, and manufacturing productivity.

29 metrics

Inventory & Supply Chain

Core quantitative metrics for monitoring stock levels, warehouse fulfillment, transportation efficiency, and inventory throughput.

Metric		Description
Backorder Rate		Percentage of customer orders that cannot be fulfilled immediately at purchase due to stockouts
Carrying Cost of Inventory		Total cost associated with storing, holding, and maintaining unsold inventory over a specific period
Economic Order Quantity (EOQ)		Ideal order quantity that minimizes the total combined costs of inventory ordering and holding
Fill Rate		Percentage of customer order demand fulfilled immediately from current inventory without stockouts
Freight Cost per Unit		Average shipping and transportation cost incurred for each unit of product moved
On-Time In-Full (OTIF)		Percentage of customer orders delivered strictly on schedule and with complete ordered quantities
Perfect Order Rate		Percentage of orders completed without errors in entry, documentation, damage, or delivery timing
Reorder Point (ROP)		Minimum inventory level that automatically triggers a new procurement purchase order
Safety Stock (SS)		Buffer inventory maintained to protect against unforeseen demand surges or supply chain delays
Days Sales in Inventory (DSI)		Average number of days a company takes to convert its inventory into sales
Days Inventory Outstanding (DIO)		Working capital ratio measuring the average number of days capital remains tied up in inventory
Dock-to-Stock Time		Total time required to process incoming shipments from arrival at the receiving dock to placement in warehouse storage
On-Time Delivery Rate (OTD)		Percentage of orders delivered to customers on or before the promised delivery date
Stockout Rate		Percentage of customer demand or order requests that cannot be fulfilled due to missing inventory

Production & Capacity

Operational indicators used to optimize factory throughput, equipment balance, material scrap, and facility space.

Metric		Description
Capacity Utilization Rate		Percentage of maximum potential production output that is actively achieved
Overall Equipment Effectiveness (OEE)		Comprehensive manufacturing standard measuring equipment productivity across Availability, Performance, and Quality
Takt Time		Rate at which products must be produced to match the exact pace of customer demand
Work in Progress (WIP)		Quantity of partially completed products currently undergoing assembly within the production pipeline
Scrap Rate		Percentage of raw materials or produced units discarded due to defects during manufacturing
Warehouse Capacity Utilization		Proportion of usable warehouse volume or bin positions currently occupied by stored inventory
Dividend Yield (DY)		Financial investment metric calculating annual dividend payouts relative to market share price
Yield Rate		Proportion of non-defective, usable products produced out of total raw units entering the process

Maintenance & Quality

Key framework metrics for monitoring defect-free manufacturing, fulfillment cost structures, order economics, and process flow.

Metric		Description
First Pass Yield (FPY)		Percentage of products completed correctly on the initial attempt without requiring rework or adjustment
Order Fulfillment Cycle Time		Total elapsed time from customer order placement to final delivery completion
Average Order Value (AOV)		Average monetary value spent by customers per single placed order
Cost Per Order (CPO)		Average total operational and fulfillment cost spent to process and ship a single order
Minimum Order Quantity (MOQ)		Lowest number of units or inventory dollar value a supplier mandates per single order
Process Cycle Efficiency (PCE)		Ratio of active value-adding processing time relative to total overall lead time elapsed
Total Effective Equipment Performance (TEEP)		Comprehensive asset utilization metric evaluating operational performance against total continuous calendar time

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